Two New Promotions at Marcus & Millichap

BRANDON MICHAELS NAMED TO VICE PRESIDENT INVESTMENTS IN ENCINO, CA

ENCINO, Ca, Aug. 9, 2010 – The board of directors of Marcus & Millichap Real Estate Investment Services, the nation’s largest real estate investment services firm, has named Brandon Michaels to the position of vice president investments.

The achievement of vice president investment status is one of the highest levels of recognition the firm awards its sales agents. It represents excellence in client relationships, investment real estate expertise and sales volume, according to John J. Kerin (top right photo), president and chief executive officer.

Most recently, Michaels held the position of associate vice president investments.

Michaels began his career with Marcus & Millichap in 2004, specializing in retail investment sales. In 2009, he was the No.1 multi-tenant retail agent in the firm.

 AARON JOHNSON EARNS VICE PRESIDENT INVESTMENTS POST IN LOUISVILLE OFFICE

LOUISVILLE, Ky., Aug. 9, 2010 – The board of directors of Marcus & Millichap Real Estate Investment Services, the nation’s largest real estate investment services firm, has named Aaron Johnson (bottom left photo)  to the position of vice president investments.

The achievement of vice president investment status is one of the highest levels of recognition the firm awards its sales agents. It represents excellence in client relationships, investment real estate expertise and sales volume, according to John J. Kerin, president and chief executive officer.

Most recently, Johnson held the position of senior associate.

Johnson began his career with Marcus & Millichap in 2003, specializing in multifamily investment sales. Since that time, he has sold more Kentucky apartment units than anyone else in the United States and set the highest price per unit record in both Louisville and Lexington for B and C Class properties.

Contact: Stacey Corso, Public Relations Manager, (925) 953-1716

Cortland Partners to Revitalize DeKalb Co. Ga. Apartments

ATLANTA, GA,  (Aug,  9, 2010) – Cortland Partners, an Atlanta-based multifamily real estate firm, is bringing new life to a distressed DeKalb County, Georgia, apartment community.

 On July 22, Cortland closed on the funding for a $9.5 million renovation of a multifamily community the firm purchased at foreclosure in April.

The amount includes a $3.2 million construction loan from State Bank and Trust Company and $4.9 million in Neighborhood Stabilization Program (NSP) funds. This is the first time NSP funds have been used for a multifamily property in DeKalb.

The 168-unit property, to be named Avalon on Montreal, is located at 1086 Montreal Road. Cortland acquired the foreclosed community, formerly named Cedar Pines Apartments, April 6 for a little over $1 million.

Several buildings had fire and water damage, and one-quarter of the apartments were occupied. The firm immediately began working with the DeKalb County Community Development Department to secure the needed funding for the revitalization.

“Purchased below historic land values, this property was on its way to demolition if we weren’t able to bring this exciting project together with the help of State Bank and Trust and DeKalb County,” said Cortland Partners president Steven DeFrancis. “While the renovation will be a challenge, the final result will be a great improvement for the residents and the neighborhood. It will look brand new inside and out.”

The renovation, now underway, will take 12 months. Plans for the interiors include new cabinets, appliances, plumbing and electrical fixtures, floors and finishes. The clubhouse will be renovated and expanded, the swimming pool will be re-done and an old tennis court will become a playground and community area. Exteriors will be modernized with new siding and roof designs.

“The ‘contemporary’ roof lines of the 1970s never caught on with the general public, so the renovation includes the significant realignment of windows, added columns and covered balconies,” said architect George Rees of Rees Designs.

“The exteriors, once renovated, will prove to be more timeless and current in a transitional modern style.”

“Despite the project’s condition, many long-term residents still live there,” DeFrancis added. “We’re excited to provide them with a better place to live. This is their home, and we look forward to redefining this community together.”

DeFrancis says the acquisition and renovation are also good business moves.

“Avalon is a great fit for Cortland’s acquisition strategy. It has large two- three- and four-bedroom floor plans, and the majority of the apartments are two-story townhomes. The unit mix is ideal for families.”

The property has a great close-in location, just outside I-285 near Highway 78 (Stone Mountain Freeway).

It is also just a few miles from I-85. The Emory University Orthopaedics & Spine Hospital (lower right  photo)  is practically next door.

The Neighborhood Stabilization Program (NSP) was established to stabilize communities that suffer from foreclosures and abandonment. It's part of the 2008 Housing and Economic Recovery Act which provides grants to state and local governments.

Cortland Partners also has several other projects underway. On July 12 it purchased and began renovating Northchase Apartments in Dunwoody, Georgia for $15.2 million. It also recently announced that the $25 million first phase of construction is underway on West M Apartments in Lake Charles, Louisiana. Several more deals are in the pipeline.

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

morrison commercial real estate completes three office lease transactions totaling 34,788 SF in central Florida

ORLANDO, FL (Aug. 9, 2010): Greg Morrison (top right photo), CCIM, SIOR, Principal of Morrison Commercial Real Estate, announced the completion of three lease transactions totaling 34,788± square feet.

Lisa Bailey (top left photo)  and David Young (middle right photo)  of Morrison Commercial Real Estate represented the Landlord in a renewal and expansion totaling 20,374± square feet to Wyndham Vacation Resorts, Inc. at Gateway Business Park, near Orlando Central Park, for a total of five (5) years.

Christi Davis (bottom left photo) and Lisa Bailey represented the Landlord for the SunTech Commerce Park, located in Lake Mary, in leasing 11,601± square feet to ECO Construction for five (5) years. David Stidham of Richardson Associates, Inc. represented the Tenant in this transaction.

Quest Technology Group, LLC, represented by David Young, leased 2,813± square feet for six (6) years at the Landmark Center One building in Downtown Orlando. Catherine Reeves of Highwoods Properties represented the Landlord in this transaction.

Contact: Buffy Gillette, Phone: 407.219.3500, Email: bgillette@morrisoncre.com

Clemson $2 million pledge comes with a challenge

GREENWOOD, SC--Clemson University has received a $2 million pledge from a private foundation to help fund an endowed chair in human genetics. But, it comes with a challenge: University officials and state leaders will have to work together to address the needed state match requirement in order to receive the gift.

The Self Family Foundation envisions the Greenwood area as a genetic economic cluster, offering businesses genetics expertise, skilled research personnel and research park resources.

 The goal is to develop Greenwood Genetics Center as a magnet campus that will attract health-related industries with an education and research component similar to CU-ICAR in Greenville.

“Clemson’s relationship with the internationally recognized Greenwood Genetic Center presents an excellent opportunity to attract a prominent geneticist-scientist in human genetics to fill an endowed position,” said Virginia Preston Self, (middle left photo)  foundation chair.

 “Over the years we have seen Clemson transform into one of the nation’s leading research universities and are excited about the economic impact our ties with the university and this investment could have on Greenwood and South Carolina.

“It was my late father, Jim Self, who understood the enormous potential of genetics research that led him to help Dr. Roger Stevenson establish the Greenwood Genetics Center over 35 years ago. We hope our pledge will help realize his dream of diversifying Greenwood’s economy and forging an ever stronger relationship between two institutions he deeply cared for.”

Clemson University and the Greenwood Genetic Center are long-time partners in research, education and economic development.

 Grateful for the gift pledge and vote of confidence, Clemson President Jim Barker (top right photo) said, “The Center of Economic Excellence in Human Genetics has tremendous potential to further that collaboration, to create life-changing new tools and therapies, and to improve the economy of Greenwood."

Contact: Peter Kent, pkent@clemson.edu

Chatham Lodging Trust Signs Agreement to Acquire Residence Inn New Rochelle in Westchester County, NY

PALM BEACH, FL—Chatham Lodging Trust (NYSE: CLDT), a hotel real estate investment trust (REIT) focused on upscale extended-stay hotels and premium-branded select-service hotels,  has signed a contract to acquire the Residence Inn by Marriott® – New Rochelle, N.Y.  (top left photo) in an all-cash transaction for $21 million, or approximately $169,000 per key.

 The hotel represents the 12th property either acquired or under contract to purchase by Chatham since its April 21, 2010 initial public offering.

“Westchester County is a premier location, home to many of New York City’s most desirable suburban communities, with some of the region’s most attractive demand generators and highest barriers to new competition,” said Jeffrey H. Fisher (middle right photo) , Chatham’s chief executive officer.

 “The hotel is just 30 minutes from the heart of New York City, with easy access from all major highways, subways, bus-lines and Amtrak.

"The greater New Rochelle area has a very limited range of select-service, full-service or extended-stay hotels, and this property has enjoyed substantial market share premiums since it opened.

"The hotel is surrounded by a large number of major businesses and is proximate to prestigious country clubs and banquet halls bordering the Long Island Sound, thereby appealing to both business and leisure travelers.

“We continue our disciplined approach to acquisitions, focused on upscale extended-stay hotels and premium-branded select-service properties, either as multi-property portfolios or individual hotels, located in major markets with high barriers to entry near strong demand generators,” Fisher said. “Our network of local contacts and relationships has produced a very robust pipeline of transactions.”

Located at 35 LeCount Place in New Rochelle, NY, the 10-story upscale extended-stay Residence Inn by Marriott® hotel features 124 suites, complimentary high speed Internet access and fully equipped kitchens. The hotel offers an on-site fitness center, swimming pool and structured parking.

Following completion of the acquisition, the 10-year-old hotel will be managed by Island Hospitality Management, a hotel management company 90 percent-owned by Fisher. Completion of the acquisition is subject to satisfactory completion of due diligence and other customary closing conditions.

Contact:

Jerry Daly, Carol McCune, (Media), Daly Gray Public Relations, (703) 435-6293, jerry@dalygray.com
Peter Willis, (Acquisitions), Chief Investment Officer , (561) 227-1387,
pwillis@cl-trust.com

Marcus & Millichap Lists $59.3M Development Site in Utah

EAGLE MOUNTAIN, UT – Marcus & Millichap Real Estate Investment Services, the nation’s largest real estate investment services firm, has retained the exclusive listing for a 2,723-acre development site (top left photo)  in Eagle Mountain. The listing price is $59,312,385.

Dana Howland, (middle right photo) a senior associate, and Adam Lewis, an investment specialist in the firm’s Salt Lake City office, are representing the seller, the founder of Eagle Mountain City.

“This development site is comprised of prime commercial land on arterial roads in one of Utah’s fastest-growing areas,” says Howland. “All utility services are available and all parcels can be subdivided to suit the new owner’s needs.”

Utah’s third-largest city by area, Eagle Mountain is located at the western base of the Lake Mountain Range in Cedar Valley, approximately 30 miles south of Salt Lake City. Eagle Mountain has a total area of more than 43 square miles.

The topography of the site is gentle and nearly flat.

MARCUS & MILLICHAP NAMES DOUGLAS K. MANDEL TO VICE PRESIDENT INVESTMENTS IN FORT LAUDERDALE

FORT LAUDERDALE, FL – The board of directors of Marcus & Millichap Real Estate Investment Services, the nation’s largest real estate investment services firm, has named Douglas K. Mandel (bottom left photo)  to the position of vice president investments.

 The achievement of vice president investment status is one of the highest levels of recognition the firm awards its sales agents. It represents excellence in client relationships, investment real estate expertise and sales volume, according to Gregory Matus, (bottom right photo) regional manager of the firm’s Fort Lauderdale office.

Most recently, Mandel held the position of associate vice president investments.

Mandel began his career with Marcus & Millichap in 2004, specializing in office and industrial investment sales.

Contact: Stacey Corso, Public Relations Manager, (925) 953-1716

HFF arranges $18M refinancing for Ivy Lane Apartments in Bergenfield, NJ

FLORHAM PARK, NJ – The New Jersey office of HFF (Holliday Fenoglio Fowler, L.P.) announced today that it has arranged an $18 million refinancing for Ivy Lane Apartments, a 237-unit multi-housing community in Bergenfield, New Jersey.

HFF senior managing director Tom Didio (top right photo) worked on behalf of Tower Management Service, LP to secure the permanent, fixed-rate loan through Oritani Bank. The refinancing proceeds were used to replace the existing debt at more favorable terms.

Ivy Lane Apartments is located at 8 Howard Drive in Bergenfield, New Jersey. The recently renovated property has one-, two- and three-bedroom units within 17 buildings.

“Oritani Bank was able to structure a financing that met the borrower’s needs and they won this business because they were willing to do so. We are pleased to have advised and represented the borrower in this transaction,” said Didio.

Tower Management Service, L.P. is a real estate operating company, which owns approximately 2,200 multi-family apartment units in garden-style apartment communities located in New Jersey and New York State.

Contacts:

Thomas R. Didio, HFF Senior Managing Director, (973) 549-2000, tdidio@hfflp.com
Kristen M. Murphy, HFF Associate Director, Marketing, (713) 852-3500, krmurphy@hfflp.com


HFF secures $5.4M refinancing for student housing community at Clarion University in Pennsylvania

INDIANAPOLIS, IN – The Indianapolis office of HFF (Holliday Fenoglio Fowler, L.P.) announced today that it has secured refinancing for Campus Habitat 8 Apartments, (bottom left  photo)  a 70-unit, 151-bed student housing community located immediately adjacent to Clarion University in Clarion, Pennsylvania.

HFF senior managing director Dave Keller (middle left  photo)  worked on behalf of Campus Habitat to secure the 10-year, fixed-rate loan with Farmers & Merchants Bank of Western PA. Proceeds of the new loan were used to repay the original acquisition and renovation financing.

“In these challenging economic times we have relied on local and regional banks to provide crucial financing for our student communities. One of the best decisions we made was to partner with HFF to facilitate those connections.

"Time and again, HFF has delivered exactly what they promised and closed every deal. In times like these, the certainty of execution is of paramount value and HFF has consistently delivered,” said Maximus Yaney, (middle right photo)  president of Campus Habitat.

Campus Habitat 8 Apartments is located at 990 East Main Street, immediately adjacent to Clarion University’s campus, approximately 80 miles north of Pittsburgh. Renovated in 2008 and 2009, the property has two buildings with 15 studio, 25 one-bedroom and 30 two-bedroom units averaging 466 square feet each. The property is almost fully leased for the 2009-2010 academic year.

“When Campus Habitat purchased the community in 2008, they acquired a property, which was the best-located residence on the Clarion campus, and began a complete renovation of the property that greatly improved the attractiveness and income levels,” said Keller.

“As a result, interest in the property has been extremely high and preleasing activity for the 2010-2011 academic year has broken 2009-2010’s record-setting velocity.”

Established in 2002, Campus Habitat acquires, renovates and manages student apartment communities near universities nationwide. They create upscale atmospheres by providing innovative amenities reflecting the cultural and social values of the student population. Campus Habitat operates properties in New York, Illinois, Indiana, Michigan, Pennsylvania, North Carolina, Texas, and Wyoming.

Contacts:

David B. Keller, HFF Senior Managing Director, (317) 630-3191, dbkeller@hfflp.com
 Kristen M. Murphy, HFF Associate Director, Marketing, (713) 852-3500, krmurphy@hfflp.com

Marcus & Millichap Sells 28,000-SF Seniors Housing Building in Port Orange, FL

PORT ORANGE, FL, Au – Marcus & Millichap Real Estate Investment Services, the nation’s largest real estate investment services firm, has announced the sale of Golden Abbey Assisted Living Facility (top left photo), a 28,000-square foot seniors housing property located in Port Orange, FL, according to Bryn Merrey, Regional Manager of the firm’s Tampa office.

 The asset commanded a sales price of $1,200,000.

Krone Weidler, Senior Associate and Seniors Housing specialist in Marcus & Millichap’s Tampa office had the exclusive listing to market the property on behalf of the seller, a limited liability company, whose corporate office is located in Denver, Colorado. Ms.

Weidler also represented the buyer, a seniors housing developer and limited liability company based out of Winter Haven, Fla.

Golden Abbey Assisted Living Facility is located at 1321 Herbert Street. This assisted living community sits on 3.02 acres (mol) and consists of a 16-unit memory care building and a 41-unit/52-bed building scheduled for completion the end of the year.

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

Grubb & Ellis Commercial Florida Relocates Orlando Headquarters to Larger Facilities

ORLANDO, Fla. --- Grubb & Ellis Commercial Florida is relocating its Central Florida headquarters to larger facilities at 20 N. Orange Ave. (middle left map)  in downtown Orlando.

Jeff Sweeney (top right photo), SIOR, president of Grubb & Ellis
Commercial Florida, said the new 7,000 square foot headquarters facility will allow room to grow.

“We are expanding, and will be hiring more commercial real estate professionals,” Sweeney said.

The firm was headquartered at a 5,600 square foot suite in the Landmark Center at 315 E. Robinson St. in downtown Orlando.

Contact:

Jeff Sweeney, SIOR 407-481-5387, 20 N. Orange Ave., Orlando, FL 32801, http://www.commercialfl.com/
Larry Vershel Communications, 407-644-4142

Mercantile Capital Corp. CEO Chris Hurn working hard to convince support of Obama administration’s HR 5297 small business bill

ALTAMONTE SPRINGS - Mercantile Capital Corporation Chief Executive Officer Christopher G. Hurn (top right photo) in Altamonte Springs is more at home on the Fox News set or the pages of Forbes magazine than his current soap box — stumping to drum up Republican support for HR 5297, the Obama (middle left photo)  administration’s efforts to provide capital for small businesses neglected by the major banks.

“This is a no-brainer for me,” said Hurn. “HR 5297 will benefit American small businesses. That’s the core of the American economy. That’s the primary job-creating sector of the economy,” he said.

“We’ve spent billions bailing out financial services and major manufacturers, making short term transfer payments and extending unemployment benefits, with little to show in stimulating the U.S. economy,” Hurn said.

“In the end, American small business will shoulder all those bills. We’ve got to fix the economy, and HR 5297 is the first big step in the right direction that I’ve seen so far,” he said.

Mercantile Capital Corporation ranks among the most active providers of U.S. Small Business Administration (SBA) 504 loans for small business owners who want to acquire or develop their own facilities.

For more information about this press release,  contact:
Chris Hurn, CEO/Cofounder, Mercantile Capital Corporation, 407-786-5040;
Geof Longstaff, Chairman, Mercantile Capital Corporation, 407-786-5040;
Larry Vershel, Larry Vershel Communications 407-644-4142

Grubb & Ellis Adds Industrial Capabilities to Phoenix Office with Addition of Erik Marsh as Vice President

PHOENIX, AZ (Aug. 5, 2010) – Grubb & Ellis Company (NYSE: GBE), a leading real estate services and investment firm, today announced that Erik Marsh (top right photo) has joined the company as vice president, Industrial Group, primarily specializing in sales.

“Erik demonstrates a high level of commitment to the industry and his clients. That’s why he has experienced remarkable success in his six-year career,” said Pete Bolton, (top left photo) executive vice president and managing director of Grubb & Ellis’ Phoenix office. “He is an excellent addition to our office and I am pleased to welcome him to the team.”

Marsh joins Grubb & Ellis after spending six years with Marcus & Millichap, where he began his career and ultimately rose to the position of vice president.

During his tenure at Marcus & Millichap, he received several local office recognitions, including the 2008 Sales Achievement Award, 2007 Gold Sales Recognition Award and 2006 Sales Recognition Award. He has completed transactions valued in excess of $140 million since 2004.

Marsh holds a bachelor’s degree from the United States Merchant Marine Academy. He is a member of NAIOP and the Urban Land Institute, where he serves on the Young Leaders Group Partnership Forum. He also serves as a Lieutenant in the U.S. Navy Reserve.

Contact: Julia McCartney, Phone: 714.975.2230, Email: julia.mccartney@grubb-ellis.com

Home at Last 2010 House Design Completed

 OAKLAND, Fla., August 5, 2010 — Architect Jack Scott of Winter Park Design has completed the design of the 2010 Home at Last House (top left rendering) , a special project of West Orange Habitat for Humanity that builds mortgage-free homes for disabled combat wounded veterans of the Iraq and Afghanistan wars.

(Rendering Caption: Rendering donated by artist Jim Hansen depicts the 2010 Home at Last residence of Sergeant Major Patrick Corcoran and his family being built in Oakland, Florida.)

 Designed to meet the needs of this year’s recipient, Sergeant Major Patrick Corcoran a paraplegic wounded by an improvised explosive device in Afghanistan in August 2009 and his family, the one-level home is entirely handicapped accessible.

The painted stucco façade and shingle roof of the modern-style ranch features outlets, switches and thermostats that accommodate a person in a seated position. Hallways are four-feet wide and doors are 36-inches wide for easy wheelchair access throughout the residence. Level changes are ramped including ingress and egress points.

The master bath has a roll-in shower, and the floor plan includes an exercise/rehabilitation room to allow SGM Corcoran to continue rehabilitation. Accessible elements in the kitchen and laundry room accommodate both disabled and able-bodied family members.

Pro bono design and general contracting services are provided by Winter Park Design, Winter Park Construction, Hensel Phelps Construction Company and A.D. Owens Construction Corp. Subcontractor labor and materials are currently being sought to meet the goal of providing this $300,000 home to the Corcoran family without a mortgage.

A groundbreaking will be held in late August to kick-off construction. The home is planned for completion in early 2011.

SGM Corcoran of the 10th Mountain Division 2/87 Infantry Battalion was wounded on August 13, 2009 when a 500 pound improvised explosive device exploded along a paved road in the Wardak province, Afghanistan.

He sustained brain and neck injuries, two broken legs and a broken ankle, a broken pelvis, torn knee ligaments, broken scapula, torn rotator cuff, and a piece of shrapnel tore through his back causing a vertebrae burst fracture with 90% spinal cord compromise that left him paralyzed from the waist down.

The 23-year veteran is the recipient of the Bronze Star, Purple Heart, Meritorious Service Medal, Army Commendation Medal, Combat Infantryman Badge, Senior Parachutist Badge and more. SGM Corcoran’s family includes his wife Becky and two sons.

Home at Last was founded as a special project of the West Orange Habitat for Humanity organization in late 2007. The non-profit is committed to building at least one home each year mortgage-free for a combat wounded, disabled veteran of the Iraq and Afghanistan wars. The organization built a home in 2008 and 2009.

The 2010 home is underway. All homes are built entirely on donations and in-kind contributions of construction labor and materials. Home at Last’s founder, Bill Criswell, was recently honored by Major League Baseball and PEOPLE magazine as one of only 30 winners nationwide as an All-Star Among Us for his work with Home at Last. Please visit www.habitathomeatlast.org to donate or for more information about Home at Last.

West Orange Habitat for Humanity, a recognized affiliate of Habitat for Humanity International, was founded in 1990 at Oakland Presbyterian Church. The goal of Habitat for Humanity is to bring families and communities in need together with volunteers and resources to build simple decent and affordable homes.

PR contact: Elaine Ingra, PR WORKS, 407 348-1344, elainei@pr-works.com

Southern Commercial Completes 22,508-SF New Lease in Orlando

ORLANDO, FL.(August 5, 2010) Principal Moses Salcido (top right photo), SIOR of Southern Commercial Real Estate Advisors completed a 22,508 square foot new lease at 1401 Ocoee Apopka Road, Apopka, Florida (Northwest Distribution Center).

Salcido represented the Landlord, Oakmont Apopka Road, LLC. The Tenant is Container Centralen Inc.

Media Contact: Celeste MacKenzie,  Southern Commercial Real Estate Advisors, 321-281-8503 20 N. Orange Avenue, Suite 605, Orlando, FL 32801
cmackenzie@southerncommercialre.com

MBA Applauds Senate Passage of Bills to Help Stabilize FHA Multifamily and Single Family Programs

WASHINGTON, D.C. (August 5, 2010) - The Mortgage Bankers Association (MBA) today lauded Senate passage of H.R. 5872, a bill to increase the Federal Housing Administration's (FHA) multifamily commitment authority, and H.R. 5981, which would allow FHA to increase its annual premiums for its single family program.

 Both bills passed the Senate last night and will now go to the President for his signature.

H.R. 5872, which passed the House of Representatives last week, increases FHA's commitment authority for its multifamily insurance programs by $5 billion for the remainder of the fiscal year.

Without this increase, FHA would have exhausted its current authority sometime in mid-August and would have been forced to stop issuing any commitments to insure the loans in their current pipeline of applications until the next fiscal year, which begins October 1st.

"FHA's multifamily programs have been a critical source of funding to build and renovate multifamily and rental housing during the recent credit crunch," said Robert E. Story, Jr., (top right photo)  CMB, Chairman of MBA.

 "MBA has been working tirelessly with officials at FHA and on Capitol Hill to help keep the program up and running and we are gratified that Congress acted before a shutdown became reality."

The other bill, HR 5891, will permit FHA to increase its annual premiums, raising the statutory cap from 0.55 percent to 1.55 percent. The legislation is nearly identical to one of the key provisions of the broader FHA Reform Act, which passed the House in June but has yet to be considered by the Senate. The House had passed HR 5891 last Friday, July 30.

"While premium increases are never ideal, this bill was necessary to help improve the strength and stability of FHA's single family programs," commented Story.

 "We are encouraged that FHA Commissioner David H. Stevens (middle left photo) has indicated he may not need to raise premiums to the maximum, and we believe that that a small increase in the annual premium, coupled with a decrease in FHA's upfront premium, will help stabilize FHA while lowering closing costs for many borrowers."

In October, MBA established an executive-level task force, including both single family and multifamily lenders, to help shape policy recommendations to ensure FHA can continue to fulfill its crucial mission in an evolving mortgage marketplace.

MBA's Council on the Future of FHA has spent the last six months looking at the critical issues facing FHA and Ginnie Mae, and will be releasing its recommendations in the near future.

Contact: John Mechem, (202) 557-2924, jmechem@mortgagebankers.org

Cambridge Arranges $14M Conventional Loan for 3 Assisted Living Properties in Glendale and Valley Village, CA

CHICAGO, IL--Cambridge Realty Capital Companies has closed on a $14 million, three-year conventional mortgage loan for a portfolio of three assisted living properties located in Glendale and Valley Village, Calif., Chairman Jeffrey A. Davis announced.

Davis said Cambridge originally provided HUD financing for two of the properties, the Glen Park East Retirement Community and Glen Park West Retirement Community in Glendale, Calif., 12 years ago in 1998.

 The third property included in the transaction is the Laurel Canyon Retirement Community in Valley Village, Calif.

According to Davis, the loan package provided cash-out for the borrowers and estate planning assistance and allowed them to continue in their ownership for three separate limited liability companies administered by owner Tillman Pink III.

Davis says the company’s long-term relationship with the borrowers dates back more than 15 years. The new three-year conventional loan, amortized over a period of 25 years, was coordinated in house by Cambridge.

Cambridge is the creator of The Signature Experience™, a four-step process designed to transform the traditional lender/borrower relationship and identify “ideal” capital solutions for worthy projects.

The company has a national origination office in Los Angeles, and numerous correspondent and brokerage relationships nationwide.


MORE OPPORTUNISTIC FINANCING STRATEGY MIGHT SERVE SENIOR HOUSING/HEALTHCARE BORROWERS BETTER, FUNDING EXPERT BELIEVES

CHICAGO, IL--If economists at the Federal Reserve Board have it right, a return to economic normalcy is not in the cards anytime soon.

In the Dickensian picture painted by the Fed, unemployment remains high but the odds of inflation ramping out of control are low.

Both household and business spending have been increasing, but “international spillover” from the European debt crisis is causing further contraction in the U.S. capital market.

“From the perspective of senior housing/healthcare owners and investors, it is the best of times because interest rates are near historic lows and drifting lower. But tight credit markets remain problematic,” funding expert Jeffrey A. Davis (middle right photo)  observes.

Davis is Chairman of Cambridge Realty Capital Companies, one of the nation’s leading senior housing healthcare lenders. The firm also is involved in property acquisitions and joint venture investments through its Cambridge Investment & Finance Co. subsidiary.

“The Fed is suggesting that it could take another five to seven years for the economy to work its way back to what passed for normalcy not long ago.

" In the meantime, senior housing/healthcare owners may be well advised to consider a long-term financial strategy that is both patient and opportunistic,” he suggests.

For example, for borrowers who can take advantage, interest rates on HUD 232 Lean loans are near rock bottom after drifting steadily lower in recent weeks.

HUD rates tend to move up and down based on developments in the U.S. government bond market. And rates on 10-year Treasury notes have been moving steadily lower, from 3.76 percent in April to 3.03 percent by mid-July, as investors forsook volatility in the stock market, Davis points out.

“Although opportunities for funding new construction are limited, refinancing an existing loan using the new HUD Lean product should make sense to a growing number senior housing/healthcare owners,” he believes.

Contact: Evan Washington, Phone: (312) 521-7603, Fax: (312) 357-1611, E-Mail: ew@cambridgecap.com, Twitter: http://twitter.com/CambridgeCap