Trepp US CMBS Delinquency Rate Falls Once Again; Rate at Lowest Level Since September 2010

 (NEW YORK, NY – Aug. 1, 2013 - Trepp, LLC, the leading provider of information, analytics and technology to the CMBS, commercial real estate and banking markets, released its July 2013 U.S. CMBS Delinquency Report today (available at http://www.trepp.com/knowledge/research).

One year ago, the Trepp CMBS delinquency rate reached an all-time high of 10.34%. This month, the delinquency rate for US commercial real estate loans in CMBS dropped to 8.48%. This represents a 17-basis-point drop since June’s reading and a 123-basis-point improvement since the start of 2013. The July 2013 level is the lowest Trepp delinquency rate since September 2010.

July’s rate decrease was the third time in the last four months that the Trepp CMBS delinquency rate fell. Only a four-basis-point increase in May interrupted the recent gains seen for delinquencies.

This fairly consistent improvement can be largely attributed to high levels of CMBS loan resolutions. July had $2.05 billion in loans resolved—up significantly from $1.25 billion in June and $858 million in May. 

Also contributing to fewer delinquencies were $1.08 billion of loans that were cured during the month of July. However, July saw $2.39 billion in newly delinquent loans, which measured almost twice the total posted in June.

Among the major property types, office and multifamily loans saw big improvements, each with over 40-basis-point declines. The remaining property types saw negligible movements in their rate. Retail is the best preforming major property type, while industrial is the worst.

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

Great Ink Communications

Eric Gerard, Lindsay Church

eric@greatink.com / lindsay@greatink.com

212-741-2977

Some Long-Term Lenders Now Quoting Shorter Terms

Chicago, IL, Aug. 1, 2013 - Another month of "Fed watching" that has

now become America's favorite spectator sport.  The capital markets try to

guess how the balance of Fed monetary policy weighs in for driving interest

rates and economic growth.  And watchers have not been disappointed with the

action.  After Independence Day, rates jumped up by 15 basis points as

investors nervously reacted to Fed comments about maintaining low interest

rates.

Jeanne Peck

However, the dust settled with rates landing near the same levels of

June.  Some lenders refrained from quoting deals for a few weeks; they are

back in the market, some quoting shorter terms (5-7 years) where they had

been quoting longer term before.  Bridge lenders and banks enjoyed increased

attention given their LIBOR-based programs remained unaffected but the

Treasury volatility. 

As for longer-term trends, lenders (especially agencies) are modestly

widening mortgage spreads in anticipation of higher rates given three

consecutive months of rising rates.  Today mortgage rates are about five to

ten basis points higher. 

 Lenders quote longer-term loans at 180 basis

points over comparable term treasuries for 10 year deals and well over 200

basis points for high leverage debt.  Meanwhile, conduits are tightening

pricing due to increased competition on Wall Street, the banks and life

companies, in general.  Furthermore, investors are snapping up fresh CMBS

bonds, creating more optimism for this sector. 

In the aftermath of rising rates, debt service coverage is the de facto underwriting metric for loan sizing.  Other criteria, namely loan-to-value, are less applicable with property value decreases not directly matching higher mortgage rates.  Coverage of 125% is the standard for most loans with 101% offered for credit deals and 140% or more for lodging assets.  Should mortgage rates remain at current levels for a sustained period of time expect values to adjust downward with LTV ratios returning to prominence.

According to Jeanne Peck of the Real Estate Capital Institute, "Sudden rate jolt fears have quelled, but everyone seems to be worrying about rising interest rates, particularly for 2014 and beyond."  She adds, "It's not a matter of rising rates, it's a matter of when rates will rise."

The Real Estate Capital Institute(r) is a volunteer-based research organization that tracks realty rates data for debt and equity yields.  The Institute posts daily and historical benchmark rates including treasuries, bank prime and LIBOR.  Furthermore, call the Real Estate Capital RateLine at

7RE-CAPITAL (773-227-4825) for hourly rate updates. 

