54 posts tagged “property”
Nationwide Health Properties, a REIT specializing in medical office properties and senior living centers based in Newport Beach, CA, announced it struck a deal with Pacific Medical Buildings LLC for between $275 million and $300 million in property. The arrangement would include seven medical office buildings totaling 800,000 square feet. According to GlobeSt.com, "the healthcare properties REIT described its agreement with PMB as a multi-faceted transaction involving, among other things, the acquisition of all or a majority interest in up to seven of the PMB buildings." According to NHP, officials expected the properties would generate an annual net operating income of between $21 million to $23 million however these estimates are likely to change as a final agreement is reached. Under the deal outlined, NHP would assume the existing mortgage debt of up to $170 million with a weighted average interest rate under 6%.
According to the Dow Jones Newswire, Nationwide Health Properties and Pacific Medical Buildings had been working to reach an agreement prior to the credit market freeze.
For more news and information visit Blumberg Capital Partners.
Cupertino Square, formerly Valco Fashion Park, has been sold for $60 million to Vallco Shopping Mall LLC, led by Tram Be out of Vietnam according to Báo Đất Việt. As of last September, Gramercy Capital held a $113 million construction loan on the property; the owners later filed bankruptcy in San Jose federal court. The value of the original loan was $195 million.
Located in one of Silicon Valley’s most prosperous communities, Cupertino Square boasts more than 1.2 million square feet of retail space situated on slightly more than 50 acres. That includes four anchor tenants plus more than 500,000 square feet of in-line shop space and a food court. Pursuant to the plan, a newly-formed entity would acquire the shopping center for $105 million (plus additional consideration), the purchase price of which would likely be financed by the pre-petition lenders and other investors. The $60 million investment by Tram Be is believed to allow him to be the majority stake holder of the shopping mall according to the article.
For more news and information visit Blumberg Capital Partners.
Struever Bros., Eccles & Rouse is looking to unload its space at Tide Point, a former Procter & Gamble soap factory in Baltimore turned 400,000 square-foot office campus. Struever Bros. originally bought the entire 5 building project in 1998 for $6 million and converted the 15-acre property into a high-end business park, but is now seeking to sell Tide Point to raise money and pay contractors according to the Baltimore Business Journal. The company has already vacated roughly 7,300 square feet in the Joy building and is hoping to sell another 22,000 square feet this month.
Colliers Pinkard has been retained to market the property and is reportedly offering up the space for lease at a term of three to five years. While the pricepoint has been listed as negotiable, comparable space in Tide Point's adjacent Cascade building is currently available at $20.50 per square foot.
For more news and information visit Blumberg Capital Partners.
The Rilea Group, led by Alan Ojeda, has secured one of the largest Miami office space deals of the year in a new lease with Bilzin Sumberg Baena Price & Axelrod, a Miami-based law firm. The new property at 1450 Brickell is a 576,379-square-foot Class A office building scheduled for completion by first quarter of next year; Bilzin Sumberg is taking 80,000 square feet of space marketed at the full-service, gross rate of between $40 and $50 a square foot according to the South Florida Business Journal.
The law firm will be relocating from Wachovia Financial Center toward the end of 2010 with its lease at 1450 Brickell beginning January 2011. 1450 Brickell is precertified gold according to the U.S. Green Building Council’s Leadership in Energy and Environmental Design standards, and has floor plates ranging from 24,000 square feet to 25,600 square feet. Bilzin Sumberg will be on the 21st through 24th floors.
For more news and information visit Blumberg Capital Partners.
Black and Veatch Corp., an engineering and construction firm, closed on a deal with Sam Zell's private investment firm to buy its worldwide headquarters building in Overland Park, Kansas for $60 million according to a Wall Street Journal article. Mr. Zell originally offered to sell the property to Black and Veatch, who has occupied the property since 1976 with a current lease set to expire in 2012, for $100 million two years ago, but market conditions and competing offers for Black and Veatch business drove the price down. "We made it clear that we were willing to move, and the purchase price came down a long way," said Timothy Monahan, a Philadelphia-based Studley Inc. broker who helped represent Black & Veatch.
Mr. Zell agreed to sell the building through his private holding company, Equity Group Investments, for roughly $100 per square foot, relieving the prospect of a costly property renovation and re-lease had Black and Veatch vacated. The 600,000 square foot building is the largest office building in Kansas according to Black and Veatch and will soon share the neighborhood with Sprint as it enters into a sublease agreement on a property directly across the street. Greg Rose, senior vice president for real estate at Equity Group Investments, said the deal was fair to both parties. "I would not characterize it as being a big discount," he said. "An argument could be made that they paid a premium to remain in their current location."
