Wednesday, June 17, 2009

Selig Enterprises Announces First Tenants at 1465 Chattahoochee Ave. Project in West Atlanta

ATLANTA, GA (June 17, 2009) - Selig Enterprises, Inc. has leased approximately 5,000 square feet of retail space in the building located along Chattahoochee Avenue to Johnny's Pizza and The Brunch House.

This marks the first of two leases for the project.

Jim Saine, (middle left photo) Vice President of Selig Enterprises, says "the market here has definitely been under-served from a food service and retail perspective.

"As everyone can attest to, West Midtown is experiencing tremendous growth right now, and our 1465 Chattahoochee Avenue project presents a great value for those looking to bring retail to the area."

Johnny's Pizza has several locations in the Metro Atlanta area, including Cheshire Bridge Road and Decatur. The new location will occupy approximately 2,504 square feet and offer pizza, pasta dinners,calzones, and salads.

Mike Roseberry, the franchisee for Johnny'sPizza, says, "We looked at almost every available building in the areafor months and knew the day we saw this project that it was the space we needed. It's a good looking building- it jumps out at you."

He and his wife Kathy wanted to stay inside the perimeter and were initially looking in the Five Points and Glenwood Park area, but ultimately chose West Atlanta.

Media Contact: Taana, 404.870.1506

Profit Down by 96% but Indian Hotels Co.’s Buying Spree Rolls On

MUMBAI, India—Indian Hotels Co. Ltd. (IDHCF-Bombay Stock Exchange) disclosed its consolidated profit after tax of Rs 124.6 million (US $2.6 million) was down by 96.48 percent in fiscal 2009 that ended March 31.

In fiscal 2008, the company reported a consolidated profit after tax of Rs 354.98 crore (US $74.8 million).
Consolidated total income decreased to Rs 27.82 billion in fiscal 2009 from Rs 30.59 billion in the previous year.

For the fiscal 2008-09, stand-alone profit after tax of the company dropped to Rs 2.34 billion from Rs 3.77 billion in the previous year.
Regardless of the bottom-line numbers, Indian Hotels Co., which runs the Taj Group of hotels, has acquired control of Hotel Sea Rock (top left photo) in north Mumbai for 6.8 billion rupees ($143 million), the company announced today.

In a prepared statement, the nation’s biggest operator of hotels says it will spend 5 billion rupees in the next two years to tear down a dormant building, unused since the 1993 serial bomb blasts in Mumbai, and convert it into a luxury hotel, says company vice chairman R.K. Krishna Kumar. (bottom left photo)

Mumbai-based Indian Hotels will meet the acquisition cost from the 14 billion rupees raised by selling stocks to shareholders last year, says chief financial officer Anil Goel.

The company plans to integrate the site with its existing property known as Taj Lands End. (top right photo)

The acquisition gives Indian Hotels room to expand in the northern suburb of Bandra, soon to be linked to the downtown area through a bridge over the Arabian Sea.

“Within days of the Bandra-Worli Sea Link being set to open, we are delighted to announce that we are able to propose a world-class convention and hospitality center,” Kumar says.

There are no pending lawsuits relating to the Sea Rock property, Kumar says. The hotel used to be a popular gathering location for film stars before it was closed following the bomb blasts in 1993.

“It will be the most luxurious Mumbai has seen,” Kumar says. “It will be a landmark in that part of town, as the Taj is in south Mumbai, or as the Opera House is to Sydney.”

Indian Hotels plans to spend another 3 billion rupees on other hotel projects during the year, he says. The company is “keen to increase its stake in Orient-Express Hotels Ltd. (middle left photo) and work with the group,” Kumar says.

Mumbai-based Indian Hotels owns 9.7 percent of Orient- Express and will “be happy” to raise its stake, he said. The two groups have had meetings “at the highest level,” he says.

“We hope to continue the dialogue that will give us the right kind of chemistry to work together,” Kumar says.

“I don’t think we should be talking about stakes alone. The problem in the beginning was the perception that we were moving in to make a hostile move on acquiring stakes and destroying the autonomy or independence of the company.”

The Tata Group, which runs Indian Hotels, doesn’t make “hostile moves,” Kumar says. Indian Hotels, which runs 97 hotels across the globe, gets about a third of its revenue from international operations.

The company expects to fully re-open the terrorist-hit, 106-year-old Taj Mahal Palace & Tower (middle right photo) in Mumbai by the end of the year or in January, 2010, says Kumar.

The hotel was damaged in the Nov. 26-29, 2008 attacks, along with another luxury hotel, the main railway terminal and sites elsewhere.

