Monday, August 18, 2008

CFA Presents 2008 Contractor of the Year Award

MT. VERNON, IA-- The Concrete Foundation Association (CFA) – an organization dedicated to improving the quality and acceptance of cast-in-place concrete foundations – has presented its 2008 Contractor of the Year Award to Rich and Patty Kubica of K-Wall Poured Walls (top right photo) of Traverse City, Michigan & Asheville, North Carolina.

A member of the CFA for nearly a decade, the Kubicas were selected for this award for their aggressive pursuit of excellence and business expansion.

According to Ed Sauter, (middle left photo) executive director of the CFA, the Kubica’s high level of enthusiasm and commitment to advancing the concrete foundations industry and the CFA are primary reasons why they were selected for the CFA Contractor of the Year.

“Rich and Patty have been one of the most aggressive companies in our Association,” said Sauter. “We have reveled at their ability to take on challenges for promoting high-performance foundation walls, above-grade concrete shells and the growth of poured concrete foundations in traditionally block markets.”

The annual award recognizes the contributions of a poured wall contractor to the industry. This year’s award was presented at the CFA Annual Convention held July 30 to August 2 in Santa Ana Pueblo, New Mexico.

Also during this presentation, Ron Ward, President of Western Forms, Inc. of Kansas City, Missouri added his congratulation and presented the Kubicas with a crystal eagle symbolizing the soaring achievements that their company embodies.
For more information, please contact:
Ed Sauter, 319-895-6940 or
Jim Baty, 319-895-6911 or

Concrete Foundation Association, 113 First Street West, Mt. Vernon, Iowa 52314. 319-895-6940, voice -- 319-895-8830, fax

Income Tax Savings for Owners of Senior Living Facilities

TAMPA, FL--According to John Wilmoth of Wilmoth & Associates, if you have purchased or constructed a senior living facility in the last 10 years, a cost segregation analysis will probably benefi t you.

A cost segregation analysis identifi es items and their costs
that qualify for shorter income tax depreciation periods and
accelerated depreciation methods.

This acceleration of depreciation has a tax sheltering effect by
increasing near term non-cash expense (depreciation), thereby
reducing taxable income and the associated income tax liability.

It does not eliminate the tax, but defers it to later years.
But considering current federal and state tax rates, the aftertax
present value of deferring the taxes can be as much as
$200,000 for each $1,000,000 of property reclassifi ed.

A cost segregation study identifi es items and their costs that are frequently included in real property accounts (27.5 or 39 year straight line depreciation).

These items should be classified as tangible personal property, other tangible property (commonly referred to as Section 1245 property) or land improvements.

The personal property and Section 1245 property qualify for
200% declining balance income tax depreciation over 5 or 7
years. The land improvements qualify for 150% declining balance
depreciation over 15 years.

Most taxpayers miss the opportunity to take the maximum allowable depreciation charge because the required information
is not provided by the contractor in their billings or, in the case
of an acquisition, the buyer has no information regarding the
value of the individual components acquired.

Normally 20% to 30% of the real property cost can be reclassifi
ed to these shorter recovery periods. If you acquired the property some time ago or there are multiple owners, you can still benefi t from a study.

The IRS now allows you to catch-up depreciation in the current year’s return for depreciation that should have been taken in prior years.

This can create a substantial one-time depreciation (non-cash) expense and no amended returns are required. On one recent project, Wilmoth identifi ed an additional $2,200,000 of depreciation expense reducing the owner’s current year tax liability by $770,000.

An effective, supportable cost segregation analysis requires engineering and valuation skills; knowledge of
construction methods, materials, and costs; and a knowledge of income tax regulations, court cases, revenue
rulings, and procedures.

The benefi ts of a study normally range from 15 to 30 times the related fees.

WILMOTH & ASSOCIATES is a nine year old
fi rm led by John Wilmoth, a former valuation
partner and firm-wide leader of cost segregation
services for Arthur Andersen LLP.
,clients under audit by

For more information on how a cost segregation
analysis might help you, as well as an estimate of
benefi ts and costs, please contact John Wilmoth at 940-458-2860 or

CLW HEALTH CARE SERVICES GROUP represents sellers of Senior Housing properties across the United States on an exclusive basis. CLW has nearly five decades of combined real estate experience and over $1.2 billion dollars in Senior Housing sales.

