Friday, June 29, 2012

Business Property Lending Sold for $2.51 Billion

EverBank Financial announced that it had executed an agreement to purchase Business Property Lending, a unit of GE Capital Real Estate, for $2.51 billion in cash. No debt will be assumed in the acquisition, and is expected to close in the fourth quarter of this year pending regulatory approval. Business Property Lending, which originates and services commercial real estate loans, currently has 14 offices across the United States with roughly $2.44 billion of performing commercial loans and servicing rights on $3.1 billion of loans securitized by GE Capital.

BofA Merrill Lynch acted as the financial advisor to EverBank and Sullivan & Cromwell LLP acted as its legal advisor on the transaction. Goldman Sachs also acted as an advisor to EverBank and Gateway Asset Management LLC provided loan diligence. Deutsche Bank Securities acted as financial advisor to GE Capital and Weil, Gotshal & Manges LLP acted as its legal advisor.

"Today's announcement represents a compelling strategic expansion into business property lending in key metropolitan areas where EverBank currently has significant lending, leasing and deposit customers," commented Robert Clements, Chairman of the Board and Chief Executive Officer of EverBank. "We believe this fully integrated, high quality franchise will accelerate EverBank's strategic growth plans and will further enhance and diversify our robust, nationwide asset generation capabilities."

The sale will reduce GE Capital's ending net investment, a measure of the unit's size that excludes non-interest-bearing liabilities and cash, by $5 billion, a GE spokesman, Russell Wilkerson, said. "The transaction is consistent with our strategy of reducing our real estate portfolio," Wilkerson said in the e- mail reported by The San Francisco Chronicle. According to a New York Times blog, EverBank previously acquired the banking operations of the failed Bank of Florida in a deal brokered by the Federal Deposit Insurance Corporation in 2010.

For more news and information visit Blumberg Capital Partners.

Thursday, June 28, 2012

Brookfield Acquires 799 9th Street NW in DC for $106M

Brookfield Office Properties announced this week that it had purchased 799 9th Street, NW on the corner of 9th and H Streets in Washington, DC for $106 million from A-799 9th Street Holdings, LLC. The 10-story class A office building previously traded hands in November 2006 when Cushman & Wakefield negotiated the sale from Blue Capital Investments for $127.5 million. Brookfield said it is funding the acquisition through new property-level financing of $71.5 million and the balance from available cash resources.

Built in 2001, 799 9th Street holds 203,000 rentable square feet and is currently 96% occupied with all leases expiring in December 2012 and January 2013. The property has 156 parking spaces and several street-level eateries, including OYA Restaurant. Brookfield has said that it has planned improvements for the property, including a full lobby and building entry renovation, a tenant fitness center with showers and lockers, and a new roof terrace with views of the DC monuments.

"The East End submarket is thriving, with low office vacancy, new amenities coming online, and an overall 24-7 neighborhood feel," said Dennis Friedrich, president and global chief investment officer at Brookfield Office Properties. "Our investments in several of the premier office buildings in this submarket are consistent with our strategy of owning high-quality assets in the best-located areas of our core U.S. markets."

For more news and information visit Blumberg Capital Partners.

Wednesday, June 27, 2012

Dolby Labs Purchases SF Tower for $109.8 Million

Dolby Laboratories announced this week that it was purchasing 1275 Market Street in San Francisco, formerly the home of the California State Compensation Insurance Fund, for $109.8 million. The seller is a partnership between DivcoWest and TMG Partners. The two real estate investment firms purchased the building in October of 2011 for $44 million, or about $115 a square foot, according to a San Francisco Business Times article. A non-refundable deposit of about $5.5 million has been placed in escrow, and the sale is expected to be completed on July 10, Dolby plans to fully occupy the 354,000 square foot building as its new headquarters.

"Dolby technologies bring richness, realism, and immersion to entertainment in the cinema, at home, and on mobile devices," said Kevin Yeaman, President and Chief Executive Officer, Dolby Laboratories. "This investment will support the company's current needs and future growth by fostering a collaborative environment that will continue to attract and retain the best employees."

