Saturday, June 28, 2008

Marcus & Millichap Arranges Sale of 165-Unit Apartment Community in Aurora, CO for $12.95M

AURORA, CO – Marcus & Millichap Real Estate Investment Services, the nation’s largest real estate investment services firm, has arranged the sale of Tollgate Apartments, a 165-unit multi-family community in Aurora.

The sales price of $12.95 million represented $78,485 per unit.

Dave Potarf (top right photo) and Dan Woodward, (top left photo) both vice president investments and senior directors of Marcus & Millichap’s National Multi Housing Group (NMHG) in Denver, and Jordan Robbins, an investment specialist also in the firm’s Denver office, represented the seller, Baron Properties, and the buyer, Holland Residential.

“Tollgate Apartments was an excellent opportunity for the investor to acquire a well-maintained multi-family community in a strong location, just five minutes from the Fitzsimons Redevelopment, the largest job center in the state,” says Potarf.

Located at 100 Idalia Court, the 149,740-square foot apartment community, built in 1985, consists of nine three-story garden-style buildings.

Press Contact: Stacey Corso, Communications Dept.,

Tri-City Electrical Contractors Under Way on Integra Woods at Palm Coast Apartments in Palm Coast, FL

PALM COAST, FL – The Multi-Family and Residential division of Tri-City Electrical Contractors, Inc. is under way on $1.5 million of work at the new 310-unit Integra Woods at Palm Coast Apartments (top right rendering) in Palm Coast, Flagler County, FL, under its contract with LandSouth Construction, Jacksonville, FL. Completion is slated for July 2009.

Florida’s leader in electrical contracting, communications and service, Tri-City reported 2007 revenues totaling $160 million. With nearly 1,200 employees statewide, the Orlando-based electrical contractor and service provider also operates divisional offices in Fort Myers, Ocala/Gainesville and Tampa, as well as satellite offices in Santa Rosa Beach and Sarasota.


Kenneth H. Cristol, President, Cristol Marketing Company, 237 Hunt Club Blvd., Suite 102, Longwood, FL 32779 USA. PH 407-774-2515. FX 407-774-6647. Strategic Marketing, Brand Management, Publicity and Advertising, and Corporate Communications

Grubb & Ellis Healthcare REIT Acquires SouthCrest Medical Plaza in Stockbridge, GA

SANTA ANA, CA /PRNewswire/ -- Grubb & Ellis Healthcare REIT, Inc. has acquired SouthCrest Medical Plaza, (two photos at left) a two- building medical office property located in the Atlanta suburb of Stockbridge, Ga.

Located at 1035 and 1045 Southcrest Drive, SouthCrest Medical Plaza consists of approximately 81,000 square feet of gross leaseable area situated on approximately 9.7 acres of land.

The property joins four other medical buildings in the Atlanta area owned by Grubb & Ellis Healthcare REIT: Northmeadow Medical Center, Gwinnett Professional Center, Yorktown Medical Center and Shakerag Medical Center.

"SouthCrest Medical Plaza is a fantastic asset located near two major hospitals, Southern Regional Medical Center and Henry Medical Center," said Danny Prosky, Executive Vice President of Acquisitions for Grubb & Ellis Healthcare REIT. "For any medical office building, close proximity to a major hospital is an attractive quality that figures heavily into our acquisition process."

Southern Regional Medical Center is a 376-bed, not-for-profit hospital that offers a comprehensive list of services, including pathology, pediatrics, oncology and rehabilitation. Henry Medical Center is a 215-bed hospital that served more than 52,000 emergency room admissions and 30,000 outpatient visits in 2006.
The full service, not-for-profit hospital offers various medical services, including cardiology, orthopedic and nuclear medicine scans, as well as educational programs.

SouthCrest Medical Plaza offers 393 parking spaces for visitors and tenants and offers easy access to Interstates 75 and 675, as well as various retail outlets, such as Kohl's and Lowe's.

