Sunday, December 4, 2016

Real Estate and Financial Markets Face Changing Order With Trump


Jeanne Peck

Chicago, IL -- Last month's surprising election
results and the Cubs World Series win are reminders of a changing order.

The markets quickly reacted by expecting the Trump administration to boost
the economy with domestic job growth and less regulatory constraints.
Investors anticipate an interest rate hike this month barring any
unpredictable global incidents that stymied such actions hikes in the recent
past.

As for last month, treasury rates skyrocketed by more than 50 basis points.
After all the changes in treasuries and mortgage spreads, today's rates are  about that same as a year ago.  Other comments relating to realty capital
markets as the year-end approaches include: 

President-Elect Donald J. Trump
Steady spreads: Treasury rates rise, but lenders still find value in current
mortgage pricing relative to corporate bonds and other debt options. 

 Simple
rule... Lenders with full deal pipelines are holding spreads, while those
with lagging production may drop spreads by 10 to 20 basis points in an
effort to increase loan volume. 

Underwriting Discipline: Debt funding sources maintain more restrictive
underwriting including debt service coverage, loan-to-value restrictions,
cash out and other items in an effort to comply with regulatory changes
(e.g. Dodd Frank). 

Should the new administration liberalize financial
institution legislation, expect slightly more aggressive underwriting.
However, equity markets are still clamoring for quality product with
investors more than willing to supplement lower leverage debt with equity
funds.  

 Cooling off: This year record volume of investment sales and financings
tapering off to more "normal" levels as new-construction volume subsides.
Depending upon how treasury rates move, the market will readjust
capitalization rates accordingly, although not proportionally since an
insatiable appetite for quality product outpaces debt costs.

Battle of the "Urbans":  Urban vs. suburban CRE investment trends favor
return to select suburbs, particularly infill communities with strong public
transportation linkages and walkability scores.  Capital sources warming up
to better profitability in such areas that have been neglected during the
current economic cycle.

The Real Estate Capital Institute(r)'s director, Jeanne Peck, notes,
"Overheated markets are returning to more stabilized levels; but keep in
mind, even with the recent upsurge in interest rates, debt costs continue to
hover near historic lows."

For a complete copy of the company’s news release, please contact:

 Jeanne Peck, Executive Director
director@reci.com

Wyndham Hotel Group Acquires Fen Hotels in Latin America


Paulo Pena
BUENOS AIRES, Argentina  -- Wyndham Hotel Group today announced its acquisition of Latin America's leading Fën Hotels, adding 26 management contracts across Argentina, Peru, Costa Rica, Uruguay, Paraguay, Bolivia,  and the U.S. including two new Fën-built Wyndham Grand hotels opening in Montevideo, Uruguay, and Asunción, Paraguay.

With the addition of Fën Hotels’ signature Esplendor Boutique Hotels and Dazzler Hotels, Wyndham Hotel Group’s portfolio of distinct brands grows to 18, all of which will be bookable through the company’s award-winning loyalty program, Wyndham Rewards, by the end of 2017.

Fën Hotels’ 100+ executives and management staff in Buenos Aires will continue leading Fën hotels and augment Wyndham Hotel Group’s Latin America team as Fën's current headquarters becomes Wyndham Hotel Group's new Latin America HQ for management operations. Current Fën CEO, Patricio Fuks, will remain as chairman of Fën, helping lead Fën's explosive growth across the region. 


Patricio Fuks



“Over the last 14 years, Fën Hotels’ dedicated and trailblazing leadership-team has introduced a diversified and iconic portfolio with celebrated brands embraced by guests across Latin America,” said Paulo Pena, president and managing director for Wyndham Hotel Group in Latin America and the Caribbean. 

“From design-led boutique hotels to an exceptional focus on service and comfort, Fën Hotels delight guests visit after visit making for a great addition to our portfolio as we continue delivering elevated experiences for our guests.”

Latin America continues showing signs of economic growth – manifested in new infrastructure projects, foreign investment, record international visitors and a growing middle class population – driving the need for quality hotel supply across the region. 