"San Francisco--based Dolby is an important employer and business leader here in the 'Innovation Capital of the World,' and we appreciate the company's continued commitment to job creation in our City," said San Francisco Mayor Ed Lee. "Companies like Dolby are transforming the Central Market neighborhood into a vibrant hub for entertainment, culture, and innovation and are proving that our economic strategy for companies to start here, grow here, and stay here is working."

For more news and information visit Blumberg Capital Partners.

Tuesday, June 26, 2012

Assisted Living Concepts Buys Ventas Properties, Settles Suit for $100M

Assisted Living Concepts (ALC) announced this month that it had signed an agreement to purchase 12 properties from Ventas Realty for $97 million according to a Milwaukee Journal Sentinel article. The deal includes $3 million to settle a lawsuit filed by Ventas in April wherein Ventas alleged that ALC breached the terms of its lease after state regulators in Georgia and Alabama threatened to revoke the licenses of several centers because of substandard care.

The residences, five located in Georgia, four in South Carolina and one in each of Florida, Alabama and Pennsylvania were previously operated by ALC under master lease agreements with Ventas Realty and MLD Delaware Trust. The transaction was funded with borrowings available under ALC's $125 million revolving credit agreement.

"We are pleased to reach a mutually satisfactory arrangement with Ventas and to have acquired these 12 residences. While we have had some recent regulatory challenges at several of these properties, we are taking actions to address these challenges and to enhance their quality," commented ALC President and CEO Charles H. "Chip" Roadman II, M.D. "The addition of these 12 residences increases our percentage of owned properties to 82.0%."

"Ventas stands for excellence in seniors housing. This transaction allows ALC's new chief executive officer and its Board of Directors to focus their attention and resources on providing quality care for its residents," Ventas Chairman and Chief Executive Officer Debra A. Cafaro said in a statement.

For more news and information visit Blumberg Capital Partners.

Monday, June 25, 2012

Prudential Mortgage Closes $108M UK CRE Loan

Prudential Mortgage Capital Company, the commercial mortgage lending business of Prudential Financial, announced this week that it had closed a $108 million commercial real estate loan in the U.K., the first financing since launching its European business earlier this year. The 11-year financing loan is secured by a portfolio of five properties in London and Bath, and is sponsored by the O&H Group, a family-run business with real estate holdings and development projects throughout the U.K.

Prudential is targeting $500 million (GBP 325 million, EUR400 million) of long-term, fixed-rate senior debt transactions in Europe in 2012 according to a Commercial Observer article. "The diversification we can achieve by investing a portion of our portfolio outside of the U.S., whether it's Europe, Japan, or Mexico, is very valuable," said Thor Orndahl, a managing director who oversees Prudential Mortgage Capital Company's non-U.S. mortgage platform. "The current market dislocation has provided the opening we have been looking for, and our plan is to be active in Europe for many years to come."

Drew Abernethy, head of Pricoa's new European origination business, said, "Prudential is very pleased to have closed this first transaction so soon after introducing their its European program. It illustrates the strength of the Prudential platform globally, a commitment to Europe specifically, and an earnest belief that clients like O&H should have access to the type of long-term financing that they want."

For more news and information visit Blumberg Capital Partners.

Friday, June 22, 2012

Amazon's Denny Triangle Expansion Designs Revealed

Earlier this year Amazon.com tentatively bought three blocks in Seattle's Denny Triangle in one of Seattle's biggest real-estate deals in years, and this month they've released designs for the new expansion project. Seattle-based Amazon purchased the three blocks — bounded roughly by Westlake Avenue, Sixth Avenue and Blanchard Street — from their longtime owner, Seattle's Clise family. Amazon is now seeking approval for its plan to erect three 38-story towers in a 3.3 million square foot project that would bring its workforce together in Seattle.

According to a Puget Sound Business Journal article, the early design packet submitted by Seneca Real Estate Group Inc. and architecture firm NBBJ includes several potential amenities. One possibility is an "awareness garden" featuring storm-water management waterways flowing alongside the walkways. Another is a neighborhood walking/jogging trail leading to a public square resembling Westlake Plaza; the plaza would be located near the intersection of 7th Avenue and Lenora Street.