SouthCrest Medical Plaza was acquired from an unaffiliated third party and was facilitated by Douglas Connell (top right photo) of Grubb & Ellis. Financing for this acquisition was primarily provided by Wachovia Financial Services, Inc., and funds raised through the Grubb & Ellis Healthcare REIT offering.
As of June 13, 2008, Grubb & Ellis Healthcare REIT has sold approximately 36 million shares of its common stock, excluding the shares issued under its distribution reinvestment plan, for approximately $360 million through its initial public offering, which began in the third quarter of 2006.

Grubb & Ellis Healthcare REIT offers a monthly distribution of 7.25 percent per annum and, as of June 24, 2008, has made 31 geographically diverse acquisitions valued at approximately $595 million, based on purchase price.


Julia McCartney of Grubb & Ellis Healthcare REIT, +1-714-667-8252, ext. 230,

Cuhaci & Peterson Architects to Design Three Food Lion Supermarket Remodels in North Carolina

ORLANDO – Cuhaci & Peterson Architects, Inc. based in Orlando’s Baldwin Park, has been awarded a contract to handle remodeling work on three Food Lion supermarkets in North Carolina.

The firm will be creating the remodels for Food Lion stores in Columbus, Shelby and Kings Mountain, N.C., according to Lonnie Peterson, chairman of Cuhaci & Peterson. The projects are currently in site analysis/design stage and the construction is slated to begin in January 2009.

For more information, contact:
Lonnie Peterson, Chairman Cuhaci & Peterson Architects, 407-661-9100
Jed Downs, President Cuhaci & Peterson Architects, 407-661-9100
Larry Vershel or Beth Payan, LV Communications, Inc. 407-644-4142

Sikon Construction Starts Shoppes at Wellington in Wellington, FL

PALM BEACH COUNTY, FL – Deerfield Beach-based SIKON Construction Corporation, one of the nation’s leading retail contractors, is underway on the new Shoppes at Wellington retail center in Palm Beach County, FL, under its contract with FIG Development, LLC, Boca Raton.

Designed by Marc Wiener Architecture, Boca Raton, the project will contain over 80,000 square feet and is slated for completion in September 2008, according to longtime Florida construction veteran Dale E. Scott, Senior Executive Vice President of SIKON.

SIKON is headquartered at 431 Fairway Drive, Deerfield Beach, FL 33441, phone 954-354-8338. For more information, visit the company’s website at

Kenneth H. Cristol, President, Cristol Marketing Company, 237 Hunt Club Blvd., Suite 102, Longwood, FL 32779 USA. PH 407-774-2515. FX 407-774-6647. Strategic Marketing, Brand Management, Publicity and Advertising, and Corporate Communications

HFF Arranges Debt and Equity Totaling $39M for Suburban Reno, NV Multifamily Development

IRVINE, CA – The Orange County office of HFF (Holliday Fenoglio Fowler, L.P.) has arranged a construction loan and joint venture equity for the development of Pioneer Meadows, a 300-unit Class A multifamily development to be built in Sparks, Nevada.
HFF director Mark Erland worked exclusively on behalf of Fore Property Company to arrange the $29.5 million, three-year construction loan.

The $9.5 million in joint venture equity was provided as the third venture through an existing institutional partner arranged by HFF. (Fore's completed 216-unit Zephyr Pointe apartments in Reno, NV, top right. The company's 236-unit Casa Sorrento apartments in Las Vegas, top left)

Due for completion in September 2009, Pioneer Meadows will have 19 buildings with one-, two- and three-bedrooms and loft units averaging 949 square feet each. Parking will be provided through a mixture of garages, covered parking and surface spaces. Community amenities include a state-of-the-art clubhouse, pool facility and fitness center.

The project is located on a 20-acre site in the master planned community of Pioneer Meadows, which features the award winning Red Hawk golf course and a new community retail center with national tenants.

“Pioneer Meadows will be the market leader in quality for Class A apartments in the Sparks area with superb amenities, highly finished units, and a top management team,” said Erland. “Fore Property Company has substantial experience developing and owning multifamily properties in the Reno-Sparks market.”

Fore Property Company is a full-service national real estate company with move than 30 years of experience in developing, constructing and managing apartment communities.

