Tuesday, July 8, 2008

HFF Secures $33.8M Financing for 200 Kimball Drive in Parsippany, NJ

FLORHAM PARK, NJ – The New Jersey office of HFF (Holliday Fenoglio Fowler, L.P.) announced today that it secured $33.8 million in financing for 200 Kimball Drive (above centered photo) a Class A office building in Parsippany, New Jersey.

Working exclusively on behalf of Principal Real Estate Investors (PrinREI), HFF senior managing director Jon Mikula (top right photo) and associate director Michael Klein (top left photo) placed the five-year loan with an unnamed life insurance company. The loan proceeds were used to acquire the property.

HFF also represented the seller in the $52 million sale of the property.
Completed in 2001, 200 Kimball Drive has 175,093 square feet of office space and is currently fully occupied by Novartis Consumer Health and the law firm, Kelley Drye & Warren.

The property is situated within The Center of Morris County office park, close to the Interstates 80 and 287 interchange in Parsippany, approximately 24 miles northwest of Manhattan.

“The Parsippany Class A office market is a supply constrained market that lacks large blocks of new Class A space,” said Mikula. “As a result, the property’s competitive set has seen ever increasing rental rates since 2004.”

PrinREI, a diversified asset management organization, is the fourth largest real estate investment firm in the United States.

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.


Jon Mikula, HFF Senior Managing Director, 973 549 2000, jmikula@hfflp.com

Laurie Fish McDowell, HFF Associate Director, Marketing, 617 338 0990, lmcdowell@hfflp.com

$90M Refinancing Arranged by HFF for Retail and Office building in Manhattan’s Meatpacking District

NEW YORK, NY – The New York office of HFF (Holliday Fenoglio Fowler, L.P.) announced today that it arranged a $90 million refinancing for 401 West 14th Street, (above centered photo) a 62,199-square-foot retail and office building in Manhattan’s Meatpacking District. (top right map)

Working exclusively on behalf of the owner, a partnership comprised of affiliates of Taconic Investment Partners, LLC and ING Clarion Partners, HFF managing director Evan Pariser and senior real estate analyst Todd Newman placed the five-year, adjustable-rate loan with Landesbank Hessen-Thuringen Girozentrale (Helaba).

Originally constructed in 1927, 401 West 14th Street has undergone major redevelopment and repositioning since it was acquired by the owners in 2005 including the addition of a 9,000-square-foot penthouse and a complete renovation of the base building. The four-story, Class A property is currently 100% leased to Apple Inc., Hugo Boss Retail Inc., Moschino and Tudor Investment Corporation.

The anchor tenant, Apple, Inc., leases a portion of the ground floor and the entire second and third floors, as well as the rooftop billboard.

(Manhattan meat-packing district view 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.


Evan Pariser, HFF Managing Director, 212 245 2425, epariser@hfflp.com

Laurie Fish McDowell, HFF Associate Director, Marketing, 617 338 0990, lmcdowell@hfflp.com

Do’s and Don’ts of Real Estate Investment Partnerships By Robert Jenson

LAS VEGAS, NV--Partnering with others on a real estate investment is a great way to create new opportunities.

However, while partnering in real estate investments can be a financial and lifestyle boon, there are many nuances one must understand before taking the real estate partnership plunge, cautions Robert Jenson, (top right photo) founder and the primary Realtor at The Jenson Group in Las Vegas, NV.

Below are some basic “Do’s and Don’ts” of real estate joint ventures:


Put everything in writing: It’s imperative to document all deal terms, arrangements and agreements. Mutual understandings that are clear today may become murky years down the road, so thwart potential conflicts by writing all plans out in advance.

Plan ahead: Even before the deal is done buyers should map out a yearly property usage calendar in advance along with schedules for cleaning service, payment of utility and other bills and the like to ensure everyone will be in agreement before being locked into a mortgage. This should also include when to pull money out to purchase another, when to sell and other such concerns.

Anticipate challenges and obstacles: Might you have to evict a tenant? Is your vacation property in a declining market? Is your partner no longer able to make their share of the mortgage payment? Plan for worst case scenarios in advance and have contingencies in place.

Create an exit strategy: How will the group decide when it’s time to sell the joint venture property? Will there be an option for one partner to buy the other out and, if so, how exactly will that work? Planning the property sale is equally as important as planning for its purchase. Put all options on the table – and in writing – before signing on the dotted line.

Taxes: It’s wise to treat the property and partnership at large like a small business, with monthly Profit and Loss statements. Who will take advantage of the write-offs that property can provide? Will this be split 50/50 or other arrangement? Meet with your CPA before the purchasing to determine the tax and other fiscal implications of the purchase.


Don’t attempt to execute the deal amongst yourselves. Purchasing property is a complicated financial transaction. A buyer’s real estate agent can appropriately structure the price and terms and otherwise save the group time, hassles and money in the process. Hire an attorney to legally structure the partnership.

Don’t rest on the laurels of the relationship: Because you know and perhaps even love your partner(s), don’t be lulled into a false sense of security – treat the transaction like the serious business deal that it is.

Don’t play the blame game: One the ink is dry and escrow has closed, it’s time to function as a team, particularly when the going gets tough. When problems arise, rather than blaming and pointing fingers, remember you’re all working toward the same goal and that, ultimately, everyone wants to get the problem resolved.
Don’t let your partner slide: Is your partner not holding up their end of the deal? Or are you just doing far more work on the yard or home improvements than you had agreed to…in writing?

Rather than getting angry and argumentative, simply pull out the documentation you [hopefully] put in place at the onset to remind the partner of his or her obligations. Your last resort, unfortunate recourse would be to take the matter up in a court of law.

Robert Jenson is the founder and primary REALTOR® at The Jenson Group of RE/MAX CENTRAL - a premier luxury real estate agency specializing in the sale and purchase of upscale residential property. He can be reached through his Web site at http://www.thejensongroup.com/.

Hampton Hotels(r) Open 17 Properties in June

MEMPHIS, TN--Hampton Hotels (www.hampton.com), the international brand of more than 1,500 mid-priced Hampton Inn® and Hampton Inn & Suites® hotels, opened 17 properties in June 2008, representing 1,490 new rooms.

The new openings include eight Hampton Inn hotels and nine Hampton Inn & Suites properties. All openings are franchised, newly constructed hotels.

“We continue to see an increased demand for our mid-market product, eclipsing last month’s near record openings,” said Phil Cordell, (top right photo) senior vice president, Hampton Hotels. “Consumers are more cost conscious this year as they begin to hit the road for summer travel and the Hampton model is proving to be an ideal option for travelers, particularly with our award-winning services and complimentary amenities offerings.”

(The 126-room Hampton Inn Roanoke Rapids (photo at left), opened June 30.)

For consumers who would like to take their hotel room experience home with them, Hampton has a program available online at www.hamptonhomecollection.com, where many of Hampton Hotels’ guestroom amenities are available for purchase.


Tori Roberson/Charmaine Easie-Samuels, Hampton Brand Communications,
(901) 374-5534

Chris Daly, Daly Gray Public Relations, (703) 435-6293

Kershaw County Medical Center, SC's Bonds Rated 'BBB' On Continued Positive

DALLAS, TX --Standard & Poor's Rating Services assigned its 'BBB' standard long-term rating to Kershaw County, S.C.'s $18.78 million series 2008 hospital revenue bonds issued for Kershaw County Medical Center (KCMC). The outlook is stable.

The 'BBB' rating reflects KCMC's good business position as defined by a 52% market share in Kershaw County, KCMC's primary service area, and 14% share of its three county secondary market; solid fiscal 2007 operating and excess margins of 4.3% and 6.6% respectively, which compared favorably with operating and excess losses in fiscal 2006; good interim operating performance, and 3.1x pro forma maximum annual debt service (MADS) coverage through the first seven months of fiscal 2008 ended April 30; and modest leverage characterized by pro forma debt to total capitalization equal to 29%.

Media Contact: Christopher Mortell , New York, (1) 212-438-3446 christopher_mortell@standardandpoors.com
Analyst Contacts: Karl Propst, Dallas (1) 214-871-1427; Kenneth W Rodgers, New York (1) 212-438-2087

Orlando's Bulk Warehouse Leasing Market Quiet

ORLANDO, FL--Rebman Properties Inc. reports Orlando’s bulk warehouse leasing market was quiet for the fourth consecutive quarter.

"In fact, the second quarter was nearly a mirror image of the first," Says Greg Rebman, (top right photo) Vice President of the Winter Park, FL-based real estate company.

There was 111,892 square feet of net absorption in the 133 surveyed buildings (the first quarter had an almost identical absorption of 111,876 square feet).

The half-dozen or so large tenant prospects of 100,000 or more that were circulating the market in the first quarter have yet to land anywhere.

