Chatham Lodging Increases Monthly Dividend 10 Percent

Dennis Craven

WEST PALM BEACH, FL —Chatham Lodging Trust (NYSE: CLDT), a hotel real estate investment trust (REIT) focused on investing in upscale, extended-stay hotels and premium-branded, select-service hotels, announced that its Board of Trustees has raised its regular monthly dividend by 10 percent, or $0.01 per common share, to $0.11 per share.

 “We have raised our dividend each year since our 2010 IPO, from $0.35 in 2010 to $1.30 per share for 2016, furthering our commitment to increase our dividend in tandem with our growth in cash flow, EBITDA and adjusted FFO per share,” highlighted Dennis Craven, Chatham’s chief operating officer.

 “The quality of the acquisitions we made in 2015, the soundness of our balance sheet and the prospect for continued earnings growth gave our board the confidence to reward our investors with yet another increase.

“Excluding the special dividend of $0.08 per common share which was due to the sale of a joint venture interest in 2015, our 2016 dividend per share of $1.30 will represent approximately 52 percent of adjusted FFO per share based on the midpoint of our guidance, so the increase is healthy, supportable and prudent.”

Chatham’s Board declared the company’s monthly common share dividend of $0.11 for March 2016, reflecting the 10 percent increase.  The common share dividend is payable April 29, 2016, to shareholders of record on March 31, 2016. The annualized dividend of $1.32 per common share represents a dividend yield of 6.6 percent, based on the company’s common share closing price of $20.06 on February 29, 2016.

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

Patrick Daly

Office Manager

Daly Gray, Inc.

patrick@dalygray.com

Office:  (703) 435-6293

Cell:  (703) 300-8289

RealtyTrac Reports Home Flipping Increases in 75 Percent of U.S. Markets in 2015

Daren Blomquist

IRVINE, CA — RealtyTrac® (www.realtytrac.com), the nation’s leading source for comprehensive housing data, released its Year-End and Q4 2015 U.S. Home Flipping Report, which shows that 179,778 U.S. single family homes and condos were flipped in 2015, 5.5 percent of all single family home and condo sales during the year.

The 5.5 percent share of U.S. home flips in 2015 was up from a 5.3 percent share in 2014, marking the first annual increase in the share of homes flipped following four consecutive years of decreases. 

The share of homes flipped in 2015 increased from the previous year in 83 of 110 U.S. metropolitan statistical areas nationwide analyzed for the report (75 percent).

For the report, a home flip is defined as a property that is sold in an arms-length sale for the second time within a 12-month period based on publicly recorded sales deed data collected by RealtyTrac in more than 950 counties accounting for more than 80 percent of the U.S. population (see full methodology below).

“As confidence in the housing recovery spreads, more real estate investors and would-be real estate investors are hopping on the home flipping bandwagon,” said Daren Blomquist, senior vice president at RealtyTrac.

 “Not only is the share of home flips on the rise again, but we also see the flipping trend trickling down to smaller investors who are completing fewer flips per year. The total number of investors who completed at least one flip in 2015 was at the highest level since 2007, and the number of flips per investor was at the lowest level since 2008.”

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

Jennifer von Pohlmann

Sr. Public Relations Manager

Office: 949.502.8300 ext 139

 jennifer.vonpohlmann@realtytrac.com

Mortgage Bankers Association Reports Commercial/Multifamily Delinquencies Remain Low

Jamie Woodwell

WASHINGTON, DC -- Delinquency rates for commercial and multifamily mortgage loans continued to decline in the fourth quarter of 2015, according to the Mortgage Bankers Association’s (MBA) Commercial/Multifamily Delinquency Report.

“The performance of commercial and multifamily mortgages remains strong, with continued improvement in the delinquency rates of loans held by banks and in commercial mortgage backed securities (CMBS),” said Jamie Woodwell, MBA’s Vice President of Commercial Real Estate Research.  “Strong property fundamentals and values, coupled with still low interest rates, are likely to continue the positive trend.”

