Tuesday, December 15, 2009

New Survey from Trulia and RealtyTrac Shows Investors, Trade-up buyers and Renters most Likely to Consider Foreclosure Purchase

88 Percent of Current Homeowners Looking to “Trade Up” To a Larger Home Are Willing to Consider Purchasing a Foreclosure

SAN FRANCISCO, CA,  Dec.15, 2009 – Trulia.com, the best place to start a real estate search, and RealtyTrac, the leading online marketplace for foreclosure properties, today released the latest results of an ongoing survey tracking home buyers’ attitudes towards foreclosures.

 The new online survey conducted on their behalf between November 5-9, 2009 by Harris Interactive® showed a notable decrease in consumers’ willingness to buy foreclosed properties, with 43 percent of U.S. adults age 18 and above indicating that they are at least somewhat likely to consider purchasing a foreclosed home in the future, compared to the 55 percent of U.S. adults age 18 and above surveyed online by Harris Interactive® between May 1-5, 2009.

 However, the survey also found that there is strong interest in certain segments, including real estate investors, current home owners looking to “trade up” to a larger property and renters.

Real Estate Investors

In the difficult economic climate that currently exists, home foreclosures present significant opportunities for many consumers, including real estate investors. According to the survey, nearly one in four US adults (23 percent) are at least somewhat likely to purchase a second home or investment property, and of these, 92 percent are at least somewhat likely to buy a foreclosed property.

Trading Up

With the recently expanded housing tax credit including a new $6,500 credit available to current homeowners looking to purchase a new home or trade up, interest levels in purchasing foreclosed properties will likely increase during the next several months. Currently, 24 percent of homeowners are at least somewhat likely to “trade up” to a larger home, and of these, 88 percent are at least somewhat likely to consider a foreclosed property, according to the survey.


Renters are showing strong interest in buying foreclosed properties with 57 percent at least somewhat likely to purchase a distressed home in the future. Additionally, younger adult renters are significantly more likely to purchase a foreclosed home: 61 percent of renters ages 18-34 and 65 percent of renters between the ages of 35-44 are at least somewhat likely to consider purchasing a foreclosure compared to only 40 percent of renters 55 years and older.

Discounts & Opportunities

Consumers expect to get a lot for their dollar when purchasing foreclosed homes and are willing to invest: nearly two out of three U.S. adults (65 percent) expect a discount of 30 percent or more when buying a foreclosed property. Respondents in the Northeast expected the biggest discounts, with 43 percent expecting foreclosed homes to be discounted by 50 percent or more.

“Even during the darkest economic times, dreams don’t die. Foreclosures are providing never before seen opportunities for new segments of homebuyers and allowing renters to become first time buyers, allowing investors to grab great deals and allowing families to trade up to larger homes.” said Trulia co-founder and CEO Pete Flint.(top left photo)

 “Until unemployment levels off and starts to get better, we expect foreclosures to continue to play a big role in the 2010 housing market.”

According to the survey, 95 percent of U.S. adults are willing to invest money in renovations when purchasing a foreclosed property.

Additionally, more than half (55 percent) of respondents are willing to spend 20 percent or more of the purchase price to make improvements on a distressed property.

Trulia found in a separate study that that the average person invests up to $30,000 when purchasing a new home for things such as furniture, paint, hot water heaters, etc. As more consumers purchase distressed properties, excess housing inventory levels will decrease and additional money will be poured into other industries, helping to stimulate the economy as a whole.

Unnecessary Negative Stigma

“The most active and qualified buyers in today’s market are highly interested in foreclosures, which is not surprising given the discount that often comes with a foreclosure purchase” said Rick Sharga, (top right photo) senior vice president of RealtyTrac.

“It is somewhat surprising that consumers cite hidden costs as the biggest negative aspect to buying a foreclosed home because most bank-owned foreclosure sales include the same title protections and other safeguards that are in place for non-foreclosure sales.

"As myths such as this are put to rest and consumers take more time to educate themselves on the process for purchasing foreclosures, they will be able to take advantage of the great bargains that currently exist in the real estate market.”