Fore Property Company has developed over 15,000 units in 13 states. As an integrated developer, it builds through its CANV Construction unit and manages through FPC Management. (Fore's completed 228-unit Horizon Seniors apartments in Henderson, NV at left)

HFF (NYSE: HF) operates out of 18 offices nationwide and is a leading provider of commercial real estate and capital markets services to the U.S. commercial real estate industry. HFF offers clients a fully integrated national capital markets platform including debt placement, investment sales, structured finance, private equity, note sales and note sale advisory services and commercial loan servicing.


Mark J. Erland, HFF Director, 949 253 8800,
Laurie Fish McDowell, HFF Associate Director, Marketing, 617 338 0990,

Marcus & Millichap Promotes Howard Wiese to Vice President Investments in Chicago Office

CHICAGO, IL– Marcus & Millichap Real Estate Investment Services, the nation’s largest real estate investment services firm, has promoted Howard Wiese (top right photo) to vice president investments in the Chicago office, according to regional manager Greg Moyer. (top left photo)

“Howard has extensive experience as an office investment specialist in Chicago,” explains Moyer. “Throughout his career with Marcus & Millichap, Howard has matched numerous private and institutional investors with investment real estate in the Chicago metropolitan area and throughout the Midwest.”

Wiese joined the firm in February 1997 and was promoted to associate in September 1998. In May 2001, he was promoted to senior associate and senior investment associate in July 2004. Currently, he serves as a senior director of the firm’s National Office and Industrial Properties Group.

Wiese has been honored with the firm’s National Achievement Award five times, and earned membership into the Seven-Figure Club in 2004.

Press Contact: Stacey Corso
Communications Department
(925) 953-1716

Florida Existing Home Sales Improve in May Compared to April 2008

ORLANDO, FL /PRNewswire/ -- Florida Realtors(R) statewide continued to report positive signs in their local housing markets, with an uptick in existing home and condominium sales in May 2008 from April, according to the latest housing statistics released by the Florida Association of Realtors(R) (FAR).

A total of 12,175 existing single-family homes sold in May, up 8.7 percent over the previous month when 11,200 homes changed hands statewide.

Existing condo sales statewide rose 3 percent, with a total of 4,018 units sold in May compared with 3,900 condos in April.The median price for both existing single-family homes and existing condos increased slightly as well during the one-month period.

The existing-home median price in May was $203,300, up 2.2 percent from April's median price of $198,900. The median price of an existing condo last month was $181,800, up 1.5 percent from April's figure of $179,200.
In the latest National Association of Realtors(R) (NAR) housing outlook, Chief Economist Lawrence Yun (top left photo) noted that pending sales contracts have increased markedly in areas experiencing significant price drops.

"Bargain hunters have entered the market en masse, especially in areas that have experienced double-digit price declines, but it's unclear if they are investors or owner-occupants," he said. "Sharp price reductions are leading to a quicker discovery of price equilibrium points." Pending sales are based on contracts signed but not yet closed.

For a complete copy of FAR's release, please contact Marla Martin, Communications Manager, +1-407-438-1400, ext.2326, or Jeff Zipper, Vice President of Communications, +1-407-438-1400, ext.2314, both of Florida Association of Realtors(R)

Commercial Real Estate Investment Specialist Sees Several Bright Spots in Otherwise Shrinking Central Florida Market

ORLANDO, FL – While Central Florida’s commercial real estate market continues to shrink, there are several bright spots, says Joe Rossi, (top right photo) senior vice president of investment services at Grubb & EllisCommercial Florida in Orlando.

Rossi, who left St. Joe Commercial almost four years ago to join the Grubb & EllisCommercial Florida team, has more than 15 years of experience as a commercial property investment specialist studying the Central Florida market.

“Overall, activity this year has slowed considerably,” Rossi said. “Very few owners are putting product out to market,” he said.

Rossi attributes the slowdown in new properties to the financial markets.

“With the recent financial market woes, fewer buyers are able to secure acceptable levels of financing on their acquisitions,” Rossi explained.

But that’s not all bad.

“We’ve had four or five gangbuster years and it would be impossible to keep that pace,” Rossi said. “Everyone in the market understands we needed a little correction, and that’s what we’re getting.”

And market conditions should improve within the next 12-24 months.

