Apartment Realty Advisors Brokers Sale of Remaining Units in LaVia Condominium

PEMBROKE PINES, FL — Atlanta-headquartered Apartment Realty Advisors (ARA), the largest privately held, full-service investment advisory brokerage firm in the nation focusing exclusively on the multihousing industry, announceS that ARA’s Florida division arranged the sale of the 26 remaining units at La Via Condominium (top right photo) community located in Pembroke Pines, FL.

The transaction was arranged by ARA Florida’s Boca Raton-based Avery Klann. (top left photo)

Shaoul Mishal, President of Israel-based Gamla-Cedron Group purchased the remaining units for $1,430,000 or $55,000 per unit in January 2009.

The 250-unit property was converted to condominiums in 2005 and a total of 224 units were sold over the past three years. After paying off the senior debt and achieving strong profits, the owner decided to bulk sale the remaining inventory in the La Via Condominium. The seller desired a fast closing with a strong all-cash buyer.

š“We worked under a very tight timeframe to identify a buyer who could close as quickly and efficiently as possible,” said Avery Klann, of ARA’s Boca Raton office, who brokered the deal.š “We expect to see several more fractured condo sales in Florida in 2009.”

Klann is a member of ARA’s Distressed Assets Solutions Group which provides responsive, professional and knowledgeable brokerage solutions to servicers and lenders of distressed conventional multifamily, land, student and seniors housing assets.

Marc deBaptiste,(bottom right photo) one of ARA Florida’s founding partners said, “This is one of several transactions where we have recently sourced unique, foreign-based buyers that are now capitalizing on the tremendous buying opportunities in multifamily product throughout Florida.”

To schedule an interview with an ARA executive regarding this transaction or for more information about Apartment Realty Advisors, please contact Marti Zenor at mzenor@ARAusa.com or 561-988-8800 ext. 112.

Downtown Miami's 1450 Brickell Office Tower "Tops Off" At 35-Stories

Rilea Group's 586,000-SF 'class-A' office toweron track for January 2010 completion

MIAMI, FL – Jan. 29, 2009 – 1450 Brickell, (top right photo) a 'class-A' office tower currently under construction at the entrance to downtown Miami's Brickell Financial District, reaches an important milestone on January 30 when it tops-off construction at 35-stories.

The occasion will be celebrated during a special 'topping-off' party held at the 1450 Brickell construction site at 1 p.m.

The 586,000 square-foot tower is scheduled for delivery in January 2010, when it will become the first of three new downtown Miami office buildings to come online next year.

Following its completion, 1450 Brickell will make headlines again by becoming Miami's first LEED Gold-certified office tower (the building earned LEED Gold pre-certification in 2008).

In addition to its environmentally-sound design, 1450 Brickell has earned high marks for its construction quality. The entirety of the Tower's exterior will be clad in high-impact resistant glass offering sweeping views of Biscayne Bay, Brickell Avenue, and the city of Miami.

Further, 1450 Brickell's safety installations will remain functional during a power outage, thanks to a generator that will run the air conditioning system for humidity control and enable tenants to utilize lighting and electrical power for their basic needs.

Alan Ojeda, (middle right photo) CEO of Rilea Group, the Miami-based development firm responsible for building 1450 Brickell, believes the Tower's construction and location set it apart from other projects underway in downtown Miami.

"We conceived and designed 1450 Brickell with two words in mind: 'quality' and 'convenience,'" said Mr. Ojeda.

"Now that we're one year out from completion, I can say with certainty that the Tower's quality of construction will be matched only by its convenient location and accessibility. The building's surroundings offer tenants a mixed-use setting unique in the Miami marketplace.

"The Brickell Gateway neighborhood is home to more than 30,000 square-feet of retail space and nearly 30 retail businesses within walking distance of 1450 Brickell's front door, making location one of its many advantages.

Beyond the prevalence of retailers surrounding 1450 Brickell, the Tower benefits from traffic-free roads, direct access to I-95 and close proximity to public transportation.

In addition to 586,000 square-feet of 'class-A' office space, 1450 Brickell is adjacent to One Broadway,(bottom left photo) a luxury apartment building developed by Rilea Group in 2006, which is home to 371 rental units and ground floor retail.

For One Broadway apartment leasing and information call (305) 374-1660 or visit http://www.onebroadway.com/. For One Broadway retail leasing, contact Jonathan Carter of Cushman & Wakefield at (305) 371-4411.

1450 Brickell is a 35-story, 586,000 square-foot 'class-A' office tower in downtown Miami, Florida's Brickell Financial District.

The building offers both commercial office and ground-level retail space and is located in one of the neighborhood's least congested areas, offering convenient in-and-out access, as well as some of the area's best views of Biscayne Bay.

The tower, which is downtown Miami's first pre-certified LEED Gold 'class-A' office building, offers flexible floor plates ranging in size from 24,000 square-feet to 25,600 square-feet. 1450 Brickell is slated for completion in January 2010. Learn more at http://www.1450brickell.com/.

Miami, Florida-based Rilea Group is a full-service real estate development company that has been developing real estate projects in South Florida since 1981.

The company has experience in all facets of real estate, including development, construction, leasing, and management. Past projects include Miami's Mellon Financial Center and One Broadway.

Currently, Rilea Group is constructing 1450 Brickell, a 35-story, LEED Gold Certified 'class-A' office tower in Miami's Brickell Financial District. Visit http://www.rileagroup.com/.

Media Contacts:
Schwartz Media Strategies
Tadd Schwartz: (305) 807-3612
Aaron Gordon: (305) 962-3292

Cambridge Reports Loan Origination Requests in 2008 Relatively Strong Despite Economic Meltdown

CHICAGO, IL--In a year in which stocks imploded and the credit markets lost their way, efforts by senior housing/healthcare borrowers to improve the financial underpinning for their businesses never waned.

Cambridge Realty Capital Companies Chairman Jeffrey A. Davis (top right photo) says the company processed 333 loan origination requests in 2008, a total only slightly less than the 357 requests reviewed a year earlier.

But the total dollar volume for all processed requests in 2008 was somewhat higher, $4.7 billion compared with $4.3 billion a year earlier.

And the total number of beds/units was also up, from 53,228 in 2007 to 55,614 a year later.

Davis points out that lenders close a relatively small percentage of loan origination requests received, but believes it’s useful to track this information as an indication of market directions.

“Competitive interest rates contributed to relatively strong demand throughout the year and remain in place as the New Year begins,“ he noted.

“In the final quarter of 2008, the economic news was particularly bleak and origination requests were down 11 percent, from 110 in 2007 to 97 in 2008. However, dollar volume was not off dramatically, falling from $1.30 billion in the fourth quarter of 2007 to $1.23 billion for the same period in 2008,” he said.

Privately owned since its founding in 1983 as a real estate investment banker specializing in commercial real estate properties, Cambridge today has three distinctive business units: FHA-insured HUD loans, conventional financing and investments and acquisitions.

The company is one of the nation’s leading senior housing and healthcare debt and equity capital providers with more than 300 closed transactions totaling more than $2.75 billion since the mid-1990s.

Contact: Evan Washington, Phone: (312) 521-7603. Fax: (312) 357-1611.

E-Mail: ew@cambridgecap.com

HFF closes sale of Jefferson Building in Washington, D.C.

WASHINGTON, D.C. – The Washington, D.C. office of HFF (Holliday Fenoglio Fowler, L.P.) announced today it has closed the sale of the Jefferson Building, (top right photo) a 72,756-square-foot, eight-story office building in Washington, D.C.

The HFF investment sales team was led by senior managing directors Dek Potts, (top left photo) Jim Meisel, (bottom right photo) and director Andy Pulliam who marketed the property on behalf of the seller, BlackRock Realty.

INVESCO Real Estate purchased the property for an undisclosed amount free and clear of debt.

Located at 1225 19th Street NW, the Jefferson Building is situated within the Golden Triangle Business Improvement District of Washington, D.C. with easy access to Connecticut and Massachusetts Avenues, K Street and Rock Creek Parkway as well as Dupont Circle Metro Station and Farragut North Metrorail Station.

The 93% leased property was most recently renovated in 2007 and has parking for 64 cars in a two-level underground parking garage.

“This boutique asset has enjoyed an excellent occupancy history due to its prominent corner location with windows on all four sides as well as 9,350-square-foot floor plates, which have attracted small law firms and associations.

"In addition, The Palm, the building’s landmark restaurant, recently expanded and renewed its lease,” said Potts.

BlackRock is one of the world’s largest publicly traded investment management firms.

As of September 30, 2008, BlackRock’s assets under management were $1.259 trillion. The firm manages assets on behalf of institutions and individuals worldwide through a variety of equity, fixed income, cash management and alternative investment products. For additional information, please visit the firm's website at www.blackrock.com.

INVESCO is a leading independent global investment management company, dedicated to helping their clients build their financial security. INVESCO provides a comprehensive array of enduring investment solutions for retail, institutional and high-net-worth clients around the world.

Operating in 20 countries, the company is listed on the New York Stock Exchange under the symbol IVZ. Additional information is available at http://www.invesco.com/.

Contacts:
James A. Meisel, HFF Senior Managing Director, (202) 533-2500, jmeisel@hfflp.com
Stephen "Dek" Potts Jr., HFF Senior Managing Director, (202) 533-2500,
dpotts@hfflp.com
Kristen M. Murphy, HFF Associate Director, Marketing, (713) 852-3500,
krmurphy@hfflp.com

Grubb & Ellis|Commercial Florida closes on Sale of Three Acre Parcel in Downtown Orlando for $7M

Broker Sees Signs of Economic Upturn

ORLANDO, Fla. --- Grubb & EllisCommercial Florida has closed on the sale of a three-acre commercial/mixed use land parcel at 100 W. Livingston St. in downtown Orlando for $7 million.

(The price equates to $2.3 million per acre or about $53.56 per square foot)

David G. Calcanis, (top right photo) vice president of the Land Group at Grubb & EllisCommercial Florida, negotiated the transaction on behalf of the seller, Orlando Land Trust, LLC of Aventura. Jain West Livingston, LLC of Orlando was the buyer.

Jeffrey Sweeney, (middle left photo) SIOR, managing director of Grubb & EllisCommercial Florida, associated with 200 Grubb & Ellis offices worldwide, said Calcanis, who joined the firm in 2004, ranks as the leading land broker at Grubb & EllisCommercial Florida for 2008.

His recent sales besides the Livingston Avenue parcel include a 5.6 acre parcel on N. Orange Ave. across from the Orange County Courthouse facility.

Altogether, the value of Calcanis’ transactions last year totaled more than $25 million.

“Bargain basement prices are beginning to attract more buyers and we see recent interest in land acquisitions as a major sign that economic conditions are beginning to improve,” said Calcanis.

Contact: Larry Vershel or Beth Payan, Vershel Communications, 407 644 4142.

Mercantile Commercial Capital Closes on Four Commercial Loans in December for over $6.3M in Total Project Costs

ALTAMONTE SPRINGS, FL--- Mercantile Commercial Capital, LLC, which specializes in U.S. Small Business Administration (SBA) 504 loans for small business owners who want to acquire or develop their own facilities, reported it closed on four commercial loans in December that total over $6.3 million, and helped to create 42 new jobs.

(Christopher Hurn, top right photo), is president of Mercantile Commercial Capital. Geof Longstaff, top left photo, is vice president)

Mercantile Commercial Capital’s December loans included:

• $1,185,000 to Beckman & Associates, Inc, to provide 80 percent financing for refinance of a 3,532 square foot office condo located in Maitland, Fla;

• $1,675,000 to Mississippi Embroidery, LLC to provide 90 percent financing for the purchase of an approximately 17,000 square foot building located in Hattiesburg, Mississippi;

• $2,107,200 to Irish Properties, LP, to provide 85 percent financing to purchase a mix-used restaurant with eight residential apartments -- an 11,030 square foot facility in New Cumberland, Penn. and

• $1,345,000 to Autogalaxy USA, LLC/Miami Car Sales, Inc., to provide 75 percent financing for the purchase of an 8,000 square foot office/warehouse condo located in Hallandale, Fla.
In 2008, Mercantile Commercial Capital closed on 43 Commercial Loans valued at more than $75 Million. Altogether, their loans helped to create 483 new jobs.

For more information, visit http://www.thesmartchoiceloan.com/ and http://www.504blog.com/.

For more information about this press release, contact:

Chris Hurn, Mercantile Commercial Capital, LLC 407-786-5040
Robin Lashley, Mercantile Commercial Capital, LLC 407-786-5040
Larry Vershel or Beth Payan, Larry Vershel Communications, 407-644-4142

Starwood to open 1,000th hotel this year

SAN DIEGO, CA – Starwood Hotels & Resorts Worldwide, Inc. (NYSE: HOT) announces it will open its 1000th hotel in 2009. The milestone comes as part of the company’s plan to open 100 hotels this year in diverse markets throughout the world.

Focused on opening the right properties in the right places with the right partners, Starwood remains on-track to expand its portfolio by more than 40 percent in the next five years. Starwood’s pipeline consists of more than 400 hotels – 60 percent of which currently are outside of the United States.

“By working closely with our development partners, we are able to open high caliber, best-in-class hotels around the world, even during challenging economic times” said Simon Turner, (top right photo) President of Global Development, Starwood Hotels & Resorts Worldwide, Inc.

“Starwood is building, opening, converting, renovating and innovating for the recovery and beyond, and these new hotels will further position Starwood and its development partners for long term growth and success.”

2009 marks a year of significant milestones and meaningful growth for Starwood and its portfolio of nine distinctive and compelling brands.

Celebrating 10 years of proven success, W Hotels will triple its portfolio in the next three years.

The once New York-centric wonder is transforming into a global phenomenon, opening 13 properties this year in markets including Barcelona, Bali, Doha and Santiago, as well as Atlanta, South Beach, Hollywood and Washington D.C.
As part of its $4 billion revitalization program, Sheraton Hotels & Resorts expects to open 18 hotels in high-profile destinations like New York City; San Juan, Puerto Rico; Istanbul, Turkey; Prague, Czech Republic; and Qiandao, China.

The iconic brand is also scheduled to complete its goal of renovating nearly 100 hotels at an investment of $1.3 billion.

Westin Hotels & Resorts expects to open 11 hotels this year in dynamic international cities including Montreal, Mumbai, Shanghai, Mexico City and Houston.

(Westin Fort Lauderdale Beach Resort, middle left photo)

After opening 17 hotels in the U.S., Canada and China in 2008, Aloft will double its portfolio in 2009 with openings in Houston; Phoenix; and Abu Dhabi, UAE, among others.

And Starwood’s green trailblazer, Element, expects to open five more hotels this year in U.S. markets such as Houston and Denver.

Four Points by Sheraton continues to be a major growth vehicle for Starwood and is set to open nearly 30 hotels in 2009, including one in New York City’s Times Square; Albuquerque, New Mexico; Winnipeg, Canada, and its first new prototype, which is slated to be in San Antonio.

(Aloft Beijing Haidian Hotel lobby, middle left photo)

2009 began with St. Regis opening a new resort in Punta Mita, Mexico. The luxury brand will ramp up its global expansion with plans to open an additional four hotels in 2009, including properties in Atlanta; Park City, Utah; Mexico City; and Lhasa, China.

The Luxury Collection entered the year celebrating the recent opening of a hotel in Beverly Hills and continues to grow with more than 10 hotels in its pipeline.

And Le Méridien has nearly 20 hotels in development and four openings planned this year in markets around the world. Notably, the brand is making further inroads in North America, with plans to open hotels in Dallas and Philadelphia.

(Shimei Bay Beach Resort & Spa, China, bottom right photo)

CONTACTS:

Brad Minor, Senior Manager, Corporate Public Relations, Phone: 914.640.3687

Hwee-Peng Yeo
Director, Corporate Communications
Starwood Asia Pacific Hotels & Resorts Ltd
9 Temasek Boulevard, Suntec City Tower 2
#24-02, Singapore 038989

Tel : +65 6335 4837; Cell : +65 9768 6087; +65 9248 0424
Fax : +65 6335 4820
http://www.starwoodhotels.com/;

http://www.starwoodpressclub.com/

New Mortgage Metrics Redefine Capital Markets

Mortgage Availability Emerges as Key Funding Variable

CHICAGO, IL - Starting more than a year ago,dramatic re-pricing of mortgage markets still leads to a downward spiral of property values of which the full impact is yet to be felt.

Lenders and buyers alike are trying to understand new pricing realities that are based on more conservative mortgage underwriting parameters.

Furthermore, given today's unpredictable markets, lenders seldom rely upon any current sales transactions for appraisal purposes. Most properties sold prior to the mortgage market meltdown are based on metrics using more favorable mortgage terms and leverage not available now.

While many investors are uncertain how to price properties based on current leverage, the following underwriting benchmarks are currently in favor with the funding community:

* Actual Cash Flow: Current cash flow is mandatory. Three years operating history preferred, if available. Projects with deferred cash flow require additional collateral and/or recourse

.* Properties: Gravitating toward conventional property types(apartment, industrial, office and retail). Properties with too much "story" avoided as risk aversion prevails.

* Valuation: Cap rates priced 50 basis points or more above mortgage constant

* Leverage: 65% or less loan-to-value for commercial properties; 75%f or apartments

* Debt Coverage: 125% debt service coverage or more for conventional properties (apartment, industrial, office and retail); 140% or higher for special-purpose.

* Guarantees: Life companies continue providing non-recourse debt. Full recourse required as well as deposit relationships with banks and most other financial institutions.

* Sponsorship: Seasoned borrowers with established track records sought. Qualified borrowers typically normally support net worth statements equaling the loan amount. Liquidity test of 25%+/- desired.

Observation: As strange as it sounds, pricing is not mentioned above. The availability of funds is the most important criteria above all else. In fact, a standard contingency in most purchase contracts today is buyers to prove to sellers that reliable financing is in place. Buyers need to specifically disclose their funding source and provide reasonable proof that loan proceeds are available at closing.

Contact:

Nat Zvislo, Research Director, Toll Free 800-994-RECI (7324), director@reci.com,

http://www.reci.com/

Ardaman wins Indian River County, FL contract

ORLANDO, FL — Ardaman & Associates Inc. was awarded a contract by the Indian River County Board of Commissioners.

The scope of services includes geotechnical engineering, construction materials testing, environmental engineering and consulting.

The one-year continuing services contract has an option for three additional one-year renewals. Services for this contract will be performed by Ardaman’s Port St. Lucie office.

Ardaman & Associates currently has continuing services contracts with Orange County Utilities Department, Osceola County, Polk County, Seminole County and the City of Orlando.

The Port St. Lucie office of Ardaman & Associates, located at 460 N.W. Concourse Place, was established in 1987. Clients include St. Lucie County, Martin County, the City of Fort Pierce and the City of Port St. Lucie.

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.

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

Eggert earns certification from North American Technician Excellence organization

ORLANDO, FL — Kenneth A. Eggert,(top right photo) residential division manager at Shaw Mechanical Services LLC, has earned service technician and HVAC equipment certification from North American Technician Excellence Inc., an independent, third-party organization that promotes and develops excellence of installation and service of mechanical systems.

Eggert, who joined Shaw Mechanical Services in early 2008, has 20 years of experience.

Additionally, he is certified by as an Environmental Control System Installer-Servicer by the Florida Department of Labor, as a Refrigerant Transition and Recovery Universal Technician by Ferris State University, is factory-trained and certified by major manufacturers of heating ventilating and air conditioning equipment, and received training for OTI 500 Occupational Safety and Health for the Construction Industry.

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

Palmer Electric Promotes Howard to Manage Two Divisions

WINTER PARK, FL – Palmer Electric Company is pleased to announce the promotion of Ronald G. Howard, Jr. (top right photo) to manager of the service division and the special projects division.

Howard, who joined Palmer in 1998, previously served as assistant manager of both divisions. His new responsibilities include managing operations, scheduling, quality control and staffing.

Howard has 21-years of experience in electrical contracting. He is a graduate of the electrical contracting program at Mid Florida Tech, and is a Florida licensed journeyman electrician.

Additionally, Howard graduated from the Construction Management and the Electrical Inspection programs at Valencia Community College, Orlando, Fla., completed the Construction Management Academy program at Clemson University, Clemson, S.C., and completed the mini MBA program at Rollins College, Winter Park, Fla.

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

HFF named by American Senior Housing, LC to market for sale luxury independent living facility in suburban DC

WASHINGTON, D.C. – The Washington, D.C. office of HFF (Holliday Fenoglio Fowler, L.P.) has been named by American Senior Housing, LC to market for sale Sugarland Hill, (top right photo) an 80-unit luxury independent living facility in Herndon, Virginia.

The HFF investment sales team will be led by directors Dave Nachison (top left photo) and Alan Davis.(bottom right photo)

The property is listed for sale without an asking price. American Senior Housing is a Fairfax, Virginia-based professional developer and operator of senior facilities.

“The property has excellent assumable long-term, non-recourse HUD financing with terms that are unavailable in the current environment, providing prospective investors with above market loan proceeds and a below market interest rate,” said Nachison.

Sugarland Hill is situated on a 4.5-acre site at 1100 Dranesville Road in the Herndon area of northern Virginia.

Completed in 2006, the four-story building has one- and two-bedroom units averaging 986 square feet each.

Community amenities include a business center, party lounge with flat screen television, outdoor patio with gas grill, billiards lounge, game room, indoor therapy pool, woodworking shop, arts & crafts room, fitness center, library and putting green. Social activities, nightly catered evening meals and chauffeured transportation are also available to residents.

“Sugarland Hill offers investors outstanding potential for strong equity returns through consistent cash flow and long-term residual value,” added Davis.

CONTACTS:

David R. Nachison, HFF Director, (202) 533-2500, dnachison@hfflp.com

Alan M. Davis, HFF Director, 202) 533-2500, adavis@hfflp.com

Kristen M. Murphy, HFF Associate Director, Marketing, (713) 852-3500, krmurphy@hfflp.com

Orlando Bulk Warehouse Market Plunges

WINTER PARK, FL--Orlando’s bulk warehouse leasing market took a plunge during the fourth quarter of 2008, reports Greg Rebman, SIOR, CCIM (top right photo) vice president, Rebman Properties Inc.

There was 205,428 square feet of negative net absorption for the period in the 136 surveyed buildings, the worst showing since the second quarter of 2003.

There were many downsizings, bankruptcies and other exits from the market following the collapse of financial markets in the third quarter.

The largest leases for the fourth quarter were as follows:

Disney leased 67,000 s.f. at Lincoln International Corporate Park, Building C;
Frito-Lay leased 56,875 s.f. at Center of Commerce, Building 909; and
G & K Services leased 14,957 s.f. at Crownpointe V.

Supply

The vacancy rate rose substantially from 13.76% at end of the third quarter to 16.75% at the end of 2008, the highest vacancy rate since the fourth quarter of 1993.

There were three buildings added to the survey in the period, which exacerbated the otherwise dismal fourth quarter.

The following buildings were added to the survey: Lincoln International Corporate Park, Building A, a 92,616 square foot, rear-load facility; and Building C, a 141,660 square foot, rear-load facility; both in International Corporate Park in East Orlando.

Also added to the survey was the 118,500 square foot, front-load building at 2216 Directors Row in Orlando Central Park.

This building was previously an owner-occupied facility, but was purchased by Liberty Property Trust for lease to industrial tenants.

Rental Rate

The average quoted rental rate for the 136 buildings surveyed is $4.62 psf triple net, down from $4.67 psf at the end of the third quarter.

Construction

Beltway Distribution is nearing completion at the intersection of Lee Vista Boulevard and Highway 417 (The Greenway).

Slated for completion in January 2009, Building #100 is a 141,810 s.f., rear-load building; Building #200 is a 145,540 s.f., rear-load building; and Building #400 is a 378,600 square foot, cross-dock building.

Forecast

Orlando industrial brokers polled for this survey expressed that they expect 2009 to be “challenging.”

The market is expected to get worse before it gets better.

More downsizing, consolidations, bankruptcies and increased space marketed for sublease are expected through 2009.

While net absorption is expected to be only slightly negative, the vacancy rates are expected to continue to increase throughout the year.

CONTACT:

Lynn G. Bailey, Office Manager, Rebman Properties, Inc., 1014 W. Fairbanks Ave., Winter Park, FL 32789 USA. Tel: 407.875.800. Fax: 407.875.8004.

lynn@rebmanproperties.com http://www.rebmanproperties.com/

Home Price Declines Continue as the S&P/Case-Shiller Home Prices Indices Set New Record Annual Declines

NEW YORK, NY, Jan. 27, 2009 – Data through November 2008, released today by Standard & Poor’s for its S&P/Case-Shiller1 Home Price Indices, the leading measure of U.S. home prices, shows continued broad based declines in the prices of existing single family homes across the United States, with 11 of the 20 metro areas showing record rates of annual decline, and 14 reporting declines in excess of 10% versus November 2007.

The (top left) chart depicts the annual returns of the 10-City Composite and the 20-City Composite Home Price Indices.

Following the lead of the 11 metro areas described above, the 10-City Composite matched last month’s record decline of 19.1% and the 20-City Composites set a new record, down 18.2%.

"The freefall in residential real estate continued through November 2008," says David M. Blitzer, (top right photo) Chairman of the Index Committee at Standard & Poor’s.

"Since August 2006, the 10-City and 20-City Composites have declined every month – a total of 28 consecutive months. Every region was down in excess of 1% for the November/October period, with eight of the regions recording record monthly declines.

Phoenix and Las Vegas were the worst performers for the month at -3.4% and -3.3%, respectively, and also have the lowest returns over the one-year period, returning -32.9% and -31.6% respectively. Overall, more than half of the metro areas had record annual declines."

The (middle right) chart above shows the index levels for the 10-City Composite and 20-City Composite Home Price Indices.

It is another illustration of the magnitude of the decline in home prices over the past two years.

As of November 2008, average home prices are at similar levels to what they were in the first quarter of 2004. From their peak in mid-2006, the 10-City Composite is down 26.6% and the 20-City Composite is down 25.1%.

Monthly data also continues to show a housing market in decline. All 20 metro areas, and the two composites, posted their third consecutive monthly decline.

In addition, eight of the MSAs posted their largest monthly decline on record – Atlanta, Boston, Charlotte, Chicago, Dallas, New York, Portland and Seattle.

Although in decline over the past few years, some of these regions have out-performed on a relative basis, when compared to the national average. It is clear, however, that the decline in home prices is affecting all regions regardless of geography or employment opportunities.

Dallas and Denver faired the best in November, in terms of relative year-over-year returns. While in negative territory, their declines remained in low single digits of -3.3% and -4.3%, respectively.

It should be noted, Charlotte reported its third consecutive largest monthly decline on record, down 1.9%. Denver and Cleveland were the best reporting markets for the month returning -1.1% and -1.2%, respectively. On a relatively positive note, eight of the 20 metro areas recorded better annual returns compared to last month.

The (bottom left) table below summarizes the results for November 2008.

These indices are generated and published under agreements between Standard & Poor’s and Fiserv, Inc.

For more informatio, contact:

David Blitzer, Chairman of the Index Committee,
Standard & Poor’s, 212 438 3907, david_blitzer@standardandpoors.com

David Guarino, Communications, Standard & Poor’s, 1 212 438 1471,
dave_guarino@standardandpoors.com

New Construction Down but Office, Industrial Vacancy Still Expected to Rise

SANTA ANA, CA, Jan.27, 2009--Bob Bach, (top right photo) senior vice president and chief economist, Grubb & Ellis Co., says in his regular report today, "the disciplined addition of new space over the past several years should help the commercial real estate industry deal with the recession.

"As a percentage of the existing inventory, neither the office nor industrial construction pipelines reached their previous peaks leading up to the recessions in 2001 and 1990-91.

"Nevertheless, new space deliveries in 2009 and 2010 will cause leasing market fundamentals to soften even before negative absorption is factored into the equation.

The 80 million square feet of office space under construction will push the office vacancy rate from 14.8 percent at year-end 2008 to 16.5 percent.

For industrial space, the 72 million square feet under way will push the industrial vacancy rate from 8.8 percent at year-end 2008 to 9.3 percent.

Tenant downsizings are expected to generate significant negative absorption, which will raise vacancy rates above these levels before a market recovery can begin.

For more information or to speak with Bob Bach, please contact Janice McDill at 312.698.6707.