Ardaman & Associates secures contract with Health First

ORLANDO, FL, Oct. 22, 2008 — Ardaman & Associates Inc. has secured a contract with Health First for Viera Hospital (middle left photo) located in Viera, Fla.

According to Jason Manning, (top right photo) P.E., general manager of Ardaman’s Cocoa, Fla., office, the firm is already on site providing geotechnical engineering services.

Construction materials testing and Threshold Inspection services are slated to begin in November once construction starts. Hospital components include 64 patient beds, 20 intensive care beds, emergency room, cardiac care unit and a central energy plant in a new two-story, 220,000-square-foot facility.

The hospital was designed by HuntonBrady Architects of Orlando, Fla. Bovis Lend Lease is providing construction management services.
Ardaman & Associates has a long relationship with Health First having completed engineering services at the healthcare providers Palm Bay Community Hospital expansion in Palm Bay, Fla., and at the NRMC North Expansion in Melbourne, Fla.

Ardaman & Associates Inc. is an engineering practice providing geotechnical, environmental, water resources and facilities engineering, and construction materials testing to public, industrial and private clients worldwide.

The Company is headquartered in Orlando with offices in Bartow, Cocoa, Fort Myers, Miami, Pasco County, Port St. Lucie, Sarasota, Tallahassee, Tampa, and West Palm Beach, Fla., and in New Orleans, Baton Rouge, Shreveport, Monroe and Alexandria, La.

Established in 1959, Ardaman employs a professional, support and field staff of 550. Please visit ardaman.com for more details about services and experience.

(Dr. Wissa of Ardaman & Associates, bottom left photo)

Contact: Elaine Ingra, PR WORKS!, PH: 407 384-1344,
elainei@pr-works.com,

www.pr-works.com

Capital Commercial Partners Sells $12.08M Student Housing Portfolio in West Virginia

HUNTINGTON, WV – Capital Commercial Partners has negotiated the sale of a 325 bed student housing portfolio in Huntington.

The sales price of $12,080,000 represents a price of $37,169 per bed.

Richard Geisenfeld and Elliot Schneier, the firm’s managing partners along with Joseph McDonie; manager of the firms West Virginia office in Huntington, represented multiple sellers in the transaction.

The portfolio consisted of more than 16 properties surrounding the Marshall University campus and offers one- and two- bedroom units. The buildings vary in age and quality but boast an impressive occupancy history.

“During this turbulent time in the market, we were still able to arrange numerous financing options for the buyer who financed the deal with a new loan at 75% LTV, 30 year amortization, and 10 year term,” Schneier comments. “This transaction is another example of our ability to import capital from the around the country.” Geisenfeld added.

Capital Commercial Partners has closed in excess of $750,000,000 in real estate investment transactions across the U.S. They currently have offices in Ohio and West Virginia. The firm’s website http://www.nnn1.com/ is a national commercial real estate marketplace.

Ohio-based Capital Commercial Partners specializes in real estate investment brokerage throughout the US.

The company has a powerful marketing system for investment properties and combines product specialization; market expertise; state-of-the-art technology and established relationships with the largest pool of qualified investors globally.
http://www.nnn1.com/

Press Contact: Shelley Kaplan, Communications Department, (937) 241-5522

Capital Commercial Partners Sells $11.85M Dollar General Store Portfolio

DAYTON, OH- – Capital Commercial Partners has negotiated the sale of a 20 store Dollar General Portfolio located in several states. The sales price of $11,850,000 represents a capitalization rate of 9.0%.

Richard Geisenfeld, one of the firm’s managing partners, represented the seller in the transaction.

“Although much of the market is still on the sidelines waiting to see what the near term will hold, we continue to facilitate transactions," Geisenfeld comments. “The average lease term within this portfolio was 7 years and the stores were the typical rural Dollar General locations.”

The buyer was able to finance the deal with bank money at 70% LTV, 25 year amortization, and 7 year term,” Geisenfeld added.