Fën Hotels is uniquely poised to leverage the region’s appetite for quality accommodations with 22 existing hotels in 6 countries and a strong pipeline throughout Latin America. Together with Wyndham’s existing hotels in the region, the combined portfolio of 188 hotels in 19 countries joins Wyndham’s nearly 8,000 hotels across the globe, providing business and leisure travelers a multitude of branded hotel choices.

Ivan Kozicki
 “Wyndham Hotel Group’s strength and significant scale as the company with more hotels globally than any other hotel company -- dramatically increases our distribution, immediately enabling us to grow faster not only in Argentina, but also throughout the region ensuring more guests experience what Fën Hotels have to offer,” said Patricio Fuks, Fën Hotels CEO and co-founder. 

“As we integrate the companies over the next 18 months, becoming part of the Wyndham family of brands will enable our guests to have access to some of the most aspirational vacation experiences on earth thanks to Wyndham Rewards, Wyndham’s unparalleled loyalty program, which makes redeeming free nights in hotels, condos and homes simple and attainable.”

Additionally, Fën Hotels’ partner, Emprenurban, led by CEO Ivan Kozicki, will become a Wyndham strategic partner across Latin America, launching the first two Wyndham Grand Hotels in Latin America later this year and next.  “Coupling our proven development model and capabilities across Latin America with Wyndham’s global brands and resources will ensure an accelerated and robust joint growth pipeline for Fën and Wyndham,” said Kozicki, Emprenurban CEO and Fën Hotels co-founder.

For a complete copy of the company’s news release, please contact:

Maire Griffin
Wyndham Hotel Group
22 Sylvan Way
Parsippany, NJ  07054
(973) 753-6590



Marcus & Millichap Arranges $4 Million Sale of 56-Unit Seminole Village in Pinellas County, FL


Josh Teplitzky
SEMINOLE, FL -– Marcus & Millichap (NYSE: MMI), a leading commercial real estate investment services firm with offices throughout the United States and Canada, announced the sale of Seminole Village, a 56-unit apartment property located in Seminole, Florida, according to Ari Ravi, regional manager of the firm’s Tampa office. The asset sold for $4,070,000.

            “Seminole Village was part of a two-property portfolio in which the buyer assumed the current loan on the 56 units located in mid-Pinellas County,” says Josh Teplitzky, associate in the Marcus & Millichap’s Tampa office.

“Both the buyer and the seller were based out of California, and the property appealed to the buyer due to the all two-bedroom composition as well as it being a 1980’s vintage asset. The buyer plans to raise the rents approximately $200 per floor plan due to the limited competition in Seminole.”

Teplitzky, along with Francesco P. Carriera and Michael P. Regan, both first vice president investments also in the firm’s Tampa office, had the exclusive listing to market the property the seller’s behalf and procured the buyer.

Seminole Village is a 56-unit multifamily community located at 7770 Starkey Road in Seminole, Florida. The property was constructed in 1984 and has four, two-story buildings on an approximately 3.48 acre parcel of land. The property consists entirely of two-bedroom/one-bathroom units with 950 to 1,120 rentable square feet. Amenities include ample on-site parking, on-site laundry facilities and central air-conditioning. 

For a complete copy of the company’s news release, please contact:

Ari Ravi
Regional Manager, Tampa
(813) 387-4700




R.J. Sommerdyke Joins Meridian Healthcare Acquisition Team


R.J.  Sommerdyke
IRVINE, CA – Meridian, a full-service real estate developer specializing in acquiring and developing real estate facilities for the healthcare sector, announced R.J. Sommerdyke has joined the company’s acquisition team in Southern California. 

Sommerdyke will play a key role in expanding Meridian’s platform of acquiring value-add healthcare properties throughout Southern California. 

“We are very excited to welcome R.J. to our team and expand our presence in Southern California,” said John Pollock, Chief Operating Officer of Meridian, “R.J.’s experience and extensive relationships throughout the region will be a major asset to our organization.” 

In his new position, Sommerdyke will be responsible for all aspects of acquiring value-add healthcare properties and client-driven development sites in Los Angeles, Orange and San Diego counties.

“We’re looking to aggressively expand our foothold in Southern California,” said Pollock. “We estimate the size of our target healthcare market in Southern California to be approximately three times larger than that of Northern California, which presents a tremendous opportunity to do deals.”