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

 Jeanne Peck

Executive Director

The   Real Estate Capital Institute(r)
3517 West Arthington Street
Chicago, Illinois USA 60624

director@reci.com

http://www.reci.com

Plaza Advisors Announces Sale of College Station Retail Center in Clermont, FL

       College Station Retail Center, Clermont, FL

TAMPA, FL -- Plaza Advisors is pleased to announce the $11.5 million sale of the College Station Retail Center located in Clermont (Orlando MSA) Florida.

Jim Michalak

The center contains a total of 65,460 square feet of gross leasable area and includes numerous national; anchor, inline and outparcel tenants including: Office Depot, Petco, Starbucks, Chick-fil-A, BB&T, Steak ‘n Shake, Subway and Chili’s.

 College Station is situated on an 18.2 acre master ground leased parcel and was constructed in phases from 2005 to 2009. The asset was 100% leased at the time of sale. A 1.96 +/- acre expansion parcel was included in the sale. Traffic counts averaged nearly 53,000 vehicles per day.

 Jim Michalak represented the seller in the transaction. The seller and buyer were REDUS Florida Commercial, LLC and Clermont College Station, LLC a private equity firm, respectively. 

“Clermont’s anchored retail center occupancy rate is 97.3% and is indicative of the strength of trade area” states Michalak. “The transaction opportunity presented several hurdles including the master ground lease and an over-sized Office Depot store.

“However the strength of the location, credit tenancy and the future development component were attractive aspects for investors that submitted bids on the project”.

 Plaza Advisors is a real estate brokerage firm that specializes in the disposition of retail properties throughout the State of Florida. Plaza Advisors’ clients include private equity investors, developers, and major institutions including fund advisors, servicing agents, life insurance companies, REITs, and money center banks.

Plaza Advisors has closed over 130 shopping center transactions, with a combined GLA exceeding 13 million square feet with an aggregate sales volume in excess of $1.5 billion.

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

Jim Michalak

Managing Partner

Plaza Advisors

jim.michalak@plazadvisors.com

www.plazadvisors.com

3412 Bay To Bay Boulevard

Tampa, FL 33629

813.837.1300 Ext. 101

Fax 831.2627

NAI Realvest negotiates $1,002,000 sale price for office/warehouse building, and new lease next door in Oviedo, FL

521 South Econ Circle, Oviedo, FL

Paul Partyka

MAITLAND, FL. – NAI Realvest recently negotiated the sale of a 14,500 square foot office warehouse building on one-acre at 521 South Econ Circle in Oviedo. 

Paul P. Partyka, managing partner at NAI Realvest represented M&O LP the local seller.  The buyer, Brac Racing, a racing parts distributor expanding into larger facilities from a former Longwood location, paid $1,002,000 for the property and was represented in the transaction by Chuck McNulty of McNulty Group

Chuck McNulty

At the same time Partyka represented landlord M&O LP in a lease agreement with Meridian Investment Group Inc. for 6,351 square feet of office/warehouse space at 531 South Econ Circle.   The tenant was represented by Roger Owen of Roger Owen Realty.

For a complete copy of he company’s news release, please contact:       

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

NAI Realvest Negotiates Two New Office Leases in East Orlando, FL

  

Mary Frances West

 ORLANDO, Fla. – NAI Realvest recently negotiated two new leases totaling over 3,500 square feet of office space in East Orlando and one mixed-use campus is now fully leased.

 Senior Broker-Associate Mary Frances West, CCIM negotiated a lease agreement representing the landlord, Jeden LLC of Maitland for 2,215 square feet in University Center at the Quadrangle, 11825 High Tech Ave. Suite 125.  

  The new local tenant Acudyn  was represented in the transaction by Paul Kelly and Andrei Savitski of Coughlin Commercial.   

Andrei Savitski

 West represented the landlord Ripley’s International LLC in a lease agreement for 1,306 square feet at La Vina Marketplace, 9161 Narcoossee Rd.  The lease of Suite B-201 to First American Title Company of Santa Ana, Calif. boosts the occupancy at La Vina to 100 percent.

First American was represented by Richard Solik of Cushman & Wakefield of Florida, Inc. 