The November survey found slightly lower levels of negative sentiment towards purchasing foreclosed properties; 81 percent of U.S. adults compared to 85 percent in May 2009. Comparison of top concerns among those who think there are negative aspects of purchasing a foreclosed home between May 2009 and November 2009 surveys:

Negative Sentiment         May 2009           November 2009

Hidden Costs                    71 percent             69 percent

Process is risky                 46 percent             48 percent

Home will lose value          31 percent            35 percent

 Most Likely to Buy Foreclosures

57 percent of U.S. adults ages 18-34 are at least somewhat likely to consider purchasing a foreclosed home, compared to a little less than one-quarter of those ages 55 and older (24 percent).

Current renters (57 percent) are more likely to consider purchasing a foreclosed home than current homeowners (38 percent).

One in two U.S. adults (50 percent) that are single/never been married are at least somewhat likely to consider purchasing a foreclosed property compared to 40 percent of adults that are married and 34 percent of adults that are divorced/separated/widowed.

For more information about Trulia or to experience the power of a Trulia search, please visit http://www.trulia.com/.

For more information about RealtyTrac and to access its nationwide foreclosure data, please visit http://www.realtytrac.com/.

 About Trulia, Inc.

Trulia, Inc. has revolutionized real estate search by offering a rich, intuitive user experience to help consumers find homes for sale, track local price trends, compare properties and neighborhood data all at the hyper-local level. Trulia Voices, the largest real estate community on the web, allows home buyers, sellers, agents and real estate enthusiasts to ask questions, receive advice and blog on topics such as the buying and selling process, foreclosures, refinancing and more. Trulia’s user-friendly search can also be accessed on more than 170 websites as a result of our media partnerships. Trulia has received a number of awards, including the 2009 Webby Award for real estate.

For more information, visit http://www.trulia.com/.

About RealtyTrac Inc.

RealtyTrac (www.realtytrac.com) is the leading online marketplace of foreclosure properties, with more than 1.5 million default, auction and bank-owned listings from over 2,200 U.S. counties, along with detailed property, loan and home sales data.

Hosting more than 3 million unique monthly visitors, RealtyTrac provides innovative technology solutions and practical education resources to facilitate buying, selling and investing in real estate. RealtyTrac’s foreclosure data has also been used by the Federal Reserve, FBI, U.S. Senate Joint Economic Committee and Banking Committee, U.S. Treasury Department, and numerous state housing and banking departments to help evaluate foreclosure trends and address policy issues related to foreclosures.

About Harris Interactive

Harris Interactive is one of the world’s leading custom market research firms, leveraging research, technology, and business acumen to transform relevant insight into actionable foresight.

 Known widely for the Harris Poll and for pioneering innovative research methodologies, Harris offers expertise in a wide range of industries including healthcare, technology, public affairs, energy, telecommunications, financial services, insurance, media, retail, restaurant, and consumer package goods.

Serving clients in over 215 countries and territories through our North American, European, and Asian offices and a network of independent market research firms, Harris specializes in delivering research solutions that help us – and our clients – stay ahead of what’s next.

For more information, please visit http://www.harrisinteractive.com/.

HFF secures $9.9M refinancing for multi-tenant industrial property in Chicago

LOS ANGELES, CA – The Los Angeles and Chicago offices of HFF (Holliday Fenoglio Fowler, L.P.) announced today that they have secured a $9.9 million refinancing for 9201 Belmont Avenue, a 536,800-square-foot industrial building in Chicago’s Franklin Park area.

HFF managing director Todd Sugimoto (top right photo) and director Kenneth Glomb worked on behalf of the borrower, Guggenheim Real Estate LLC, to secure the fixed-rate loan with American National Insurance Co.

This is HFF’s third transaction in the last 45 days on behalf of Guggenheim, having recently arranged the financing of Bear Valley Shopping Center (bottom left photo)  in Denver, Colorado and 800 Brickell in Miami, Florida.

9201 Belmont Avenue is situated less than three miles east of Chicago’s O’Hare International Airport close to the Tri-State Tollway approximately 12 miles northwest of downtown Chicago. The property is fully occupied.

Guggenheim Real Estate LLC manages an open-end diversified real estate portfolio.

 Guggenheim Real Estate LLC is a dedicated real estate investment manager with offices in New York, Boston, Chapel Hill, Charlotte and San Francisco that provides investors with a diversified core-plus real estate portfolio across a wide spectrum of the real estate market, including REITs, direct properties, mezzanine debt and private funds.


Todd Sugimoto, HFF Managing Director, (310) 407-2100, tsugimoto@hfflp.com
Kenneth Glomb, HFF Director, (312) 528-3650, kglomb@hfflp.com
Kristen M. Murphy, HFF Associate Director, Marketing, (713) 852-3500, krmurphy@hfflp.com

NAI Realvest negotiates new two leases totaling 13,100 SF at two Orlando industrial centers

ORLANDO, Fla. --- NAI Realvest recently negotiated two new industrial leases totaling 13,100 square feet at the 33rd Street Industrial Center and Hanging Moss Commerce Center.

Michael Heidrich, (top right photo) a principal in the firm, negotiated a seven year lease agreement representing the landlord, Columbus, Ohio based 33rd St. Industrial Properties, LLC for 11,100 square feet at 4600 LB McLeod Rd.

The new tenant is Orlando Metro Aquatics & Kidz Sports, Inc., which is owned by the same firm as Orlando Metro Gymnastics who currently occupy 23,000 square feet in the same center at 4658 LB McLeod, bringing their total space leased to 34,100 square feet.

Heidrich also negotiated a 26 month lease on behalf of landlord COP-Hanging Moss, LLC for 2,000 square feet of industrial space at Suite 420 in the Hanging Moss Commerce Center, (bottom left photo)  6112 Hanging Moss Rd. The new tenant is Serkan Erkan of Orlando.

For more information, please  contact:

Michael Heidrich, Principal, NAI Realvest 407-875-9989 mheidrich@realvest.com
Patrick Mahoney, President, NAI Realvest 407-875-9989 pmahoney@realvest.com
Beth Payan, Larry Vershel Communications, 407-644-4142 lvershelco@aol.com

NAI Realvest negotiates two sublease agreements totaling 7,195 SF of Class A office space in East Orlando High Tech corridor

ORLANDO – NAI Realvest recently negotiated two sublease agreements totaling 7,195 square feet of Class A office space at two office centers in East Orlando near University of Central Florida.

Senior Associate Mary Frances West, (bottom  right photo) CCIM negotiated the sublease of 4,169 square feet at 13501 Ingenuity Drive in Central Florida Research Park representing the sublessee Cole Engineering Services, Inc. of Orlando. The sublessor, Jardon & Howard Technologies, Inc. of Orlando was represented by Nick Poole of CNL Real Estate Services Corp.

In other business, West represented the sublessor Dynamic Campus Solutions of Mission Viejo, Calif. in a sublease of 3,026 square feet at 11486 Corporate Blvd. in the Quadrangle office park. Cybernet Systems Corporation of Ann Arbor, Mich. is the sublessee and was represented in the transaction by Paul Kelly of Coughlin Commercial.

For more information, please contact:

Mary Frances West, CCIM, Senior Broker Associate NAI Realvest, 407-875-9989 mfwest@realvest.com
Patrick Mahoney, President, NAI Realvest 407-875-9989 pmahoney@realvest.com
Beth Payan, Larry Vershel Communications, 407-644-4142 lvershelco@aol.com

Ashton Woods Homes Acquires 14 Home Sites with Option for More at Eagles Landing in Ocoee, FL

ORLANDO - Ashton Woods Homes has acquired 14 single family home sites at Eagles Landing, located on West Road off Ocoee-Apopka Road in Ocoee.

Michael Roche, vice president of sales and marketing for Ashton Woods Homes in the Orlando region, said the purchase includes an option to buy additional home sites.

All 14 home sites front on conservation areas, Roche said.

Ashton Woods Homes plans to build new single-family homes at Eagles Landing priced from the $200s.

Ashton Woods Homes is a subsidiary of the Great Gulf Group of Companies, a North American real estate conglomerate headquartered in Toronto, and currently has communities under development in Houston, Dallas, Atlanta, Phoenix, Tampa, Denver and Orlando.

For more informatio, please contact:

Michael Roche, VP Sales & Marketing Ashton Woods Homes-Orlando/Tampa, 407-647-3700; mroche@ashtonwoodshomes.com

John Reny, Division President, Ashton Woods Homes-Orlando/Tampa 407-647-3700

Larry Vershel or Beth Payan, Larry Vershel Communications, 407-644-4142

Chinamex Picks Atlantic Station in Atlanta for U.S. Headquarters

Business Matching Group Signs Lease at 201 17th Street

ATLANTA, GA—Chinamex, a business incubator that connects Chinese companies with those across the globe, has selected Atlantic Station (below centered  photo) for its U.S. headquarters. The new location will focus on helping Chinese enterprise conduct business with companies in North America and South America.