The Puget Sound Business Journal reported on the proposed designs:

The simplest master plan would put two office towers on each of the three blocks. Alleys would remain in place with office buildings on either side.

Each of the three other master plans would eliminate mid-block alleys, allowing a single T-shaped, L-shaped or Z-shaped building to be constructed on each site. The designs would allow for public open spaces on each of the blocks, with an auditorium located adjacent to Lenora Street between 6th and 7th avenues.

The other alternatives propose different alignments for the buildings. In the second alternative, known as the City Street Scheme, the office buildings would be aligned perpendicular to the numbered avenues. In a third alternative known as the Westlake Scheme, two of the buildings would be oriented toward Westlake Avenue while the third building would be turned 45 degrees so that its length would run along a true east/west axis.

The fourth alternative, called Preferred Scheme, would have the two towers between 6th and 7th avenues sitting perpendicular to 7th Avenue with the third tower between 7th and 8th avenues running perpendicular to 7th Avenue.

For more news and information visit Blumberg Capital Partners.

Thursday, June 21, 2012

The Beatrice Sold for $280M

The co-developers of The Beatrice, JD Carlisle and DLJ Real Estate Capital Partners, announced that it had sold the property at 105 West 29th Street in New York for $280 million according to a CNBC report. Equity Residential purchased a 29 floor residential portion of the 54 story mixed-use tower, while the remainder, which includes the Eventi Hotel and parking garage, were not included in the sale. Terms of the deal were not disclosed.

"The Beatrice epitomizes the increasing strength of multifamily fundamentals, particularly in the New York City market," said Andrew Rifkin, Chairman and Managing Partner of DLJ RECP. "Together with JD Carlisle, we remain committed to the ongoing development of new, high value-added real estate opportunities, seeking ways to create even greater value for institutional investors."

"The sale of the Beatrice is testament to our development team's consistent ability to deliver premier properties of the highest caliber," said Jules Demchick, Chairman of JD Carlisle. "EQR recognizes the tremendous long-term value this proven property offers. New York City class-A multifamily is a highly sought after asset class delivering solid returns to institutional investors."

For more news and information visit Blumberg Capital Partners.

Wednesday, June 20, 2012

Arista Building $210M Data Center in Texas

The Pflugerville Community Development Corporation (PCDC) announced this week that Arista Data Centers would be building a $210 million data center campus in Pflugerville, located 16 miles northeast of Austin and just south of Round Rock in Texas. According to a KXAN report, Arista is working with the HP Critical Facilities Implementation service to have a single point of contact to design, construct and project manage the construction of the data center campus, with Dallas-based StructureTone committed to constructing the buildings.

"This project brings a large number of high-quality employment opportunities to our community, which is one of the most highly educated, trained and qualified in the state," said PCDC Executive Director Floyd Akers. "In this case, Pflugerville and Arista are a perfect match because we want to attract promising, progressive, green-minded companies and Arista needed to locate in an area that offered deregulated electricity in a pro-business community." The project is expected to bring at least 170 jobs to the community within 10 years—including 25 jobs within 4 years—each with at least $67,500 annual salary plus medical benefits.

For more news and information visit Blumberg Capital Partners.

Tuesday, June 19, 2012

Eurohypo Closes Sale of $760M Loan Portfolio

In a deal brokered by Jones Lang LaSalle's Capital Markets, Germany's Eurohypo AG, a subsidiary of Commerzbank AG, closed the sale of $760 million in loans to Wells Fargo Bank and Blackstone Group. According to a NASDAQ report, the 13 floating-rate, performing loans with a collective price in the mid-90's for properties located in top-tier U.S. markets, including San Francisco, Boston, Miami, Houston and Chicago.

"The U.S. market for loan sales has matured significantly over the past several years; the low discount to par we were able to achieve on this sale is proof of that," said Jones Lang LaSalle Managing Director and Global Loan Sales Leader Peter S. Nicoletti. "This portfolio was high-quality, seasoned paper that offered these investors an opportunity to acquire a significant performing loan portfolio."

