CB Richard Ellis Closes 106,440-SF Office Building Sale in Orlando

ORLANDO, FL-- CB Richard Ellis has brokered the sale of the 106,440-sq.-ft. office building at 2290 Premier Row in Orlando, Florida. The transaction was handled through a coordinated effort of CBRE offices in Orlando, New York and Toronto.

In Orlando, Chris Sproles, First Vice President of Office Properties, Ray Romano, Vice President of Industrial Properties, and Ron Rogg, Executive Vice President of Investment Properties, represented the seller, Symcor, Inc. in this sale transaction.


The purchaser was HDG Mansur Investment Services, based in Indianapolis, Indiana. The property will continue to be used as an operations, data and check processing center.

For more information about Chris Sproles, (bottom right photo) visit www.cbre.com/chris.sproles.

For more information about Ray Romano,(middle left photo) visit www.cbre.com/ray.romano.

For more information about Ron Rogg, (top right photo) visit www.cbre.com/ron.rogg.

Media Contacts: Bill Moss, 407.839.3158, bill.moss@cbre.com

Angelique Greven, 407.839.3140, angelique.greven@cbre.com

Marcus & Millichap Sells 120-Unit Apartment Community in Fort Collins, CO for $11.3M

DENVER, CO – Marcus & Millichap Real Estate Investment Services, the nation’s largest real estate investment services firm, has arranged the sale of Landmark Apartments,(top left photo) a 120-unit apartment community in Fort Collins.

The sales price of $11.3 million represented $94,167 per unit price, a record price for 1980’s vintage property in Fort Collins.

Dave Potarf (bottom left photo) and Dan Woodward (top right photo), both vice president investments and senior directors of Marcus & Millichap’s National Multi Housing Group in Denver, and Jordan Robbins, an investment specialist also in the firm’s Denver office, represented the seller, a Delaware-based company.

Marcus & Millichap also represented the buyer, an Ohio based investor.

“Landmark was an excellent opportunity for the investor to acquire a well performing asset just a block away from the Colorado State University campus,” says Potarf.

Located at 1050 Hobbit St., the property contained 120 units in 12 buildings and was built in 1985.

Press Contact: David Potarf, (303) 328 - 2000

Raleigh Marriott City Center Celebrates Grand Opening

New 400 room luxury hotel features Posta Tuscan Grille, Bar Posta and a Starbucks Coffee Store

RALEIGH, N.C., Aug. 27, 2008- Privately held Noble Investment Group (“Noble”), a leading sponsor of private equity real estate funds and an integrated lodging and hospitality operating and development organization, today celebrated the grand opening of the 400-room Raleigh Marriott City Center (top right rendering) located at 500 Fayetteville Street and attached to the new 500,000 square foot Raleigh Convention Center.

The Raleigh Marriott City Center brings four-star luxury accommodations to the heart of the city’s urban core and is a key component of a vibrant new dining and entertainment district within the $1 billion renaissance of Raleigh’s city center.

The hotel’s inviting, grand lobby was designed to be the living room of the Raleigh and Wake County communities where guests can relax and unwind as they gather to enjoy the culinary creations of acclaimed chefs Marco and Gianni Betti’s Posta Tuscan Grille and neighborhood gathering spots, Bar Posta and Starbucks Coffee.

“We are very pleased and excited to have this prominent new Marriott in the heart of Raleigh’s city center,” said J.W. Marriott, Jr. (middle left photo), chairman and CEO of Marriott International, Inc.

“Noble Investment Group is an award winning partner of Marriott and we congratulate them on bringing this spectacular hotel to life for all residents and visitors to the Raleigh and Wake County areas.”

“Four years ago, we set out to determine the lasting future of our city’s downtown core, and as a result of an enormous amount of passion and commitment, today we celebrate the completion of an important anchor for that vision,” said Raleigh Mayor Charles Meeker. (middle right photo)

“The Noble organization has been an extremely valuable partner to us and delivered a magnificent hotel that will prove to be a great enabler to the success of the new Raleigh Convention Center and tourism in our region. The Raleigh Marriott City Center is a perfect example of how the public and private sectors can work together to realize goals of great significance to our community.”