For a complete copy of he company’s news release, please contact:       

Beth Payan or Larry Vershel, Larry Vershel Communications 

407-644-4142

HFF arranges $13.4 million financing for Winter Haven Citi Centre in Winter Haven, FL

Winter Haven, FL Citi Centre

MIAMI, FL – HFF announced today that it has arranged a $13.4 million senior loan for Winter Haven Citi Centre, a 185,705-square-foot, power center located in Winter Haven, Polk County, Florida.

Chris Drew

                HFF worked exclusively on behalf of the borrower, Winter Haven Citi Centre, LLC, a partnership controlled by Schmier & Feurring Properties, Inc., and Independencia Asset Management, LLC to secure the 10-year CMBS loan. 

Winter Haven Citi Centre is located at the intersection of Highway 17 and Avenue K, SW in Winter Haven, approximately 50 miles east of Tampa.  The center is 96.8 percent leased to prominent national tenants including Macy’s, Belk, Staples and Pier One Imports. 

Redeveloped in 2000, the center is situated on a 29.55-acre site and is shadow anchored by a Lowe’s Home Improvement Store.  

                The HFF debt placement team representing the borrower was led by director Chris Drew and senior analyst Jose Carrazana. 

“Despite the recent turbulence in the capital markets, it’s a great time to be a borrower.  Lenders are aggressively pursuing quality assets and quoting rates that are well below historical averages,” said Drew.

                HFF’s debt placement team secured more than $3.9 billion in financing for retail assets nationally in 2012.  HFF closed more than $680 million in retail transactions across all capital markets platforms in the state of Florida during 2012.

 For a complete copy of he company’s news release, please contact:       

Kristen M. Murphy

Associate Director

HFF | One Post Office Square, Suite 3500 | Boston, MA 02109

Main: 617-338-0990 | Direct: 617-848-1572 | Cell: 617-543-4873 | www.hfflp.com

krmurphy@hfflp.com

HFF Austin hires John Taylor as managing director in its investment sales group

John Taylor

AUSTIN, TX – HFF announced today that John Taylor has joined the firm as a managing director in its Austin office to focus on investment sale transactions in Austin and San Antonio, Texas.

Mr. Taylor joins HFF from Jones Lang LaSalle, where he was a senior vice president and leader of the capital markets group for Central Texas.  Prior to that, he worked in the capital markets groups at Trammell Crow and CBRE. 

“John is a leader in the capital markets space in both Austin and San Antonio and HFF is delighted to have him on board,” said Sean Sorrell, senior managing director and co-head of HFF’s Austin office.  

Sean Sorrell

“HFF Austin has been committed to growing its investment sales and debt placement teams with the right mix of talent and John will complement the existing team perfectly.”

“HFF has had a significant presence in the Austin and San Antonio markets since the early 1980’s.

Jody Thornton

"However it was not until the opening of HFF Austin in January 2011 and the expansion of the office since then with professionals such as John Taylor, that we have been able to expand our footprint and build upon our market share to offer our clients the highest level of service across all business lines,” said Jody Thornton, executive managing director of HFF in Dallas

 For a complete copy of he company’s news release, please contact:       

Kristen M. Murphy

Associate Director

HFF | One Post Office Square, Suite 3500 | Boston, MA 02109

Main: 617-338-0990 | Direct: 617-848-1572 | Cell: 617-543-4873 | www.hfflp.com

krmurphy@hfflp.com

LaGrange Plaza: PetSense “The Place for Pet Lovers” Grand Opening Aug. 10

LaGrange Plaza, LaGrange, GA

LaGrange, GA- Amanda Steidtmann of Crossman & Company signed a new-lease for 7,104 square feet at 139 Commerce Ave. LaGrange, GA 30240. LaGrange Plaza leased the space to PetSense. PetSense will have their grand-opening on Saturday, August 10th.

Amanda Steidtmann

“PetSense is growing rapidly across the Southeast and we are excited to welcome them to LaGrange Plaza,” stated Steidtmann.  “We are expecting PetSense to do extremely well in the LaGrange market.”.