The largest leases for the second quarter were as follows:

Dusobox leased 55,000 s.f. at 1350 Tradeport Drive in AIPO; Europa Sports Products leased 38,994 s.f. at Crownpointe VI; and Brand Connections leased 33,600 s.f. at Sand Lake West 1.

The vacancy rate rose from 12.75% at the end of the first quarter to 13.90% at end of the second quarter. One new building was added to the survey: Beachline Corporate Center, Building 100, a 360,000 square foot, cross-dock facility at International Corporate Park. Vacancy rates continue their steady rise since their low of 5.37% at the end of the second quarter, 2004.

The average quoted rental rate for the 133 buildings surveyed is $4.67 psf triple net, virtually unchanged from the average of $4.66 psf triple net at the end of the first quarter, and $4.65 psf at year-end, 2007.

Beltway Distribution is under construction at the intersection of Lee Vista Boulevard and Highway 417 (The Greenway). Slated for completion in November, Building #100 is a 141,810 square foot, rear-load facility; Building #200 is a 145,540 square foot, rear-load; and Building #400 is a 378,600 square foot, cross-dock facility.


Orlando industrial brokers generally expressed that the market is quiet, but that renewals are strong. Tenants are tending to stay put so that buildings entering this period with high occupancy rates are keeping their tenants, but new buildings and those with vacancy are struggling to land tenants.


Lynn G. Bailey, Rebman Properties, Inc. A CORFAC International Member, 1014 W. Fairbanks Avenue, Winter Park, FL 32789 USA . Tel: 407.875.8001. Fax: 407.875.8004. Corporate facility advisors associated globally with KingSturge

Marcus & Millichap Names David Guido Regional Manager of Phoenix and Tucson Offices

PHOENIX, AZ – Marcus & Millichap Real Estate Investment Services, the nation’s largest real estate investment services firm, has named David Guido (top right photo) regional manager of the Phoenix and Tucson offices, according to Harvey E. Green, (middle left photo) president and chief executive officer of Marcus & Millichap.

“David has been serving as the sales manger in the Phoenix and Tucson offices since January,” comments Green. “His experience and skill set will be a tremendous asset to our clients and agents throughout Arizona and across the Southwest.”

Guido joined the Phoenix office in July 1999. Specializing in retail properties, he was named associate director of the firm’s National Retail Group. He was also a member of the Net Leased Properties Group. Guido earned two National Achievement Awards, the first occurring in 2004 when he was also promoted to senior associate.
He has received several internal sales awards while with the firm. Prior to joining Marcus & Millichap, Guido worked for Motorola and U.S. Surgical in sales.

Guido earned a bachelor’s degree in economics from Indiana University.

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

Penn National Gaming Inc. CCR Affirmed At BB-; Rating Off CreditWatch

NEW YORK, NY--Standard & Poor's Ratings Services says it affirmed its 'BB-' corporate credit rating on Penn National Gaming Inc., and removed the corporate credit rating from CreditWatch with negative implications where it was placed on June 15, 2007. The rating outlook is negative.

"The company's issue level ratings remain on CreditWatch with negative implications pending our recovery review, which will determine how these issues are notched against the corporate credit rating. We expect the recovery review to be completed in the next several days," said Standard & Poor's credit analyst Ben Bubeck.

The affirmation follows the company's July 3 announcement that the acquisition of Penn National by Fortress Investment Group LLC and Centerbridge Partners LP (jointly the "former buyers") has been terminated. In consideration of the termination, Penn National will receive from the former buyers $1.475 billion in cash, structured as a $225 million termination fee and $1.25 billion seven year, zero coupon, redeemable preferred equity investment.

Media Contact:

Mimi Barker, New York (1) 212-438-5054, mimi_barker@standardandpoors.com

Analyst Contacts:
Ben Bubeck, CFA, New York (1) 212-438-2176
Melissa Long, New York (1) 212-438-3886

Engler Financial Group Presents Exclusive Offering of Oxford Creek Townhouse Community in Georgia

MCDONOUGH, GA--Engler Financial Group presents Oxford Creek, (top right photo) a Class “A” 232-unit all townhouse apartment community located at the northwest corner of McDonough Parkway and Bridges Road in McDonough, Henry County, and Georgia.

The community's market-leading amenity package, all townhouse floor plans, and strong sponsorship from Oxford Properties further adds to its investment appeal.

Oxford Creek is being offered for sale on an unpriced basis and represents an excellent opportunity to purchase a well-located, high-quality apartment community in the sixth fastest growing county in the United States.

Oxford Creek is ideally located in the southern portion of the Atlanta metropolitan area which offers residents easy access to transportation arteries, major employers, and the Hartsfield-Jackson International Airport.

Interstate-75 (Atlanta's primary north-south thoroughfare) is conveniently located approximately one mile west of Oxford Creek and accessible via an interchange with Hampton Road (Highway 20). Several major employment centers including the Hartsfield-Jackson International Airport and downtown Atlanta are within a convenient 30-minute commute of the property.

As Henry County continues to grow and develop, more and more businesses are being drawn to the area's strategic location. Whirlpool Corp. (the world's largest appliance maker) recently announced it is building a massive 1.5 million square foot regional distribution facility in Henry County.

If you have any questions or would like to schedule a tour of Oxford Creek, please contact:
Greg Engler, CEO/President, 678/992-2000, ext. 1, gengler@efgus.com

Pat JonesSenior, Vice President, 678/992-2000, ext. 2, pjones@efgus.com

Kris Mikkelsen, Senior Associate, 678/992-2000, ext. 4, kmikkelsen

Fannie Mae DUS Lender Bulls Capital Partners Appoints Mary Ann Jones as Chief Underwriter

VIENNA, VA, July 8, 2008 - Bulls Capital Partners, LLC, a multifamily financial service provider and Fannie Mae Delegated Underwriting and Servicing (DUS) lender, announced the appointment of Mary Ann Jones (top right photo) as Senior Vice President and Chief Underwriter.

As Chief Underwriter, Ms. Jones is responsible for all underwriting activities, credit policy, risk management and asset management. Ms. Jones' hire comes shortly after Goldman Sachs' minority investment in Bulls Capital Partners.

An experienced real estate and finance industry veteran, Mary Ann Jones most recently served as Director of Originations for CIT Group (NYSE: CIT), a global commercial finance company. Prior, Ms. Jones served at Centerline Capital Group as Senior Vice President for Strategic Originations as well as five years as Chief Underwriter. As Chief Underwriter she was responsible for underwriting and approval of over $1.2 billion in annual Fannie Mae DUS loan production.
Herman Bulls, (top left photo) President and CEO of Bulls Capital Partners said, "Mary Ann Jones adds depth to our senior management team as we execute strategies to expand our portfolio. Our senior management team, combined with Goldman Sachs as an investment partner, positions Bulls Capital Partners for growth in volume and market share over the next several years."
Ms. Jones stated, "I am excited about the opportunity to join the vibrant and growing team at Bulls Capital Partners."

Mark Van Kirk, (middle left photo) Co-Founder and COO added, "Mary Ann Jones brings an excellent reputation for creative problem solving and helping borrowers resolve financing challenges with thorough knowledge of underwriting and loan documentation processes. Ms Jones joins us in providing our existing borrowers, prospective customers and our partner, Fannie Mae, leading product execution."

About Bulls Capital Partners, LLC
Bulls Capital Partners is a joint venture of Goldman Sachs Commercial Mortgage Capital and Bulls Multifamily, LLC, a minority-controlled firm headed by President and CEO Herman Bulls. Bulls previously ran a successful DUS lending operation, and has extensive commercial real estate experience with one of the world's leading real estate service providers. Co-founding Bulls Capital Partners with Bulls is Mark Van Kirk, Chief Operating Officer. Van Kirk previously served as Director of Counterparty Risk at Fannie Mae.

Bulls Capital Partners, LLC is a Fannie Mae-approved Delegated Underwriting and Servicing (DUS®) lender that offers a full array of financing solutions to owners of multifamily property. Bulls Capital Partners' key capabilities under the DUS program include small loan solutions, affordable housing solutions, student housing, market-rate multifamily mortgages, and credit facilities, among other offerings.

About Goldman Sachs Commercial Mortgage Capital, L.P.
Goldman Sachs Commercial Mortgage Capital, L.P., a wholly-owned subsidiary of Goldman, Sachs & Co., is a leading full-service commercial mortgage lender, providing non-recourse, first mortgage and mezzanine financing for stabilized properties as well as for the renovation and lease-up of properties nationwide.

DUS is a registered mark of Fannie Mae.


Bulls Capital Partners, LLC
Herman Bulls
President & CEO
phone: (202)256-1814

Bulls Capital Partners, LLC
Mark Van Kirk
COO & Co Founder
phone: (703)283-9700