Seldin Company Completes $5.9M Real Estate Transaction in Omaha

Sale of 70,000 SF. Building and 8 Acres of Land to Goodwill Industries

OMAHA, NB.--(BUSINESS WIRE)--Randy Lenhoff,  (top right photo) President and CEO of Seldin Company, announced the sale of a 70,000 square foot building located in Omaha, Nebraska to Goodwill Industries, Inc.

This brand new facility will serve as the new headquarters for Goodwill Industries serving Eastern Nebraska and Southwest Iowa. In addition, this building will include a 25,000 sq. ft retail store and additional space to be utilized for educational programs.

The purchase price was $5,900,000. In addition, the Seldin family donated 352,000 sq. ft. (8.03 acres) of fully improved infrastructure and paved parking area serving the new building, which is valued at $1,850,000.

Ted Seldin  (middle left photo) stated, “My partners, Millard Seldin, Stanley Silverman and our families are pleased and proud to provide this donation to Goodwill to further its amazing record of service to the underprivileged and handicapped as well as providing quality clothing and household items at affordable prices throughout the Omaha metro area.

"Our family hopes that our contribution will provide a catalyst and help the Goodwill capital campaign.”

Randy Lenhoff, Seldin Company President and CEO stated, “We are pleased to welcome Goodwill Industries to Benson Park Plaza, which when fully built will have added over 250,000 sq. ft. of new commercial space and over 500 new jobs in North Central Omaha.”

The Benson Park Plaza is a dynamic example of cooperation between the public and private sector to remove urban blight and create economic development for a metropolitan area.

The area originally received a “blighted” designation by the Omaha Planning Department in 1998.

The property has subsequently been redeveloped by the Seldin Company in cooperation with the City of Omaha and is now a thriving retail shopping center

 In addition to Goodwill Industries, current tenants of Benson Park Plaza include Baker Supermarket, Home Depot, Hancock Fabrics, Blockbuster Video, Famous Dave’s Barbeque, International House of Pancakes (IHOP), McDonald’s, Arby’s, PepperJax Grill, Sonic, and Subway.

Randy Lenhoff stated, “In 1999, at the start of re-development, the assessed value of the 40 acres of land and buildings on the land now comprising Benson Park Plaza was only $2,500,000, generating only $53,000 per year in real estate taxes.

When Benson Park Plaza is completed, the assessed value will be over $25,000,000, providing an increase of over $500,000 per year in new real estate taxes.”

Contacts: 
Seldin Company, Randall R. Lenhoff, 402-333-7373, President/Chief Executive Officer,  randyl@seldin.com

Prime Group Realty Trust’s 330 North Wabash Avenue and Continental Towers Properties Earn BOMA 360 Designation in Recognition of Excellence in Building Management

CHICAGO--(BUSINESS WIRE)--Prime Group Realty Trust (NYSE: PGEPRB) (the "Company") announced  that 330 North Wabash Avenue (top right photo)  in Chicago and Continental Towers (top left photo)  in Rolling Meadows are the first properties in the state of Illinois to be designated BOMA 360 Performance Buildings by the Building Owners and Managers Association International (“BOMA”).

The BOMA 360 Performance Program validates and recognizes commercial properties that demonstrate best practices in building operations and management.

Prime Group Realty Trust’s President and CEO Jeffrey A. Patterson (bottom left  photo) stated that the “designation is a great way to recognize the exemplary management at our properties.

 The managers of these properties, both of which are past recipients of BOMA’s Office Building of the Year Award, continue to provide innovative management and operational processes at the properties, which benefit the tenants and owner alike.”

“We are proud to designate 330 North Wabash Avenue and Continental Towers as BOMA 360 Performance Buildings in recognition of the high standards that Prime Group Realty Trust’s management teams have achieved in every aspect of building operations and management,” said BOMA International Chair James A. Peck, (middle right photo) RPA, FMA, senior director of asset services, CB Richard Ellis.

“By achieving the BOMA 360 designation for its buildings, the Company demonstrates to its tenants, prospective tenants and the community that their properties are being managed to the highest standards of excellence."

The BOMA 360 Performance Program evaluates properties in six major areas: (i) building operations and management; (ii) life safety, security and risk management; (iii) training and education; (iv) energy; (v) environment/sustainability; and (vi) tenant relations and community involvement.

The BOMA 360 Performance Program takes a holistic approach to evaluating a building’s operations and management, and benchmarks a building’s performance against industry standards. The program comes at a critical time, as building owners and managers are looking to differentiate themselves in a demanding market.

For more information on the BOMA 360 Performance designation, visit www.boma.org/GetInvolved/BOMA360.

Prime Group Realty Trust is a fully-integrated, self-administered, and self-managed real estate investment trust (“REIT”) which owns, manages, leases, develops, and redevelops office and industrial real estate, primarily in metropolitan Chicago.

The Company currently owns 8 office properties containing an aggregate of 3.3 million net rentable square feet and a joint venture interest in one office property comprised of approximately 101,000 net rentable square feet.

The Company leases and manages approximately 3.3 million square feet comprising all of its wholly-owned properties. In addition, the Company is the asset and development manager for an approximately 1.1 million square foot office building located at 1407 Broadway Avenue in New York, New York. For more information about Prime Group Realty Trust, contact the company's Chicago headquarters at (312) 917-1300 or visit its web site at www.pgrt.com.

330 North Wabash Avenue is a 52-story mixed-use tower, landmarked by the City of Chicago, and is the last and largest office structure designed by renowned architect Mies van der Rohe  (bottom right photo)

The building won The 2007/2008 Office Building of the Year (“TOBY”) award for the North Central Region in the category of over one million square feet, competing against buildings in more than five other states for the prestigious award, which is sponsored by BOMA. A five-star hotel with approximately 335 guest rooms has acquired the lower twelve floors of the building.

Continental Towers recently won The 2008-2009 TOBY for the five-state North Central Region from BOMA. This is the third time in the last five years that Continental Towers has won this prestigious award for the five-state North Central Region.

In addition, the Complex has won the TOBY Award for the Chicago Suburban market four times in the last five years. The Complex is an Energy Star rated 910,000 square foot office complex encompassing three 12-story towers inter-connected by pedways to a multi-level retail concourse known for its many amenities.

Contacts:
Prime Group Realty Trust, Jeffrey A. Patterson, President and Chief Executive Officer, (312) 917-1300
Paul G. Del Vecchio, Executive Vice President-Capital Markets, (312) 917-1300

STR reports US performance for week ending 2 January 2010

HENDERSONVILLE, Tennessee—The U.S. hotel industry reported increases in occupancy and revenue per available room during the week 27 December 2009-2 January 2010, according to data from STR.

This is the first week in which two of the three key performance metrics were positive since the week ending 20 December 2008.

In year-over-year measurements, the industry’s occupancy increased 5.9 percent to end the week at 45.5 percent. Average daily rate dropped 4.0 percent to finish the week at US$99.79. RevPAR for the week rose 1.6 percent to finish at US$45.37.

Among the Top 25 Markets, St. Louis, Missouri-Illinois, experienced the largest occupancy increase, jumping 35.4 percent to 42.2 percent. Three other markets reported occupancy increases of more than 20 percent: Philadelphia, Pennsylvania-New Jersey (+26.8 percent to 42.6 percent); Boston, Massachusetts (+23.6 percent to 40.9 percent); and Atlanta, Georgia (+21.5 percent to 43.3 percent). Houston, Texas (-6.3 percent to 34.4 percent), and San Francisco/San Mateo, California (-2.4 percent to 61.6 percent), were the only markets to report occupancy decreases for the week.

Atlanta was the only market to post an ADR increase, up 3.9 percent to US$73.37.

 Three markets experienced double-digit ADR decreases: Houston (-13.2 percent to US$69.88); Phoenix, Arizona (-12.8 percent to US$91.04); and Denver, Colorado (-10.0 percent to US$72.20).

St. Louis led the RevPAR increases, jumping 33.5 percent to US$28.72, followed by Atlanta (+26.3 percent to US$31.74), Philadelphia (+21.2 percent to US$40.31), and Boston (+20.9 percent to US$44.39). Two markets posted RevPAR decreases of more than 10 percent: Houston (-18.7 percent to US$24.07) and San Francisco/San Mateo (-12.0 percent to US$68.24).

Marriott updates Q4 RevPAR guidance

 BETHESDA, MD, /PRNewswire-FirstCall/ -- Marriott International, Inc. (NYSE: MAR)  said that while fourth quarter results are not yet available, the company expects its fourth quarter 2009 revenue per available room (REVPAR) for comparable systemwide hotels outside North America will have declined 14 to 16 percent on a constant dollar basis, consistent with the company's outlook disclosed in a press release on December 8, 2009.

Further, Marriott expects comparable systemwide REVPAR inside North America will have declined 13 to 14 percent, somewhat better than prior guidance. Prior guidance for North America initially outlined in a press release on October 8, 2009 and reiterated in the December 8, 2009 release assumed a 13 to 16 percent REVPAR decline for the fourth quarter of 2009 for comparable systemwide hotels in North America.

In his blog yesterday, Marriott International's chairman and chief executive officer J.W. Marriott, Jr. (top right photo) discussed his optimism for the economy and Marriott as the New Year begins.

Speaking of REVPAR trends, Mr. Marriott said, "For Marriott, the fourth quarter looked better than we expected outside North America, while things in the U.S. and Canada were also a little better. Leisure travelers are responding to the terrific values we're offering. We've also seen business travel and large meetings start to pick up, which is big for our industry."

Additional information will be available when Marriott discloses its fourth quarter earnings on February 11, 2010.

Sunstone updates RevPAR, plans to deed back 13 hotels

SAN CLEMENTE, CA—Hotelnewsnow.com reports Sunstone Hotel Investors, Incorporated (NYSE: SHO) said it expects big declines in revenue per available room for the fourth quarter and year, and that it will deed back 13 of its hotel to lenders.

The company said RevPAR for the quarter is expected to be US$97.9 million, down 14.1 percent, and that full-year RevPAR will decline by 18.5 percent to US$102.7 million.

In addition, the company was unable to amend loan terms on three of its hotel loans and will deed the loans back to lenders. The company will deed back 11 hotels to Massachusetts Mutual Life Insurance Company, and will also give back the Renaissance Westchester (top left photo)  and Marriott Ontario Airport. Total value of the loans is US$300.7 million.

“We are steadfast in our resolve to do what’s best for stockholders,” Arthur Buser, president and CEO, said in a statement. “Our objective is to outperform, and we believe that by being nimble, well-capitalized and decisive we will continue to create significant long-term shareholder value."

Grubb & Ellis Commercial Florida’s Paula Buffa Named Woman of Influence in Florida Real Estate

 

TAMPA, Fla. --- Paula Buffa, (top right photo) RPA, CCIM, senior vice president of the Office Group at Grubb & Ellis Commercial Florida in Tampa, was recently named a Woman of Influence in Florida Real Estate by Real Estate Florida a magazine supplement to the national publication, Real Estate Forum.

Buffa, who has more than 24 years of experience as a commercial real estate executive, was selected from dozens of reader nominations as one of the 20 most influential women statewide in commercial real estate during the Second Annual Women of Influence competition promoted by the publication to spotlight the accomplishments of key players. She was among five selected from the Tampa Bay area.

A multiple recipient of the Co-Star Power Broker, Buffa was also named one of the top 20 women in Florida commercial real estate by Florida Real Estate Journal in 2005 and formerly served as president of the Florida Gulfcoast Commercial Association of Realtors and the Tampa Bay Chapter of Commercial Real Estate Women (CREW). Buffa currently serves as president of the Westshore Alliance in Tampa.

Jeffrey Sweeney, (bottom left photo)  SIOR, president of Grubb & Ellis Commercial Florida in Tampa, Orlando and Melbourne, said Buffa is one of the most widely recognized commercial real estate brokers in the Tampa Bay region.

“Paula Buffa is a tremendous asset to Grubb & Ellis Commercial Florida,” Sweeney said. “She is one of the most knowledgeable commercial real estate brokers in Florida with a client base across the U.S.,” he said.

Contacts:

Paula Buffa, CCIM, RPA 813-830-7887
Jeffrey Sweeney, SIOR President 407-481-5387
Larry Vershel Communications 407-644-4142

Vice Presidents Named at The Bainbridge Companies

WELLINGTON, FL – The Bainbridge Companies, a fully-integrated group of multifamily real estate companies, have promoted two people to key leadership roles.

They are:
• Seth Kalinsky, (top right photo) Regional Vice President for the Mid-Atlantic Region, based in Herndon, VA.
• Jared Miller, (top left photo) Vice President of Marketing, based in Wellington, FL.

Kalinsky is now responsible for all property operations for the entire Mid-Atlantic region encompassing Washington D.C., Virginia and Maryland.

“Seth has overseen a large portfolio of properties with extensive renovation programs,” said Kevin Sheehan, (middle right photo) President of Property Operations for The Bainbridge Companies. “He has also established excellent relationships with the asset managers and helped put Bainbridge on the map in the Mid-Atlantic market.”

Kalinsky is active with the National Apartment Association, where he earned a Certified Apartment Manager (CAM) designation, and the Property Management Association. He was formerly a Regional Manager. Before joining Bainbridge, he held leadership positions with Grady Management and Equity Residential Management. He graduated with a degree in Residential Property Management from Virginia Tech.

Miller, considered one of the country's leading experts on Web-based multifamily marketing and interactive solutions, is responsible for the marketing, branding and online initiatives for Bainbridge’s growing management portfolio. Additionally, he plays an integral role in the development of third party fee management relationships.

"In the two years Jared has been with us, he has been a driving force in transforming our marketing strategy,” Sheehan said. “He has re-launched our online marketing platform and company brand and implemented a variety of improvements and unique positioning strategies that increased occupancy, while dramatically reducing our marketing costs.”

Miller’s experience includes top marketing positions with RedPeak Properties in Denver and Lane Company in Atlanta. He is a regular speaker at industry conferences including Multi-Housing World, MultifamilyPro’s Brainstorming Sessions and the Apartment Internet Marketing Conference.

Founded in 1993, The Bainbridge Companies are a fully-integrated family of real estate companies engaged in the development, construction, management, acquisition and disposition of residential and commercial real estate.

 With more than 100 years of combined experience, the Bainbridge principles have developed, redeveloped, and/or repositioned more than 35,000 multifamily units.

he firm’s full service real estate platform includes asset and property management, leasing, sales, marketing, renovation, construction, and development. Based in Wellington, Florida, it also has offices in North Carolina and the Washington, D.C. metro area.

Contact: Terri Thornton, 404-687-8760, 404-932-4347 (Cell) , http://www.territhornton.com/, www.twitter.com/Ttho

EastGroup Properties Announces Completion of Continuous Equity Program

JACKSON, MS-– EastGroup Properties (NYSE-EGP)  announced that, in December, it completed the sale of 1.6 million common shares in its continuous equity program generating net proceeds of $57.5 million.

The program, with BNY Mellon Capital Markets, LLC, was announced on May 19, 2009, and, as of September 30, 2009, the Company had issued 882,980 shares at an average price of $34.76 per share.

 During the fourth quarter, the Company issued an additional 717,020 shares at an average price of $38.59 per share. EastGroup had 26.8 million shares outstanding as of December 31, 2009.

