Wednesday, March 20, 2013

Historic Kansas City, MO Multifamily Asset Purchased for $12.7 Million

Library Lofts East, Kansas City, MO
 KANSAS CITY, MO, March 20, 2013 – Marcus & Millichap Real Estate Investment Services, the nation’s largest real estate investment services firm, has arranged the sale of Library Lofts East, two conjoined apartment buildings totaling 119 units in Kansas City’s redeveloped Library District.

 The $12,750,000 sales price equates to $107,143 per unit.

David Gaines, a vice president investments in Marcus & Millichap’s Chicago Downtown office and Alex Blagojevich, an associate vice president investments in the firm’s Tampa office, represented the seller, a Kansas City-based developer. The buyer is Steadfast Income REIT.

David Gaines
Matthew Fitzgerald, a first vice president and regional manager of Marcus & Millichap’s St. Louis, Mo. office, is the firm’s broker of record in Missouri.

“Apartment operations in Kansas City continue to firm as local employers add staff, driving new household formation and bolstering apartment demand,” says Gaines. “This year Kansas City employers will expand payrolls by 13,000 positions, the first annual increase since 2007.”

Alex Blagojevich
“Library Lofts East received a great deal of attention from the investment community,” adds Blagojevich, “especially from out-of-state investors seeking higher yields.”

The property location is 1004 Baltimore Ave. in Kansas City’s financial district, adjacent to the downtown branch of the Kansas City public library.

Library Lofts East is comprised of the 10-story Dwight Building, which was built in 1923, and the six-story 1906-built Burnap Building.  Both were retrofitted and renovated in 2003. 

The buildings feature a distinctive collection of one- and two-bedroom loft-style apartments with original hardwood floors, large windows, spacious closets and skylights. Community amenities include a connected parking structure, clubhouse and indoor pool.

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

Ben Johnson,
Marketing Director
(925) 953-1736

Chris Parker Joins Marcus & Millichap Capital Corp. as Associate in Dallas, TX

Chris Parker
DALLAS, TX, March 20, 2013 – Marcus & Millichap Capital Corporation (MMCC) has named Chris Parker as an associate in the firm’s Dallas office, according to William E. Hughes, senior vice president and managing director of MMCC.

            In his new position, Parker will arrange debt financing for all types of commercial real estate assets, including multifamily, retail, and office and industrial properties.

“Chris has a solid background in finance and financial structuring,” says Hughes. “His experience will be of great value to our clients in the Metroplex and throughout Texas.”

William E. Hughes
Prior to joining MMCC, Parker worked with BMC Capital LP as a loan officer in Dallas. He also worked for Berkadia Commercial Mortgage LLC as an asset analyst in Dallas and San Francisco, and as a client relations and portfolio manager in Tempe, Ariz.

            Parker graduated magna cum laude from Arizona State University, where he earned a Bachelor of Science degree in finance.

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

Ben Johnson,
Marketing Director
(925) 953-1736

Marcus & Millichap Announces Sale of Wingate by Wyndham Hotel in Mobile, AL

Wingate by Wyndham Hotel, Mobile, AL
MOBILE, AL, March 20, 2013 – Marcus & Millichap Real Estate Investment Services, the nation’s largest real estate investment services firm, has announced the sale of the Wingate by Wyndham, an 82-room interior corridor, limited service hotel located in Mobile, Alabama, according to Richard D. Matricaria, Regional Manager of the firm’s Tampa office.

Jonathan S.
 The undisclosed buyer and seller was represented by Jonathan S. Ruprai, a senior associate in Marcus & Millichap’s Tampa office and Edwin Greenhalgh, Alabama broker in the firm’s Birmingham office. Matt Fitzgerald, broker, assisted in closing this transaction.

The Wingate by Wyndham was built in 2005 and is located at 516 Springhill Plaza Court, directly off Interstate 65 and within nine miles of both downtown Mobile and Mobile Regional Airport.

