Monday, October 21, 2013

HFF secures $27 million financing for West Hollywood, CA retail center

Hollywest Promenade, West Hollywood, CA

Brad Black
LOS ANGELES, CA – HFF announced today that it has secured $27 million in financing for Hollywest Promenade, a 120,173-square-foot retail center in the West Hollywood submarket of Los Angeles, California.

HFF worked on behalf of Shooshani Developers, LLC to secure the 15-year, fixed-rate loan with Aegon USA Realty Advisors, LLC, the commercial real estate investment and management arm of the AEGON Asset Management companies.

Hollywest Promenade is located at the intersection of Hollywood Boulevard and Western Avenue just west of Highway 101.  Built in 2002, the property is 95 percent leased to tenants such as Ross Dress for Less, Ralph’s, Quizno’s Subs and Jamba Juice.

Tony Shooshani
The HFF team was led by managing director Brad Black and senior real estate analyst Jeff Sause.    Shooshani Developers was represented by managing member Tony Shooshani.

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

 Kristen M. Murphy
Associate Director
HFF | One Post Office Square, Suite 3500 | Boston, MA 02109
Main: 617-338-0990 | Direct: 617-848-1572 | Cell: 617-543-4873 |

HFF arranges $110 million permanent financing for 25 Broad at the Exchange in Manhattan’s Financial District

25 Broad Street, financial district, Manhattan, NY

John Mikula
FLORHAM PARK, NJ – HFF announced today that it has arranged a $110 million permanent financing for 25 Broad at the Exchange, a newly-renovated, 308-unit, Class A multi-housing property in Manhattan’s Financial District.

               HFF represented LCOR to secure the seven-year, fixed-rate permanent loan with Northwestern Mutual Life Company. 

25 Broad at the Exchange is located in downtown Manhattan adjacent to the New York Stock Exchange.

Jim Cadranell
 Originally built in 1902, the newly renovated property is 95 percent leased and consists of 308 luxury units (19 penthouse units), which include studio, one-, two- and three-bedroom options. 

The property also includes three commercial units: Bobby Van’s Steakhouse, Canali and a dry cleaner.  Building amenities include a fitness center, yoga studio, children’s playroom, resident lounge, billiards room, golf simulator and rooftop lounge.

               The HFF team representing the borrower was led by senior managing director Jon Mikula and managing director Jim Cadranell.

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

 Kristen M. Murphy
Associate Director
HFF | One Post Office Square, Suite 3500 | Boston, MA 02109
Main: 617-338-0990 | Direct: 617-848-1572 | Cell: 617-543-4873 |

Faris Lee Investments Completes $13.2 Million Sale of The Monet at Victoria Gardens Mall in Rancho Cucamonga, CA

The Monet at Victoria Gardens Mall, 12455 Victoria Gardens Lane
Rancho Cucamonga, CA

IRVINE, CA, Oct. 21, 2013 – Faris Lee Investments, the nation’s largest retail-specialized investment advisory firm, has completed the $13.2 million sale of The Monet at Victoria Gardens Mall, a fully occupied, 31,407-square-foot retail center located at 12455 Victoria Gardens Lane in Rancho Cucamonga, Calif.

Jeff Conover
The Monet is an outparcel to Victoria Gardens, a regional mall totaling more than 1.9 million square feet. Tenants at The Monet include Destination XL, Destination Maternity, Shakey’s Pizza, Pacific Dental and others.

 Jeff Conover and Matt Mousavi of Faris Lee Investments represented the buyer, Fit Development, LLC from Sacramento, as well as the seller, Monet in Rancho Development, LLC from Indianapolis. The sale garnered a high $420 per-square-foot price.

 “The property never hit the market as we were able to deal-match the buyer with the seller through our FLI Exchange database,” said Jeff Conover, senior managing director with Faris Lee Investments.

Matt Mousavi
“We identified the buyer who was in a 1031 exchange and needed to purchase another property within its required time frame, and that matched its return threshold. The seller was seeking a compressed transaction time as well. Overall, we were able to craft a seamless transaction situation for both parties.”