For more news and information visit Blumberg Capital Partners.

Monday, June 18, 2012

Hammerson London Office Portfolio Sold for £518M

Hammerson PLC announced this week that it had sold the majority of its office portfolio totaling 884,000 square feet to Brookfield Office Properties for aggregate cash proceeds of £518 million, or $812 million. Brookfield Office Properties is funding the acquisitions through the assumption of $106 million of debt, additional property-level debt expected to be put in place prior to close and from available cash resources. Earlier this year Hammerson announced a revised strategy to become a specialist retail property company, and the intention to sell its London office assets.

The portfolio includes:

-125 Old Broad Street: 26 floors and 98% leased
- 99 Bishopsgate: 26 floors and 62% leased
- Leadenhall Court: 6 floors and 100% leased
- 1 Puddle Dock: 7 floors and 100% leased
- Principal Place, a development property planned for a 599,000-square-foot office tower

Brookfield will look at other buying opportunities “across all of the central London marketplaces,” Martin Jepson, senior vice president for development and investment, told Bloomberg. "This transaction is a unique opportunity for Brookfield Office Properties to acquire a portfolio of top-quality office assets and a well-located development site in the London market," said Dennis Friedrich, president and global chief investment officer of Brookfield Office Properties. "This acquisition aligns with our strategy of providing front-office accommodations to the world's most prestigious tenants by owning and operating premier properties that are well-located within the most dynamic global markets."

For more news or information visit Blumberg Capital Partners.

Friday, June 15, 2012

New US Property Fund Index from PREA and IPD

The Pension Real Estate Association (PREA) and Investment Property Databank (IPD) announced this month that they would co-sponsor a US Property Fund Index to measure real estate investment performance for open-end, commingled funds. According to an IPE article, the new benchmark will track the performance of open-ended US real estate funds against the underlying direct property market, highlighting any value added by active management. The PREA/IPD US Property Fund Index will become a component of the IPD Global Property Fund Index, enabling IPD clients and PREA members to evaluate their performance in a global context. The tentative target date for having the PREA/IPD US Property Fund Index up and running is mid-August, 2012.

Ted Eliopoulos, Senior Investment Officer for the California Public Employees' Retirement System (CalPERS) and Chairman of the PREA Board of Directors said that "PREA is looking forward to our co-sponsorship with IPD on the PREA/IPD US Property Fund Index. Not only will the US Property Fund Index increase transparency for the asset class in general, but our new relationship will provide significant benefits for PREA members."

For more news and information visit Blumberg Capital Partners.

Thursday, June 14, 2012

Wrigley Building Gets Landmark Status, Renovations Planned

The Commission on Chicago Landmarks and City of Chicago City Council have granted landmark status to the historic Wrigley Building, a two tower property at 400 and 410 North Michigan. Owned by a consortium of investors led by BDT Capital Partners that includes Zeller Realty Group, The Wrigley Building was built in 1920 on land that was selected by chewing gum magnate William Wrigley Jr. to headquarter his gum company. The Wrigley Company is set to move into a newer building on Goose Island, leaving one of Chicago’s most recognized buildings with more than 250,000 square feet up for lease, according to an NBC Chicago report.

"I commend the city's Landmarks Commission for declaring The Wrigley Building a historic landmark," said Mayor Emanuel. "Respecting and preserving our city's unique architectural history is important and can be done in concert with the city's economic development and job creation goals. This creates a positive situation for all involved and allows Chicago to move forward while honoring its past."

"We are pleased that The Wrigley Building's historical legacy will be protected, and we are committed to its preservation as we now embark upon our extensive redevelopment plans," said E. Robbie Robinson, Principal, BDT Capital Partners. "We, along with our partners, will ensure that The Wrigley Building is revitalized and remains a dynamic part of the economic growth of Chicago."

Extensive renovations, including the creation of a new gateway plaza, are in the final stages of approval by city, state and federal historic preservation agencies. Retail development plans to expand upscale retail space at the first, second and lower levels of both towers include adding a new fine dining restaurant to replace the vacant 410 Club along with high-end apparel, food and entertainment retailers.

