Tuesday, December 13, 2011

Marcus & Millichap facilitates sale of a 52,465-SF Self-Storage Facility in Brandon, FL for $2.125 MIllion


BRANDON, FL, Dec. 13, 2011 – Marcus & Millichap Real Estate Investment Services, the nation’s largest real estate investment services firm, has announced the sale of Brandon Mini Storage (top left photo), a 52,465-square foot self-storage facility located in Brandon, Fla., according to Bryn D. Merrey, vice president and regional manager of the firm’s Tampa office. The asset commanded a sales price of $2,125,000.

Michael A. Mele (lower right photo), first vice president investments and senior director of the National Self-Storage Group in Marcus & Millichap’s Tampa office, had the exclusive listing to market the property on behalf of the seller, a private investor from Brandon, Florida.  The listing agent also represented the buyer, a partnership based out of California.

 Brandon Mini Storage is located at 203 Providence Road.  The property was built in 1978 and final expansions were completed in 1997.  Situated on approximately 4.35 acres of land, this investment has 545 self-storage units, 46 are climate controlled, 432 are non-climate controlled and 67 are RV/boat parking spaces.  Amenities include security cameras, wide driveways, perimeter fencing and a manager’s office.

“Brandon Mini Storage was a non-distressed deal that traded at an aggressive price. This transaction highlights a positive outlook in the Florida self-storage industry. We anticipate more market rate deals like this one in 2012” says Mele. 

Press Contact: Bryn D. Merrey,Vice President/Regional Manager, Tampa
(813) 387-4700

Two New Faces at Grubb & Ellis

Jeremy Roy Joins Grubb & Ellis as Vice President, Office Group in Boston

 BOSTON, MA – Grubb & Ellis Company (NYSE: GBE), a leading real estate services and investment firm, today announced that Jeremy Roy (top right photo) has joined the company as vice president, Office Group.  He will focus on tenant and landlord representation in the downtown Boston office market.   

 “I got to know Jeremy while we were working together more than a decade ago and have consistently been impressed with his ability to grow his business and meet the needs of his clients,” said Michael Edward (lower left photo), executive vice president, managing director of Grubb & Ellis’ Boston office.  “His experience is broad, and his success has been helped along by his passion for the business.  I am thrilled he has joined our team.”

 With more than 14 years of commercial real estate experience, Roy joins Grubb & Ellis from Charterhouse Development, where he spent four years as a vice president specializing in retail real estate development, landlord representation and property management throughout northern New England.

Previously, he spent five years as an assistant vice president of Jones Lang LaSalle, focusing on the downtown Class A and B office market space.  Roy began his real estate career in 1997 with The Boulos Company in Portland, Maine.  He has represented a wide variety of clients from the technology, finance, legal, architecture, engineering, advertising and non-profit industries.   

 Roy holds a bachelor’s degree from the University of New Hampshire.

 John Rapp Joins Firm as Vice President, Retail Group, Petroleum Services in Newport Beach, CA Office

NEWPORT BEACH, CA. (Dec. 13, 2011) – Grubb & Ellis Company (NYSE: GBE), a leading real estate services and investment firm, today announced that John Rapp (middle right photo) has joined the company as vice president, Retail Group, and a member of the company’s Petroleum Services Group. 

He will partner with Timothy Haves, vice president, Retail Group, and leader of the Petroleum Services Group. 

 “John joins Grubb & Ellis with a 25-year career in the petroleum and retail industry, having worked for and with Exxon Mobil, Amerada Hess, Shell Oil, and Conoco Phillips, amongst others,” said Greg May (lower left photo), executive vice president, co-managing director of Grubb & Ellis’ Orange County offices.  “We couldn’t be more pleased to have him join our team and be expanding the petroleum service expertise we can offer to our clients.”

Rapp joins Grubb & Ellis from United Oil Company, where he was manager, Retail Sales, handling a diversity of duties, including: real estate acquisitions, rebranding new business service stations and facilitating the acquisition and streamlining of 80 Shell Oil Company service station locations.

 Previously, he was a senior vice president with KZ DevCo L.P. for five years, where he was responsible for retail shopping center acquisitions and development, with a primary focus on build-to-suit developments for CVS Pharmacy in Southern California.

Rapp holds a bachelor’s degree from San Diego State University. 

Contact:  Julia McCartney, Phone:  714.975.2230                                     
Email:  julia.mccartney@grubb-ellis.com          

HFF closes sale of and arranges $21.2 million financing for Ranch at Pinnacle Point in northwest Arkansas

DALLAS, TX – HFF announced today that it has closed the sale of and arranged financing for Ranch at Pinnacle Point (top left photo), a 392-unit, Class A multi-housing community in Rogers, Arkansas.