The attacks damaged a large part of the heritage wing and destroyed paintings, chandeliers, silk carpets and wooden furniture at the hotel located next to the landmark
The hotel re-opened its tower wing in December 2008.

“We are trying to restore it with love and devotion and don’t want to rush,” Kumar says. “We want to see it as the most beautiful hotel in the world.”

The Mumbai Taj contributes about a fifth of Indian Hotels’ revenue. The hotel is “more than adequately covered” by insurance, CFO Goel says. The hotel has 62 percent occupancy, compared with 75 percent a year earlier.

India’s economy, which grew 5.8 percent in the three months to March 31, may expand 7 percent in the fiscal that began April 1, the government has predicted.

The economy could rebound to its 9 percent growth path, Prime Minister Manmohan Singh (bottom right photo) told the Parliament on June 9.

Following last year’s attacks and amid the global recession, overseas travelers canceled trips to India, hurting the travel and tourism industry.

“The global community has seen the worst period over the past 18 months,” Kumar says. “The worst is over.”

SPECIAL REPORT: Medical Office Market Could Need 10M SF of New Space if New Health Program Enacted, Says Marcus & Millichap

ENCINO, CA—There is an unprecedented boom in new medical office space around the corner in almost every U.S. community, if President Barack Obama’s new healthcare insurance program is enacted this year.

Ten million square feet of new space would be needed, estimates a special report prepared by Encino, CA-based Marcus & Millichap Real Estate Investment Services.

It’s the first time any major national brokerage has predicted how much new real estate might be needed in the fast-growing medical office industry.

The report was coordinated by John Chang, National Research Manager and Tom Hershey, Research Services.

Here is how they arrived at their 10-million-square-feet estimate:

“The medical office sector’s resilience can be attributed to a combination of variables, including technological advances and medical innovations that continue to extend life spans, as well as the aging baby boomer generation.

“At present, baby boomers account for 29 percent of the total uninsured yet represent almost one-third of all physician office visits.

“Proposed changes to the healthcare system will dramatically increase demand for medical services among this group.

“ Per person office visits for 45- to 64-year-olds have expanded by 7 percent over the past decade. Insuring 95 percent of this cohort could elevate physician office visits by 12 percent, or 34 million visits, annually.

“At the current average of 120 visits per week for primary care physicians, approximately 5,400 new general practitioners will be needed to handle the additional workload from this age group alone.

“The resulting demand for office space from these doctors would total nearly 10 million square feet.”

The report notes that despite the recession, medical office properties ‘have performed favorably, and demand is set to accelerate as medical reform is phased in over the next several years.

“Unlike other asset types, medical office properties continue to garner investors’ demand by exhibiting considerable resistance to the economic downturn.”

Medical office vacancy is currently 11.6 percent, up only 100 basis points from one year ago. traditional office vacancy, by comparison, is 15.2 percent, a 240 basis point increase over the same period.

Contact: Stacey Corso, Communications,

GVA Advantis Orlando Wins New Leasing and Management Assignments

ORLANDO, FL – (June 17, 2009) – GVA Advantis recently won new leasing and property management assignments, and was chosen to provide property management services to an exclusive leasing assignment it has held since 2006.

University Plaza, a 12,220± sf professional office complex located at 11500 University Boulevard in east Orlando, was built in 1992 and renovated in 2001. GVA Advantis began leasing and property management services on May 1. The office is currently 47% occupied.

Additionally, GVA Advantis began providing property management services on June 1 to 1707 Orlando Central Parkway, a 65,000± sf, class B office space on the north side of Orlando Central Park, for which it has provided leasing services since 2006. This five-story office was built in 1968 and completely renovated in 2001. It is currently 90% occupied.

Another property was recently added to GVA Advantis’ list of managed properties – site of the new 43,668± sf U.S. Citizens & Immigration Services office at 6680 Corporate Center Boulevard in Lee Vista Center near Orlando International Airport.

Roxanne Hargis, (top right photo) area manager for GVA Advantis’ property management services division, landed the management of all three accounts.

“This has been a great year so far for us, particularly in Orlando,” said Lisa Bailey, (middle left photo) senior director of office & industrial services of GVA Advantis’ Orlando office.

“We have won several new management assignments, thanks to Roxanne, as well as leasing assignments since the beginning of the year, and we just added two brokers to help manage the new business.”

Connie Snyder, (bottom right photo) Associate Director, and Don Rudolph, (bottom left photo) CCIM, Associate, joined the company in May.

Contact: Shelli Browning, 407.999.4775,