"The scope and design of The Wrigley Building redevelopment is being finalized and we expect construction to begin in late June with the majority of improvements to be completed by the summer of 2014," said Ari Glass, senior vice president with Zeller Realty Group. "We are excited to begin welcoming tenants as early as this fall to renovated space in this internationally renowned destination."

For more news and information visit Blumberg Capital Partners.

Wednesday, June 13, 2012

New Plans Revealed for Downtown Crossing Development in Boston

Millennium Tower/Burnham BuildingMillennium Partners unveiled new developments plants this week to build a 600 foot tower, filled with apartments and condominiums, while revitalizing the Burnham Building that once held Filene's, according to a CBS Boston report. Handel Architects designed the new plan for the property, renovating the original 1912 building, conceived by architect Daniel Burnham, and setting it against a new 55 story glass tower.

In February, New York-based Millennium reached a deal to buy into the project — the terms call for Vornado Realty Trust to remain an investor, while other investors would sell their stakes — and come up with a new development plan according to a WSJ article. "The project intends to present the simultaneous and harmonious pairing of new and old, and will consist of uses that will ensure a vital, 24/7 city-sector," Millennium said in a prepared statement.

In a statement Monday, Mayor Thomas Menino of Boston offered support for the new design. "Millennium Partners has always been a real partner of the City of Boston," he said. "They continue to do excellent work leading the way in the building of an exciting new day for the area of Downtown Crossing."

The 1.3 million square foot, $615 million development will be called Millennium Tower/Burnham Building and include 200,000 square feet of office space, 230,000 square feet of retail, 500 condo and rental units plus an underground parking garage. Millennium has held a number of pre-permitting meetings with the Boston Redevelopment Authority to review the proposal, and has already begun the required environmental impact studies for the project under Article 80, expecting to have the results of the studies ready for public review and comment within 60 days, the company said. Millennium says it hopes to start construction by the end of the year, pending approvals.

For more news and information visit Blumberg Capital Partners.

Tuesday, June 12, 2012

Walgreens Portfolio Sold for $68.7M

The Boulder Group, a net leased investment brokerage firm, announced this week that it had completed the sale of a Walgreens portfolio consisting of nine properties located on the east coast for $68.7 million. The properties are located in Connecticut, Massachusetts, New Hampshire and New Jersey. An unnamed Midwest based institutional investment firm purchased the portfolio from a private investment company, represented by The Boulder Group.

The portfolio included the following Walgreens properties:
980 Farmington Avenue in Berlin, CT
1036 West Main Street in Branford, CT
880 North Montello Street in Brockton, MA
1 Glenwood Avenue in Dover, NH
17 Crystal Avenue in Derry, NH
897 Main Street in Melrose, MA
20 West Kings Highway in Mount Ephraim, NJ
1131 US Highway 46 in Ledgewood, NJ
500 Egg Harbor Road in Sewell, NJ

"This portfolio represented a rare opportunity for an investor to acquire a large portfolio of long term triple net leased Walgreens properties and we were able to achieve a sale price within one percent of the asking price," said Randy Blankstein, President of The Boulder Group. Jimmy Goodman, Partner of The Boulder Group, added, "Walgreens properties with over 20 years of lease term are one of the most sought after assets in the single tenant net lease market, and we had strong demand for this portfolio."

For more news and information visit Blumberg Capital Partners.

Monday, June 11, 2012

100 Franklin Square Drive Sold to Pacific Controls

In a deal represented by Jones Lang LaSalle, Pacific Controls Inc., one of the leading information and communication technology (ICT) enabled machine-to-machine (M2M) automation and control solutions providers globally, acquired 100 Franklin Square Drive in Somerset, NJ this month. The terms of the deal were not disclosed, but Pacific Controls has said that it will occupy the currently vacant space on the top two floors of the property. The company did not indicate whether it would also remain at its currently location at 230 Davidson Avenue.