David H. Hoster II, (top right photo) President and Chief Executive Officer, said, "We are pleased with the successful results of the continuous equity program. We sold shares at prices exceeding our original expectations and with a fee structure of 1%. This additional capital strengthens an already solid balance sheet and positions EastGroup for growth through attractive acquisitions."

Contacts:

David H. Hoster II, President and Chief Executive Officer
N. Keith McKey, Chief Financial Officer
(601) 354-3555

$156M refinancing arranged by HFF for eight-property, four-state multi-housing portfolio

CHICAGO, IL – The Chicago office of HFF (Holliday Fenoglio Fowler, L.P.) announced today it has arranged a $156 million refinancing for an eight-property, 2,306-unit multi-housing portfolio in Indiana, Kentucky, Tennessee and Virginia.

HFF director Matthew Schoenfeldt (top right photo) worked on behalf of NTS Realty Holdings Limited Partnership (“NTS”) and its wholly-owned subsidiaries to secure the 10-year, 5.4% fixed-rate loan through Freddie Mac (Federal Home Loan Mortgage Corporation).

The loans, which will be serviced by HFF, are securitized through Freddie Mac’s Capital Markets Execution (CME) program. Loan proceeds will be used to retire existing life company mortgages and commence a program of targeted capital improvements at the Class-A properties.

“In addition to the exceedingly attractive loan terms delivered to our borrowers, this closing was monumental as it represented the very first crossed-pool funding for Freddie Mac’s CME program,” said Schoenfeldt.

“The planned enhancements will reinforce the NTS portfolio’s status as the preeminent rental communities in their respective markets,” added Schoenfeldt.

Individual property details are listed below:

Willow Lake Apartments Indianapolis, IN 207 Units (top left photo)
Castle Creek Apartments Indianapolis, IN 276 Units
Lake Clearwater Apartments Indianapolis, IN 216 Units
The Grove Richland Apartments Nashville, TN 292 Units
The Grove Whitworth Apartments Nashville, TN 301 Units (middle right photo)
Park Place Apartments Lexington, KY 464 Units (bottom left photo)
The Grove Swift Creek Apartments Midlothian, VA 240 Units
Willows of Plainview Louisville, KY 310 Units

NTS Realty Holdings Limited Partnership (NYSE: NLP), as a tenant-in-common with unaffiliated co-owners, or as a majority joint venture partner with an affiliate, currently owns 24 properties comprised of 14 multifamily properties, seven office buildings and business centers and three retail properties.

The properties are located in and around Louisville and Lexington, Kentucky; Nashville and Cordova, Tennessee; Richmond, Virginia; Fort Lauderdale and Orlando, Florida; Indianapolis, Indiana; and Atlanta, Georgia.

Contacts:
Matthew R. Schoenfeldt, HFF Director, (312) 528-3650, mschoenfeldt@hfflp.com
Kristen M. Murphy, HFF Associate Director, Marketing, (713) 852-3500, krmurphy@hfflp.com

Arbor Closes 2 Fannie Mae DUS® MAH Cooperative Loans Totaling $4.17M

$2.75M Fannie Mae DUS® MAH Cooperative Loan Completed for  Quail Valley Cooperative in Lenexa, KS

UNIONDALE, NY (Jan.  8, 2010) - Arbor Commercial Funding, LLC (“Arbor”), a wholly-owned subsidiary of Arbor Commercial Mortgage, LLC, announced the recent funding of a $2,750,000 loan under the Fannie Mae DUS® COOP (MAH) product line for the 100-unit complex known as Quail Valley Cooperative in Lenexa, KS.

The 30-year loan amortizes on a 30-year schedule and carries a note rate of 7.57 percent.

The loan was originated by Michael Jehle, (top left  photo)  Midwest Regional Director, in Arbor’s full-service Bloomfield Hills, MI lending office.

“The members of this cooperative have big plans for the renovation of their property through this refinance,” said Jehle. “They also received additional loan dollars from Arbor through the successful decoupling of their IRP payments to further enhance this capital improvement project.”

 Chateau Court Duplexes in Moore, OK Gets $1.42M  Fannie Mae DUS® Small Loan

UNIONDALE,  NY (Jan.  8, 2010) - Arbor Commercial Funding, LLC (“Arbor”), a wholly-owned subsidiary of Arbor Commercial Mortgage, LLC, announced the recent funding of a $1,420,000 loan under the Fannie Mae DUS® Small Loan product line for the 16-unit complex known as Chateau Court Duplexes in Moore, OK.

The 10-year loan amortizes on a 30-year schedule and carries a note rate of 5.84 percent.

The loan was originated by Jay Porterfield, (bottom right photo)  Vice President, in Arbor’s full-service Plano, TX lending office. “This was a very solid property that is well-leased to a stable tenant base,” said Porterfield. “Arbor was pleased to provide a rate and term refinance for this borrowing group to pay off their existing construction/mini-permanent bank loan.”

Contact:  Ingrid Principe, P: 516.506.4298, F: 516.542.2555, http://www.arbor.com/, Follow us on Twitter @ arbor1

Franklin Street Announces 48 Unit Sale in Tampa, FL

TAMPA, FL-- Franklin Street Real Estate Services is pleased to announce the sale of Shadow Pines Apartments in Tampa, Fla., for $1,200,000. The sales price represents $25,000 per unit and $25.13 per square foot.

Franklin Street Partners Darron Kattan, Bob Goldfinger and Kevin Kelleher represented the buyer and seller. The buyer was Cedar Mountain Investments, LLC and the seller was Allied Group, Inc.

“This sale represents a story that is becoming more common in today’s market place. Hands on buyers who sold during the run-up are reappearing from the sidelines. They believe pricing has reached a level which will allow them to operate profitably despite current economic conditions” Said Kelleher.

 “The buyer, Cedar Mountain Investment, acquired this asset as its first with a goal to build a portfolio in the area. They plan to continue to take advantage of today’s discounted values and ride the cycle up.

The seller, Allied Group, was very active in the Tampa Multi-family market for the last decade. This was their last remaining apartment property and they were motivated Sellers looking to wind down their investments in multifamily.

Allied was willing to sell this property at a significant discount as compared to the sales they achieved on many other assets over the past four years as it fit well with their overall business plan. “

Built in 1984, Shadow Pines Apartments is located at 12201 N. 15th Street, Tampa, FL. The property was constructed of wood frame and concrete block and offers 47,760 rentable square feet. The apartment community consists of 48 two bedroom units that are 995 square feet.

Contact: Mandy Force, Franklin Street Real Estate Services, Phone: 813.839.7300, Fax: 813.839.7330, http://www.franklinstreetfinancial.com/

C&W announces new tenant for CFE Federal Credit Union Building in Lake Mary, FL

ORLANDO, FL – Jan. 8, 2010–Cushman & Wakefield Office Brokerage Associate Director Betsy Owens (top right photo)  represented the tenant, Patriot Risk Management, in a new lease for 6,857 square feet in the CFE Federal Credit Union Building at 1000 Primera Boulevard in Lake Mary.

Patriot Risk Management provides workers' compensation alternative market risk transfer solutions and traditional workers' compensation insurance in 25 states, including Florida.

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

Marcus & Millichap Sells 2,365 SF Single-Tenant Net-Leased Building in Huntsville, AL.

HUNTSVILLE, AL-– Marcus & Millichap Real Estate Investment Services, the nation’s largest real estate investment services firm, has announced the sale of Popeyes, a 2,365-square foot single-tenant net-leased property located in Huntsville, Alabama, according to Bryn D. Merrey, Regional Manager of the firm’s Tampa office.

 The asset commanded a sales price of $1,110,000.

John E Brigel,  (top right photo) Senior Associate in Marcus & Millichap’s Tampa office and Edwin Greenhalgh, the firm’s Alabama Broker and investment specialist in the firm’s Birmingham, Alabama office had the exclusive listing to market the property on behalf of the seller, a partnership.

“This was an excellent transaction for both buyer and seller. The buyer was able to acquire a ‘Top 1% Performer’ out of 1,559 stores nationwide and I was able to obtain an excellent price for the franchisee—a win/win of the first order”, states Brigel.

Popeyes is located at 3820 University Drive North West in high-growth Huntsville, Alabama.

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

Mercantile Capital Corp. Reports 12.8 Percent Jump in Commercial Lending Volume in 2009

ALTAMONTE SPRINGS, FL. --- Mercantile Capital Corporation, the Altamonte Springs firm that ranks as one of the largest providers of U.S. Small Business Administration (SBA) 504 loans in the nation, reported it saw a 12.8 percent increase in lending volume in 2009 over 2008 dollar volume totals.

Chris Hurn (top right photo) , president of Mercantile Capital Corporation, said the number of transactions declined slightly in 2009 but loan amounts---to small business owners who want to acquire or develop their own facilities---increased, Hurn said.

Geof Longstaff, (middle left phto) chairman, said the firm’s largest single loan was $8.1 million to Blaine Convention Services in California to acquire a retail warehouse.

Mercantile Capital Corporation provided loans to small businesses in some 14 states in 2009, Longstaff said.

Since Mercantile Capital opened its doors in late 2002, the firm has provided 262 commercial loans valued at more than $424.7 million and created 2,983 jobs.

For more information about this press release, contact
G. Geoffrey Longstaff, Chairman, Mercantile Capital Corporation 407-786-5040
Christopher G. Hurn, CEO, Mercantile Capital Corporation, 407-786-5040
Larry Vershel, Larry Vershel Communications 407-644-4142 Lvershelco@aol.com;

Grubb & Ellis Healthcare REIT II Enters Agreement to Acquire the Center for Neurosurgery and Spine near St. Cloud, MN

ST. CLOUD, MN (Jan. 8, 2010) – Grubb & Ellis Healthcare REIT II, Inc. today announced that it has entered into an agreement to acquire the Center for Neurosurgery and Spine, a 36,600-square-foot, two-building medical office portfolio in the St. Cloud suburb of Sartell. The acquisition is subject to customary closing conditions and the satisfaction of other requirements as detailed in the agreement.

Located at 162 19th St. South, the Center for Neurosurgery and Spine is within approximately one-half mile of CentraCare Clinic Health Plaza and three miles of the 393-bed St. Cloud Hospital. Built in 2006 on approximately 3.7 acres of land, the property is fully leased to five tenants, including Central Minnesota Neurosciences, the Center for Pain Management and Central Minnesota Center for Diagnostic Imaging.

“The Center for Neurosurgery and Spine is completely occupied and well-located near the region’s largest hospital, making it an ideal acquisition for Grubb & Ellis Healthcare REIT II,” said Jeff Hanson, (top right photo)  chairman and chief executive officer.

The Center for Neurosurgery and Spine benefits from its proximity to St. Cloud Hospital, the largest full-service medical center in central Minnesota.

St. Cloud Hospital, founded in 1886, serves a population of approximately 640,000 people in a 12-county area. The hospital has been named a Thomson Reuters Top 100 Hospital and recognized as one of “America’s Best Hospitals” by U.S. News & World Report. CentraCare Clinic Health Plaza houses St. Cloud Hospital outpatient services.

“Not only is the Center for Neurosurgery and Spine well located near a large hospital, it is also in the heart of a thriving community with growing demand for healthcare services,” said Danny Prosky, president and chief operating officer. “As we begin to build a diverse portfolio of healthcare-related properties, these are among the key traits we will seek to identify among our potential acquisitions.”

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