To learn more about our services, please contact Allen McMurtry (bottom right photo) at 813.349.8349

Strong Energy Sector Drives Increased Office Development in Houston

HOUSTON, TX — Houston’s office market will post a rise in vacancy in 2008 after four years of healthy improvement, according to a second-quarter Office Research Report by Marcus & Millichap, the nation’s largest real estate investment services firm.

The office outlook remains strong, and both employment growth and rent increases will be near the top in the nation again in 2008.

“With Houston’s local economy remaining one of the healthiest in the country, local investment activity will continue to be robust through the end of 2008,” says Michael Hoffman, (top left photo) regional manager of the Houston office of Marcus & Millichap.

Following are some of the most significant aspects of the Houston Office Research Report:

· Employers in Houston are forecast to add 50,000 jobs this year, expanding payrolls by 2 percent.
· The delivery of 3.3 million square feet of space this year will add about 2 percent to marketwide inventory.

· Vacancy is forecast to end the year at 12.6 percent.
· Asking rents will expand at a healthy 9 percent to $24.21 per square foot.
· Effective rents are expected to climb 8.5 percent to $20.85 per square foot.

For a copy of the complete Houston Office Research Report, as well as reports on other markets nationwide, visit our website at

(JP Morgan Chase Tower, top right photo. Bank of America Center, bottom left)

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

Arbor Closes $3,087,800 Fannie Mae DUS® Loan for Amelia Apartments in Valdosta, GA

UNIONDALE, NY, Aug. 18, 2008-– Arbor Commercial Funding, LLC (“Arbor”), a wholly-owned subsidiary of Arbor Commercial Mortgage, LLC, announced the funding of a $3,087,800 loan under the Fannie Mae DUS® product line to refinance the 82-unit complex known as Amelia Apartments in Valdosta, GA.

The 7-year loan amortizes on a 30-year schedule and carries a note rate of 6.33 percent.

The loan was originated by Stephen York, (top right photo) Director, in Arbor’s full-service Uniondale, NY lending office. “Arbor was pleased to provide timely and competitive acquisition financing,” said York. “We look forward to future opportunities with this client.”

Contact: Ingrid Principe, Tel: (516) 506-4298,

HFF secures $17.5M in financing for Dallas area affordable housing communities

ATLANTA, GA – The Atlanta office of HFF (Holliday Fenoglio Fowler, L.P.) has secured $17.5 million in financing for Garden Gate Fort Worth (top right photo) and Garden Gate Plano, (middle left photo) two affordable housing communities in Fort Worth and Plano, Texas.

Working on behalf of Juniper Investment Group, HFF senior managing director Mark Sixour (top left photo) and associate director Sabrina Solomiany placed two seven-year loans with Freddie Mac (Federal Home Loan Mortgage Corporation).

A $7.8 million fixed-rate loan was arranged for the Fort Worth property and a fixed-rate loan of $9.7 million was secured for the Plano property.

Completed in 1995 under the Section 42 Low Income Housing Tax Credit program, Garden Gate Fort Worth and Garden Gate Plano have 240 units each with an average unit size of 840 square feet.

Community amenities include a clubhouse, outdoor swimming pool, basketball court, fitness center, playground and laundry facility. Garden Gate Fort Worth is located at 6901 North Beach Street and Garden Gate Plano is located at 1201 Legacy Drive in the northern Dallas suburb of Plano.
“Juniper is very excited about adding two high quality assets to our growing affordable housing portfolio. HFF’s efforts were instrumental in securing the best available financing that importantly matches the expected investment term for these assets,” said Juniper president Jay Rippeto.

Founded in April 2000, Juniper Investment Group focuses on the acquisition of conventional and affordable multifamily properties in Texas and other Sunbelt markets.

Since its formation, Juniper has closed on more than 12,500 units in 12 states totaling more than $500 million.

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 D. Sixour, HFF Senior Managing Director, 404 832 8460,

Laurie Fish McDowell, HFF Associate Director, Marketing, 617 338 0990,