100 Franklin Square Drive is close to many area amenities including shopping and restaurants, with access via Interstate 287 Exit 10 and close to Routes 22, 28, 202 and 206. The building was reportedly 33% leased at the time of sale. The building features a marble lobby, tenant controlled HVAC and food services on site.

For more news and information visit Blumberg Capital Partners.

Friday, June 8, 2012

Walker & Dunlop Buying CWCapital for $220M

Walker & Dunlop, Inc. announced this month that it had entered into a definitive agreement to acquire its rival lender, CWCapital LLC, for $220 million. According to the company, $80 million of the purchase will be provided in cash and approximately $140 million in Walker & Dunlop stock, subject to potential adjustment based on changes in the company's stock price, and pending the expected closing within then next 3-4 months.

"We are thrilled to announce this acquisition. CWCapital is an exceptional company with an outstanding team and a corporate culture very similar to Walker & Dunlop's," commented Willy Walker, Chairman, President and CEO of Walker & Dunlop. "The combined company will be one of the largest commercial real estate lenders in the United States," Walker continued. "CW's people, credit discipline, and client focus are highly regarded throughout the industry. It's a wonderful accomplishment to bring these two fantastic companies together and create a true industry force."

CWCapital, is a subsidiary of CW Financial Services LLC, which is owned by Fortress Investment Group LLC. Founded in 1972 and with 180 currently employees, CWCapital lends money to multifamily, healthcare and commercial real estate industries and has in-house origination capabilities for Fannie Mae, Freddie Mac and life insurance companies.

For more news and information visit Blumberg Capital Partners.

Thursday, June 7, 2012

Lloyds Sells Australian Property Loans to Blackstone, Morgan Stanley JV

In a statement on Wednesday, Lloyds Banking Group announced that it was selling a portfolio of Australian corporate real estate loans to AET SPV Management, a joint venture sponsored by Morgan Stanley Real Estate Investing and Blackstone, for £388 million (or $252.4 million) in cash. The distressed property loans are reportedly valued at £809 million ($526.3 million). A Zacks Investment Research summary of the deal reports that the portfolio comprises nearly 60-70 commercial property loans in Queensland, Melbourne and Canberra.

The proceeds from the portfolio, which recorded losses of £183 million in 2011, will be used to pay down Lloyd's debt. The loans were acquired by Lloyds when it purchased HBOS in 2008, including the Bank of Scotland and its international unit, BOS International.

Dave Smith, Chief Executive of Lloyds International, said in a statement: "This transaction further de-risks the Australian business, and results in a cumulative 92% reduction of our real estate non-performing loan portfolio." British taxpayers hold a 40% stake in Lloyds.

According to a Bloomberg article, European banks are trying to sell real estate assets as they seek to meet stricter capital rules. Lloyds, which has cut more than 30,000 jobs since its 20 billion-pound taxpayer rescue in 2008, last month raised its asset-reduction plan for the year by 5 billion pounds to at least 30 billion pounds and expects to meet its 2014 target a year early.

With the acquisition, Blackstone will add to its already sizable real estate portfolio, which includes Hilton Worldwide, reported the New York Times. Last year, the firm acquired roughly 600 malls across the United States for $9.4 billion from the heavily indebted Australian company Centro Properties.

For more news and information visit Blumberg Capital Partners.

Wednesday, June 6, 2012

Walton Street Sells Met Park in Seattle for $210M

Brookfield Office Properties announced this week that it had acquired Metropolitan Park East & West in the Seattle central business district for $210 million. The two office towers, locally known as the "Twin Toaster" buildings, were sold by Walton Street Capital, which paid $183 million for them in 2005 when they purchased the towers from Benaroya Co., according to a Seattle Times article. Brookfield bought the 700,000-square-foot Class A office campus using available cash resources and an acquisition financing facility totaling $126 million.

"The Seattle market has demonstrated strong fundamentals with positive absorption over the past 18 months. The region is a leading tech and science center with a highly skilled work force. Metropolitan Park fits our strategy of owning premier assets in the best-located areas of the top urban markets and presents an opportunity to add diversification to our tenant base within the high-growth technology and social media sectors," said Dennis Friedrich, president and global chief investment officer of Brookfield Office Properties.