“As the credit markets loosen up and money becomes more available, the investment market will come back, but there’s so much uncertainty about capital availability right now and that has caused a lot of hesitancy from both buyers and sellers,” he said.

Rossi said owner occupied facilities are seeing strong signs of growth.

“For business owners who can secure financing through their corporate banking sources, there will probably not be a better time to acquire commercial property,” Rossi said.

“Market conditions are best right now for business owners who want to buy what we call hybrid properties – facilities they can occupy with excess space that they can lease to other tenants,” he said.

Rossi said the downtown Orlando market may be poised for a boom when financial markets settle.

“The office market downtown is in great shape,” Rossi said. “We haven’t seen nearly as much overbuilding during this cycle as we’ve seen in the past and that’s allowed occupancy levels to stay pretty much in check,” he said.

“Concerning our local economy, Central Florida has been on everyone’s A-list for corporate relocation and expansion for quite some time because wage scales are lower than other metro areas, there’s no state income tax and we have a generally business-friendly environment here.

" But one of our biggest assets was the low cost of housing. Since the real estate boom, we have lost that cachet, and a lot of corporate relocation and corporate expansion people think maybe Central Florida is not a first option now as a result,” he said.

For more information, please contact:
Joe Rossi, Senior Vice President, Grubb & EllisCommercial Florida 407-423-1200
Jeffrey S. Sweeney, SIOR, President, Grubb & EllisCommercial Florida, 407-481-5387
Beth Payan or Larry Vershel, LV Communications, 407-644-4142 (fax: 4410)

Cambridge Chairman Says Healthcare Borrowers Not Unduly Pessimistic as Credit Crisis Worsens

CHICAGO, IL--Senior housing/healthcare borrowers have mentally adjusted to the reality of a credit crunch, and worry about deteriorating economic conditions like everyone else.

“No one doubts that the months ahead will be challenging. But we’re not finding that healthcare providers are unduly pessimistic about the industry’s short- or long-term prospects,” says Cambridge Realty Capital Companies Chairman Jeffrey A. Davis. (top right photo)

Cambridge is one of the nation’s leading senior housing/healthcare lenders with more than 300 closed transactions totaling more than $2.75 billion since the mid-1990s. Davis says his observations are not scientifically based on survey data but on informal conversations with hundreds of participants attending industry trade shows in recent months.

“I think it’s fair to say that innovation continues to take place in the industry and that the mood of healthcare providers is more upbeat than might be expected,“ he said.

Hymie I. Barber, Managing Director of Catalyst/Cambridge Healthcare Finance, the company‘s West Coast affiliate, points out that conferences on the West Coast have been well attended with “high quality” participants.

“The market remains healthy with few defaults. But borrowers are more sensitive to the need to have certainty of loan execution, and are looking to government-insured financing options to achieve this end,” he noted.

Davis points out that low borrowing costs have been a factor in helping borrowers maintain perspective in a tight credit market. If not ebullient, borrowers today have reason to be optimistic with rates possibly as low as they’re going to get in the current cycle.

“The Fed has signaled that it doesn’t intend any more rate cuts at this time. We continue to strongly urge our clients to take advantage of the opportunity to lock-in today’s low rates,” he said.

The Cambridge Chairman notes that it’s now been almost a year since the capital markets began to become aware of problems developing in the subprime mortgage segment.
Since last summer, a number of capital sources have dried up, but interest in senior housing healthcare loans is not off substantially from levels posted during the previous year, when everyone was blissfully unaware of the gathering capital market storm clouds, he observes.

For a 12-month period ending in May 2007, Cambridge reviewed 409 loan origination requests totaling $5.2 billion. For the same period ending in May 2008, origination requests were down 12.2 percent, to 359 requests, and dollar volume was $4.78 billion.

Davis says lenders close a relatively small percentage of origination requests received, but the numbers are interesting to track as an indication of market directions and borrower interest.
“Given all the bad news the capital markets have absorbed, one might anticipate that enthusiasm would wane a lot more than it has,“ he said.

Evan Washington, Phone: (312) 521-7603. Fax: (312) 357-1611. E-Mail: