Hoteliers Continue to Face Eroding Room Demand

ENCINO, CA--Marcus & Millichap Real Estate Investment Services Inc. reports the recession continues to erode room demand, forcing hotel owners to increasingly consider lowering their average daily rate (ADR), a strategy that will put downward pressure on revenue per available room (RevPAR).

In the months ahead, challenges will persist for owners, as many measures of economic activity indicate that further declines in room demand will occur and greater pressure will be exerted upon profitability.

Occupancy of 50 percent, often considered the minimum target threshold to attain profitability, has been equaled or exceeded on fewer than half of the days thus far in 2009, down from 73 percent in the corresponding period last year.

Supply growth, meanwhile, has contributed to the sharp downturn in property fundamentals over the past several months, and more than 130,000 additional rooms are expected to be delivered this year.

The projected increase in supply will put further pressure on owners to discount rates in order to retain market share.

On a positive note, however, challenges obtaining construction financing may defer or cancel some projects, thereby easing the effects of supply growth on other fundamentals.

For a complete copy of the company's report, please contact:

Stacey Corso, Communication Director, stacey.corso@marcusmillichap.com

Grubb & Ellis Names David Susoreny Executive Vice President, Corporate Services Group

SANTA ANA, CA– Grubb & Ellis Company (NYSE: GBE), a leading real estate services and investment firm, has named David Susoreny executive vice president, Corporate Services Group. The promotion is effective immediately.

Susoreny is a 12-year veteran of the company, having most recently served as managing director, Corporate Services Group, which provides multi market account management for corporate clients to ensure the highest level of integrated real estate services.

In this role, he will oversee the company’s Corporate Services directors as well as the company’s International, Project Management and Strategic Consulting businesses.

“David has shown a tremendous aptitude for assessing a client’s real estate needs and applying our service offerings in a way that is strategic and flexible, creating real estate programs specifically tailored to a client’s needs both in terms of geographic footprint and service requirements,” said Jack Van Berkel, (top right photo) president, Real Estate Services. “In the 12 years he has been with Grubb & Ellis, his ingenuity in servicing clients has gone unmatched.”

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

Black & Veatch Completes Purchase of World Headquarters

OVERLAND PARK, KS--(BUSINESS WIRE)--Black & Veatch today finalized its purchase of the 11401 Lamar Avenue building in Overland Park, the headquarters for one of the world’s largest engineering, consulting and construction companies.

The purchase allows the company to begin site development, enhancement and plans for expansion, which is expected to create an economic boost for the region.

“Black & Veatch’s decision to expand in Kansas is a testament to our state’s strong business climate,” said Governor Mark Parkinson. (middle left photo) “Kansas is known for its safe communities, great schools and highly educated workforce. We’re so glad to have a global leader like Black & Veatch make Kansas the home of its world headquarters.”

Black & Veatch purchased the 11401 Lamar Avenue building for $60 million, securing part of the financing for the purchase through The Mission Bank in Johnson County, Kansas.

“The combined support of the state of Kansas and the city of Overland Park were instrumental in reaching this milestone,” said Len C. Rodman, (middle right photo) Black & Veatch Chairman, President and CEO.

“With the completion of this purchase, we can now begin to implement at our world headquarters the same types of innovative and sustainable solutions we provide every day for our clients.”

The new world headquarters (above centered rendering) will include a solar courtyard, solar canopy, bio garden and an innovation pavilion. There will also be extensive workspace, common area and facility upgrades, as well as energy management upgrades; enhancements in external landscaping; rainwater reuse systems and storm water run-off management.

When completed, Black & Veatch’s world headquarters will be LEED certified.

“Bringing these innovative and futuristic enhancements to an older facility to meet tomorrow’s design standards presents a large technical challenge, but is the most sustainable solution for the area,” Rodman added.

“It’s a challenge our professionals relish and take tremendous pride in. In addition to these enhancements, we are also planning for an additional 250,000 square-foot complex that will be built, when needed, to accommodate future growth.”

The company has piloted many of the potential design concepts at its more than 100 global offices and will draw on its LEED-certified experts and architecture, engineering and construction talent to bring innovative design concepts to the world headquarters.

“Overland Park knows the value Black & Veatch brings to the city, the state of Kansas and the entire metropolitan Kansas City area,” said Overland Park Mayor Carl Gerlach. (bottom right photo)

“Its construction plans include truly unique advancements in construction science, and a commitment to the community and environment. Congratulations to the entire Black & Veatch team on its purchase, pending enhancements and eventual expansion,” Gerlach added.