 Built in 2007, The Monet at Victoria Gardens Mall is situated on 2.66 acres and is located in the cultural and commercial heart of the City of Rancho Cucamonga at the on/off ramp to Foothill Blvd. and Interstate 15. Victoria Gardens Mall is home to national retailers including JCPenney, Macy’s and Bass Pro Shops Outdoor World.

The property is within a very strong demographic area with approximately 950,000 consumers and more than 306,000 daytime employees within a 10-mile radius, and an average annual household income in excess of $92,000 within a one-mile radius of the property.

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

Darcie Giacchetto
Spaulding Thompson & Associates
For Faris Lee Investments

MISMO® Version 3.3 Reference Model Released for Public Comment


WASHINGTON, DC (October 16, 2013) – MISMO is pleased to announce the release of version 3.3 of the MISMO® Residential Reference Model for public comment.  The public comment period will remain open from Wednesday, October 16, 2013 through Monday, December 16th, 2013. 

Michael Fratantoni
“Version 3.3 of the MISMO Reference Model provides the mortgage finance industry with the standards needed in today’s rapidly changing regulatory and compliance environment,” said Mike Fratantoni, President of MISMO. 

“MISMO is grateful to the many contributors from across the mortgage finance industry who worked tirelessly to make Version 3.3 of the Reference Model a reality.  Their dedication and expertise is invaluable.”

The release of Version 3.3 of the model is an important milestone for MISMO given the current regulatory environment.

 This version of the model includes new data points and structures related to a number of recent regulatory and reporting requirements including the CFPB’s Integrated Closing Disclosures, HOEPA High Cost Loans, GSEs Uniform Mortgage Servicing Dataset (UMSD), FHA Automated Underwriting (TOTAL Scorecard) and Ginnie Mae’s Pool Data Delivery dataset.

A new and improved Logical Data Dictionary (LDD) format is also being rolled out with Version 3.3.

Full details on model enhancements can be found in the Version 3.3 Release Notes and Version 3.3 of the MISMO Reference Model. Any comments regarding Version 3.3 should be e-mailed to

Use of the MISMO standards is governed by the MISMO Intellectual Property Rights (IPR) Policy.  For more information on the policy, please click here. 

MISMO®, the Mortgage Industry Standards Maintenance Organization, is the voluntary standards development body for the mortgage industry. 

Voluntary use of MISMO standards reduces processing costs, increases transparency and boosts investor confidence in mortgages as an asset class, while creating cost savings for the consumer. For more information, visit

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

Rob Van Raaphorst
(202) 557-2799

Randy Gilster Elected Chair of MISMO Residential Standards Governance Committee


Harry Gardner
WASHINGTON, DC (October 17, 2013) – The Residential Standards Governance Committee of the Mortgage Industry Standards Maintenance Organization (MISMO) has elected Randy Gilster to Chairman of the Committee. 

Randy will fill the remainder of the term left unfilled by the departure of Harry Gardner, who was appointed to the Board of Directors of MISMO.

“I’m honored to assume these responsibilities at a time of great transition within the mortgage industry,” said Gilster.  “MISMO is an incredible asset to the industry and ultimately to the consumers of mortgage credit. 

“As the industry works towards compliance with new regulations and initiatives, MISMO will be an integral part of the solution.  We will continue to build on the incredible efforts of those who have contributed to the MISMO standards over the last decade.”

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

Rob Van Raaphorst
(202) 557-2799

Lincoln Wins Assignment to Lease 128,837-Square-Foot Phoenix Park in Metro Atlanta

Phoenix Park office complex near Hartsfield-Jackson Atlanta International Airport

ATLANTA, GA (Oct. 21, 2013) – Lincoln Property Company Southeast (Lincoln) has been awarded the exclusive leasing assignment for Phoenix Park, a three-building, 128,837-square-foot office complex near the Hartsfield-Jackson Atlanta International Airport in the southern part of the metro area. OA Development recently purchased the property.

Michael Howell
 Michael Howell, vice president of office leasing for Lincoln, and Jeff Henson, a senior associate in the firm’s Office Leasing Group, will lease the complex, which features a two-story medical office building and two, two-story traditional office buildings. Phoenix Park currently has an occupancy rate of 91 percent.

 Lincoln provides leasing services for OA Development’s entire metro Atlanta portfolio, which now totals nearly 1 million square feet.

Jeff Henson
Included in the OA portfolio is the six-building, 175,000-square-foot Royal Phoenix Business Park, which is adjacent to the Phoenix Park. At Royal Phoenix, Lincoln recently brokered a 4,726-square-foot lease with Healthcare Staffing Inc. Howell and Henson of Lincoln represented OA Development in the transaction.

 “We are tremendously excited about this assignment and are extremely appreciative of the continuing confidence shown in our team by OA Development,” said Tony Bartlett, senior vice president for Lincoln who oversees the firm’s Atlanta office.

Tony Bartlett
“Phoenix Park is a quality asset in a good submarket, and I know Michael and Jeff will do a great job increasing value at the property for OA Development.”
 For a complete copy of the company’s  news release, please contact:

Stephen Ursery
The Wilbert Group

Bidding Wars: Office Investment Sales Gain Popularity


ATLANTA, GA (Oct. 21, 2013) – Office investment sales are gaining traction as a new wave of buyers has emerged, bidding up pricing and driving investors to second-tier markets in their search for higher yields.

Michael Bull
Those were a few of the points made during the most recent episode of the “Commercial Real Estate Show” radio program, hosted by Michael Bull of Bull Realty. Bull and his guests discussed investor demand, financing and cap rates.

Year-to-date, office investment sales volume has totaled about $65 billion nationwide, said Dan Fasulo, managing director of Real Capital Analytics. Sales are expected to remain strong through the end of the year, given that the fourth quarter is historically the most active quarter for office transactions, he added.

Dan Fasulo
“In the past 12 months, we have seen about 700 new funds or buyers enter the market for $2.5 million-and-above office properties,” said Casey Keitchen, vice president of Bull Realty. “The number of active buyers is approaching an all-time high.”

Active buyers are as diverse as they were at the height of the market, Fasulo added. “Everyone, from institutional investors to private investors, [is] back with a vengeance,” he said. Additionally, both public and private REITs have re-entered the market.

Casey Keitchen
“Debt is really fanning the fire in the investment arena, particularly CMBS loans that are readily available, even for suburban or value-add properties,” Keitchen said.

Financing is even available for secondary markets and transitional assets that were starved for capital during the last few years, Fasulo said. “We have to figure out how to keep the CMBS channel open because it is really helping the market be as healthy as it can be,” he added.

With so many buyers chasing office properties, some investors have been forced to move away from Class A assets or primary markets.

John Davidson
“We are looking off the beaten path at some secondary markets and suburban markets,” said John Davidson, southeast regional director of Parmenter Realty Partners.

Distressed or value-add product has been popular with buyers as well, Davidson said. “I’m working on a number of deals for highly distressed assets that were purchased at the bottom of the market,” Keitchen added.

On average, cap rates are around 5.8 percent, but can vary depending on the market and asset, Davidson said. “At the bottom of the market in 2010, cap rates were about 8.8 percent, so there’s been incredible movement,” he added. “However, there’s still room for compression and income growth.”

The entire episode on the office investment market is available for download at The next “Commercial Real Estate Show” will be available on Oct. 24 and will examine the U.S. retail market.

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

Stephen Ursery
The Wilbert Group

Meridian Capital Group Arranges $19 Million in Acquisition Financing for Nine Office Buildings Located in Alpharetta and Duluth, GA

Brookside Concourse, 3655 Brookside Parkway, Alpharetta, GA

 Boca Raton, FL, Oct. 21, 2013, – Meridian Capital Group, LLC, a leading national commercial real estate finance and advisory firm, negotiated $19 million in acquisition financing for the purchase of Brookside Concourse in Alpharetta, GA and Chattahoochee Corners located in Duluth, GA.

Chatahoochee Corners,
3450 Corporate Way, Duluth, GA

 The three-year, non-recourse loan features a floating-rate of 4.68% initially and was provided by a balance sheet lender. This transaction was negotiated by Meridian Capital Group Managing Director, Michael Brown and Director, Noam Kaminetzky who are located in the Company’s Boca Raton, FL office. 

 The 70% occupied Brookside Concourse consists of four buildings, totaling 153,500 square feet and is located at 3655 Brookside Parkway in Alpharetta, GA. The 60% occupied Chattahoochee Corners consists of five buildings totaling 250,000 square feet and is located at 3450 Corporate Way in Duluth, GA.

 “Based on an in-depth analysis of the borrower’s business plan, Meridian was able to structure a non-recourse acquisition bridge loan based on a relatively high loan-to-cost with full funding of capital expenditures, leasing commissions and tenant improvements,” said Mr. Brown.

“This client has a proven model and Meridian successfully negotiated accretive financing with a low interest rate and a flexible structure to help them accomplish their business plan,” he added.

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

Jonathan M. Stern
Managing Director
Meridian Capital Group, LLC
1 Battery Park Plaza, 26th Floor
New York, NY 10004
Direct: 212.612.0181
Fax: 212.201.5181

EagleBridge Capital Arranges Mortgage For Dollar General Plaza in Williamstown, MA

Boston, MA -- EagleBridge Capital has arranged construction and permanent mortgage financing in the amount of $1,275,000 for Williamstown Plaza located in Williamstown, Massachusetts 

Ted M. Sidel
The mortgage financing was arranged by EagleBridge principals Ted M. Sidel and Brian D. Sheehan who stated that the loan was provided by a regional thrift institution.

Dollar General Plaza is a 10,235 square foot neighborhood shopping center located at 384 Main Street (Route 2).  The financing included the build-out of a new 8860 square foot Dollar General store and the repayment of an existing mortgage.

The Plaza is NNN to Dollar General (8860 sf) and Subway (1375 sf).  Dollar General is one of the largest retailers by number of stores in the United States with 10,700 stores in 40 states.

Brian D. Sheehan
Its stores sell private and national branded items that are frequently used and replenished including food, snacks, health and beauty aids, cleaning supplies, basic apparel, and housewares at everyday low prices. Subway is a chain of more than 40,000 restaurants located in 102 countries worldwide.

EagleBridge Capital is a Boston-based mortgage banking firm specializing in arranging debt and equity financing as well as joint ventures for shopping centers, condominiums, apartments, office, industrial, r & d and medical buildings, hotels and mixed use properties as well as special purpose buildings.

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

Stanley J. Sidel
Senior Advisor
EagleBridge Capital
33 Broad Street
Boston, MA 02109
Tel: 617-292-7177 Ext. 14

PKF Consulting USA Reports Healthy Hotel Guests Drive Spa Revenues and Profits


Boston, MA, Oct. 21, 2013– While U.S. hotel guests are curbing their appetite for hotel restaurants and room service, they appear to be expressing a desire for pampering and wellness.

Andrea Foster
 For the second consecutive year, hotel spa revenues and profits have increased at a pace greater than other non-rooms department sources of hotel revenue. 

According to the recently released 2013 edition of PKF Consulting USA, LLC’s (PKFC) Trends® in the Hotel Spa Industry report, spa department revenue increased by 5.0 percent at the properties in the survey sample. 

  For reference purposes, this compares favorably to the 2.3 percent increase in food and beverage revenue, the second largest source of revenue for most hotel.

 “Due to its historical stigma as a luxurious amenity, spa revenue initially lagged behind the growth of other revenue sources during the early stages of the recovery,” said Andrea Foster, vice president and national director of spa and wellness consulting for PKFC. 

“However, the 2012 increase in spa revenue is a trend we anticipated would occur.  There has been a notable focus shift to wellness, specifically taking better care of ourselves for improved health and quality of life, of which spas are an important part.”

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

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

39-Story Condo Tower Slated For Greater Downtown Miami Waterfront Site

                            (Photo from website of Daniel Hornek, PA Realtor, Miami, FL)

MIAMI, FL -- As the South Florida housing market increasingly rebounds from the real estate crash of 2007, a veteran high-rise developer with ties to New York City is proposing a new 39-story condo tower fronting Biscayne Bay in the Biscayne Boulevard Corridor of Greater Downtown Miami, according to a new report from

Marina Blue Tower condos, Miami
The developer - an entity controlled by Robert Vecsler of the Hyperion Group - plans to build the 129-unit project - dubbed the MBay - on a 0.9-acre site in the 700 block of Northeast 26th Terrace in Greater Downtown Miami, according to the Miami Real Deal.

In the Greater Downtown Miami market, a combination of domestic and international developers - in unrelated projects - are now proposing to construct 41 towers with more than 12,100 new condo units in a market that stretches from the Julia Tuttle Causeway south to the Rickenbacker Causeway, and Biscayne Bay west to Interstate 95 as of October 17, 2013, according to the Preconstruction Condo Projects Database™ compiled by the licensed Florida brokerage CVR Realty™.

Overall in South Florida, at least 172 new condo towers with nearly 22,600 units are proposed, planned, under construction, or recently completed in the tricounty South Florida region of Miami-Dade, Broward, and Palm Beach as of October 17, 2013, according to the Preconstruction Condo Projects Database™ compiled by the licensed Florida brokerage CVR Realty™.

In Greater Downtown Miami, the Hyperion-controlled development group acquired the site - which includes a 58-unit rental building constructed in 1982 - for the proposed MBay tower for $9.9 million - or $265 per square of land - in a deal that transacted in August 2012, according to Miami-Dade County records.

Blue Tower condos, Miami
The land for the proposed MBay project has a 2013 value of nearly $3 million while the existing rental tower has a value of $5.3 million, according to the Miami-Dade Property Appraiser's Office. 

During the last South Florida condo boom, Hyperion-controlled entities developed the 35-story Blue tower in 2006 and the 57-story Marina Blue tower in 2008, according to the Condo Vultures® Official Condo Buyers Guide To Greater Downtown Miami™.

The 330-unit Blue condo tower sold out for nearly $153 million while the 516-unit Marina Blue condo tower sold out for nearly $208 million, according to an analysis of government records. 

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

Condo Vultures® LLC
 225 Midtown Building
225 NE 34th St.
Suite 209B,
Downtown Miami, Florida, 33137.


Trepp CMBS Loss Analysis: Volume Drops, Loss Severity Up Slightly

NEW YORK, NY -- After a near-record amount of loan liquidations in July, August saw volume cut in half. September saw another drop, falling well below the trailing 2.75 year average. September liquidations totaled $870 million, relative to the 12-month moving average of $1.26 billion and 20% below August’s $1.09 billion.

September loss severity registered 43.30%, up from August’s 40.90% but below the 12-month moving average of 43.99%. 

The number of loans liquidated in September was 92, resulting in $376.78 million in losses. The liquidations translated to an average disposed balance of $9.46 million, below the 12 month average of $11.29 million. 

Since January 2010, servicers have been liquidating at an average rate of $1.18 billion per month.

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

Eric R. Gerard
Senior Vice President
Great Ink Communications
27 Union Square West, Suite 205
New York, NY 10001
(212) 741-2977

What Kind of Cash Can Bondholders Expect for Deeply Discounted Bonds? Trepp Looks Back at Losses Over the Last Five Years

 NEW YORK, NY -- Trepp noted last week (as well as today) that CWCapital would be selling more than $2.6 billion of non-performing assets over the next two months, and that  CMBS mezz buyers would have to figure out which liquidations could result in big repayments of existing interest shortfalls.

This news proved timely for some research we've been working on, in which we determine how much written-off bonds have been receiving on average in the months before their balance gets written off.

Since the credit crisis began in late 2008, over one thousand bonds have seen their balances written off to zero. As we've learned over that time period, many of the tranches get sizable payoffs in the months before (or in the month of) final write down.

These sizable cash flows normally come from recovery of ASER amounts that flow through a deal's cash flow waterfall, paying back accumulated interest shortfalls along the way.

To get a sense of what investors have been receiving from these "dead tranches walking," Trepp asked their data team to comb through the rubble to come up with some metrics. As you will see, there is sometimes gold in them hills.

To start, the team looked only at tranches that have been written down in full. The universe of deals included only conduit deals and issues from 2005 through 2008.

Overall, 1,149 tranches (excluding rake classes) have been written off entirely. Of this group, 15.3% of the classes were original first loss classes and 14.6% were second loss classes. For all 1,149 bonds in the group, we summed up all cash flow over the prior 12 months (including the month of final write down) to get a sense of how much cash these bonds were generating.

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

Eric R. Gerard
Senior Vice President
Great Ink Communications
27 Union Square West, Suite 205
New York, NY 10001
(212) 741-2977