“The commitment of this community’s leaders to make Raleigh a hub for world-class business, a prominent center for arts and culture, a destination for meetings and conventions, and a thriving place to live, dine and play, has fostered a remarkable transformation of this vibrant city,” said Mit Shah, (bottom left photo)senior managing principal and chief executive officer for Noble. “We are proud to be an integral part of this community and believe that our investment will bring a new level of hospitality and amenities that will continue to galvanize the landscape of Raleigh’s city center.”

CONTACTS:

Bonnie Herring (404) 262-9660
Bonnie.herring@nobleinvestment.com

Heather Freeman (800) 987-9806
Heather@Heatherfreeman.com

Tom Drew (919) 452-6190
Tdrew@501csolutions.com

Roger Conner (301) 380-5605
Roger.conner@marriott.com

Jerry (jerry@dalygray.com) or Melanie (melanie@dalygray.com)

Investments Valued at $44M Announced by Place/BV Student Housing Fund

ATLANTA and CHICAGO, /PRNewswire/ -- The Place/BV Student Housing Fund, LLC, a real estate investment fund focused on the acquisition and development of student housing properties nationwide, announced its most recent investments.

La Cantera Place serves the students of University of Texas, San Antonio (bottom left photo)(UTSA) and Rockdell Place will serve the students of Wright State University (middle right photo) in Fairborn, Ohio.

Both communities will open summer of 2009. BVP Managers, LLC, a joint venture between Atlanta, Georgia-based Place Properties, LP and Chicago, Illinois-based Blue Vista Capital Management, LLC, serves as the Manager of the Fund.

La Cantera Place will be the Fund's second asset in the San Antonio market. Hill Country Place, (middle left photo) the first asset, which opened this month, is 98 percent leased for fall.

La Cantera Place, located just a 1/2 mile from the UTSA campus, is well positioned to benefit from one of Texas's largest and fastest growing schools.

With an expected enrollment increase of over 1,500 students in fall 2009, La Cantera's 204-unit / 624-bed community will be a popular housing choice.

La Cantera will offer one-, two- and four-bedroom apartments with contemporary furnishings and private bathrooms. Each apartment will also offer a full kitchen with all major appliances, including washers and dryers.

Community amenities include a clubhouse with a state-of-the-art fitness center, computer lab and resort-style swimming pool. Rockdell Place, as the first purpose built, modern student housing community in Fairborn, will offer Wright State students a superior housing alternative.

In addition to offering 96 fully furnished four-bedroom, four- bathroom apartments, each with private bathrooms, Rockdell Place will include a clubhouse with computer lab, Place Zone online gaming center, state-of-the- art fitness center, indoor 1/2 basketball court, landscaped courtyard and surface parking.

Brent Little, (top right photo) National Development Partner for Place Properties said, "La Cantera Place is our second asset in the UTSA market and will build on the success of our Hill Country Place property, which opens to students this month. Rockdell Place is our first asset in the Wright State market, which has seen no new student properties built to serve this growing enrollment."

Blue Vista Capital Management, LLC is a leading national real estate investment management firm with in excess of $550 million in capital under management.

Blue Vista has participated in joint ventures representing over $3.0 billion in total capitalization.Place Properties, LP, has over 14 developments in various stages of construction nationwide making it one of the largest multifamily development and construction organizations in the country.

Place Properties has developed more than $800 million of student housing properties since 1996 and currently manages more than 17,000 beds.

Contact: Jessica H. Nix Director of Marketing and Public Relations 404-495-7591 jnix@placeproperties.com

Web site: http://www.placeproperties.com/

GVA Advantis Names Lucas Hewett as New Managing Director for Tampa Office

TAMPA, FL– GVA Advantis has named Lucas Hewett (top right photo) as the new managing director of GVA Advantis’ Tampa office. Hewett will be responsible for building and overseeing the region’s leasing, sales, construction, property management and new business development activities.