Additional Information:

Black & Veatch announced on March 23, 2009, its decision to purchase the 11401 Lamar Avenue location after a two-year real estate analysis.

The analysis included the evaluation of approximately 40 sites across the Kansas City metro region.

Black & Veatch has been the sole occupant of the building since its original construction in 1976.
The building was expanded to 600,000 square-feet in 1996 and is the largest office building in Kansas.

The building currently houses more than 2,300 of the company’s 3,800 workforce in the Kansas City metro region.

With a potential total of 850,000 square-feet of office space on the campus, the world headquarters site could ultimately accommodate a total workforce of more than 3,400.

Site development will take place from 2009 through 2010. Building enhancements are planned for 2010 through 2012. Future expansion aligns with Black & Veatch’s long-term strategy.

The Leadership in Energy and Environmental Design (LEED) Green Building Rating System is a voluntary, consensus-based national rating system for developing high-performance, sustainable buildings.

Marcus & Millichap Hires Fran Victor as Associate in Portland, OR Office

PORTLAND, OR– Marcus & Millichap Real Estate Investment Services, the nation’s largest real estate investment services firm, has hired Fran Victor (top right photo) as an associate in the Portland office, according to Tony Cassie, regional manager of the Portland office.

“As a 17-year veteran of the commercial real estate industry, Fran brings a wealth of expertise in the acquisition and disposition of commercial real estate to our firm,” says Cassie.

“With this new hire, Marcus & Millichap will be better positioned to provide unparalleled investment brokerage, research and advisory services to our clients in the Portland region and throughout the Pacific Northwest.”

Victor specializes in multi-family investment sale transactions. Prior to joining Marcus & Millichap, she was with her own firm, Victor Investment Real Estate. Prior to that, she was with Granite Equities Inc. and Equity Builders Realty, both based in Portland.

“I joined Marcus & Millichap because my clients can benefit from the firm’s national brokerage platform and access to the more private investment capital than any other company in the United States,” says Victor.

Press Contact: Stacey Corso, Communications Department, (925) 953-1716

Officials Announce 2009 International Hotel Conference in Venice

VENICE, Italy—Organizers of the International Hotel Conference, one of the most significant annual gatherings of international hotel experts, today announced participants will receive complimentary water taxi service from the airport to the hotel and a €50 per night room rate reduction from €365.

The seventh annual event is scheduled October 21-23, 2009 at the Hilton Molino Stucky, in Venice, Italy.

“We chose ‘Time to Get Back in the Game’ as this year’s conference theme, which certainly seems to be the overall feeling in the industry,” said Morris Lasky, (middle right photo) conference co-chairman and president of Lodging Unlimited Inc.

“Europe is beginning to show signs of bottoming out and should be in the early stages of recovery in October. We expect to see significant acquisition activity taking place during the conference.

“Pre-registrations are ahead of last year and we have gathered over 100 notable speakers to address the various issues facing hoteliers today,” Lasky added. “We are confident that this is the strongest speaker list in our seven-year history.”

Speakers will include:

Dr. Sabina Giese, (top left photo) Director of Development Central & Eastern Europe, Choice Hotels International

Peter Gee, (middle left photo) Partner, King Sturge, LLP

Jean Gabriel Pérès , President & CEO, Mövenpick Hotels & Resort

Simon Vincent, (bottom right photo) President - Europe, Hilton Hotels
Russell Kett, Managing Director, HVS

Blanche van Berckel, (bottom left photo) Managing Director, Fairquest Hotels

· Babette Marzheuser-Wood, Partner, Vice Chair of the European Franchising Network, Field Fisher Waterhouse LLP

· Paul McCartney, Partner, Davies Arnold Cooper LLP

· Wilma Kellermann-Baans, Vice President Business Development, Steigenberger Hotels AG

“This is a special opportunity to offer attendees a new reduced rate on accommodation at the Molino Stucky,” said Lasky. The new rate of €315 per night is available only if booked before August 31, 2009.

The International Hotel Conference is the premier annual gathering of senior level hospitality executives, including owners, operators, franchisors, lending institutions, bankers, architects/designers, attorneys, brokers and other members of the hotel and related communities.

Information about the International Hotel Conference may be found at the event’s Web site http://www.ihconference.com/, or by contacting the conference organizer, Morris Lasky at mlasky@aol.com.

Media contacts: Jerry Daly or Patrick Daly, 001 703 435 6293

Commons at Abacoa in Jupiter, FL Gets $5M Loan

FORT LAUDERDALE, FL—July 2, 2009— Thomas D. Wood and Company, a Strategic Alliance Mortgage LLC member, secured financing on June 30, 2009, in the amount of $5,037,500 for the Commons at Abacoa II (top left photo) in Jupiter, Florida.

Patrick Madore, (bottom right photo) Company Vice President, financed the Commons at Abacoa II through Thomas D. Wood and Company’s relationship with a regional bank.

The loan has an interest rate of 6.5% and a 10-year term with a five-year rate review, based on a 25-year amortization. The loan-to-value is 65%. The 29,461 square-foot office building was built in 2007 and is home to major tenant Health Care REIT. The Commons at Abacoa II is located at 661 University Drive, Jupiter, Florida.

For further information, please contact:

Patrick Madore, (954) 233-6024, pmadore@tdwood.com

Jessica Gurtowski, (407) 937-0470, jgurtowski@tdwood.com

Orange County, FL May Resort Tax Collections Dip 18% in May

ORLANDO, FL -- County Comptroller Martha Haynie (top right photo) announced today that resort tax collections received by the County in June for the hotel collection month of May 2009 were $11,137,900.

Resort taxes are charged on short-term rentals, mostly hotels and motels.

Comptroller Haynie noted that May 2009 collections were eighteen percent lower than May 2008.

“The County has adequate cash reserves for its tourist development tax bond obligations, but it will be good news when the month to month comparisons turn positive again,” Haynie added.

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

Martha O. Haynie, (407) 836-5690

Joan Randolph, Tele: 407-836-5986, Fax: 407-836-5599

A.D. Owens Construction completes historic building renovation for Old Florida National Bank

ORLANDO, FL— A.D. Owens Construction Corp. has completed the new downtown Orlando office of Old Florida National Bank (top right photo) located in the historic 60 Court Avenue building.

Under its $311,300 contact, A.D. Owens Construction kept the façade intact on the 1920s building and renovated the interiors (bottom left photo) of the first two floors of the three-story, 11,000-square-foot structure.

The Contractor delivered the project three weeks ahead of schedule to the owner, Old Florida National Bank.

HuntonBrady Architects, Orlando, Fla., was the architect. CHPA Consulting Engineers of Maitland, Fla., provided engineering.

“It was a great team effort between our company, the owner and architect to bring this historic building renovation to a successful completion early,” said Andy Owens, president, A.D. Owens Construction.

Major subcontractors selected by A.D. Owens Construction for this project included Ace Automatic Fire Sprinkler, Control Electric Services Inc., Schwenn Mechanical LLC, Plummer Painting & Waterproofing, SMI Cabinetry Inc., Spectra Contract Flooring, Jansen Acoustical, Gary Reeves Drywall LLC, and Dew Glass Inc.

About Old Florida National Bank
Old Florida National Bank is a locally owned community bank. Headquartered in Winter Park, Fla., the bank has offices in Altamonte Springs, Longwood, Apopka and Orlando, Fla.

About A.D. Owens Construction Corp.
A.D. Owens Construction Corp. was founded by construction industry executive Andrew Owens in 2007. Headquartered in Orlando, Fla., the Company provides construction management, general contracting and design build services for new construction, renovations and tenant interiors for commercial projects throughout Central Florida.

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

Contact: Meredith Ingra, Associate/Business Manager, PR WORKS!, 14114 Chicora Crossing Blvd., Orlando, FL 32828, merei@pr-works.com

PH: 407-384-1344, FX: 407-384-0324

Lodgian Provides Update on Maturing Mortgage Debt

ATLANTA, GA, July 2, 2009 – Lodgian, Inc. (NYSE Alternext US:LGN), one of the nation’s largest independent hotel owners and operators, today announced that the company has obtained extensions on $71.6 million of its mortgage indebtedness previously scheduled to mature on July 1, 2009, and remains in negotiations on extension of $45.7 million of mortgage debt which matured on July 1, 2009.

“We are extremely pleased with the extension agreements reached with regard to two of the three maturing loans, which extends the maturity date of $36.5 million and $35.1 million of mortgage debt for one and three years, respectively,” said Dan Ellis, (top right photo) Lodgian president and chief executive officer.

“These extensions give Lodgian additional time and flexibility as the company continues its efforts to refinance this debt. We remain in negotiations with the special servicer of the Merrill Lynch Fixed Rate Pool #3 in an effort to arrive at a longer term solution for this loan portfolio.”

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

Julie Tullbane, Daly Gray Public Relations, T 703-435-6293, F 703-435-6297, julie@dalygray.com

Debi Ethridge, Vice President, Finance & Investor Relations, (404) 365-2719, dethridge@lodgian.com

Wyndham Appoints Travel Systems Expert as Global Marketing Leader

PARSIPPANY, NJ– Wyndham Hotel Group, the world’s largest hotel company with approximately 7,000 hotels and 11 brands, has appointed Flo Lugli (top right photo) as executive vice president of marketing, responsible for the strategy and execution of the Hotel Group’s global marketing efforts.

Lugli, who joins the company on July 20th, will oversee the Hotel Group’s distribution and e-commerce, loyalty and direct marketing, research and analytics departments, and will work closely with the Hotel Group’s brand marketing teams to lead the overall strategic direction for customer engagement and market positioning for the company.


She comes to the Hotel Group from Travelport Limited, one of the world’s largest global distribution system providers and a leader in Web-based e-commerce solutions.

“Flo is an expert in global electronic e-commerce and building cross functional teams,” said Eric Danziger, (bottom left photo) Wyndham Hotel Group president and chief executive officer.


“As the world’s largest hotel company, Wyndham Hotel Group not only must have the best and the brightest marketers, but also leaders like Flo who can seamlessly collaborate across global departments, leveraging all of our electronic distribution and marketing opportunities.”



CONTACT: Rob MyersCommunications Coordinator, Wyndham Hotel Group, 22 Sylvan Way, Parsippany, NJ 07054973-753-6590. rob.myers@wyndhamworldwide.com

Fifth Third Bank in Altamonte Springs, FL Sells for $2.625M

ALTAMONTE SPRINGS, FL, July 1, 2009 – Marcus & Millichap Real Estate Investment Services, the nation’s largest real estate investment services firm, has announced the sale of Fifth Third Bank, (top right photo) a 4,629-square foot single-tenant net-leased property located in Altamonte Springs, FL, according to Bryn D. Merrey, Regional Manager of the firm’s Tampa office.

The asset commanded a sales price of $2,625,000.

John E. Brigel, (bottom left photo) Senior Associate and Ronald Schultz, Investment Specialist in Marcus & Millichap’s Tampa office, had the exclusive listing to market the property

on behalf of the seller, (tenants in common).

The buyer, a limited liability company, was also secured and represented by Brigel and Schultz.

This ground lease opportunity with Fifth Third Bank is positioned in the geographic heart of central Florida. Fifth Third Bank is located at 795 Gateway Drive.

“Ron and I represented the seller who was located in California. The property is in Orlando and we procured the buyer, who was in Albany, New York”.

“It was a relatively complex deal as it is a ‘to-be-built Fifth Third branch’ on an existing restaurant pad site. Environmental concerns, plan approvals and current economic instability made for a very interesting process with lots of moving parts to be wrangled in. All parties are quite excited about getting this deal done,” states Brigel.

Press Contact: Bryn D. Merrey, Regional Manager, Tampa, (813) 387-4700

Arbor Closes $730,000 Fannie Mae DUS® Small Loan for Chalet Apartments in Irving, TX

UNIONDALE, NY) - Arbor Commercial Funding, LLC (“Arbor”), a wholly-owned subsidiary of Arbor Commercial Mortgage, LLC, announced the recent funding of a $730,000 loan under the Fannie Mae DUS® Small Loan product line for the 40-unit complex known as Chalet Apartments in Irving, TX

The 10-year loan amortizes on a 30-year schedule and carries a note rate of 5.87 percent.

The loan was originated by Peter Margolin, (top right photo) Director, in Arbor’s full-service Northbrook, IL lending office. “The borrowers were looking for long-term debt for their acquisition of this 40-unit property,” said Margolin.

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

Marcus and Millichap Sells Apartment Community in Pittsburgh for $29.75M

PITTSBURGH, PA – Marcus & Millichap Real Estate Investment Services, the nation’s largest real estate investment services firm, has arranged the disposition of Chestnut Ridge, (top left photo) a 468-unit apartment community in Pittsburgh.

The sales price of $29.75 million represents $63,568.38 per unit and $82.69 per square foot.

Matthew Friedman, (middle right photo) a vice president investments and senior director of the firm’s National Multi Housing Group in Encino, and David Poluszejko, an associate in the Pittsburgh office, represented the seller, an institutional investor. Marcus & Millichap also represented the buyer, a local private investor.