Metropolitan Park's two towers, located at 1730 Minor Avenue and 1100 Olive Way, are 20 and 18 stories respectively, were 85% leased at the time of sale with major tenants including Swedish Health Services and the Virginia Mason Medical Center. Jason Flynn with Eastdil Secured represented the seller in the transaction while Brookfield was represented in-house reported CoStar.

For more news and information visit Blumberg Capital Partners.

Tuesday, June 5, 2012

Miami's Adler & Kawa Pick Up Houston Portfolio

A joint venture between Adler Real Estate Fund and Kawa Capital Management has acquired a 16 building portfolio covering 467,000 square feet of space in Houston, TX . The Miami companies purchased the properties from a joint venture between Insite Commercial Real Estate and CarVal. HFF represented the seller in the transaction according to a Houston Business Journal article.

The portfolio includes:

Plaza Southwest: 7302, 7350 Harwin Drive, 5601, 5750 Bintliff Drive, 5755 Bonhomme Road
Crescent Ten: 1304 Langham Creek Drive
Commerce Park North: 15621/15631 Blue Ash Drive
Technipark Ten: 16115/16155 Park Row
Westchase Park: 3120/3130 Rogerdale Road

Terms of the deal were not disclosed, but the properties were reportedly 96% leased at the time of sale with major tenants including Exxon Mobil, Samsung, Ryder, Schlumberger and Alford Services.

"Adler Fund's newly-acquired portfolio in Houston is a unique investment opportunity in one of the fastest growing markets in the country, offering a combination of prime locations, quality tenants and high occupancy rates," Matthew L. Adler, Adler Group's President, said of the purchase. "We will continue to identify viable investment targets in and around the Houston area as we set our sights on growing U.S. markets."

For more news and information visit Blumberg Capital Partners.

Monday, June 4, 2012

130 Prince Street Sold for $140.5M to Invesco

Waterman Interests, a privately-held CRE company, completed the sale of 130 Prince Street in Manhattan for $140.5 million to Invesco this month. Waterman purchased the building in 2007 along with institutional investors advised by J. P. Morgan Asset Management for $112 million according to CoStar data. Fried Frank represented the Waterman Interests partnership on the sale, as did Eastdil Secured.

"Since purchasing the asset in 2007, obviously the capital and commercial real estate markets have been through unprecedented volatility," said Philip Waterman III "Tod" Founder and Managing Member of Waterman Interests, LLC. "To have been able to deliver exceptional returns for our investors in this transaction occurred only as a result of our team's execution at the asset level, and I congratulate each of them for their tenacious effort through some challenging times."

Hilary Spann, Executive Director at J.P. Morgan Asset Management, said of the deal, "We have enjoyed an extremely collaborative and productive business relationship with Tod. He and his team have performed exceptionally well at 130 Prince Street."

130 Prince Street, totaling roughly 88,000 square feet of office and retail space, was 96% leased at the time of sale with major tenants including MAC Cosmetics, Cole Haan, Lacoste, True Religion Jeans, and Monika Chiang.

For more news and information visit Blumberg Capital Partners.

Friday, June 1, 2012

Steadfast Income REIT Acquires Sonoma Grande for $32M

Steadfast Income REIT, Inc. announced that it had acquired Sonoma Grande in Tulsa, OK for $32.2 million. Flournoy Development, the Columbus, GA-based company that constructed the complex in 2009, sold the property to Steadfast in a deal brokered by CB Richard Ellis/Oklahoma. The garden-style property was reportedly 91% occupied at the time of sale with a mix of one-, two- and three-bedroom apartments that average approximately 1,130 square feet and have in-place monthly rents that average $938.

"Class A properties typically don't sell very often here because there's not many of them," said David Forrest, a broker with CB Richard Ellis/Oklahoma. Not only is Sonoma Grande in excellent shape - it has an average occupancy well above 90 percent - but also national investors are, in general, only buying Class A properties or distressed properties that need to be fixed up, Forrest said in a Tulsa World article.

For more news and information visit Blumberg Capital Partners.