General Growth’s Chapter 11 Filing Called Largest in U.S. Retail Bankruptcy History

CHICAGO, IL—In what industry insiders are calling the largest retail real estate bankruptcy filing in U.S. annals, Chicago-based General Growth Properties Inc. has voluntarily filed for protection from its creditors under Chapter 11 of the U.S. Bankruptcy Code.

(South Market in Boston, one of General Growth Properties' assets, top right photo)

Industry sources in a position to know say the General Growth Properties’ filing could be the first of several similar legal actions that may also be taken voluntarily this year by other major retail developers and investors.

Shopping center industry watchers predicted the April 16 filing after the 45-year-old mall developer couldn’t get all of its creditors to extend loan payment and payoff dates until the end of this year or longer, as Real Estate Channel previously reported.

Courts in several states in March had already ordered the seizure of about six GGP shopping centers after the developer failed to meet various loan payment deadlines.

GGP’s filing in New York listed assets of $29.5 billion and debts of about $27.3 billion.

In a prepared statement, the company said all of its 200 retail centers in 44 states will remain open for business as its bankruptcy hearing continues in the Southern District of New York’s federal bankruptcy court in New York City.

Pershing Square Capital Management LP of New York City is loaning GGP $375 million to help with day-to-day operational costs.

Pershing principal William Ackerman (middle right photo) has previously stated his firm is taking a 25 percent ownership stake in the shopping center company. That would make Pershing the third largest shareholder in General Growth Properties.

The Chapter 11 filing lists Eurohypo AG of Eschborn, Germany, a unit of Commerzbank AG, as GGP’s largest unsecured creditor with claims on two loans totaling $2.59 billion.

Eurohypo is the administrative agent for 175 separate creditors. Only 10 percent of the loans are held by Eurohypo. Note holders of General Growth Properties bonds are owed a total $4 billion.

“Our core business remains sound and is performing well with stable cash flows,” says GGP CEO Adam Metz. “We believe that chapter 11 is the best process for restructuring maturing mortgage loans, reducing the company’s corporate debt, and establishing a sustainable, long-term capital structure for the company.

“While we have worked tirelessly in the past several months to address our maturing debts, the collapse of the credit markets has made it impossible for us to refinance maturing debt outside of chapter 11.”

Metz said in the prepared statement, “The company has requested, and expects to receive, additional (court) approvals to give the company the authority to make payments to ensure that the company’s shopping centers and other properties continue to operate uninterrupted in the ordinary course of business, including paying employee compensation, certain critical service providers, insurance and other claims.

“The Company intends to pay all providers of goods and services delivered post-petition.”

General Growth Properties’ portfolio totals about 200 million square feet of retail space and includes over 24,000 stores nationwide.

(Faneuil Hall Marketplace, Boston, one of General Growth Properties' assets, bottom left photo)

The Company is listed on the New York Stock Exchange under the symbol GGP. Its common stock traded today (April 16) at $1.05, up from 57 cents on March 21 but down from its all-time high of $67 per share in March 2007.

Hampton Hotels Opens 14 Properties in March

BRAND MARKS FIRST OPENING IN ENGLAND

BEVERLY HILLS, CA— Hampton Hotels (www.hampton.com), the international brand of nearly 1,700 mid-priced Hampton Inn® and Hampton Inn & Suites® hotels, announced that it opened 14 properties during March 2009, aggregating 1,224 new rooms.

The new openings include two Hampton Inn hotels and eleven Hampton Inn & Suites properties, as well as one Hampton by Hilton which marks the brand’s first location in England.

All openings are franchised, newly constructed hotels.

“Not only is 2009 shaping up to be a record year for domestic development growth, but we also are making meaningful headway internationally, as our first entry into England with the Hampton by Hilton Corby/Kettering attests,” said Phil Cordell, (top right photo) Global Head, Hilton Focused Service and Hampton Brand Management.

“Guests appreciate our bundled amenities and price sensitivity, while developers like working with a well established hotel franchisor with such strengths as a central reservation system and the Hilton HHonors loyalty program.”

Hampton Hotels is one of the fastest growing brands for value-oriented and quality-minded travelers. Finding a Hampton Hotel is easy—they’re in urban chic locations, near shopping malls, beaches, roadside attractions—they’re everywhere, offering friendly service and 100% Satisfaction Guaranteed.

Contacts:

Charmaine Easie-Samuels, Hampton Brand Communications, (901) 374-6462

Chris Daly, Daly Gray Public Relations, ( (703) 435-6293

Grubb & Ellis Awarded 618,000 SF Management Assignment by Tesoro in San Antonio, TX

SAN ANTONIO, TX – Grubb & Ellis Company (NYSE: GBE), a leading real estate services and investment firm, today announced that it has been awarded a 618,000-square-foot management assignment by Tesoro Corporation, an independent refiner and marketer of petroleum products.

The assignment will be at Tesoro’s new company headquarters on San Antonio’s north side, which the company is expected to occupy in June.

“Grubb & Ellis won this significant management assignment after a competitive bid among multiple contenders,” said Eric Forshee, executive managing director of Grubb & Ellis Management Services.

“Tesoro is a leader in the refining and marketing industry, highlighted by their efficient, state-of-the-art new headquarters. Grubb & Ellis is pleased to partner with Tesoro and to manage this impressive facility.”

Located on 15-acres within the new Ridgewood Park business center, (top right photo) the recently constructed Tesoro campus includes the 618,000-square-foot complex, complemented by a 2,400 car parking garage.

The facility is split between two buildings connected by a main lobby, a 14-story office tower offering approximately 451,000 square feet of space and a six-story office building providing roughly 167,000 square feet of space.

The campus is being constructed to achieve LEED-New Building certification, which indicates the buildings meet the highest green building and performance measures as indicated by the U.S. Green Building Council. Both towers incorporate advanced HVAC design and equipment technologies to minimize utility consumption.

The Grubb & Ellis property management team is led by Forshee and Daryn Mieure, assistant vice president and senior portfolio manager in the firm’s San Antonio office.

The team also includes Kris Weideman, director of operations, and Mark Upton, regional engineering director.

Tesoro Corporation, a Fortune 150 company, is an independent refiner and marketer of petroleum products. Tesoro, through its subsidiaries, operates seven refineries in the Western United States with a combined capacity of approximately 660,000 barrels per day.

Tesoro's retail-marketing system includes over 880 branded retail stations, of which more than 390 are company owned under the Tesoro®, Shell®, Mirastar® and USA Gasoline™ brands.

Contact: Damon Elder, 714.975.2659, damon.elder@grubb-ellis.com

Commercial Real Estate Veteran Cyndie O’Bryon Joins Grubb & Ellis Company’s Cleveland Office

CLEVELAND, OH – Grubb & Ellis Company (NYSE: GBE), a leading real estate services and investment firm, today announced that Cyndie O’Bryon, (top right photo) SIOR, one of the market’s leading office leasing professionals, has rejoined its Cleveland office as senior vice president, Office Group.

“We’re thrilled to have Cyndie back in the Grubb & Ellis family,” said Bob Nosal, executive vice president and managing director, Cleveland. “She has amazing depth of experience both as a landlord representative and on the tenant representation side of the business, and she has tremendous knowledge of the marketplace. She is an outstanding addition to our office brokerage team.”

O’Bryon joins Grubb & Ellis from Stark Enterprises Inc., where she was vice president of office properties and was responsible for the leasing of all existing and planned office buildings in company’s portfolio.

Prior to joining Stark Enterprises in 2008, she was a vice president at Trammell Crow Company, which acquired Brandon Wiant Converse in 2006.

From 1991 to 2001, O’Bryon was vice president and director of office leasing at Ohio Savings Management. During the same period, she was a principal of O’Bryon Larkman and Associates, a boutique commercial real estate brokerage and management firm she founded in 1991.

O’Bryon began her career in 1981 at Adler Galvin Rogers, which was acquired by Grubb & Ellis. During her 10-year tenure there, she rose to the level of senior vice president.

Contact: Erin Mays, 312.698.6735, erin.mays@grubb-ellis.com

Stirling Sotheby’s International Realty Launches Rental Lifestyles Residential Property Management Services

ORLANDO, FL --- Stirling Sotheby’s International Realty has launched Rental Lifestyles, a five star property management service that will focus on leasing luxury and executive homes, town homes and condominiums.

Roger Soderstrom, (bottom right photo) owner and founder of Stirling Sotheby’s International Realty, said he appointed Peter Voigt (top right photo) performance director of Rental Lifestyles. (http://www.cflrentals.com/)

Voigt, a licensed real estate broker who majored in Marketing at the University of Central Florida, has more than nine years of experience.

He was formerly affiliated with Orlando Rental Store, LLC, and Big Apple International Realty in Longwood.

“Rental Lifestyles will bring an entirely new rental concept to Central Florida that will offer clients a manner of living that reflects their values and attitudes,” said Soderstrom.

Soderstrom said Stirling Sotheby’s Rental Lifestyles will provide residents personal contact with a professional Lifestyle Consultant that will assist them in finding the right neighborhood, amenities and the lifestyle they’re looking for, as well as ongoing services and support they may require in the future.

“It is our commitment to provide every customer with five star service and place them in a property that fits their budget,” Soderstrom said.

“With our marketing scope and Sotheby’s International Realty affiliation, we are in a unique position to offer rental property owners an enormous market base that includes U.S. and international clients,” Soderstrom said.

For more information, please contact
Roger Soderstrom, Founder/Owner Stirling Sotheby’s International Realty, 407-588-1260

Larry Vershel or Beth Payan, Larry Vershel Communications, 407-644-4142

Arbor Closes $8,775,000 Fannie Mae DUS ® Loan for Brampton Court Apartments in Bellingham, WA

Uniondale, NY - Arbor Commercial Funding, LLC (“Arbor”), a wholly-owned subsidiary of Arbor Commercial Mortgage, LLC, announced the recent funding of a $8,775,000 loan under the Fannie Mae DUS® product line for the 171-unit complex known as Brampton Court Apartments (top right photo) in Bellingham, WA.

The 10-year loan amortizes on a 30-year schedule and carries a note rate of 5.86 percent.

The loan was originated by Jon Red, (bottom left photo) Director, in Arbor’s full-service Spokane, WA lending office.


“The borrower wanted to secure a long-term, low-interest rate and minimize escrows for the property,” said Red.


“With several lenders competing for the deal, Arbor provided several options to structure the loan and it was our flexible approach that won us the business.”


Contact: Ingrid Principe, P: 516.506.4298, F: 516.542.2555, http://www.arbor.com/

RealtyTrac Reports Foreclosure Activity Increases 9% in First Quarter

U.S. Foreclosure Activity Up 24 Percent From Q1 2008

March Activity Up 17 Percent From February, 46 Percent From March 2008

IRVINE, CA, April 16, 2009 – RealtyTrac®, the leading online marketplace for foreclosure properties, today released its U.S. Foreclosure Market Report™ for Q1 2009.

The report shows foreclosure filings — default notices, auction sale notices and bank repossessions — were reported on 803,489 properties in the first quarter, a 9 percent increase from the previous quarter and an increase of nearly 24 percent from Q1 2008.

One in every 159 U.S. housing units received a foreclosure filing during the quarter.

Foreclosure filings were reported on 341,180 properties in March, a 17 percent increase from the previous month and a 46 percent increase from March 2008.

The March and Q1 2009 totals were the highest monthly and quarterly totals since RealtyTrac began issuing its report in January 2005 despite a decrease in bank repossessions (REOs), which were down 13 percent from the fourth quarter of 2008 and 3 percent from February totals.

“In the month of March we saw a record level of foreclosure activity — the number of households that received a foreclosure filing was more than 12 percent higher than the next highest month on record.

" Since much of this activity was in new foreclosure actions, it suggests that many lenders and servicers were holding off on executing foreclosures due to industry moratoria and legislative delays,” said James J. Saccacio, (top right photo) chief executive officer of RealtyTrac.

“It’s also likely that the drop in REO activity can be attributed to these processing delays, rather than to any of the foreclosure prevention programs currently in place. It’s very likely that we’ll see the number of REOs increase again now that most of the moratoria have been lifted.”

“On a positive note, it appears that demand is up in some of the harder-hit areas, particularly on bank-owned REO properties that first time homebuyers and investors see as bargains,” Saccacio continued. “But it’s unlikely that this increased demand will be enough to offset the growing number of foreclosures in the pipeline, accelerated by rising unemployment rates.”

Nevada, Arizona, California post top state foreclosure rates in first quarter

Nevada continued to document the nation’s highest state foreclosure rate in the first quarter, with one in every 27 housing units receiving a foreclosure filing — more than five times the national average.

Foreclosure filings were reported on 41,296 Nevada properties during the quarter, an increase of 19 percent from the previous quarter and an increase of nearly 111 percent from Q1 2008.

Bank repossessions in Nevada were down 3 percent from the previous quarter, but defaults increased 27 percent and auction sale notices increased 35 percent.

Arizona posted the nation’s second highest state foreclosure rate for the first quarter, with one in every 54 housing units receiving a foreclosure filing, and California posted the nation’s third highest state foreclosure rate, with one in every 58 housing units receiving a foreclosure filing.

Other states with foreclosure rates ranking among the top 10 in the first quarter were Florida, Illinois, Michigan, Georgia, Idaho, Utah and Oregon.

Five states account for nearly 60 percent of nation’s first quarter total

California, Florida, Arizona, Nevada and Illinois accounted for nearly 60 percent of the nation’s foreclosure activity in the first quarter, with 479,516 properties receiving foreclosure filings in the five states combined.

With 230,915 properties receiving foreclosure filings during the quarter, California accounted for nearly 29 percent of the nation’s total.

The state’s foreclosure activity increased 35 percent from the previous quarter and 36 percent from Q1 2008, and the first-quarter total was state’s highest quarterly total since RealtyTrac began issuing its report in the first quarter of 2005.

Despite a 12 percent decrease from the previous quarter, Florida’s first quarter total was still second highest in the nation.

Foreclosure filings were reported on 119,220 Florida properties, a 36 percent increase from the first quarter of 2008.

The state posted the nation’s fourth highest state foreclosure rate during the quarter, with one in every 73 housing units receiving a foreclosure filing.

Foreclosure filings were reported on 49,119 Arizona properties in the first quarter of 2009, the third highest total among the states, and 41,296 Nevada properties received a foreclosure filing in the first quarter of 2009, the fourth highest total among the states.

Illinois posted the nation’s fifth highest total, with 38,966 properties receiving a foreclosure filing during the first quarter — a 32 percent increase from the previous quarter and a 68 percent increase from the first quarter of 2008. With one in every 135 housing units receiving a foreclosure filing, the state’s foreclosure rate also ranked fifth highest among the states.

Rounding out the states with the 10 highest foreclosure activity totals in Q1 2009 were Michigan, Ohio, Georgia, Texas and Virginia.

Contact: Tammy Chan Atomic PR
Direct: 212-699-3646
Mobile: 408-802-8682
tammy@atomicpr.com

SchenkelShultz Promotes Krueger to Partner

FORT MYERS/NAPLES, FL – Gary F. Krueger, (top right photo) AIA, Principal-in-Charge of SchenkelShultz Architecture’s Fort Myers and Naples offices, was promoted to Partner.

Krueger will continue in his role of management of the Southwest Florida offices of SchenkelShultz.

A Registered Architect, he has been with SchenkelShultz for 20 years and holds a Master of Architecture degree from the University of Oklahoma as well as a Bachelor of Science in Architectural Engineering from the Milwaukee School of Engineering. He is also a member of the American Institute of Architects.

Contact: Kenneth H. Cristol, 407-774-2515

Generation Y: Bullish on U.S. Housing Market

First major national housing survey during current downturn reveals surprising results

NEWPORT BEACH, CA--(BUSINESS WIRE)--The first major survey into Generation Y’s perception of the U.S. housing crisis reveals a surprisingly strong sense of optimism about the future despite cautious near-term sentiment.

While the housing industry is readying for this wave of future homeowners (approximately 80 million strong), there is little data on what this influential buying group actually wants in their next home or how the current downturn has affected their future plans.

According to the national survey conducted by The Concord Group:

·50% say they are likely to purchase a home within the next three years
·50% say tax credits or lower interest rates would motivate them to purchase a residence sooner
·70% believe home prices will be higher or at today’s levels in two years
·62% say wealth creation is a very big advantage of real estate ownership

Although economic conditions factor strongly in their decision-making process, survey respondents say that lower home prices and/or a raise at work would be the top motivations for buying a home sooner than planned.

"Generation Y is going to have more impact on the national housing market than any group since the early Baby Boomers.

"We wanted to better understand their preferences and expectations especially as they will have such an impact on our future,” said Emma Tyaransen, (top right photo) Principal of The Concord Group, a national real estate advisory firm.

The majority of respondents to The Concord Group’s survey say they are:

·Willing to pay a premium to live closer to their job
·Seeking out a larger space for their next residence
·Interested in living near alternative modes of transportation
·Likely to put down less than 20% on their next residential purchase
·Planning to eventually abandon the cities for a life in the suburbs

“What’s so interesting about this data is that it supports our prediction that transit-oriented development will command a premium in the near future. It also proves that suburban development will continue to play an important role in the housing market that emerges from the downturn,” said Tyaransen.

The Concord Group is a premier national real estate advisory firm with offices in Newport Beach, CA; San Francisco, CA; Portland, OR and Boston, MA. The Concord Group provides developers, investors and public planning agencies with vital analytical input throughout all phases of real estate financing, development and operations. http://www.theconcordgroup.com/

To receive the complete survey and for interview requests, please contact:

Ellis Strategies, Inc.Matt Ellis, 617-278-6560, matt@ellisstrategies.com

Nature's Table Renews 6-Year Lease at One Orlando Centre

ORLANDO, FL--Cushman & Wakefield of Florida, Inc. (C&W) announced a new six year lease for the One Orlando Centre (top right photo) location of Nature’s Table restaurant.

Retail Brokerage Associate Mindy Boehm (bottom left photo) negotiated the lease, representing the tenant in the transaction, and C&W office team Richard Solik and Betsy Owens represented the landlord, Eola Capital.

Nature’s Table representative Krista Lehn said the location is scheduled for complete renovation including a brand-new interior design, all-new fixtures and new furniture.

The overhaul will necessitate the closure of the restaurant beginning the last week of April and continuing through July.

During the renovation, temporary food service will be available on the first level of One Orlando Centre.

In addition to updating their space, Nature’s Table will also strengthen the consistency of menu offerings, renewing their commitment to the core selections of gourmet wraps, salads, homemade soups, smoothies and bakery items.

C&W negotiates lease for Pro-Neon and Art Design relocation

The Orlando office of Cushman & Wakefield (C&W) announced that Allison Reynolds, Associate of Industrial Brokerage Services closed a deal in March for the relocation of commercial signage fabricator Pro-Neon and Art Design from 1586 North Goldenrod to 1696 and 1700 North Goldenrod. Reynolds represented the landlord, Selwo Investment Group in the transaction.

Contact: Brook Hines, 407-541-4401, brook.hines@cushwake.com
http://www.cushwake.com/

Grubb & Ellis Awarded 1.8 Million SF Leasing Assignment

Firm Selected to Lease Mercer Crossing Office Space, Part of a 1,200-acre mixed-use development

DALLAS, TX, April 14, 2009 – Grubb & Ellis Company (NYSE: GBE), a leading real estate services and investment firm, today announced that it has been selected as the leasing agent for the 1.8 million square feet of Class A office space at Mercer Crossing, a 1,200-acre mixed-use development.

Included in the assignment are Fenton Centre, (top left photo) Browning Place (middle right photo) and Hickory Centre.

Comprising two seven-story office buildings, Fenton Centre is located at 1501-1507 LBJ Freeway and offers nearly 700,000 square feet of rentable space.

Located at 1601–1607 LBJ Freeway, Browning Place consists of three eight-story office buildings offering a total of 627,312 square feet of rentable space.

Hickory Centre is comprised of one eight-story and two four-story office buildings, offering approximately 425,000 square feet of rentable space. Plans exist to expand the complex with the addition of two Class A office buildings, adding approximately 300,000 square feet to the development.

“This is a great win for Grubb & Ellis, and our team is enthusiastic to provide Mercer Crossing’s management team with a superior level of service,” said Kathy Permenter, managing director, Agency Leasing in Grubb & Ellis’ Dallas office.

“Set inside a beautiful corporate park, Mercer Crossing offers a variety of leasing prices in its Class A buildings. The development is in a prime location and provides tenants with quality services and onsite amenities.”

Mercer Crossing (bottom left photo) is located between the George Bush Turnpike and Interstates 35 and 635.

Onsite amenities include restaurants, banking, a jogging trail, and a fitness center. Onsite management is also provided, as well as a 24-hour courtesy officer.

Overseen by Regis Property Management, the total office product of Mercer Crossing is currently 63.5 percent leased.

Permenter’s leasing team includes Russ Johnson, senior vice president, and Heather Densmore Shover, vice president, all with Grubb & Ellis’ Dallas office.

Contact: Damon Elder, 714.975.2659, damon.elder@grubb-ellis.com

National Office Vacancy at 15.6% After Soft First Quarter

Manhattan, Long Island and New York Outer Boroughs Only 3 Major U.S. Markets to Post Under 10% Vacancy Rates

SANTA ANA, CA-Bob Bach, (top right photo) senior vice president and chief economist, Grubb & Ellis Co., reports on the first-quarter 2009 office market:

· Commercial real estate, viewed as a lagging indicator, is catching up with the rest of the economy, unfortunately, as office market fundamentals deteriorated sharply in the first quarter.

· The vacancy rate ended the quarter at 15.6 percent, an increase of 80 basis points since last year’s fourth quarter and 260 bps since vacancy bottomed at 13.0 percent in the fourth quarter of 2007. It was the largest quarterly increase of this cycle, meaning that the pace of softening accelerated in the first quarter.

(Manhattan financial districtd map, middle left)

· Manhattan, Long Island and the New York Outer Boroughs remain the only three major U.S. markets to post sub-10 percent vacancy rates, although Manhattan’s vacancy rate, like the U.S. average, has risen for five consecutive quarters.

Eight markets posted vacancy rates above 20 percent led by Phoenix, where vacancy is approaching 25 percent.

· Over the past four quarters, vacancy increased by 400 bps (one percentage point per quarter) or more in seven markets led by California’s Inland Empire, which recorded a four-quarter gain of 840 bps. Four markets saw vacancy rates decline year-over-year: Long Island, Columbia, S.C., Columbus, Ohio, and Wichita, Kan.

(Long Island, NY skyline, middle right photo)

· Net absorption, which registered only modest negatives in 2008, plunged to recessionary levels in the first quarter, mirroring the big slump in the labor market that occurred in last year’s fourth quarter.

First quarter absorption of negative 18.4 million square feet is comparable to the quarterly losses in occupancy that occurred after the dot-com bust, 9/11 and recession early this decade.

· Restructuring on Wall Street shrank occupied space in Manhattan by 2.8 million square feet in the first quarter. Several markets that were supposed to hold up well did not, registering large negative absorption totals.

These included Los Angeles (-2.5 million), Houston (-929,000), Seattle (-740,000) and Washington, D.C. (-723,000). The recession has left few markets untouched, though a handful of markets, led by Dallas-Fort Worth, did eke out positive absorption.

· Space under construction at the end of the quarter retracted to 66 million square feet, its lowest level in 2 ½ years.

Washington, D.C., with 9.8 million square feet still in the pipeline, may be facing some difficult quarters given that absorption has turned negative in all three of the region’s major submarkets.

· Available sublease space ended the quarter at 111 million square feet, its highest level in 4 ½ years. New York City, with 14.6 million square feet, nearly doubled the sublease inventory of second place Washington, D.C.

Three of the four major markets surrounding Manhattan posted the highest sublease vacancy rates in the country: Northern and Central New Jersey, Westchester County, N.Y., and Fairfield County, Conn.

(Downtown Columbus, OH, middle right photo)

· Rental rates are behaving erratically. The average asking rate of $27.67 per square foot per year, full service, for space available on the market at the end of the first quarter actually rose by 0.3 percent since year-end 2008.

But the effective rate on deals signed in the first quarter, which includes concessions offered to tenants, fell 2.1 percent from the fourth quarter.

Though counterintuitive, asking rates sometimes increase in the early stages of a recession because the construction pipeline continues to deliver Class A space that was started before the recession began, and much of it is being delivered empty.

The asking rates for this top-of-the-line available space are driving up the average, but because landlords will do deals at lower rates (sometimes much lower), effective rates are falling. At some point landlords will begin to compete on asking rates in addition to concession packages.

Forecast

The timing of a recovery in the office market depends on two related events: how quickly the economy begins to grow again and how quickly the labor market begins to add jobs.

While some analysts expect GDP growth to turn positive in the fourth quarter of this year, most expect the unemployment rate to continue rising until mid-2010 or later.

This could turn out to be a “jobless recovery” of the kind that followed the last two recessions when the economy was growing but not fast enough to encourage employers to hire.

There may not be an office market recovery worthy of the name until 2011.

HFF, Macquarie and UBS Named to Market for Sale 52-Property Shopping Center Portfolio

PITTSBURGH, PA, April 14, 2009(BUSINESS WIRE))--HFF (Holliday Fenoglio Fowler, L.P.) announced today that it has been named as a co-advisor, along with Macquarie Capital Advisers Limited and UBS Securities, LLC, for a strategic review of Macquarie DDR Trust’s (“MDT”) U.S. based real estate assets and to market for sale a 52-property shopping center portfolio in 20 states owned in a subsidiary, Macquarie DDR U.S. Trust Inc.


HFF executive managing director John Pelusi, (bottom right photo) senior managing directors Barry Brown (bottom left photo) and Doug Hazelbaker (top left photo) and managing director Lynn De Marco (top right photo) will lead the HFF investment sales team on behalf of the seller, a joint venture between Macquarie DDR Trust and Developers Diversified Realty Corporation.

Investors may seek to purchase MDT’s interest (approximately 85.5%) or 100% interest of the portfolio, sub-portfolios or individual assets. As of December 31, 2008, these assets were valued at approximately $1.9 billion by MDT.

The portfolio totals 12.5 million square feet and has an average occupancy of 88.5%. Major tenants include Walmart, BJ’s Wholesale Club, Bed Bath & Beyond, Best Buy, T.J. Maxx, Kohl’s and Dick’s Sporting Goods.

Macquarie DDR Trust is a listed real estate investment trust with assets totaling $2.7 billion.


As of September 20, 2008, more than $36 billion of real estate assets are managed globally by Macquarie Group and its associates across a portfolio of listed and unlisted real estate trusts, unlisted development funds and real estate investment syndicates.

Developers Diversified Realty Corporation owns and manages more than 720 retail operating and development properties in 45 states, plus Puerto Rico, Brazil, Russia and Canada totaling more than 159 million square feet.

Contacts:

HFF, Inc. Executive Managing Director, JOHN H. PELUSI, JR., 412-281-8714, jpelusi@hfflp.com

Senior Managing Director, BARRY M. BROWN, 214-265-0880, bbrown@hfflp.com

Senior Managing Director, DOUG HAZELBAKER, 214-265-0880, dhazelbaker@hfflp.com

Managing Director, LYNN A. DEMARCO, 212-245-2425, ldemarco@hfflp.com

Associate Director, Marketing, KRISTEN M. MURPHY, 713-852-3500, krmurphy@hfflp.com

Arbor Closes $32.35M Fannie Mae DUS® MBS ARM Loan for Vintage Pointe in Montgomery, AL

UNIONDALE, NY, April 14, 2009 - Arbor Commercial Funding, LLC (“Arbor”), a wholly-owned subsidiary of Arbor Commercial Mortgage, LLC, announced the recent funding of a $32,350,000 loan under the Fannie Mae DUS® MBS ARM Loan product line to refinance the 520-unit complex known as Vintage Pointe (bottom left photo) in Montgomery, AL.

The 10-year loan amortizes on a 30-year schedule and carries a note rate of 6.11 percent.

The loan was originated by Ronen Abergel, (top right photo) Director, in Arbor’s full-service New York, NY lending office.

“On this particular deal, Arbor was competing with another lender who ultimately did not deliver on its commitments to the borrower,” said Abergel.

“With timing being critical for our client, we screened the deal within a couple hours and closed 28 days later.

The proceeds of the loan were precisely on target with the borrower’s request, which enabled him to close the deal.”

Contact: Ingrid Principe, P: 516.506.4298. F: 516.542.2555. http://www.arbor.com/

Bulls Capital Partners Arranges Financing of $2.68M for 72-Unit Apartment Property in Fort Collins, CO.

VIENNA, VA, April 14, 2009 -- Bulls Capital Partners LLC, a multifamily financial services provider and Fannie Mae Delegated Underwriting & Servicing (DUS®) lender, today announced it has provided financing to Willow Grove, Ltd. in the amount of $2,680,000 for the refinance of Willow Grove Apartments (bottom right photo) in Fort Collins, CO.

Willow Grove Apartments is a 72-unit garden apartment complex built in 1990 with a mixture of one and two bedroom units.

The complex is part of a community development which shares amenities such as a pool, spa and fitness center.

The loan was originated by Mark Van Kirk (top right photo) at Bulls Capital Partners, LLC. Tom Sibbald of Shield Street Corporation represented the Borrower.

Herman Bulls, (top left photo) President & CEO of Bulls Capital Partners said, "A testament to our focus on customer service at Bulls Capital Partners is our ability to work with borrowers and structure deals which are responsive to their long term ownership needs and the current economic environment."

Bulls continued, "It was very important for us to retain this maturing loan in our portfolio and we like the long term outlook of the Colorado market."

"In the current multifamily debt market, most transactions have some challenges to overcome," said Van Kirk, co-founder of Bulls Capital Partners.

"The Fannie Mae personnel working on the Willow Grove transaction were extremely responsive to all issues that arose during the origination and closing process. This commitment by Fannie Mae was the catalyst to a timely execution for this transaction."

About Bulls Capital Partners, LLC

Bulls Capital Partners, LLC is a Fannie Mae approved Delegated Underwriting and Servicing (DUS®) lender that offers a full array of financing solutions to owners of multifamily property.

Bulls Capital Partners' key capabilities under the DUS program include small loan solutions, affordable housing solutions, student housing, market-rate multifamily mortgages, and credit facilities, among other offerings.

Bulls Capital Partners is a joint venture of Goldman Sachs Commercial Mortgage Capital, L.P. and Bulls Multifamily, LLC, a minority-controlled firm headed by Herman Bulls.

Bulls previously ran a successful DUS lending operation, and has extensive commercial real estate experience with one of the world's leading real estate service providers. Co-founding Bulls Capital Partners with Bulls is Van Kirk, who previously served as Director of Counterparty Risk at Fannie Mae.

Website: http:// http://www.bullscapitalpartners.com/

CONTACTS:

Bulls Capital Partners, LLC, Herman Bulls, President & CEO, phone: (202)256-1814
Herman.Bulls@bullscapitalpartners.com

Mark B. Van Kirk. Co-Founder & COO, phone: (703)283-9700
Mark.VanKirk@bullscapitalpartners.com