 Petsense now operates locations in 21 states with corporate headquarters located in Scottsdale, Arizona. For more information on PetSense please visit:.

 LaGrange Plaza, a Publix-anchored center was recently remodeled and has great visibility on Commerce Avenue, a major retail corridor.

For more details on spaces available for lease please contact Amanda Steidtmann, asteidtmann@crossmanco.com or 770-541-0864.

Crossman & Company was founded in 1990 and is a regional shopping center brokerage firm which represents over 200 shopping centers in FL, GA, AL, TN, SC and NC.

 For a complete copy of he company’s news release, please contact:       

cpagan@crossmanco.com

www.petsensellc.com

ARCA Capital Investments Inc. Signs Lease at Wells Fargo Center Miam

  

Wells Fargo Center, Downtown Miami, FL

i

Indra Campbell

Miami, FL  –Wells Fargo Center has captured its fifth tenant this year with ARCA Capital Investments, Inc., signing a 4,418 square foot lease at the downtown Miami office tower.  Taylor & Mathis reports year-to-date leasing activity at the building has exceeded 50,000 square feet. 

“Interest in Wells Fargo Center has come from a diverse corporate base,” stated Taylor & Mathis’s Brian Gale, who spearheads leasing efforts for owner MetLife.  

Bryan Gale

“This year we’ve leased space to a financial services firm, law firm, business school and two real estate firms – a high-end executive suite operation and a top brokerage firm.” 

 Andrew Easton of Jones Lang LaSalle negotiated the lease transaction on behalf of ARCA, a wealth management financial services firm, which is relocating to downtown Miami from Miami Beach.  Ryan Holtzman of Taylor & Mathis represented MetLife.

Ryan Holtzman

“ARCA Capital Investments chose Wells Fargo Center as the permanent location of our offices,”  said Indra Campbell, President & CEO ARCA Capital Investments.

“We regard Wells Fargo Center as the premier office space for South Florida, and it provides the most value for the applicable lease rates. 

Andrew Easton

"The amenities of the office building and the adjacent JW Marriott Marquis are truly exceptional. The location, facilities and staff of both the office building and the hotel dovetail nicely with our desire to provide concierge service to the Ultra High Net Worth clients,”

Wells Fargo Center is a 750,000 square foot Class A office tower located downtown one city block off Interstate 95 and south of the Brickell Bridge.

 For a complete copy of he company’s news release, please contact:       

Brian Gale,

Taylor & Mathis

(305) 476-8880

 bgale@taylormathis.com

 www.TaylorMathis.com

www.metlife.com/realestate.

http://www.wellsfargocentermiami.com

Espirito Santo Plaza in Miami, FL Reaches Elusive 100% Occupancy with 100,000 SF of Leasing

Espirito Santo Plaza, Downtown Miami, FL

Miami, FL, July 31, 2013 – With 100,000 square feet of leases this year, Taylor & Mathis of Florida has brought Espirito Santo Plaza to 100% occupancy.

Andrew Trench

The firm reported two new leases this month.  Anchor tenant, Fowler White Burnett, P.A. renewed their lease while Jernigan Capital LLC will move into the market signing a 2,500 square feet lease. Last month Taylor & Mathis reported a 32,000 square foot renewal & expansion by Quest Workspaces.

 “The ultimate goal for a broker is to bring a building to 100% occupancy,” commented Taylor & Mathis Leasing Director Andrew Trench. “Given the flux in the market it doesn’t happen often. 

Matthew Cheezem

" It’s the equivalent to that hole in one in golf.  It is certainly easier when working with a building that has a Brickell Avenue location, exceptional management and amenities like the on-site Conrad Hotel.”

 The Taylor & Mathis Miami leasing team, exclusive leasing agents for Espirito Santo Plaza, worked with co-brokers Matthew Cheezem and Matthew Goodman of Cresa to complete the Fowler White Burnett lease.  Taylor & Mathis’ Andrew Trench negotiated the Jernigan Capital deal.