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

Richard D. Matricaria
Regional Manager,
(813) 387-4700

$3.5 Million Multifamily Sale Arranged in South Pasadena, FL by Marcus & Millichap

Shore Drive Apartments, South Pasadena, FL
SOUTH PASADENA, FL,  March 20, 2013 – Marcus & Millichap Real Estate Investment Services, the nation’s largest real estate investment services firm, has announced the sale of Shore Drive Apartments, a 50-unit multifamily property located in South Pasadena, Florida, according to Richard D. Matricaria, regional manager of the firm’s Tampa office.

Casey Babb
The asset commanded a selling price of $3,500,000, which equates to $70,000 per unit.

Casey Babb, CCIM a senior associate in Marcus & Millichap’s Tampa office, represented the seller, a St. Petersburg-based family partnership and the buyer, Weller Residential, also based in St. Petersburg, Florida. 

Shore Drive Apartments was built in 1972 and is located at 1824 Shore Drive South.

“Shore Drive presented an increasingly rare opportunity to acquire one of only a handful of remaining waterfront apartment properties in the Tampa Bay area and consequently, the deal transacted very quickly,” says Babb.

 “The property had been owned by the seller since they developed it back in 1972, but had never undergone a major rehab.  

"The incoming buyer is planning a major renovation of the property exteriors, common areas, amenities and unit interiors over the initial 12-months and the property will be rebranded as Liv @ Boca Ciega.” 

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

Richard D. Matricaria
Regional Manager,
(813) 387-4700

Ackerman & Co. Announces Sale of Net-Leased Walgreens in Panama City, FL for $4.7 Million

Walgreens, Panama City, FL
Atlanta, GA – Ackerman & Co. has brokered the sale of a 14,820-square-foot, single-tenant, net-leased Walgreens in Panama City, Fla. for $4,660,000.

The Panama City Walgreens, built in 2006, is located at a highly traveled corner site in the Callaway submarket. The sale included the assumption of the existing CMBS mortgage. 

Jason Powell
The Ackerman & Co. investment sales team of Jason Powell and Andrew Murphy represented the seller, a private investor out of Los Angeles, California, in the transaction. The property was purchased by an affiliate of Moinpour Investments, LLC based in Santa Monica, Calif.   

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

Fara Wilson,
VP of Marketing
770. 913.3904 

$32.8 Million Government-Leased Office Complex Sold in Bakersfield, CA

100 East California Ave., Bakersfield, CA
BAKERSFIELD, CA – Marcus & Millichap Real Estate Investment Services, the nation’s largest real estate investment services firm, has arranged the sale of 100 East California Ave., a 166,565-square foot three-building office complex in Bakersfield that is 100 percent leased to Kern County, Calif. through 2028.

 There is no early termination clause in the lease.  The sales price of $32,825,000 equates to $197 per square foot.

Michael Lawrence

            Michael Lawrence, a senior vice president investments and Blake Bokosky, an associate, both in Marcus & Millichap’s Newport Beach office, represented the seller, an offshore investment company. Marty Cohan, a vice president investments in the firm’s West Los Angeles office, represented the buyer, an out-of-state private investor group.

Blake Bokosky
            “The investment provides the new owner with a well-located office asset that has an attractive current yield and requires little management,” says Lawrence. “With long-term tenancy, annual increases and an investment-grade tenant, 100 East California Ave. should continue to provide excellent returns well into the future.”

“The Bakersfield office market is currently one of the state’s best performing office markets with an extremely low 6.7 percent vacancy rate,” adds Cohan.

The complex is located on approximately 17.4 acres at the prominent commercial intersection of East California Avenue and Union Avenue; a signalized corner with a traffic count of 50,500 cars per day. The property has more than 450 feet of frontage on both avenues.

Marty Cohan
The office complex was designed and built for its current tenant, the Kern County Department of Human Services. The buildings serve as an administrative and service center for the delivery of social services to Kern County residents.

 The main building, which totals approximately 156,874 square feet and the 4,199-square foot family visitation building were built in 1988. The administrative annex totals approximately 5,492 square feet and was added in 2006.

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

Ben Johnson,
Marketing Director
(925) 953-1736

Charles Dunn Co. Names Rich Higgins Managing Director for South Bay, CA Office Market

Rich Higgins
LOS ANGELES, CA – Charles Dunn Company, one of the largest full-service regional real estate firms in the western United States, has named Rich Higgins as managing director. He will work out of the firm’s West Los Angeles office and will focus on growing the firm’s footprint in the South Bay office market.

 Higgins, a seasoned industry professional with extensive commercial real estate networks in the South Bay and across Southern California, began his career in 1982 as the representing broker for Skypark Medical and Office Center in Torrance, to date the city’s largest commercial development.

Darrell Levonian
“By joining Charles Dunn, Rich is provided with the opportunity to connect his vast network of satisfied clients with the company’s comprehensive real estate services,” said Darrell Levonian, executive managing officer with Charles Dunn Company. 

“His professional foothold in the South Bay is a valuable asset. As the industry evolves and becomes increasingly competitive, Rich’s adaptive, enduring business experience is well-matched with the company.” 

 Levonian has been a longtime colleague of Higgins and welcomed the opportunity to sync Higgins’ expertise with encouraging prospects in the South Bay market. As Charles Dunn takes advantage of its forward momentum and expands into additional markets, Higgins’ appointment was a strategic fit for the firm.

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

Darcie Giacchetto,
D.G. Communications, Inc.

Faris Lee Investments Completes $6.72 Million Sale of Multi-Tenant Retail Property Within Aliso Viejo Town Center in Aliso Viejo, CA

26731 Aliso Creek Road, Aliso Viejo, CA
 IRVINE, Calif., March 19, 2013 – Faris Lee Investments, the nation’s largest retail-specialized investment advisory firm, has completed the $6,725,000 sale of a two-story, 16,840-square-foot, free-standing retail building located at 26731 Aliso Creek Road in Aliso Viejo.

Built in 1999, the property is 93 percent occupied by several tenants with the largest being Stadium Brewing Company. 

  It is situated on just over one-acre of land and is located at the heart of the Aliso Viejo Town Center, a 700,000-square-foot regional shopping center, and one of the most dominant retail developments in Orange County.

Dennis Vaccaro
                Dennis Vaccaro and Christopher Tramontano of Faris Lee Investments represented the seller, Novato, Calif.-based Aliso Viejo Investors, LLC, as well as the buyer, Los Angeles-based Aliso Viejo Town Center, LLC.

                “The property was only on the market for three days before we secured a buyer,” said Vaccaro, senior managing director with Faris Lee Investments.

“The buyer had been seeking a property like this in the immediate area for several years. Properties within Aliso Viejo Town Center don’t go on the market very often; as the assets within it are seen as insulated, secure investments with minimal future competing development in the area.

“The Aliso Viejo retail trade area is underserved as the community’s master plan has limited retail development, which has subsequently kept lease rates higher than average and vacancy levels lower than average compared to other Orange County locations.”

                Aliso Viejo Town Center is located in the heart of Aliso Viejo and is the main shopping destination for the city’s residents. Major retail anchors at the center include Lowe’s, Ralphs Fresh Fare, Trader Joe’s, a 20-screen Regal Theatre, Michaels, T.J. Maxx, PetSmart, Barnes & Noble and others. The master-planned community of Aliso Viejo is located in South Orange County about four miles northeast of the Pacific Ocean.
For a complete copy of the company’s news release, please contact:

Darcie Giacchetto,
Spaulding Thompson & Associates
For Faris Lee Investments

Signs of Life: Experts on “Commercial Real Estate Show” Say Development Activity Finally Beginning to Pick Up

Michael Bull in studio
ATLANTA, GA – After years in a deep freeze, both the single-family and commercial development markets are showing some signs of a long-anticipated thaw.

 That was one of the observations of a panel of real-estate experts on the most recent episode of the “Commercial Real Estate Show” radio program, hosted by Michael Bull of Bull Realty. The show provided an enlightening look at the land and development market; topics included home-sale trends, commercial zoning tips and construction costs.

Brad Hunter
Some markets such as Phoenix and Las Vegas have experienced whopping 60 percent increases in single-family construction starts over the past year, and sales of existing homes are beginning to pick up velocity across the nation, particularly in close-in submarkets, said Brad Hunter, chief economist with MetroStudy.

 As single-family-home construction begins to ramp up, the supply of developed lots is declining, Hunter added. “Nationwide, you’ll see that there’s a 55-month supply of vacant, developed lots, but there’s only a 15- to 18-month supply in” certain submarkets in the Atlanta, Phoenix and South Florida areas, he said. “We have a very tight supply of lots [in those areas], and prices are going up very sharply as a result.”

Stephanie J. Toothaker
These trends will continue in the months ahead, Hunter predicted. “I think there’s going to be increased home construction, increased home sales and increased prices throughout 2013,” he said.

 Commercial development is picking up steam as well, according to show guests. “It’s no secret that during the downturn, development was completely dead … Planning and zoning boards weren’t even meeting because there was nothing on the agenda,” said commercial real estate attorney Stephanie Toothaker, a director with the Fort Lauderdale, Fla.-based Tripp Scott law firm.

 However, Toothaker and Michael Kaufman, CEO of Boca Raton, Fla.-based Kaufman Lynn Construction, both said they’ve recently seen an increase in rezoning applications for and the new construction of a variety of property types, including apartments, hotels, seniors housing and even country clubs.

Michael Kaufman
Despite the dramatically slower pace of new construction compared to the boom years just before the recession, construction costs continue to rise, Kaufman noted. The increase stems in part from the rising costs of commodities such as steel and PVC, and also from the higher wages contractors must pay to employees because of the smaller supply of construction workers. “We’re going to see construction costs continuing to rise,” Kaufman said.

 Even though real estate activity is beginning to quicken, lenders still remain cautious, Toothaker and Kaufman added.

 “From a development perspective, what my clients complain about is not that financing isn’t available,” Toothaker said. “It’s that the terms are not acceptable or that the banks will only lend on something that they perceive as a completely safe deal.”

The entire episode on the U.S. land and development market is available for download at The next “Commercial Real Estate Show” will be available March 21 and will provide a detailed examination of commercial real estate auctions.

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

Stephen Ursery
The Wilbert Group
Office: (404) 965-5026
Cell: (404) 405-2354

Griffin-American Healthcare REIT II Reports Fourth Quarter and Year End 2012 Results

Jeff Hanson
NEWPORT BEACH, CA– Griffin-American Healthcare REIT II, Inc. today announced operating results for the company’s fourth quarter and year ended Dec. 31, 2012. 

 “Griffin-American Healthcare REIT II enjoyed another year of tremendous growth and impressive accomplishments in 2012,” said Jeff Hanson, chairman and chief executive officer.

 “Not only did our nationwide portfolio of healthcare-related real estate more than triple in size based on aggregate purchase price compared to 2011, but as a result, important financial metrics also grew exponentially.

“ Normalized modified funds from operations and net operating income, for example, experienced growth of approximately 180 percent and 148 percent, respectively, as compared to 2011 due to our significant acquisition activity.

“ In addition, the company increased its investor distribution rate twice during 2012, from an annualized $0.65 per share to an annualized $0.66 per share in January and to an annualized $0.68 per share in November.”

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

Damon Elder
Senior VP, Marketing & Communications
American Healthcare Investors
4000 MacArthur Boulevard
West Tower, Suite 200
Newport Beach, CA 92660
(949) 270-9207 direct
(714) 356-1460 cell

HFF closes sale and arranges $14.5 million acquisition financing for Class A office building in Dallas, TX

2626 Cole, Dallas, TX
DALLAS, TX – HFF announced today that it has closed the sale of  2626 Cole, a 120,599-square-foot, Class A office building in Dallas’ Uptown/Turtle Creek submarket on behalf of an institutional advisor for an undisclosed amount. 

HFF also worked on behalf of the buyer, Beacon Investment Properties, to arrange a $14.5 million acquisition loan through Morgan Stanley Mortgage Capital, Inc. 
                 2626 Cole is situated on 1.44 acres along Cole Avenue in Uptown Dallas, east of Cedar Springs Road immediately north of downtown.  The nine-story, Class A property is 96 percent leased to tenants such as Leadership Network, Neopolitan, TPF Gas and Red Car.  

Beacon Investment Properties, LLC is a real estate investment manager and operator concentrating primarily on core-plus and value-add office properties in large MSAs in Texas and the eastern seaboard of the United States. 

 Beacon has six million square feet under management and has sponsored five close-end investment funds, as well as separate accounts with life insurance companies.

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

Kristen M. Murphy
Associate Director
HFF | 9 Greenway Plaza, Suite 700 | Houston, TX 77046
tel 713.852.3500 | cel 617.543.4873 | fax 713.527.8725 |

HFF secures first mortgage financing for two industrial assets in northern New Jersey

9-15 Riverside Drive, Pine Brook, NJ
FLORHAM PARK, NJ – HFF announced today that it has secured first mortgage financing for 9-11 Chapin Road and 9-15 Riverside Drive, two industrial assets totaling 156,835 square feet in Pine Brook, New Jersey.

                Working exclusively on behalf of The Frassetto Companies, Inc., HFF placed the 10-year, fixed-rate loan with a local community bank.

                9-11 Chapin Road and 9-15 Riverside Drive are located off Route 46 near the intersection of Interstates 80 and 287 in the northeastern portion of Morris County, New Jersey.  The properties are fully leased to multiple tenants.

Michael Klein
The HFF team representing The Frassetto Companies, Inc. was led by director Michael Klein and senior managing director Tom Didio.

                “Local banks in the northern New Jersey market continue to be extremely competitive on pricing, proceeds and structure for industrial transactions,” said Klein.  “In this instance the bank stacked up quite favorably against life insurance companies and CMBS providers and was awarded the deal accordingly.”

Thomas Didio
 The Frassetto Companies, Inc. is a family-owned and operated full-service commercial real estate firm that specializes in the acquisition, development and management of commercial real estate properties.  

The Bergen County, New Jersey-based company currently owns and operates over two million square feet of commercial space throughout the New Jersey/New York metropolitan region.

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

Kristen M. Murphy
Associate Director
HFF | 9 Greenway Plaza, Suite 700 | Houston, TX 77046
tel 713.852.3500 | cel 617.543.4873 | fax 713.527.8725 |

HFF arranges $250 million financing for three-property Omni Hotel portfolio

Omni Fort Worth, Fort Worth, TX
 DALLAS, TX – HFF announced today that it has arranged $250 million in financing for three Omni Hotels totaling 1,339 guest rooms located in Texas and Illinois.

HFF worked on behalf of the borrower, Omni Hotels Corporation, to secure the 15-year, fixed-rate loan through Prudential Mortgage Capital Company.

Individual property details are listed below:

Omni Fort Worth, 1300 Houston Street, Fort Worth, TX, 614 Rooms
Omni Houston, 4 Riverway, Houston, TX, 378 Rooms
Omni Chicago. 676 North Michigan Avenue, Chicago, IL,347 Rooms

Whitaker Johnson
The HFF team representing the borrower was led by senior managing director Whitaker Johnson, managing director John Bourret and associate director Jim Curtin.

                Omni Hotels Corporation is a subsidiary of TRT Holdings, a privately-owned, diversified holding company located in Irving, Texas.  Assets include Omni Hotels & Resorts, Gold's Gym International, Tana Exploration and numerous investments in public companies and various real estate ventures.  

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

Kristen M. Murphy
Associate Director
HFF | 9 Greenway Plaza, Suite 700 | Houston, TX 77046
tel 713.852.3500 | cel 617.543.4873 | fax 713.527.8725 |

Trump SoHo New York Creates Rotating Art Gallery in Partnership with Indiewalls

Duplex Penthouse, Astor Place
New York City
NEW YORK, NY – Trump SoHo New York and Indiewalls, an e-commerce art website, announce a partnership to enhance the hotel’s luxurious two-story Duplex Penthouse.

Vibrant pieces from up-and-coming local New York City-based artists have been unveiled to outfit the walls of the hotel’s largest penthouse. From celebrity-inspired paintings to post-modern montages, the curated artwork will operate as a rotating gallery.

The premiere exhibition, which includes works by Max Gleason, Jeremy Penn, Lee Everett, and Robert Herman, are on display for Duplex Penthouse guests from now through summer 2013.

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

Hwee Peng Yeo
Director of Asian Markets
Glodow Nead Communications
Level 21, Centennial Tower
3 Temasek Avenue
Singapore 039190

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