Hewett joined GVA Advantis in 2002 as a broker specializing in landlord and tenant representation and earned the company’s “Rookie of the Year” award. By 2005 he was leading the Tallahassee office, and soon after was managing additional Florida offices in Panama City and Destin. By 2007, Hewett was a member of GVA Advantis' executive committee and oversaw operations for the state of Florida.

With GVA Advantis now under new leadership, Hewett was immediately recognized as a valuable asset and currently serves on the company’s board of directors. Lucas' local focus will be on the Tampa office in a “player-coach” role.

“I’m excited about the direction our company is taking,” enthuses Hewett. “We have a lot of core talent in our Tampa office, and I look forward to building on it.” Hewett will serve as an active broker while overseeing the office’s daily operations.

“In the years Lucas managed the northwest Florida region, he’s had a very effective record of profitability, gained market share, and nurtured and grew our company’s relationships with numerous major clients and land owners.

"Tampa is an important market, and under Lucas’ leadership, I am convinced Tampa will become one of the most profitable regions in the company,” states Richard Pogue, president and chief executive officer.

Recently, Hewett was a finalist for the 2008 Tallahassee Chamber Leadership Pacesetter Award. He has also served on the Growth Management Committee for the Tallahassee Area Chamber of Commerce and is a member of Emerge Florida, Leadership Florida and a graduate of Leadership Tallahassee. Industry affiliations include the International Council of Shopping Centers (ICSC) and the National Association of Realtors.

Hewett has served on the board of directors for Turn About, Inc., the Tallahassee Senior Center Foundation and the Tallahassee Habitat for Humanity. A Florida native, Hewett is a graduate of Palm Beach Atlantic University and is a licensed real estate broker in the states of Florida, Georgia and Alabama.

Media Contact: Lisa Hyde, GVA Advantis, 3000 Bayport Drive, Suite 100. 813.342.4752
LHyde@gvaadvantis.com

HFF arranges debt and equity totaling $46.5M for Encinitas, CA mixed-use development

SAN DIEGO, CA – The San Diego office of HFF (Holliday Fenoglio Fowler, L.P.) has arranged a construction loan and joint venture equity for the development of Pacific Station,(top right photo) a Whole-Foods anchored mixed-use project in the northern San Diego city of Encinitas, California.

Working exclusively on behalf of Pacific Station Property, LLC, a venture by John DeWald & Associates and Phase 3 Properties, HFF senior managing director Tim Wright (middle left photo) and associate directors Rob Hinckley and Zach Koucos (middle right photo) placed the $36.5 million, 60-month construction permanent loan with La Jolla Bank. HFF also secured $10 million in joint venture equity with Fidelity Real Estate Group.

Upon completion in fourth quarter 2009, Pacific Station will have 38,500 square feet of retail including Whole Foods and a signature restaurant, 10,000 square feet of office space, 47 residential units and a two-level underground parking garage.

All components of the project will be condo-mapped and can be sold off by the suite. Residential units will range from 702 square feet to more than 2,000 square feet in one- to three-bedroom layouts.

Whole Foods will anchor the retail space with approximately 25,000 square feet. Pacific Station is situated on 1.39 acres between E and F Streets along the Coast Highway 101, three blocks from the Pacific Ocean and one block from the Metropolitan Transit Station’s Encinitas “Coaster” Station.

“Pacific Station is designed to fully integrate into the downtown Encinitas streetscape, while meeting the demand for retailers, professionals and residents,” said Wright.

John DeWald & Associates is a San Diego-based company that provides real estate consulting, development and construction services.

San Diego-based Phase 3 Properties specializes in commercial real estate development, brokerage and management.

Fidelity Real Estate Group pursues value-added real estate investment opportunities throughout the U.S. on a fully discretionary basis for its managed funds.

The Fidelity Real Estate Group is a division of Pyramis Global Advisors, a Fidelity Investments company. Fidelity Real Estate Group manages in excess of $12 billion on behalf of institutional and accredited individual investors as of March 31, 2008.

CONTACTS:

Timothy D. Wright, HFF Senior Managing Director, 858 552 7690, twright@hfflp.com/

Laurie Fish McDowell, HFF Associate Director, Marketing, 617 338 0990, lmcdowell@hfflp.com/

Freddie Mac Sr. Debt Rating Affirmed At 'AAA/A-1+'; Others Lowered, On CreditWatch Negative

NEW YORK Aug. 26, 2008--Standard & Poor's Ratings Services said today that it affirmed its 'AAA/A-1+' senior unsecured debt rating on Freddie Mac with a stable outlook.

At the same time, we lowered the risk-to-the-government stand-alone issuer credit rating to 'A-' from 'A', the subordinated debt rating to 'BBB+', and the preferred stock rating to 'BBB-' from 'A-'.

The ratings that were lowered are all placed on CreditWatch Negative.

"Our expectation of continued government support for the mortgage government-sponsored enterprises, as detailed in the description of their expanded role in the U.S. Treasury's Economic Stimulus Plan released earlier this year, is reflected in our affirmation of the long-term 'AAA' and short-term 'A-1+' senior unsecured debt ratings," said Standard & Poor's credit analyst Victoria Wagner.(middle right photo)

The government-supported enterprises' mortgage franchises are viable and critical to the financing of the U.S. mortgage market and to the overall economy.

The lowering and placement on CreditWatch Negative of Freddie Mac's nonsenior ratings reflects the heightened uncertainty about whether government support will extend to these securities.

The risk-to-the government rating was lowered and placed on CreditWatch Negative because of the expected stress on capital and earnings Freddie Mac faces during the next several quarters.

The lowered ratings also reflect the challenging market conditions Freddie Mac faces in managing its core mortgage business, and the likelihood that it will require additional capital to offset mounting losses and maintain its regulatory capital ratios at an acceptable level.

The depressed equity pricing of its common and preferred securities and the looming uncertainty about Treasury's financial assistance has created an even more challenging operating environment, significantly inhibiting Freddie Mac's financial flexibility.

Freddie Mac's management has committed to raising $5.5 billion of equity, as both common and preferred stock.

However, if Freddie Mac fails to execute this transaction, it heightens the likelihood that Treasury will have to provide support, which in turn might lead to some losses for existing preferred and subordinated debt holders.

Treasury is in a unique statutory role and can set the terms of its investment while considering the broader systemic and economic issues and protecting taxpayers.

Treasury's support could take several forms as outlined in Public Law 110-289. It could be straightforward funding support through expansion of the Treasury line, buying Freddie Mac's debt or its agency mortgage-backed securities, or it could consider an equity investment.

The possibility of an equity investment is driving Freddie Mac's equity price lower and the yield on its preferred stock higher.

An equity investment by Treasury could be accompanied by the consideration of nonpayment of existing preferred stock and common dividends.

The subordinated notes pose incremental risk to investors because of an interest deferral feature given certain trigger events tied to Freddie Mac's regulatory capital levels.

The subordinated debt covenant language also states that a deferral of the subordinated debt interest payment triggers the nonpayment of all preferred stock and common dividends, arguing for a close alignment of preferred stock and subordinated debt ratings.

However, we now rate the preferred stock two notches below the subordinated debt to reflect the increased risk of nonpayment of dividends as a means of capital preservation.

Furthermore, there are no covenants restricting the payment of interest on the subordinated debentures, while the preferred dividends are suspended.

Our nonsenior and risk-to-the-government ratings on Freddie Mac will remain on CreditWatch Negative until further clarity can be derived regarding Treasury's intention surrounding financial assistance and further clarity on Freddie Mac's execution of its capital-raising initiatives and the degree of capital cushion it holds over regulatory capital ratios.

Media Contact: Jeff Sexton, New York, (1) 212-438-3448 jeff_sexton@standardandpoors.com
Analyst Contacts:
Victoria Wagner, New York (1) 212-438-7406
Daniel E Teclaw, New York (1) 212-438-8716

Fannie Mae 'AAA/A-1+' Sr. Debt Rating Affirmed; Other Ratings Lowered, On CreditWatch Negative

NEW YORK, Aug. 26, 2008--Standard & Poor's Ratings Services said today that it affirmed its 'AAA/A-1+' senior unsecured debt rating on Fannie Mae with a stable outlook.