Capital Commercial Partners has closed in excess of $750,000,000 in real estate investment transactions across the U.S. They currently have offices in Ohio and West Virginia. The firm’s website http://www.nnn1.com/ is a national commercial real estate marketplace.

Ohio-based Capital Commercial Partners specializes in real estate investment brokerage throughout the US. The company has a powerful marketing system for investment properties and combines product specialization; market expertise; state-of-the-art technology and established relationships with the largest pool of qualified investors globally.
http://www.nnn1.com/

Press Contact: Shelley Kaplan, Communications Department, (937) 241-5522

RECI Asks: Is There Any Correlation between Capitalization Rates and Years?

Numerology Adds Humor to Real Estate Capital Valuation Principals in an Uncertain Market

CHICAGO, IL, Oct. 22, 2008 -- The start of the mortgage meltdown over a year ago continues wrecking havoc on the real estate capital markets.

In particular, accurate property valuation is nearly impossible as buyers and sellers are sidelined due to limited debt availability.

Few properties are trading hands. Most investors believe values are trending downward in response to economic malaise, oversupply and lack of affordable debt.

(Treasury Secretary Henry Paulson, middle right photo)

As such, experts are using higher cap rates for valuating assets for most types of commercial and income properties. Lenders, in particular, are "creating" values by underwriting capitalization rates which may, or may not, reflect current market prices.

These cap rates are typically higher than many sellers are buyers expect, resulting in lower loan proceeds based on loan-to-value restrictions. Yet, owners often refuse to sell or acknowledge asset values based on lenders' higher cap rates, choosing to do nothing, instead.

In this stalemate, who's right and where are cap rates heading?

An amusing theory discussed by some experts as a humorous factoid suggests that current capitalization rates are directly correlated to the recent year numerical identity as indexed to the current real estate capital boom/bust cycle.

Today's market cycle peaked in 2007, with 2005 and 2006 ranking as the best years for very attractive valuations; in other words, low capitalization rates.

As for 2008, an 8% capitalization rate is the "strike price" for sellers motivated to liquidate properties.

While the markets are illiquid and few transactions leave any proof of value, an 8% capitalization rate reflects a weighted-average premium tied to the cost of capital for most types of income properties.

Applying the same logic in a downward market, 2009 should yield a 9% rate and a 10% cap rate would prevail in 2010.

Linking cap rates to year numerology is certainly an unrealistic discussion for measuring values in the currently volatile market.

Yet as investors search for answers in such uncertain times, numerology adds more theories to an already confusing time.

ABOUT US:

The Real Estate Capital Institute® is a volunteer-based research organization tracking debt and equity rate data. The Institute posts daily and historical rates including treasuries and short-term rates. The Real Estate Capital RateLine 7RE-CAPITAL (773-227-4825) provides hourly updates.

Visit The Real Estate Capital Scoreboard™ for more detailed information (http://www.ratesnews.com/).

CONTACT:

The Real Estate Capital Institute®
3517 West Arthington Street
Chicago, Illinois USA 60624
Contact: Nat Zvislo, Research Director
Toll Free 800-994-RECI (7324)
director@reci.com /

http://www.reci.com/

SPECIAL REPORT: MBA Forecasts Negative Economic Growth Through First Half of 2009

WASHINGTON, DC-)- MBA expects economic growth in the second half of 2008 to be negative and remain negative through the first half of 2009 before a modest recovery according to the latest economic forecast released today by the Mortgage Bankers Association.

MBA expects growth to pick up strongly by the end of 2009 and over the course of 2010. MBA expects total residential mortgage production in 2009 to be $1.67 trillion, down from an expected $1.86 trillion in 2008 and $2.3 trillion in 2007.

"A recession appears to be underway, as evidenced in rising unemployment, contracting manufacturing activity and declining inflation-adjusted consumption spending.

"Credit markets continue to be dysfunctional and the recent intensification of the credit crunch is hitting an already weakened economy," said Jay Brinkmann, (top right photo) MBA chief economist and senior vice president for research and economics.

"We expect residential investment to decline further through the first half of 2009, due to the excess supply of houses and weakened demand from the recession."