Chinamex Americas LLC leased nearly 14,000 square feet on the ground floor at 201 17th Street, a 1-story, 350,000-square-foot office tower in Atlantic Station. The tower at 201 17th Street meets the U.S. Green Building Council’s criteria for LEED ™ Gold certification.

In July, Chinamex said it would locate its U.S. headquarters in Atlanta after also considering San Francisco. This fall, the group selected Atlantic Station. Its space is currently in the build-out phase. Chinamex has scheduled a media briefing and ribbon cutting ceremony including an expected contingency of government officials and corporate senior executives from Hubei Province for Monday, Dec. 14.

“We believe Atlanta is best suited for our U.S. headquarters based on the scope of global business done here daily, and superior accessibility to all North American and South American markets,” said Chinamex Chief Representative Hanson Zhang. (top right photo) 

 “Atlantic Station’s central location and concentration of businesses makes it a great fit for our U.S. headquarters. We look forward to a long and mutually prosperous engagement with all of our stakeholders in China, the State of Georgia, and the City of Atlanta.”

Chinamex, owned by Beijing businessman Feng Hao, (middle left photo)  helps small- and mid-sized companies in China begin operations in foreign countries.

“Landing a leading-edge international incubator like Chinamex reinforces Atlantic Station as a focal point of business, finance and commerce in Atlanta and the region,” said John S. Whitaker, (middle right photo) managing director of AIG Global Real Estate, which owns Atlantic Station. “We’re proud to be a partner with Chinamex, and we’re excited about the opportunities, jobs and commerce Chinamex will bring to Georgia.”

Mike Shelly, senior vice president and Sonia Winfield senior associate with Carter represented AIG in the lease. Frank Mann and Tony Zivalich senior directors for Cushman & Wakefield represented Chinamex.

Mann commented, “This is hugely positive because it represents another example of a major global enterprise selecting Atlanta as the platform for their U.S. operations.

Numerous parties worked together to secure Chinamex including our state and local officials, the National Association of Chinese-Americans and the Metro Atlanta Chamber of Commerce. We look forward to continuing to foster new relationships with the affiliate companies working with Chinamex.”

The Atlantic Station® community is a national model for smart growth and sustainable real estate development.

Master developed by AIG Global Real Estate and officially opened in 2005, the 138-acre community is an environmental redevelopment and reclamation of the former Atlantic Steel Mill. Located at the nexus of Interstates 75 and 85 in Midtown Atlanta, Atlantic Station is ultimately projected to include 12 million square feet of retail, office, residential and hotel space as well as 11 acres of public parks.

 Providing homes for 10,000 people, employment opportunities for 30,000 and shopping and entertainment options for millions more, this 24-hour neighborhood buzzes as one of the premier “live/work/play” communities in the United States.

One of the country’s leading full-service commercial real estate firms since 1958, Carter offers a diverse range of services to deliver value for our clients.

 An Atlanta-based privately held company with 400 associates, Carter has successfully and responsibly navigated five decades of commercial real estate cycles.

The firm’s size allows Carter to nimbly respond to client needs and opportunities while still offering all of the resources of the industry’s largest players. Carter consistently provides clients with the highest-caliber professionals throughout every facet of the company.

With a focus on integrity, commitment, and excellence, Carter associates are passionate about creating value through relationships. Carter associates have a history of successfully nurturing long-term client relationships, often spanning several decades. For additional information on Carter, please visit www.carterusa.com.


Paul Snyder for Chinamex Americas LLC, A. Brown-Olmstead Associates, 404-659-0919 office/404-414-4240 cell, paul@newaboa.com

Tanya Dunne for MACOC, Metro Atlanta Chamber of Commerce, 404-586-8471, dunne@macoc.com

Alison Tyrer for Ga. Dept. of Econ. Dev’mt, Georgia Department of Economic Development, atyrer@georgia.org

Media Contacts:

Tony Wilbert for Carter, Wilbert News Strategies LLC, 404-888-3091 office/404-405-3656 cell

Walter Woods for AIG/Atlantic Station, Cohn & Wolfe, 404-229-4010 office/404-260-3564 cell