At the same time, we lowered our risk-to-the-government stand-alone issuer credit rating on Fannie Mae to 'A-' from 'A', the subordinated debt rating to 'BBB+' from 'A-', and the preferred stock rating to 'BBB-' from 'A-'.

All the ratings we lowered are also placed on CreditWatch Negative.

"The affirmation of the long-term 'AAA' and short-term 'A-1+' senior unsecured debt ratings reflect our expectation of continued government support for the viability of Fannie Mae and its senior unsecured debt, as represented in the Treasury's Economic Stimulus Plan released earlier this year," said Standard & Poor's credit analyst Victoria Wagner. (top left photo)

The government-sponsored enterprises' mortgage franchises are viable and critical to the financing of the U.S. mortgage market and the overall economy.

(Federal Reserve Bank, Washington, DC, at left)

The downgrade and placement on CreditWatch Negative of the subordinated debt and preferred stock ratings reflects increasing uncertainty about whether government support will extend to these securities in the context of further deterioration in the asset quality of Fannie Mae's mortgage portfolio.

The risk-to-the-government rating was lowered and placed on CreditWatch Negative because of the expected higher stress on capital and earnings Fannie Mae faces over the next several quarters.

The long duration of the weak housing market and the rising severity of residential mortgage losses are driving credit costs higher and Fannie Mae's operating earnings lower.

The majority of credit-related losses to date have been from its exposure to Alt-A mortgages, which amounts to 11% of its total single-family mortgage book.

Standard & Poor's expects peak mortgage losses to occur in 2009 to a level that could require further capital raising to maintain the cushion above the regulatory requirements.

In addition to the weak mortgage credit cycle, Fannie Mae is facing ever more challenging market conditions to raise cost-effective capital. The depressed market pricing of its common and preferred securities and the uncertainty about Treasury's financial assistance has created an even more challenging operating environment, significantly inhibiting Fannie Mae's financial flexibility.

The recently passed Housing and Economic Recovery Act of 2008 (Public Law 110-289) has reinforced expectations that the government will act to prevent default on Fannie Mae's senior debt obligations, but has also led to great speculation in the financial markets about if and how the U.S. Treasury will act and what will be the related consequences for subordinated debt and preferred stockholders.

Treasury has several options authorized under Public Law 110-289. These include the following: buying Fannie Mae's debt or its agency mortgage-backed securities; providing an explicit guarantee for its debt; or putting forward an equity investment. An equity investment by Treasury may be accompanied by the consideration of nonpayment of existing preferred and common dividends.

The subordinated notes pose incremental risk to investors because of an interest deferral feature given certain trigger events tied to Fannie Mae's regulatory capital levels.

The subordinated debt covenant language also states that a deferral of the subordinated debt interest payment triggers the nonpayment of all preferred and common stock dividends.

This feature argues for a close alignment of preferred stock and subordinated debt ratings. However, we now rate the preferred stock two notches below subordinated debt to reflect the increased risk of nonpayment of dividends as a means of capital preservation.

Furthermore, there are no covenants restricting the payment of interest on the subordinated debentures, while the preferred dividends are suspended. Fannie Mae's nonsenior debt and risk-to-the-government ratings will remain on CreditWatch Negative until Treasury's intentions are clarified.

Media Contact: Jeff Sexton, New York, (1) 212-438-3448 jeff_sexton@standardandpoors.com
Analyst Contacts:
Victoria Wagner, New York (1) 212-438-7406
Daniel E Teclaw, New York (1) 212-438-8716

Construction Costs Hit Multi-Year High, Grubb & Ellis Reports

SANTA ANA, CA--Bob Bach, (top right photo) Senior Vice President, Chief Economist, Grubb & Ellis Co., says construction costs are off to the races once again due to the summer spike in the prices of oil and some commodities that are inputs to the manufacture of construction materials.

Both the Consumer Price Index and the Producer Price Index for Finished Goods hit multi-year highs on a year-ago basis in July.