HFF marketed the property on behalf of the seller, Castle Hill Partners.  Hayman Woods purchased Ranch at Pinnacle Point free and clear of existing debt.  M&T (FNMA) provided the $21.2 million, seven-year fixed-rate loan, also arranged by HFF.

This is the second transaction HFF has sold to Hayman Woods and financed through M&T (FNMA) in the second half of 2011.  In August, Hayman Woods purchased Villas at Zaragosa, a 216-unit Class A multi-housing community located in El Paso, Texas.

The Ranch at Pinnacle Point is located at 5900 Stoney Brook Road close to Interstate 540, Pinnacle Hills Promenade and major employers including Wal-Mart, Tyson Foods and J.B. Hunt Transportation in northwest Arkansas. 

Completed in 2007, the property has 16 buildings with one-, two- and three-bedroom units averaging 924 square feet each. 

Community amenities include a swimming pool, game room, business center, 22-person movie theatre, jogging path, and attached and detached garages.  The Ranch at Pinnacle Point is 93.4 percent occupied.

The HFF investment sales team representing Castle Hill Partners was led by managing director Roberto Casas (top right photo).

 HFF’s debt placement team representing Hayman Woods was led by managing director Brian Carlton (lower left photo) and senior managing director Trey Morsbach (lower right photo)

Hayman Woods, LLC is an integrated real estate company focused on commercial and residential opportunities in the U.S. 

The firm is an SEC registered investment advisor and manages discretionary private equity funds, as well as discrete investment vehicles on behalf of institutions and high-net worth investors. 

The firm seeks to make opportunistic equity and debt investments on behalf of its investors in projects where it can leverage the acquisition, asset management, development, finance, and sales experience of the firm.

ROBERTO CASAS                                   BRIAN CARLTON                     
HFF Managing Director                             HFF Managing Director                
(214) 265-0880                                          (214) 265-0880                             
rcasas@hfflp.com                                     bcarlton@hfflp.com                    

HFF Associate Director, Marketing
(713) 852-3500

Stirling Sotheby’s International Realty Negotiates $1.5 Million sale of Tomoka Oaks Golf and Country Club in Ormond Beach, FL

ORLANDO, FL. – Stirling Sotheby’s International Realty’s Commercial Division recently negotiated the $1.5 Million sale of Tomoka Oaks Golf and Country Club (top left photo) at 20 Tomoka Oaks Blvd. in Ormond Beach.

 Mark Arnold (middle right photo), International Commercial Investment Specialist at Stirling Sotheby’s International Realty, negotiated the transaction representing the seller, Putnam State Bank, based in Palatka.

 Arnold said an Orlando area investment partnership purchased the property, which consists of an historic 18-hole golf course built in 1965 and 144 acres including 33 acres for future residential development. 

Tomoka Oaks is complemented by magnificent Oaks throughout the established residential community in Ormond Beach.  The prime location, in-town gentile and proximity to the beach have long attracted seasonal residents to the community, Arnold said. 

 “We fully expect the new ownership to bring the course and facilities back to the premier conditions of its storied past,” he said.

 Stirling Sotheby’s International Realty’s marketing efforts attracted extensive interest from area investors and developers as well as prospective buyers interested in golf course ownership and land development from across the country as well as international buyers, Arnold added.

 “The level of interest speaks highly of the attractiveness and future of the Ormond Beach area,” said Arnold.

 For more information, contact:

Mark Arnold, International Commercial Investment Specialist, Stirling Sotheby’s International Realty, 407-588-1260 marnold@stirlingsir.com

Roger Soderstrom, Owner/Founder Stirling Commercial Group, 407-588-1260;

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

CalPERS Selects PCA as Real Estate Consultant

SACRAMENTO, CA - The Board of the California Public Employees' Retirement System (CalPERS) has chosen Pension Consulting Alliance (PCA) Inc. to continue as its principal real estate consultant.

PCA has been the CalPERS Board of Administration's real estate consultant since 2009, but the contract was up for competitive review. The CalPERS Investment Committee made its selection after interviewing the top three finalists - PCA, Callan Associates Inc. and Courtland Partners Ltd - at its Dec. 12 meeting.

"PCA has provided the Board with valuable insight over the past few years as our real estate staff has worked to restructure our portfolio," said George Diehr (lower left photo) Chair of the Investment Committee and Vice President of the CalPERS Board. "We're confident their experience will continue to help us evaluate and assess potential investment opportunities in the future."

In February, the CalPERS Board adopted a new real estate strategy that focuses primarily on income-producing investments largely located in the United States. As of September 30, 2011, the market value of CalPERS real estate portfolio stood at $19.1 billion, up 26 percent from the same time a year ago.

"All the companies we interviewed for the role of Board real estate consultant had much to offer," said Rob Feckner (top right photo), President of the CalPERS Board. "PCA has shown they have the knowledge and skill to provide investment advice as we move forward with a strong, comprehensive real estate strategy."