"Unemployment will likely accelerate," continued Brinkmann. "By the end of next year, the unemployment rate will probably be around 7.7 percent and remain elevated through most of 2010 before heading down again."

"The rates on fixed-rate mortgages have picked up recently to near 6.5 percent in response to policymakers' programs for banks recapitalization and insurance of financial institutions.

"We expect long-term rates to decline from their current levels as massive liquidity injections by central banks around the world and other policy actions work through the system and demand increases for long dated debt," said Brinkmann.

"The 30-year fixed-rate mortgage yield should trend modestly lower, averaging 6.0 percent in the current quarter and remaining near that level through 2009 before trending up modestly in 2010 as the economy gets stronger," said Brinkmann.

Following are the key points of the latest MBA forecast:

· Real GDP growth will average about 0.3 percent in 2008, 0.1 percent in 2009 and 3.4 percent in 2010. However, growth will be negative in the 4th quarter of 2008 and the first two quarters of 2009.

· The unemployment rate will increase from the current level of 6.1 percent to about 6.5 percent by the end of 2008 and steadily increase to about 7.8 percent by the first part of 2010 before declining by late 2010.
· Fixed mortgage rates are expected to average about six percent in the fourth quarter and remain slightly lower through the end of 2009 before rising modestly in 2010.

· Total existing home sales for 2008 will end up about 13 percent below those for 2007. Existing home sales are projected to rebound slightly in 2009, increasing by about three percent. Sales should increase by about six percent in 2010.

· New home sales for 2008 will be down by about 36 percent relative to 2007. Sales are projected to bottom in the second half of 2009 and rebound modestly in the second half.

For all of 2009, new home sales should post a decline of about 12 percent. Sales should increase by about 25 percent in 2010.

· National average home price declines should continue through most of 2009, with states like California and Florida continuing to drive the national averages, but with a number of other states showing more modest decreases.

Median home prices for new and existing homes are expected to be down about six to seven percent for 2008.

Prices should decline at a more modest rate of about three to four percent in 2009 before rising slightly in 2010.

· Purchase originations for 2008 will be $912 billion, about 20 percent below the 2007 level of $1,140 billion.

Purchase originations should rise about two percent in 2009, as existing home sales recover and home price declines moderate.

For 2010, we expect purchase originations to increase about nine percent as home sales increase strongly and home prices stop declining.

· Refinance originations will decline about 19 percent from an estimated $1,167 billion in 2007 to $949 billion in 2008. Refi activity will decline another 23 percent in 2009 before increasing about four percent in 2010, as lending standards ease.

CONTACTS:

John Mechem, (202) 557-2924 jmechem@mortgagebankers.org

Carolyn Kemp, (202) 557-2727, ckemp@mortgagebankers.org

Foster Conant wins new landscape architectural contract in Hillsborough County, FL

ORLANDO, Fla., October 22, 2008 — Foster Conant & Associates has secured a landscape architectural services contract with Lakewood Pointe Partners LLC of Winter Park, Fla., for a new apartment complex in Hillsborough County, Fla.

Foster Conant is providing construction documents and construction observation for the 16-acre site. Dubbed Lakewood Pointe, the apartment complex is composed of seven, three-story buildings housing 144-units supported by surface parking.

Slocum Platts Architects of Winter Park, Fla., designed the complex. Avid Engineering of Orlando, Fla., is providing civil engineering. The project is being built by ASM Construction Partners Ltd. of Maitland, Fla.

Founded in 1969, Foster Conant & Associates is headquartered in Orlando, Fla.

The landscape architectural practice has a storied history of designing award-winning, site-specific landscape architecture for high profile public sector projects and private developments throughout the Southeastern U.S.

The 16-person firm is managed by principals Richard R. “Rick” Conant, FASLA, Keith Oropeza, ASLA, René A. Ramos, RLA and John P. Sullivan, III, ASLA.

Please visit http://www.fosterconant.com/ for additional information.

Contact: Elaine Ingra, PR WORKS!, PH: 407 384-1344,
elainei@pr-works.com, www.pr-works.com