For more news and information, visit Blumberg Capital Partners.
One Bell Valley Commons, the first building to rise in the 40-acre Bell Valley Commons subdivision, was delivered this month in Cherry Valley, Illinois. Ragnar Benson designed and built the three-story Class A office building which includes the office build-out for accounting firm McGladrey.
The construction of One Bell Valley Commons was completed for C-Bro Ltd. Development Group, a design/build project originally awarded in November 2007 with ground breaking in July 2008 and occupancy initially scheduled for June 2009. Features include a two-story entrance lobby and a second floor glass rail overview. Energy efficiency was carefully considered and achieved with wall and roof insulation values per the Illinois Energy Code, a white reflective roof membrane, low-E tinted glass, and high efficient roof-top heating and cooling units.
For more news and information visit Blumberg Capital Partners.
Fish & Richardson, a leading global law firm, has signed a lease at One Marina Park Drive in Boston as the first tenant to occupy a new 500,000-square-foot building built by The Fallon Co. on Fan Pier. Fish & Richardson had previously signed a non-binding lease to move their headquarters to the property but the deal fell through when the developer, Gale International, failed to secure financing to redevelop the former Filene's building according to the Boston Business Journal.
"This is great news for Boston," said Mayor Thomas M. Menino. "This lease signing illustrates the private sector's confidence in Fan Pier and Boston." The 124,000-square-foot lease on the South Boston waterfront will serve a Fish's Boston headquarters, moving from its current location in the Financial District beginning in the 3rd quarter 2010. Fan Pier is being developed by the Fallon Co. and Cornerstone Real Estate Advisers LLC, with Massachusetts Mutual Life Insurance Co. as a financial partner. CB Richard Ellis/New England represented Fallon in the lease negotiations.
For more news and information visit Blumberg Capital Partners.
Eola Capital, an Orlando, Florida-based real estate investment company, has acquired the general partnership interests of over 7.6 million square feet of commercial office space in a portfolio of properties valued at $1.1 billion from America's Capital Partners. The acquisition nearly doubles Eola's company in size and extends their presence to include Philadelphia and the DC metro area reports the Orlando Business Journal.
"In what are clearly challenging times for our industry, this transaction stands out as an example of just one of the opportunities that exists to create value for our partners, tenants and employees," said Jim Heistand, founder and Chairman of Eola Capital. Rudy Touzet, the co-founder of America's Capital Partners, will acquire an interest in Eola Capital and join the firm as Chief Executive Officer.
For more news and information, visit Blumberg Capital Partners.
SL Green Realty Corp. (SL Green) has secured a $145 leasehold mortgage for the refinancing of 420 Lexington Avenue in NYC provided by TIAA-CREF. Cushman & Wakefield Sonnenblick Goldman served as the advisors to SL Green; Morton Holliday, managing director at Cushman, noted that the financing arrived "during one of the most turbulent times in the credit market history and in a severe economic downturn".
The property, known as the Graybar Building, was named after one of its original tenants Graybar Electric, and is a 31-story, 1.5-million square foot office and retail building towering above Grand Central Terminal. The building is currently 97% leased with major tenants including Bank Leumi USA, Metro-North Commuter Railroad Co., New Plan Excel Realty and New York Life Insurance. SL Green acquired the property in 1998 and has completed an $84 million capital improvement program that included a lobby upgrade, façade repair, new storefronts and significant leasing related tenant improvements.
For more news and information visit Blumberg Capital Partners.
The Wall Street Journal published an article this week commenting on the current condition of office properties in Manhattan facing soaring vacancies and rents on the decline. Reis. Inc., a market research firm, suggests that the vacancy rates will continue to rise as firms are dissolved or downsized, moving from 11.5% by the end of this year and 12.3% next year, a decided contrast to the single-digit vacancies not seen in the market since 2007.
"The biggest source of uncertainty is when the World Trade Center will be built," said Victor Calanog, director of research at Reis. "I'm not sure the New York economy will have recovered to a significant degree even by that time to absorb that much space downtown," Calanog said. Development delays at Ground Zero are said to be hurting transportation and those living and working in the area. Currently only one office building in the development, the Freedom Tower, is fully financed, though not scheduled for delivery til 2013 or 2014, leaving the area still unsure of where the 11 million square feet of office space lost on 9/11 will be replaced longterm.
For more news and information, visit Blumberg Capital Partners.