The new contract is scheduled to take effect April 1, 2012.

External Affairs Branch
(916) 795-3991
Robert Udall Glazier, Deputy Executive Officer
Brad Pacheco, Chief, Office of Public Affairs
Contact: Wayne Davis, Information Officer

CalPERS Earns $695 Million Profit As First GI Partners Fund Closes

SACRAMENTO, CA – The California Public Employees’ Retirement System’s (CalPERS) has earned a profit of approximately $695 million from its investment in GI Partners Fund I, a 10-year-old fund that closed after selling its last asset.

CalPERS committed $500 million to GI Partners Fund I in 2001 as part of joint initiative between its real estate and private equity programs to invest in technology-related assets. The investment generated a 31 percent net annualized internal rate of return.

“These significant returns are a credit to GI Partners and CalPERS investment professionals’ performance over the past 10 years,” said Joseph Dear (top left photo), CalPERS Chief Investment Officer. “We have a long investing horizon, and the fund’s success is testimony to our commitment to an investment strategy that seeks superior risk-adjusted returns across all asset classes.”

GI Partners is a privately owned firm that invests in operating companies and assets in North America and Western Europe. CalPERS also has commitments of $500 million each to GI Partners Funds II and III, and GI Partners also manages more than $2 billion in assets in CalPERS CalEast real estate portfolio.

“We’re pleased that our investment in GI Partners Fund I has ended with such solid returns,” said Ted Eliopoulos (lower right photo), CalPERS Senior Investment Officer, Real Assets. “These strategic partnerships help us maintain our investment edge in a very competitive environment.”

External Affairs Branch
(916) 795-3991
Robert Udall Glazier, Deputy Executive Officer
Brad Pacheco, Chief, Office of Public Affairs
Contact: Wayne Davis, Information Officer

The Mayfair Hotel & Spa---Miami’s Artful, Eclectic Enclave

Coconut Grove, FL  –- An urban oasis, worlds away from the hustle and bustle of South Beach, the Mayfair Hotel & Spa (top left photo) creates a tropical air of romanticism just steps from the “Grove,” as it’s known among those who favor and frequent it.

 As Miami’s tucked-away treasure, the Grove is known for funky art galleries, sidewalk cafes and sunset sailing on Biscayne Bay; one of the world’s most beautiful sailing bays.

Strolling through the tree-lined walking town, guests uncover century-old estates such as Villa Vizcaya and the Barnacle or encounter ghostly sightings on a ghost tour of the Grove.  Year round, fans cheer on college and professional sporting teams, including Marlins’ baseball, Dolphins and Miami Hurricanes’ football as well as Miami Heat’s basketball, plus golf at nearby Biltmore and Doral.

To experience Miami’s eclectic’s Eden for an impromptu getaway or corporate commitment, call the hotel at 305-441-000, toll free at 1-800-433-4555 or visit our website at http://www.mayfairhotelandspa.com/

For a complete copy of the company's news release, please contact:
Tony Novoa
Director, Sales & Ma
3000 Florida Avenue
Coconut Grove, FL 33133
T: 305-779-4532 / F: 305-779-4549

PKF U.S. Hotel Forecast: Recovery Better For Some, Not All


Atlanta, GA, Dec. 12, 2011 – While many hoteliers are feeling angst and uncertainty caused by intimidating macroeconomic conditions, PKF Hospitality Research (PKF-HR) is assertively forecasting the continued recovery of the U.S. lodging industry.

 How well you do in 2012, however, will vary depending upon the price of your room and where you are located.

 According to the recently released December 2011 edition of Hotel Horizons®, PKF-HR forecasts that rooms revenue (RevPAR) for U.S. hotels will rise 8.1 percent in 2011, and increase another 6.1 percent in 2012.

 “Analyzing the performance of U.S. hotels in 2010 and 2011, we have seen the progression of indicators that one would expect during an industry recovery.  Occupancy levels increased in 2010, followed by real average daily rate (ADR) growth in 2011,” said R. Mark Woodworth (top right photo), president of PKF-HR.  “The only surprise has been the pace and magnitude of the surge in hotel demand.”

 Of greater importance is the future direction of lodging industry performance.  “Looking forward, we are seeing familiar signs along the road to recovery.  Owners and operators are now focused on more aggressive pricing policies, which in turn will translate into strong growth in hotel profits.  We believe market conditions during the next few years will allow them to achieve these goals,” notes Woodworth.

Hotel managers are eager to push room rates, but growth in ADR can have both positive and some offsetting consequences later,” warns John B. (Jack) Corgel (middle left photo)Ph.D., the Robert C. Baker Professor of Real Estate at the Cornell University School of Hotel Administration and senior advisor to PKF-HR.  “We know that RevPAR driven by ADR is more profitable for hotels. 