John Pollock
“Meridian is an industry leader in the healthcare sector and I’m extremely excited to be part of such a remarkable organization,” said Sommerdyke. “They have been highly successful in Northern California and I’m looking forward to helping build upon that success in Southern California.” 

Meridian’s entry into the Southern California market kicked off earlier this year with the $37.5 million purchase of Cotton Medical Center in Pasadena.

 “As evidenced by the acquisition of Cotton, Meridian possesses the expertise, capital and focus necessary to effectively execute in today’s competitive environment,” said Sommerdyke. “I’m very excited about our growth plans and what the future holds.”

Sommerdyke will be based out of Meridian’s Irvine office. He previously served as Director of Acquisitions for Project Dimensions, Inc., where he was responsible for the acquisition, development and dispositions of office, industrial and residential properties throughout the west coast. 

Prior to Project Dimensions, Sommerdyke spent five years as the Director of Acquisitions for Centra Realty Corporation, where he developed and acquired over one million square feet of commercial properties and became one of the largest private commercial developers in Orange County. Sommerdyke attended the University of Southern California, where he graduated from the Marshall School of Business with a master’s degree.

For a complete copy of the company’s news release, please contact:

Anne Monaghan
MONAGHAN COMMUNICATIONS, INC.
anne@MonaghanPR.com
830.997.0963


Cushman & Wakefield Negotiates Sale of Michigan Senior Housing Portfolio


Allen McMurtry
TAMPA, FL -- Cushman & Wakefield’s Tampa team, led by Executive Managing Director Allen McMurtry, and San Diego team, led by Executive Managing Director David Rothschild, represented an institutional seller in the disposition of a three-property, 371-unit independent living portfolio.

  The properties are located in suburban Detroit and include Pine Ridge of Garfield, Pine Ridge of Plumbrook and Pine Ridge Villas of Shelby.

For a complete copy of the company’s news release, please contact:

Allen McMurtry
Executive Managing Director
Cushman & Wakefield
+1 813 349 8349


David Rothschild
Executive Managing Director
Cushman & Wakefield
+1 858 625 5252

Saturday, December 3, 2016

Draper and Kramer Promotes Two within its Residential Management Division

                                                                                                          
Jay Howell
CHICAGO, IL – Full-service national real estate firm Draper and Kramer, Incorporated announces it has promoted Ian Novak, CPM, PCAM, to the position of vice president, director of condominium management services.

 Additionally, the firm has appointed Jay Howell, director of operations for Draper and Kramer, to also serve as operations manager for its condominium management services group.

“It’s a real testament to the depth and track record of Draper and Kramer’s residential management group that we had two ideal internal candidates to tap for these leadership roles,” said Julie Johnson, senior vice president and director of management services for Chicago-based Draper and Kramer.

“It’s a busy and exciting time for this division, especially with several recent additions to our management portfolio in the last few months. We’re proud to have such a great team in place as we build on our reputation as one of the top management firms in the country.”  

A nine-year veteran of the condominium property management industry, Novak brings substantial hands-on expertise to his new position, having managed and supervised an array of condominiums ranging from 25 to 450 units and totaling approximately 2,600 residences.

Ian Novak
Having joined Draper and Kramer in 2008 as a property manager and property supervisor, Novak most recently served as vice president in the residential management division.

 As director of condominium management services, Novak’s responsibilities will include developing new business, focusing on board relations and ensuring compliance with condo law and practices. Novak is a graduate of Webster University in St. Louis and is a member of the Institute of Real Estate Management.

“Ian brings a great combination of practical property experience and managerial acumen to this position, which will serve him well as he guides the team managing our portfolio of associations and properties,” said Johnson. “And thanks to his tenure with Draper and Kramer, he’ll be able to hit the ground running in this leadership role.”
               
As operations manager for condominium management services, Howell will support Novak and his team in the areas of operations and accounting. Howell will also continue to serve as director of operations for Draper and Kramer, a position he has held since 2014. A 12-year industry veteran, Howell joined Draper and Kramer in 2005 in the residential management division.