The MBA analysis looks at commercial/multifamily delinquency rates for five of the largest investor-groups: commercial banks and thrifts, commercial mortgage-backed securities (CMBS), life insurance companies, Fannie Mae, and Freddie Mac.  Together these groups hold more than 80 percent of commercial/multifamily mortgage debt outstanding.

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

Ali Ahmad

aahmad@mba.org

(202) 557-2727

Shopoff Realty Investments Acquires Unique Value-Add Lender REO near Reno, NV

  

William Shopoff

RENO, NV – Shopoff Realty Investments announced the company has acquired, through a lender REO, the 186,000-square-foot Iron Horse Shopping Center, located in the Reno suburb of Sparks, Nevada.

Shopoff has committed more than one million dollars to improve and enhance the appeal of the property, strengthening the opportunity to increase overall revenue and lease-up an additional 100,000-square-foot vacant “big box” space that was included in the purchase.

The shopping center is located at the intersection of E. Prater Way and McCarran Blvd., which has a traffic volume of more than 46,000 vehicles per day. The retail center is currently 33 percent occupied, dramatically lower than the local market’s average 84 percent occupancy rate.

Tenants include Dollar General, Subway, Payless Shoes, Sizzler, Jack in the Box, El Pollo Loco, as well as a number of local businesses. The center is anchored by Save-Mart, which was not part of the purchase.

“We believe this value-add acquisition provides a significant opportunity to realize outsized investment gains,” said William Shopoff, chief executive officer of Shopoff Realty Investments. “This is an under-utilized space in a growing market – an ideal combination for our experienced team of turnaround experts.”

David Placek

David Placek, Shopoff Realty Investments executive vice president, added, “Our strategy is always to uncover hidden or unrealized potential. With this asset, we were able to capture a well-positioned center, at a great price based on current revenue. 

"However, what makes this property really exciting is the upside to be captured by leasing the existing inline vacancy and the 100,000 square foot box.”

Sparks is a thriving community with rapid growth fueled by tech expansion, including Tesla’s Giga-Factory, an Amazon logistics center, Apple’s iCloud data center site, a Petco distribution center and other biofuel and data centers.

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

Jill Swartz

Spotlight Marketing Communications

949.427.5172, ext. 701

jill@spotlightmarcom.com

Real Estate Capital Institute Reports Few Investors Fear Domestic Recession

Jeanne Peck

Chicago, IL - A Treasury market rally faltered after

the benchmark bond yield fell to the lowest in three-and-a-half years

without breaking the all-time level set in 2012.  

Global turmoil and

concerns about China and the Middle East quells any fear of rising interest

rates, yet few investors fear a domestic recession any time soon. Markets

hardly believe that the Fed will increase rates, as long as crude oil prices

slump, acting as a key indicator for tame inflation.

Such news bodes well for commercial real estate borrowing costs. With flat,

or even declining debt costs, the real estate investors can enjoy continued

profitability.  

Yet select markets are plagued by overbuilding, choppy

economic growth and obsolete inventory.  A "Wide Divide" best describes

commercial real estate market behavior. Mortgage pricing reflects this clear

divide - rewarding strong performing assets with cheap debt, while punishing

secondary assets with much wider pricing and less dollars than in the recent

past.  

Funding sources find enough "good" product, but can't run away fast

enough from marginal deals.

The pricing divide is very real, as demonstrated by the dramatic retreat in

CMBS lending.  These pricing differentials have not been seen in about five

years.  Spreads, regulation or ballooning B-piece yields alone will cripple

the markets - but a lethal mix of all three does the damage to any type of

public market securitized financing.  

As further proof, REITS are shifting

to private markets to sell bonds, including seeking secured loans rather

than lines of credit. The high-risk portions of the debt stack are demanding

overall returns now in the 20% range, as B-piece buyers pull back in search

of more yield clarity and many expect there to be fewer of them over the

course of this year. 

Conduit lenders are not alone, as banks are also

pressured to widen pricing as conduit borrowers scramble for alternative

sources. 

Director Jeanne Peck of the Real Estate Capital Institute(r), advises

"Investors want more return for perceived risk in today's real estate

market.  They are taking a hard look at the quality of the assets, the

strength of the project sponsor for full leveraged deals across all asset

classes."

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

Jeanne Peck, Executive Director

director@reci.com 

www.reci.com

Lincoln Property Co. Announces $35.25 Million Purchase of Gainey Center II in Scottsdale, AZ

Gainey Center II, Scottsdale, AZ

 

David Krumwiede

PHOENIX, AZ – In a $35.25 million deal, Lincoln Property Company (LPC) and Goldman Sachs have purchased Gainey Center II in Scottsdale, Arizona. The companies will complete minor renovations at the project, underscoring a continued demand and upside for Class A executive office space.

“There is definitely a need in the Valley for high-tech build outs, but the president of a financial advisory firm does not necessarily want concrete floors and exposed ceilings,” added Lincoln Property Company’s Executive Vice President David Krumwiede. “That individual wants rich accents and a high quality setting to welcome clients.”

“Gainey Ranch is the natural place for this type of product – well-appointed stone-clad buildings that offer a sophisticated environment for companies serving the high net-worth communities of the market,” added Lincoln Property Company’s Vice President Amr Ceran.

In the coming months, LPC will initiate key renovations at the property including lobby, common area, landscaping and signage upgrades.

Gainey Center II is located at 8501 N. Scottsdale Rd. in Scottsdale, Arizona, one mile from the Loop 101 and within the Gainey Ranch community. The Class A, LEED-certified building totals 146,770 square feet in three stories.

Amr Ceran

It has maintained a strong institutional ownership since its inception, with a focus on providing high-end amenities including first-class finishes, on-site security, covered garage parking and premium views of Camelback Mountain, the McDowell Mountains and Mummy Mountain.

Fronting Scottsdale Road, Gainey Center II is within walking distance to award-winning hotels, retail and restaurants, just some of which include the Hyatt Regency Scottsdale and the SHOPS at Gainey Village, featuring destinations like Chez Vous Creperie, The Coffee Bean & Tea Leaf, Drexel Modern American, The Hash Kitchen, Panera Bread Company, Pomo Pizzeria and Rolfs Salon and Spa.

Gainey Center II is 89 percent occupied by tenants including J.P. Morgan, TPI Composites Inc., Apriva and McGraw Hill Financial. LPC is already in active negotiations to fill the project’s remaining 17,000 square feet of available space.

Jerry Roberts and Pat Boyle of CBRE will serve as the leasing brokers for the project. LPC will provide full property management services for Gainey Center II as part of its more than 8-million-square-foot Phoenix property management portfolio.

To discuss additional leasing or investment opportunities with Lincoln Property Company in the Desert West Region, please call David Krumwiede or Amr Ceran at (602) 912-8888.

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

Stacey Hershauer

focusAZ

Marketing & Public Relations

(480) 600-0195

www.focusaz.com

www.lpc.com

www.lpcphx.com.

Stepp Commercial Completes Apartment Property Sale in Santa Monica, CA

                                                                      

Kimberly Roberts Stepp

                                            Santa Monica, CA – Stepp Commercial, a leading multifamily brokerage firm in the Santa Monica market, has completed the $2,525,000 sale of fully occupied, six-unit apartment property located at 1426 Princeton Street near Santa Monica Blvd. and the 10 Freeway in Santa Monica. 

Kimberly Roberts Stepp, principal, and Aynsley Armbrust, vice president, with Stepp Commercial, represented the seller, a Los Angeles-based private investor. The buyer was Los Angeles-based 1038 El Media Place, LLC. The closing cap rate on the transaction was 3.25 percent.

“The buyer was in a 1031 exchange and was seeking a well-located property on the Westside,” said Roberts Stepp. “This is a stable asset with recently renovated units and a large, three-bedroom unit that can be used by the owner. 

"There is also an opportunity to add value by bringing rents up to market rates.”

Built in 1966, the property consists of four one-bedroom units, one two-bedroom unit and a three-bedroom unit with a front yard. All of the units include hardwood flooring, custom designed kitchens, patios, and fireplaces.  The property is within walking distance to the Water Garden and Colorado Center Park.

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

Darcie Giacchetto

949.278.6224

www.SteppCommercial.com

Sale of Embassy Suites by Hilton Orlando Downtown hotel closed by HFF

 

Embassy Suites Orlando Downtown, Orlando, FL

 

Daniel C. Peek

ORLANDO, FL –– Holliday Fenoglio Fowler, L.P. (HFF) announced it has closed the sale of Embassy Suites by Hilton Orlando Downtown, a 167-room, full-service, all-suite hotel in downtown Orlando, Florida.

HFF marketed the property on behalf of the seller, HEI Hotels & Resorts.  In their first acquisition in the United States, Paradise Group purchased the asset free and clear of debt and will implement a significant property improvement plan (PIP) to enhance the customer experience and the asset’s ability to compete in the market.  BayStar Hotel Group will manage the hotel.

Opened in 2000, Embassy Suites by Hilton Orlando Downtown’s 167 rooms include eight executive suites and two presidential suites.  

The hotel overlooks Lake Eola and features 6,850 square feet of indoor meeting space with an additional 3,000 square feet of flexible pre-function space, outdoor pool, fitness center, business center, complimentary evening reception and the full-service Eola Café restaurant.

Michael Weinberg

 Embassy Suites by Hilton Orlando Downtown is located at 191 East Pine Street, which is proximate to more than 10 million square feet of office space and adjacent to Lake Eola Park.  

With a Walk Score® index of 92, the hotel is near restaurants, shopping, nightlife, two SunRail train stops and popular downtown entertainment destinations, including the Amway Center and Dr. Phillips Center for the Performing Arts.

The HFF investment sales team representing the seller was led by senior managing director and head of HFF’s hotel group Daniel C. Peek, director Michael Weinberg and associate director Preston Reid.

“It’s exciting to see foreign capital flow into Central Florida and the downtown Orlando submarket,” Weinberg said.  “This was Paradise’s first U.S. investment, so it was good to be able to facilitate the transaction with a new entrant into the market.”

  

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

Olivia Hennessey

Public Relations Coordinator

HFF | 9 Greenway Plaza Suite 700 | Houston, Texas 77046

tel 713.852.3403 | fax 713.527.8725 | www.hfflp.com

ohennessey@hfflp.com

www.heihotels.com

www.baystarhotels.com.

www.paradisegroup.co.kr.

Universe Holdings Refinances Seven Multifamily Properties Through HFF for $14.32 Million

Henry Manoucheri

Los Angeles, CA – Universe Holdings (Universe), a privately-held multifamily real estate investment firm, has completed the strategic refinancing of seven multifamily properties encompassing 125 units in transactions totaling $14,320,000.

 HFF structured the loans on behalf of Universe through Freddie Mac, with five-year fixed interest rates ranging from 3.2 to 3.5 percent.

“We actively manage our portfolio, and HFF is a strategic partner in helping us maximize the value of our owned assets,” said Henry Manoucheri, founder and CEO of Universe Holdings.

“We have completed 38 refinancing and purchase transactions with HFF since 2012, each time stabilizing assets for long-term hold while freeing capital to redeploy in additional acquisitions. 

"This partnership has played an integral role in facilitating growth while providing our investors with enhanced returns.”

Charles Halladay, managing director with HFF, represented Universe Holdings in the transactions, securing the loans on behalf of Universe through HFF’s Freddie Mac Program Plus® Seller/Servicer Program and Sabal Financial’s Freddie Mac Small Balance Program.

The refinanced properties include: Chateau Whitset; Chateau Laurel; Chateau Studio Village; Chateau Spring Gardens; Chateau Sycamore; Chateau Emeleta; and Ocean Elements at Alamitos Beach. The portfolio of seven properties was 100 percent leased at the time of refinance.

  

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

Olivia Hennessey

Public Relations Coordinator

HFF | 9 Greenway Plaza Suite 700 | Houston, Texas 77046

tel 713.852.3403 | fax 713.527.8725 | www.hfflp.com

ohennessey@hfflp.com

 Chris Egger

chriseggermarcom@gmail.com

$41.5 million sale of 265-unit apartment community in suburban Raleigh-Durham, NC, closed by HFF

 

Allan Lynch

CHARLOTTE, NC –– Holliday Fenoglio Fowler, L.P. (HFF) announced it has closed the sale of The Village at Marquee Station, a 265-unit, Class A, garden-style apartment community located in the Raleigh-Durham suburb of Fuquay-Varina, North Carolina.

HFF represented the seller/developer, Chapel Hill, North Carolina-based Blue Heron Asset Management, LLC (“Blue Heron”), in the transaction.  

Starlight U.S. Multi-Family Core Fund, an asset managed by Toronto, Canada-based Starlight Investments Ltd., purchased the community for $41.5 million free and clear of existing debt.

The Village at Marquee Station is part of the Marquee Station mixed-use development located at 2110 Cinema Drive just off US 401, one of southern Wake County’s most traveled corridors. 

The property offers convenient access to US 64, US 1, downtown Raleigh and Holly Springs, and is proximate to the future extension of Highway 540 and many of the Raleigh-Durham metropolitan area’s major employers.

The Village at Marquee Station, which has units averaging 996 square feet, was developed by Blue Heron and built by Clancy and Theys Construction.  The NAHB Green-certified property features numerous eco-conscious enhancements, including primarily brick and polished masonry facades, irrigation wells, high-efficiency windows and HVAC units, and energy-efficient LED lighting. 

Justin Good

The community features a saltwater swimming pool with cabana; poolside grilling; fitness center; clubhouse; gaming lounge and media studio; resident lounge with billiards; pet grooming salon; car care center; and detached garages.

The HFF investment sales team representing the seller was led by Allan Lynch and Justin Good.

“This transaction represents the successful culmination of a collaborative, multi-year effort among members of the development team,” stated Maurice Malfatti, Blue Heron co-founder and managing principal. 

“As a firm, an important piece of our mission is to be proud of the developments we create - for our community, our staff, our service providers and our investors.  We are very proud of what our entire team has accomplished at Marquee Station.”

“Completed in phases between 2013 and 2014, Marquee Station has maintained occupancy in the mid-90 percent range and has experienced consistent rent growth since stabilizing in early 2015,” added Lynch.

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

Olivia Hennessey

Public Relations Coordinator

HFF | 9 Greenway Plaza Suite 700 | Houston, Texas 77046

tel 713.852.3403 | fax 713.527.8725 | www.hfflp.com

ohennessey@hfflp.com

www.starlightinvest.com

www.starlightus.com.

www.blueheronassetmanagement.com.

$17.435 million financing for Class A multi-housing development in downtown Westfield, NJ arranged by HFF

Rendering of planned 333 Central Avenue Apartments, Downtown Westfield, NJ

Michael KLein

FLORHAM PARK, NJ –– Holliday Fenoglio Fowler, L.P. (HFF) announced it has arranged $17.435 million in financing for 333 Central Avenue, a 70-unit, Class A multi-housing development in downtown Westfield, New Jersey.

HFF worked exclusively on behalf of The Hampshire Companies (Hampshire) and The Claremont Companies (Claremont) to secure the construction loan through Capital One Bank.

333 Central Avenue is located within walking distance to downtown Westfield, which offers extensive retail and dining amenities.  In addition, the property is less than one-tenth of a mile from a New Jersey Transit train station along the Raritan Valley line, providing access into New York City’s Penn Station. 

Due for completion in spring 2017, the four-story, 126,340-square-foot community will offer a variety of one- and two-bedroom unit layouts ranging from 700 to 1,550 square feet with select units featuring a den and private terrace. 

All units will have hardwood floors throughout, nine-foot ceilings, stainless steel appliances, granite countertops and spacious walk-in closets.  Community amenities will include secure and covered parking, a luxurious lounge with wet bar for entertaining, state-of-the art gym with yoga room, rooftop lounge and additional storage units located on each floor.

 

Jon Mikula

The HFF debt placement team representing the borrower was led by senior managing director Jon Mikula and director Michael Klein.

“Westfield’s desirability and limited multifamily supply coupled with the additional upside of the project’s proximity to a New Jersey transit stop resulted in a tremendous amount of interest from local, regional and national banks to finance the project,” said Klein.

“Capital One was able to provide a very aggressive rate and structure that best met both Hampshire and Claremont’s needs,” Klein continued.  “We are very excited to have worked on their behalf as both firms continue to increase their multifamily holdings.”

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

Olivia Hennessey

Public Relations Coordinator

HFF | 9 Greenway Plaza Suite 700 | Houston, Texas 77046

tel 713.852.3403 | fax 713.527.8725 | www.hfflp.com

ohennessey@hfflp.com

Facebook (www.facebook.com/hampshireco)

$569 million sale of 6 Florida seniors housing communities closed by HFF

Aston Gardens Seniors Housing Portfolio, Florida

Ryan Maconachy

DALLAS, TX –– Holliday Fenoglio Fowler, L.P. (HFF) announced it has closed the sale of a six-property seniors housing portfolio in Florida, known collectively as Aston Gardens.

HFF exclusively marketed the offering on behalf of the seller, Kayne Anderson Real Estate Advisors.  A joint venture between Welltower, Inc. and Canada Pension Plan Investment Board (CPPIB) purchased a 97.5 percent stake in the portfolio in an off-market transaction for $555 million. 

Welltower, Inc. holds a 55 percent stake in the joint venture while CPPIB owns the remaining 45 percent.  The other 2.5 percent stake was purchased by Discovery Senior Living for nearly $15 million.

The Aston Gardens portfolio encompasses six, private-pay, primarily independent living seniors housing properties totaling 1,930 units.  The Class A+, lifestyle-oriented assets have amenities such as heated swimming pools, spas, fitness centers, beauty salons, resident clubhouses and activity centers, arts and crafts studios, putting greens, walking paths and concierge services.

The HFF team representing the seller was led by senior managing directors Ryan Maconachy and Chad Lavender.

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

Olivia Hennessey

Public Relations Coordinator

HFF | 9 Greenway Plaza Suite 700 | Houston, Texas 77046

tel 713.852.3403 | fax 713.527.8725 | www.hfflp.com

ohennessey@hfflp.com

www.discoveryseniorliving.com.

http://www.kaynecapital.com/strategies/real-estate-private-equity.

Oak Coast Properties and BMC Investments Announce $50.8 Million Acquisition of The Artisan Townhomes and Apartments in Denver, CO

Brock Yaffe

 Los Angeles, CA – Oak Coast Properties and BMC Investments announced the $50.8 million acquisition of The Artisan Townhomes and Apartments in Denver, Colorado.

Oak Coast Properties will employ a value-add investment strategy to the multifamily community asset via the completion of a robust $2.5 million property renovation and repositioning effort aimed at improving interiors, exteriors and amenities.

Oak Coast Properties has also announced its plans to invest $300 million in the multifamily sector in 2016, with The Artisan acquisition the first in a series of investments made to meet that goal.

“This acquisition marks an important milestone as it signifies more than $500 million invested in multifamily and hotel real estate assets in three years,” said Phillip Nahas, Oak Coast Properties’ Managing Partner.

“The Artisan also grows our Denver apartments portfolio to over 1,500 units and provides an opportunity for significant upside potential through a renovation plan that capitalizes on rising rental rates, unit demand and lack of new supply in this in-demand region.”

Charles Halladay

The Artisan encompasses 434 units offered in a mix of one-, two-, and three-bedroom floorplans.

BLDG Management, the property management company affiliated with BMC Investments, will manage The Artisan.

Brock Yaffe and Charles Halladay of HFF’s debt placement team assisted in securing a $41.89 million loan for the buyer through Freddie Mac’s CME Program. The securitized loan will be serviced by HFF through its Freddie Mac Program Plus® Seller/Servicer Program.

 Jordan Robbins and Jeff Haag of HFF’s investment sales team represented the seller, Peak Capital Partners, in the sale.

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

Olivia Hennessey

Public Relations Coordinator

HFF | 9 Greenway Plaza Suite 700 | Houston, Texas 77046

tel 713.852.3403 | fax 713.527.8725 | www.hfflp.com

ohennessey@hfflp.com

Julie Fornaro

562.587.3957

Juliemfornaro@me.com