But the recent decline in oil and commodities prices and the strengthening U.S. dollar, both related to slower global economic growth, suggest that inflation may cool in the near term.
This should allow the Federal Reserve to keep interest rates low awhile longer.

Chart below shows CPI, PPI & Non-residential Construction Costs% Change Year/Year

Source: U.S. Bureau of Labor Statistics, Grubb & Ellis

Contact: Janice McDill at 312.698.6707. corporatecommunications@grubb-ellis.com.

Anemic Holiday Shopping Season Predicted

CHICAGO, IL-Kurt Ivey(top right photo), senior vice president, marketing, at Chicago-based Madison Marquette, says "Late last week I had the opportunity to listen to a conference call on “back-to-school shopping” hosted by Citigroup and Deloitte.

While the back-to-school shopping season is still underway, several stats were very telling in terms of today’s slower economy.

Among them, 71% of those surveyed planned to spend less this year (with 69% planning to spend $100 to $500 for the family).

Apparel appears to be taking the biggest hit with 83% planning to spend less. Not surprisingly, the main reasons for spending less are tied to higher gas, home energy, and food costs.

In terms of shopping, 88% planned to patronize the discount and value-oriented department stores. One of the most significant implications I saw in the study was that almost 70% of those surveyed planned to satisfy all their shopping needs in just 1 to 3 stores, suggesting very focused shopping trips.

This lower shopping activity, combined with the pervasive sentiment that our economy is weak has dramatic implications for retail spending in the second half of 2008. Unless conditions improve, driven to a large degree by noticeably stable lower oil / gas prices, we may be looking toward an anemic holiday shopping season.

CONTACT: Kurt Ivey, Senior Vice President, Marketing, MadisonMarquette, kurt.ivey@madisonmarquette.com

Arbor Closes $1,100,000 Fannie Mae DUS® Loan for Apple Creek Apartments in Kingsville, TX

UNIONDALE, NY, Aug. 26, 2008 –- Arbor Commercial Funding, LLC (“Arbor”), a wholly-owned subsidiary of Arbor Commercial Mortgage, LLC, announced the recent funding of a $1,100,000 loan under the Fannie Mae DUS® product line to finance the 120-unit complex known as Apple Creek Apartments (top right photo) in Kingsville, TX.

The 92-month loan amortizes on a 30-year schedule and carries a note rate of 6.89 percent.
The loan was originated by Michael Jehle, (

bottom left photo) Director, in Arbor’s full-service Bloomfield Hills, MI lending office.

“Our client took advantage of Fannie Mae’s Supplemental Loan Program and borrowed additional loan dollars on top of their original mortgage funded in 2005,” said Jehle. “This program is available to all clients under the Fannie Mae program if the growth in Net Operating Income supports the additional advance.”
Contact: Ingrid Principe, Tel: (516) 506-4298
iprincipe@arbor.com

Cushman & Wakefield Negotates Sale of Southwest Florida Industrial Portfolio for $31M

TAMPA, FL – Aug. 25, 2008 – Cushman & Wakefield negotiated the sale of a 252,422 square foot Industrial Portfolio in Naples, Florida for $31 million.

Collier Park of Commerce (top right photo) - a seven building, 189,523 square foot park and Commerce Center (middle left photo) - a four
building, 62,899 square foot park are located at the northern border and directly across for the Naples
Municipal Airport. Combined, the portfolio was 96 percent occupied at the time of the sale.

Executive Director of Florida’s West Coast Capital Markets Group, Mike Davis,(bottom right photo) was quoted as saying, “Seven qualified full portfolio offers were evaluated before the selection of The Adler Group as the buyer.
This is significant since it demonstrates continued investor confidence in the Southwest Florida market.”

Executive Director Mike Davis (Capital Markets/Tampa); Associate Director Rick Brugge, CCIM (Capital Markets/Tampa); Executive Director Gary Tasman (C&W Naples) and Associate Director Brandon Stoneburner (C&W/Naples) negotiated the sale on behalf of the seller, Lund Capital Group. The buyer was The Adler Group.

Contact: Debbie P’Simer
813-204-5333
debbie.p’simer@cushwake.com