Aerial of Downtown Miami, FL

For a complete copy of he company’s news release, please contact:       

Andrew Trench

Leasing Director

Taylor & Mathis

(305) 476-8880 

 atrench@taylormathis.com

Brian Gale

 Principal

Taylor & Mathis

(305) 476-8880  

bgale@taylormathis.com

www.TaylorMathis.com.

http://espiritosantoplaza.com/

Marriott Flags Return to Downtown Syracuse, NY with Opening of Courtyard by Marriott/Residence Inn Syracuse Downtown at Armory Square

  

Courtyard by Marriott/Residence Inn Syracuse Downtown
 at Armory Square, Syracuse, NY

SYRACUSE, NY, July 31, 2013 - -Officials of New Castle Hotels and Resorts, a leading hotel owner, operator and developer, and RHS Holdings, LLC, a prominent, Syracuse-based real estate development firm, today unveiled the first new-build hotels in downtown Syracuse in more than five decades with the official ribbon cutting of the new Courtyard by Marriott/ Residence Inn Syracuse Downtown at Armory Square.

The combination hotel, a 78- room Residence Inn and 102-room Courtyard by Marriot constructed under one roof, is located in the heart of the city’s historic Armory Square district and anchors the Connective Corridor that links downtown with Syracuse University.   

            The hotels also mark the return of Marriott brands to downtown Syracuse.  The $30 million project is the largest, non-office building, new construction project in downtown Syracuse in more than 25 years.

Armory Square
Downtown Syracuse, NY

“We are proud to be a part of the continued revitalization of Downtown Syracuse and Armory Square,” said Richard Sykes, vice president of RHS Holdings, and partner in the hotel ownership group, The Inns at Armory Square, LLC. 

 “We’re thrilled to be part of the wave of economic development downtown with guests expected to bring in more than $18 million a year to the local economy.” 

For a complete copy of he company’s news release, please contact:       

Lauralee Dobbins

Daly Gray, Inc.

703-435-6293

Lauralee@dalygray.com

  

www.newcastlehotels.com.

info@rhsholdingsllc.com.

www.residenceinn.com.

www.courtyard.com.

http://www.marriott.com/syrdr

 or dial 800-321-2211.

MBA Statement on Richmond, CA Eminent Domain Program

 

David H. Stevens

Washington, D.C. – David H. Stevens, President and CEO of the Mortgage Bankers Association (MBA), today issued the following statement on a proposed program in Richmond, California that would allow local officials to use eminent domain powers to seize mortgages and force financial losses on millions of Americans:

“The program is a short-term solution for a few underwater borrowers that will have severe negative long-term costs for every homeowner in the city. 

“Mortgages in Richmond will become more expensive, making neighboring cities more desirable for prospective home buyers, which will hold down home values for everyone in Richmond.

“In short, the program is ill-advised and likely unconstitutional and will add to Richmond’s problems rather than solve them.”

For more information on this issue, please visit MBA's Eminent Domain Resource Center.

For a complete copy of he company’s news release, please contact:       

John Mechem

(202) 557-2924

$20.6 Million Shopping Center and Adjoining Pad Site Change Hands in New Jersey

Marketplace at Edgewater, Edgewater, NJ

Mark Taylor

EDGEWATER, N.J., July 30, 2013 – Marcus & Millichap Real Estate Investment Services, the nation’s largest real estate investment services firm, has arranged the sale of Marketplace at Edgewater, an 88,641-square-foot shopping center and an adjoining 10,030-square-foot pad site in Edgewater, N.J.

The shopping center sold for $16,375,000 and the pad site brought $4,230,000. The total sales price for both sites equates to $232 per square foot.

            Mark Taylor and Dean Zang, both first vice presidents investments, and Christopher Munley, a vice president investments, all in Marcus & Millichap’s Philadelphia office, represented the seller, a private investor.

Dean Zang

 Greg Babaian, a vice president investments in the firm’s New Jersey office, represented the buyer, Capstone Realty Group.

            “The sale of Marketplace at Edgewater is indicative of the surge in demand we are seeing for Northern New Jersey retail properties,” says Taylor.

Greg Babaian

            “The buyer is a value-add purchaser that pursues opportunities in well-located markets such as the Marketplace at Edgewater,” says Babaian. “The new owner plans to modernize the asset and fill vacant space with high-quality tenants.”

“Investors throughout the Tri-State Area are keen on the area’s local retail properties due to the region’s economic stability, concentration of high-income households and proximity to Manhattan,” adds Munley.

“This was a complex transaction that included three leasehold interest leases, the State of New Jersey’s riparian rights and separate owners of the ground underlying the three parcels of land,” concludes Taylor.

            Built in 1990 on approximately 6.4 acres, the center is situated along the Hudson River near the George Washington Bridge at 725 Tower Road in Edgewater, N.J. 

Marketplace at Edgewater is anchored by Trader Joe’s, which leases the pad site. Other tenants include Animal General, Binghampton Bagel, Chase Bank, Fast Frames, H&R Block, PetValu, River Pet Resorts and Scerbo Physical Fitness.

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

Gina Relva

Public Relations Manager

(925) 953-1716

   

RiverRock Selected To Manage 3.2 Million Sq. Ft. Office and Industrial Portfolio in Southern California and Arizona

Newport Beach, CA (July 30, 2013) – RiverRock Real Estate Group, a West Coast based commercial real estate management and leasing firm, today announced that AEW Capital Management (AEW) has awarded it the management of a 3.2 million-square-foot of portfolio office and industrial space located in Southern California and Arizona.

Steve Core

 In the past 12 months, RiverRock has grown its management portfolio by 9.1 million square feet. With the addition of this contract, the company now manages more than 25 million square feet of commercial space.

Beginning August 1, RiverRock will take over property management, leasing oversight and engineering of 28 properties throughout Southern California and Arizona. 

 RiverRock will add approximately 30 employees who currently manage the properties.

 The company will be assuming regional offices in Santa Fe Springs, Rolling Hills, Upland, Riverside, and the San Gabriel Valley, as well as Phoenix. 

  “We are excited about this new opportunity with AEW,” said Steve Core, president of RiverRock Real Estate Group. “We have an excellent management team in place and we hope this assignment leads to future growth in new markets.”

  

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

David Ebeling

Ebeling Communications

949.861.8351

949.278.7851 (Cell)

david@ebelingcomm.com

The Woodmont Co. Completes Sale of Retail Center in Allen, TX

  

                                McDermott Commons

                                2021-2035 West McDermott Drive

                                Allen, TX

                                                

ALLEN, TX, July 30, 2013 – The Woodmont Company, a national real estate firm specializing in the development, management, leasing and sale of retail shopping centers, has completed the sale of McDermott Commons, a 55,560-square-foot retail center located in Allen, TX to a private investment firm. 

Brad Cruickshank

Brad Cruickshank of The Woodmont Company represented the seller in the transaction, LNR Partners. The buyer represented itself.

            Located at the southeast corner of McDermott Drive and Custer Road at 2021-2035 West McDermott Drive, McDermott Commons is anchored by a Jumpstreet Trampoline Park.

 The sale included the in-line retail space, two outparcels with ground leases to Taco Bell/Pizza Hut and Wendy’s, as well as a freestanding building leased to BB&T Bank.

 Built in 2001, McDermott Commons was 73% percent occupied at the close of escrow.  The Woodmont Company has been retained by the purchaser to handle leasing at the center.

Mt. Pleasant Plaza, Mt. Peasant, TX

            The sale of McDermott Commons comes just days after The Woodmont Company completed the $1,075,000 sale of Mt. Pleasant Plaza, a fully occupied, 7,325-square-foot retail center located at 1401 South Jefferson in Mt. Pleasant, TX. 

Tenants include: Little Caesar’s Pizza, Carter Blood Care, Metro PCS, Check N Go, and Diddy’s Yogurt.

Cruickshank represented the seller, Iron Point Titan Asset Management. The buyer was a private investment group based in Denton, Texas who was represented by Blake Martin of Quest Commercial Realty.

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

David Ebeling

Ebeling Communications

949.861.8351

949.278.7851 (Cell)

david@ebelingcomm.com

www.woodmont.com