“We’re fortunate to have Jay available as such a knowledgeable resource for our team, particularly with the latest additions to our condominium management portfolio. Here in Chicago, we recently took over management of The Manhattan, a 104-unit condo association at 431 S. Dearborn St., and The Marquee Condo Association, a 208-unit association at 1464 S. Michigan Ave.,” said Johnson. “We’re continually seeking out new efficiencies in our processes, and Jay’s in-depth expertise in this industry will be extremely valuable.
  
For a complete copy of the company’s news release, please contact:

Sarah Lyons, slyons@taylorjohnson.com, (312) 267-4520
Kim Manning, kmanning@taylorjohnson.com, (312) 267-4527



RAF Pacifica Group’s First Creative Industrial Spec-Development Project in San Diego, CA Nearly 50 Percent Pre-Leased


 
Adam Robinson
SAN DIEGO, CA – Announcing that he has pre-leased approximately 50 percent of his first Creative Industrial™ spec development, el•e•vate, months before construction is finished, Adam Robinson, Founder & Principal of San Diego-based developer RAF Pacifica Group notes that the success of the product was expected.

“We made the decision to start construction on this 156,977 square-foot, two-building project on a purely speculative basis because we know there is enormous demand for new, high-quality industrial space.

“With that demand, and our unique Creative Industrial approach, we were able to garner strong interest from multiple tenants and successfully pre-leased nearly 50 percent of our first spec-Creative Industrial development months ahead of its construction completion date,” he noted.

“The timing is right for spec-industrial development in San Diego,” continues Robinson. “Our ability to heavily pre-lease this spec-project demonstrates that the demand for industrial space will support new development if you’re willing to invest in a high-end product.

“By building state-of-the-art industrial facilities that integrate a creative office, corporate headquarters aesthetic, we are delivering the highest quality, most functional product in the current market.”

Tucker Hohenstein


Tucker Hohenstein, Senior Vice President of Colliers International in Carlsbad, adds, “All signs indicate a need for spec-industrial space. The tightening in supply of industrial product, coupled with demand drivers such as the rise of e-commerce, makes spec-development a strong long-term investment opportunity for investors and developers.”

The development site is located at 2870 and 2864 Whiptail Loop in Carlsbad, California. Situated in the Carlsbad Oaks North business park, el•e•vate offers access to the I-5, I-15, and Highway 78 for transportation and distribution.

Mike Erwin, Conor Boyle and Tucker Hohenstein of Colliers International are handling the leasing on behalf of RAF Pacifica Group.

For a complete copy of the company’s news release, please contact:

 Katie Kea / Jenn Quader
Brower, Miller & Cole
(949) 955-7940



Marcus & Millichap Arranges $690,000 Sale of 21-Unit Multifamily Portfolio in Tampa Bay, FL


Ned Roberts
TAMPA, FL – Marcus & Millichap (NYSE: MMI), a leading commercial real estate investment services firm with offices throughout the United States and Canada, announced the sale of a 21-unit multifamily portfolio located in Tampa and St. Petersburg, Florida, according to Ari Ravi, regional manager of the firm’s Tampa office. The asset sold for $690,000.

            “The seller felt now was the time to realize profits on a portfolio assembled in the aftermath of the Great Recession,” says Ned Roberts, associate in Marcus & Millichap’s Tampa office. “We were pleased to identify a singular buyer capable of acquiring this non-contiguous portfolio of assets.”

Roberts, along with Michael Donaldson and Nicholas Meoli, both vice president investments in the firm’s Tampa office, had the exclusive listing to market the property on behalf of the seller. They also procured and represented the buyer.  

The portfolio consists of one duplex, one triplex and four quadplexes located across both Hillsborough and Pinellas counties. There are 21 units comprised of one, two and four-bedroom floor plans ranging in size from 575 to 1,020 rentable square feet. The portfolio has a history of high occupancy rates and was 100 percent occupied at the time of sale. 

For a complete copy of the company’s news release, please contact:

Ari Ravi
Regional Manager, Tampa
(813) 387-4700



Friday, December 2, 2016

Hold-Thyssen Negotiates Five Lease Agreements at Phillips Place in Southwest Orlando, FL


Darby Hold
ORLANDO, FL --- Hold-Thyssen, a real estate services firm headquartered in Winter Park, recently negotiated five lease agreements for professional office space totaling 4,263 rentable square feet at Phillips Place, 7575 Dr. Phillips Blvd., Orlando. 