 However, Economics 101 says that price increases ultimately reduce the demand for a product or service.”

PKR-HR is forecasting U.S. lodging demand to grow 2.0 percent in 2012.  This is less than the annual growth rates observed in 2010 (+7.4 percent as reported by Smith Travel Research) and projected for 2011 (+4.8 percent).

 “Industry participants should not be alarmed,” Corgel said.  The pace of growth for indicators such as demand, occupancy, RevPAR, and net operating income will be slightly less in 2012 than they were in 2011.  This does not mean the industry is slipping back into a recession.  A deceleration in growth is to be expected at times during a recovery.  The trajectory of performance is still on the rise, just not as steep.”

 To purchase a December 2011 Hotel Horizon® report, please visit http://www.hotelhorizons.com/.  Reports are available for each of 50 major metropolitan areas in the U.S., and contain five year projections of supply, demand, occupancy, ADR, and RevPAR.

To receive a complete copy of the company’s news release, please contact:

 R. Mark Woodworth                                               Chris Daly
PKF Hospitality Research                                      Daly Gray Public Relations
Tel: 404 842 1150, ext 222                                    Tel: 703 435 6293
Email: mark.woodworth@pkfc.com                       Email: chris@dalygray.com
http://www.pkfc.com/                                                          http://www.dalygray.com/

Marshall Hotels & Resorts, Inc. Signs Five Management Contracts

SALISBURY, MD, Dec. 13, 2011—Officials of Marshall Hotels & Resorts, Inc., a leading, Maryland-based hotel management and services company, today announced the company has added five contracts to its management portfolio/ They are:

  • 142-room Radisson Hotel Cleveland-Gateway in Ohio (top left photo) 
  • 80-room Holiday Inn Express Braselton (top right photo) 
  • 139-room Hampton Inn Atlanta/Marietta (middle left photo)
  • 66-room Hampton Inn Cartersville (lower right photo), all in Ga
  • 113-room Hampton Inn & Suites currently under construction in Ocean City, Md.
 “A majority of investors and owners held back from making changes at the property level during the summer months to better determine what effects the economy would have on business and leisure travel,” said Mike Marshall (lower left photo) president and CEO.

 “Now it appears that owners and investors are tired of waiting for the economy to dictate what changes they make at their hotels.  Money has become more readily available for decision-makers to move forward with previously postponed changes.”

About the Properties

Holiday Inn Express Braselton—Located at 2069 Highway 211 Norwest in Braselton, Ga., the property is near Lake Lanier, Stonewood Riding Stables and Mall of Georgia.  The hotel features a swimming pool, 24-hour business center, complimentary hot breakfast and high-speed wireless Internet access.

Hampton Inn Atlanta/Marietta—Near Six Flags White Water and Kennesaw Mountain National Battlefield Park, the hotel is at 455 Franklin Road in Marietta, Ga.  The property offers a fitness center, swimming pool, business center, and the Clean and Fresh Hampton Bed.

Hampton Inn Cartersville—Located at 5600 Highway 20 SE in Cartersville, Ga., close to Etowah Indian Mounds State Historic Site, Allatoona Lake and Red Top Mountain State Park.  Spacious guest rooms provide free high-speed Internet connectivity, Clean and Fresh Hampton Bed, and large work desks and chairs.

Radisson Hotel Cleveland-Gateway—In proximity to the Rock & Roll Hall of Fame in downtown Cleveland’s historic Gateway District, the hotel is at 651 Huron Road in Ohio.  The hotel features the Sleep Number bed, complimentary high-speed wireless Internet access and on-site dining options at The Library Grille.

Hampton Inn & Suites—Currently under construction in Ocean City, Md. 

 “We have a long successful track record in operating resort properties all along the Eastern seaboard,” Marshall said.  “We are seeing increased demand and more interest in new development, an area where we have extensive expertise from permitting through construction and opening.”
About Marshall Hotels & Resorts, Inc.

Salisbury, Md.-based Marshall Hotels & Resorts, Inc. is celebrating 30 years as a hotel operating company.

  It has special expertise in operating three- and four-star branded hotels and resorts, averaging 100 to 500 rooms, in urban and central business districts, as well as suburban/drive-to and resort locations. 

 In addition, the company has a proven track record managing independent resort and unique urban properties.  The company has managed a wide array of leading hotel brands, including Hilton, Starwood, InterContinental Hotel Group, Hyatt, Choice and Wyndham.

 Additional information about Marshall Management may be found at the company's Web site: http://www.marshallhotels.com/.

Jerry Daly, media
Daly Gray Public Relations
 (703) 435-6293

Chris Daly
Daly Gray, Inc.
Ph: 703-435-6293
Cell: 703-864-5553