“Located in a market that experiences very minimal property turnovers, this quality institutional-sized asset is well positioned to benefit the investor over the long term, given its affordable rental rates and continuing stability,” says Friedman.

“In the current economic climate, well-located multi-family properties are poised to perform more favorably than the other major property types: office, retail and industrial. The response from interested buyers in the marketplace was evidence of the apartment sector’s long-term stability.”

The property is located at 3200 Chestnut Ridge Drive in Robinson Township, within the prominent Montour School District. Robinson Township is one of the fastest-growing communities in Pittsburgh.

Developed in 1986, the 359,760-square foot Chestnut Ridge apartment complex features 31 buildings on 25 acres of maturely landscaped grounds. The asset consists of five different one- and two-bedroom layouts designed to attract a variety of renters.

The well-appointed units have private entrances, full-size washers and dryers, ceiling fans, a breakfast bar and walk-in closets. Select units feature vaulted ceilings with skylights and wood-burning fireplaces.

Community amenities include a newly renovated clubhouse with wireless Internet access, a pool, park-like recreation area with grills, a sand volleyball court, lighted tennis courts and indoor basketball and racquetball courts.

The property also has a tanning salon, fitness center and ample parking, including carports and attached garages.

Press Contact: Stacey Corso, Communications Department, (925) 953-1716

Green Medical Center, Haines City, FL Gets $1.65M Loan: CVS, $950,000

ORLANDO, FL—July 1, 2009— Thomas D. Wood and Company, a Strategic Alliance Mortgage LLC member, secured financing in the amount of $2,600,000 for Green Medical Center and CVS Pharmacy.

John Worrell, (top right photo) Company Assistant Vice President, financed Green Medical Center through Thomas D. Wood and Company’s correspondent relationship with the Standard Life Insurance Company in the amount of $1,650,000 and a rate of 7.125%.

The loan term is seven years, and can be reset every seven years, based on a 25-year amortization.

The loan-to-value is 70%. The 20,700 square-foot medical office is home to major tenants United States Department of Agriculture and Pediatrics Health Choice. Green Medical Center was built in 1966 and renovated in 2006, and is located at 306 S. 10th Street, Haines City, Florida.

Joe Dear, (bottom left photo) Company Vice President, financed a CVS Pharmacy through Thomas D. Wood and Company’s correspondent relationship with the Standard Life Insurance Company in the amount of $950,000.

The loan has a five-year term, based on a 25-year amortization and an interest rate of 6.75%. The loan-to-value is 62%. The single-tenant retail store was built in 1996 and is located at 105 W. Hampton Springs Avenue, Perry, Florida.

For further information, please contact:
John Worrell, (407) 937-0470, jworrell@tdwood.com

Joe Dear, (407) 937-0470, jdear@tdwood.com

Jessica Gurtowski, (407) 937-0470, jgurtowski@tdwood.com

http://www.tdwood.com/

Thomas D. Wood & Co. Brokers $5.25M in Loans for 2 Reno, NV Properties

MIAMI, FL, July 1, 2009— Thomas D. Wood and Company, a Strategic Alliance Mortgage LLC member, secured financing on June 30, 2009, in the amount of $5,250,000 for Sierra Quail Office and Quail Medical Center in Reno, Nevada.

Steve Wood, (top right photo) Company Chief Operating Officer, along with Tony Castrignano of Sky Mesa Capital, financed Sierra Quail Office in the amount of $2,550,000 through Thomas D. Wood and Company’s correspondent relationship with the Standard Life Insurance Company at an interest rate of 6.625%.

The loan term is five years, and can be reset every five years, based on a 25-year amortization and a loan-to-value of 63.75%. The 30,486 square-foot office building is home to major tenants United Healthcare Group and Career Choices of Nevada. Sierra Quail was built in 1995 and is located at 6880 S. McCarran Boulevard, Reno, Nevada.

Together they also financed Quail Medical Center in the amount of $2,700,000 through Thomas D. Wood and Company’s correspondent relationship with the Standard Life Insurance Company at an interest rate of 6.625%.

The loan term is five years, and can be reset every five years, based on a 25-year amortization and a loan-to-value of 57.45%.

The 23,140 square-foot office building is home to major tenants Reno Neurological Associates and Sierra Regional. Quail Medical Center was built in 1996 and is located at 6630 S. McCarran Boulevard, Reno, Nevada.


For further information, please contact:
Steve Wood, (305) 447-7820, swood@tdwood.com

Jessica Gurtowski, (407) 937-0470, jgurtowski@tdwood.com