Darby Hold, transaction specialist for Hold-Thyssen, Inc. negotiated all five transactions on behalf of the Cincinnati, Ohio-based landlord at Phillips Place, Financial Way Realty, Inc. 
                                                                  

Tom Rich
Schnabel Foundation Company signed a new lease for 1,200 rentable square feet.  The foundation, engineering and construction firm with nine offices nationwide is relocating its Orlando office to Phillips Place.  The tenant was represented by Tom Rich of CBRE.

Investment  advisors Longenecker Financial Strategies, Inc. renewed their lease of 1,116 square feet; Telecomp of Central Florida, Inc. extended their lease of 715 square feet to continue providing their power protection needs and other services for central Florida commercial and residential customers;

 Long-time travel and tour agency firm, Phoenicia Tours & Transfers, LLC renewed their lease of 712 square feet and business brokers Fitzgibbon Alexander, Inc. renewed their lease of 520 rentable square feet.  These four tenants were not represented in the transactions.

 For a complete copy of the company’s news release, please contact:


Larry Vershel or Beth Payan, Larry Vershel Communications Inc. 407-644-4142 Lvershelco@aol.com.


The Muller Company’s Westwood Medical Plaza in Los Angeles and Taj Mahal Medical Center in Orange County Win BOMA’s 2016 Outstanding Building of the Year (TOBY) Awards


Taj Mahal Medical Center, Laguna Hills, CA

IRVINE, CA -- The Muller Company, a full-service real estate company specializing in management, investment and development of commercial real estate in the western United States, announced that two Southern California medical office buildings owned and managed by The Muller Company have received the 2016 The Outstanding Building of the Year® (TOBY) Award by the Building Owners and Managers Association (BOMA) in each of their respective markets.

Suzi Mier
The award is considered the most prestigious and comprehensive program of its kind in the commercial real estate industry, recognizing quality in buildings and rewarding excellence in building design, operation and management.

The Taj Mahal Medical Center, located at 23521 Paseo de Valencia in Laguna Hills, Calif., received The Outstanding Building of the Year® (TOBY) Award by the Building Owners and Managers Association of Orange County in the category of Medical Office Buildings.

The Taj Mahal Medical Center is a three-story, 89,000-square-foot landmark mid-century modern building, which was transformed into a “Class A” state-of-the-art medical office building.

Situated on a raised podium across the street from Saddleback Memorial Hospital, the neoclassical contemporary architecture is reminiscent of similar landmark buildings like the Kennedy Center in Washington, D.C., the Lincoln Center in New York and the Dorothy Chandler Pavilion at the Los Angeles Music Center in Los Angeles.

The building is also walking distance to the Laguna Hills Mall, which is currently under renovation and has been renamed Five Lagunas, and Laguna Woods Village (formerly known as Leisure World). Suzi Mier, CPM is the property manager for the building and Mark Zuvich and Eric Tse of Zuvich Commercial Advisors, Inc. of Irvine, Calif., are the leasing agents.

Westwood Medical Plaza, 10921 Willshire  Boulevard,
 Los Angeles, CA

For more information about the Taj Mahal Medical Center, see www.tajmahalmedicalcenter.com.

Westwood Medical Plaza, located at 10921 Wilshire Boulevard in Los Angeles, received its third TOBY Award from the Building Owners and Managers Association of Los Angeles in the category of Medical Office Buildings this year.

 Located at the entrance to the University of California, Los Angeles (UCLA) campus and walking distance to restaurants, boutiques and movie theatres, Westwood Medical Plaza is a 12-story, 155,000-square-foot “Class A” medical office building.

The building offers spectacular views of Los Angeles and features an art deco-style, grand lobby entrance and structured parking with valet. Serving the Westwood community for nearly 53 years with over 1,200 daily visits and recently renovated in 2016, Westwood Medical Plaza is home to over 90 specialists in the field of fertility, dermatology, physical therapy and Lasik eye surgery.


For a complete copy of the company’s news release, please contact: