HFF secures $22.1M refinancing with Freddie Mac for southern California multifamily community

NEW YORK, NY, April 2, 2009 – The New York office of HFF (Holliday Fenoglio Fowler, L.P.) announced today that it has secured a $22.1 million refinancing with Freddie Mac for Fairway Palms Apartments, (top right photo) a 236-unit multifamily community in Rancho Cucamonga, California.

Working on behalf of institutional investors advised by J. P. Morgan Asset Management - Global Real Assets, HFF senior managing director Whit Wilcox (top left photo) placed the seven-year, adjustable-rate loan with the Federal Home Loan Mortgage Corporation (Freddie Mac).

Loan proceeds are paying off a maturing loan that the borrower had with a portfolio lender. HFF has closed more than $100 million in financing through Freddie Mac in 2009.

Fairway Palms Apartments is located at 11201 5th Street, less than one mile from the Interstate 10 and 15 freeways and approximately 40 miles east of downtown Los Angeles in Rancho Cucamonga.

Completed in 2002, the 94% leased property has one-, two- and three-bedroom units that average 928 square feet each.

Residents of Fairway Palms have access to a swimming pool, fitness center and clubhouse and may also use the amenities at the adjacent Ironwood Apartments, which is also owned by the borrower.

"Even in the most challenging credit market environment, superior properties will attract capital at favorable levels. Fairway Palms enjoys strong operating performance and best of class sponsorship. Through all of the travails that have plagued global credit markets and derailed economic growth, Freddie Mac has remained an unshakable pillar of capital to the multifamily sector,” said Wilcox.

Contacts:

Whitney H. Wilcox, HFF Senior Managing Director, (212) 245-2425, wwilcox@hfflp.com

Kristen M. Murphy, HFF Associate Director, Marketing, (713) 852-3500,krmurphy@hfflp.com

Jacoby Development and Suniva Make Solar Commitment to Aerotropolis Atlanta

Two Georgia Companies Aim to Create “Green Collar” Jobs

ATLANTA--(BUSINESS WIRE)--In a major partnership agreement signed this week, Jacoby Development, Inc., developer of smart growth and sustainable development national model Atlantic Station, and Suniva, a Norcross based manufacturer of high efficiency solar cells, will collaborate on incorporating solar technology into Aerotropolis Atlanta, the redevelopment of the former Hapeville Ford Plant adjacent to Hartsfield-Jackson Atlanta International Airport.

The initial phase of the partnership includes the planned installation of up to 10 MW of solar power in the main parking structure of the redevelopment.

“Partnering with Suniva at Aerotropolis Atlanta promises to deliver environmental sustainability and economic development by bringing a Georgia company to the table with us,” said Jim Jacoby, (top right photo) Chairman and CEO of Jacoby Development Inc.

Aerotropolis Atlanta, a 6.5-million-square-foot, 130 acre mixed-use redevelopment will be an aviation-intensive business district expected to include office, retail, restaurant, hotel and airport parking.

And Suniva has been widely recognized, most recently in Governor Sonny Perdue’s (bottom right photo) State-of-the-State address, as a stand out company in the renewable energy sector – bringing new technology and green jobs to Georgia.

“Building a new commercial center to attract jobs to the site of a former automotive plant is a great example of how American business reinvents itself, bringing new life and new opportunity to the community through innovation and hard work,” said Suniva CEO John Baumstark.(top left photo)

While the partnership between Jacoby Development and Suniva will begin with Aerotropolis Atlanta’s parking structure, both companies say they are investigating more opportunities to work together at this site and other projects.

Contacts:
Antenna Group for Suniva, Wendy Rosen, 415-977-1930, wendy@antennagroup.com or

Jacoby Development, Howard Lalli, 404-455-0348, howard@hlstrategy.com

34 Peachtree St. in Atlanta Earns Energy Star Designation Again

ATLANTA, GA-- 34 Peachtree, (top right photo) a 30-story office tower in downtown Atlanta, has earned the U.S. Environmental Protection Agency’s (EPA’s) Energy Star designation for the second straight time for its performance during 2008.

"We believe strongly in what Energy Star represents and are extremely proud of our ability to meet our energy goals,” said Cissy Anderson Pritchard, General Manager.

"Our engineering staff has gone to great lengths to ensure the property works at peak efficiency without sacrificing tenant comfort. This accomplishment benefits not only our tenants by keeping operating costs contained, but also the greater good by utilizing less of our limited natural resources.”

Harbor Group Management Company took the following actions to earn the Energy Star designation at the 34 Peachtree:

---Used direct digital controls to operate the HVAC systems, providing the ability to control the building environment by using either a scheduled or demand program.
---Utilized energy efficient T-8 and compact fluorescent lighting.
---Used variable frequency drives on cooling tower fans to modulate the fan speeds to meet the building cooling demands.
---Installed electric water heaters to allow for gas utility cost savings during months when building was not using gas heat.

34 Peachtree also earned the designation for 2007.

Other properties achieving the designation while managed by Harbor Group include The Hurt Building in Atlanta, Georgia; 300 South Wacker in Chicago, Illinois; E.ON US Center in Louisville, Kentucky; 200 Public Square in Cleveland, Ohio; PNC Center in Cincinnati, Ohio; State House Square in Hartford, Connecticut; National City Center in Indianapolis, Indiana; One Enterprise Center in Jacksonville, Florida; and Dominion Tower in Norfolk, Virginia.

Harbor Group International has owned and managed 34 Peachtree since December of 2005.

Contact: Amy Ford, 757-640-0800, phone; 757-640-0817 fax, aford@harborg.com
http://www.harborgroupint.com/

GVA Advantis Appointed Exclusive Leasing Agent and Property Manager for Five-Building Portfolio in Hampton Roads, VA Market

NORFOLK, VA. – GVA Advantis has been appointed the exclusive listing agent and property manager for a five building office portfolio owned by the BGK Group, totaling just under 320,000 square feet in the Hampton Roads market.

The portfolio consists of Main Street Tower, a 186,933 SF Class A office building located in Downtown Norfolk, VA, as well as The Atrium at Oyster Point, a 62,971 SF Class A office building, Rock Landing II, a 33,224 SF, Class A office building, Rock Landing IV and Rock Landing V, both 18,125 SF Class B office buildings, all located within Oyster Point Park, Newport News, VA.

Keith Pezzella, Director, and Brian Kollar, Associate, will handle the leasing for Main Street Tower and Chris Bendit, Director, will be the leasing agent for the Newport News properties.

Tim Allison, Vice President of Management Services, will oversee the management of the entire portfolio, Karla Cline, Senior Property Manager, will lead the team for Main Street Tower and Natalie Wilmer will be the Property Manager for the Newport News properties.

“We are very excited to have the opportunity to represent such an impressive inventory of property. We stand ready to meet the expectations of the ownership in locating quality tenants and providing a high level of service to the already notable roster of tenants in each of these buildings.”, says Clark Baldwin, Managing Director, GVA Advantis – Hampton Roads.

BGK Group purchased its first building in Santa Fe, New Mexico in 1991 and has since evolved into one of the largest and most respected private real estate companies in the United States.

They have acquired a high quality portfolio of more than 200 properties—including over 265 buildings—comprising over 20 million square feet and worth more than $2 billion.

Their current portfolio is geographically diversified across 26 states and includes office, industrial, retail and multi-family residential properties.

Contact: Susan Childress, 757.213.8217, schildress@gvaadvantis.com

Marcus & Millichap Names Brent Smith Sales Manager of Austin, TX Office

AUSTIN, TX – Marcus & Millichap Real Estate Investment Services, the nation’s largest real estate investment services firm, has named Brent Smith (top right photo) sales manager of the Austin office, according to Gene Berman, (bottom left photo) group managing director of the firm’s Texas offices.

“Brent has extensive experience in commercial real estate as an investment specialist and manager,” says Berman.

“He will be an asset to our investment specialists, and instrumental in expanding our national market-making capabilities to clients in Austin and throughout Texas.”

Smith joined Marcus & Millichap in April 2003 as an agent specializing in retail property sales in the San Antonio and South Texas markets.

During his first year as an agent, he generated marketing assignments of more than $28 million and closed more than $17 million in transactions.

In October that same year, Smith opened Marcus & Millichap’s San Antonio office. By April 2004 he had achieved associate status.

In May of 2005, Smith joined the management team as sales manager of the Houston office.

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

Grubb & Ellis Extends 10-K Filing Beyond Mar. 31, 2009

SANTA ANA, CA– Grubb & Ellis Company (NYSE: GBE), a leading real estate services and investment firm, announced that the filing of its 2008 Annual Report on Form 10-K with the Securities & Exchange Commission will be delayed beyond the March 31, 2009 due date.

The company previously announced on March 18 that it had filed a Notification of Late Filing on Form 12b-25, and was intending to file its 2008 10-K by March 31, 2009, as a consequence of having to restate certain previously issued financial statements to correct accounting errors related to the timing of revenue recognition relating to certain tenant-in-common investment programs sponsored by NNN Realty Advisors prior to the company’s merger with NNN Realty Advisors in December 2007.

The company has now substantially completed the work necessary to report 2008 financial results. However, additional time is necessary to complete the restatement of its previously issued financial statements for the years ended December 31, 2007 and 2006, and the related quarters that will be reflected in the 2008 Form 10-K.

The company currently intends to file its 2008 Annual Report on Form 10-K within the next 30 days.

Contact: Janice McDill, 312.698.6707, janice.mcdill@grubb-ellis.com

C&W Takes Top Honors at CFCAR Hallmark Awards

Richard Solik Top Producer of 2008

ORLANDO, FL – Richard Solik (top right photo) of the Orlando office of Cushman & Wakefield (C&W) was honored at the recent Central Florida Commercial Association of Realtors (CFCAR) Hallmark Awards, as #1 Overall Top Producer of 2008.

Other C&W brokers included in the Top Overall Producer category were #3 Jay Ballard (bottom right photo) and #8 Margery Johnson.

In addition to taking the highest honor, eight brokers from the C&W Orlando office were recognized as Top Producers in Investment Sales, Office, Retail, Land, and Industrial categories. Several C&W brokers were recognized in multiple categories.

Office brokerage Senior Director Richard Solik ranked #1 Top Office Producer in addition to #1 Top Overall.

Apartment Investment Sales Senior Director Jay Ballard was recognized as #1 Top Investment Producer, as well as #5 Top Land Producer.

Senior Director Margery Johnson was honored as #3 Top Investment Producer in addition to her #8 Top Overall ranking.

Other C&W brokers taking honors:

Retail Investment Sales Director, Martin Forster, #2 Retail Producer
Apartment Investment Sales Associate Director, Ken Delvillar, #4 Top Investment Producer
Industrial Brokerage Associate Director, Lee Morris, #4 Top Industrial Producer
Office Brokerage Senior Director, Matthew McKeever, (middle left photo) #6 Top Office Producer
Office Brokerage Associate Douglas Eber, Circle of Achievement.
Office Brokerage Associate Betsy Owens, Circle of Achievement.

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

Dikman Co. Closes Two Leases in Tampa, FL

TAMPA, FL, April 1, 2009-- The Dikman Company, Inc announced today that Hillsborough
County Code Enforcement exercised the option to renew their lease at the Pinebrooke
Commerce Center II, located at 10119 Windhorst Road, Tampa, Florida.

The Dikman Company represented the Lessor.

The Dikman Company, Inc also announced that Sunera LLC signed a lease for 2,114 SF located at 1208 E Kennedy Boulevard in Tampa. The Dikman Company represented the Lessee.

Contact: Bob Dikman, ALC,CRB,CCIM,SIOR, 813/251-5288

Mercantile Capital Corp. claims commercial property mortgage lending activity now approaching historic levels for leading Orlando-area firms

ALTAMONTE SPRINGS, Fla. --- Commercial property mortgage lending activity is now approaching historic highs for Mercantile Capital Corporation, which specializes in U.S. Small Business Administration (SBA) 504 loans for small business owners who want to acquire or develop their own facilities.

Christopher Hurn, (top right photo) chief executive officer of Mercantile Capital Corporation, said the six-year old company is seeing as many loan proposals as it did during its peak in mid-2007.

“We attribute the increase in deal flow to stimulus plan anticipation,” Hurn explained.

“I think the small business community is shaking off the doom and gloom attitude and starting to take a more practical approach to severely discounted commercial property assets that represent enormous opportunities for business owners,” he said.

“The Obama administration is doing some things to help the small business community, and we think leading small business owners are starting to act on the situation,” Hurn said.

“Lower commercial property values and near historic lows in financing rates won’t last much more than the next eighteen months. Innovative entrepreneurs within the small business community have a tendency to be leading indicators in my opinion, so we’re starting to see a shift,” Hurn said.

Hurn said Mercantile Capital Corporation’s increase in lending activity is also attributed to the fact that few lenders are actually lending these days.

“The financial crisis has never been one of cost of capital, it’s been an issue of access to capital,” Hurn said.

“We think the universe of owner-user commercial property deals has shrunk, but we’re getting a much larger share of the fewer deals that are out there.

"The creditworthiness of our deals is increasing -- only the strongest and healthiest transactions are getting done these days -- and deals that would have ordinarily gone to a large regional bank are now coming to us,” Hurn said.

For more information, please contact:

Geof Longstaff, Chairman, Mercantile Capital Corporation, 407-786-5040
Chris Hurn, CEO, Mercantile Capital Corporation, 407-786-5040
Shannon D. Marks, COO, Mercantile Capital Corporation, 407-786-5040
Larry Vershel or Beth Payan, Larry Vershel Communications, 407-644-4142

Orlando Chapter of American Institute of Architects Honors Rhodes+Brito for Design of Renovations at Shenandoah Elementary School in South Orlando

ORLANDO, FL. - The Orlando Chapter of American Institute of Architects recently honored Rhodes+Brito Architects of Orlando with an Award of Merit for its design of renovations and additions at Shenandoah Elementary School, 4827 South Conway Rd. in southeast Orlando.

Ruffin Rhodes, AIA, (top right photo) co-founder and partner at Rhodes+Brito Architects, said work on the 1960s-era school facility included design of a new two-story addition to create a new public entry to the facility with administration facilities, new classrooms, a new media center, and an art classroom as well as renovation of the campus.

The $11 million project included site circulation improvements to ease traffic flow around the busy area and noise abatement windows to reduce disruptions caused by passenger airliners.

Shenandoah Elementary School is located in the flight path to Orlando International Airport.

AIA jury comments regarded the project as "A very sensitive design solution"and "The designer was careful to ensure existing building still had apresence within the renovation."

Rhodes+Brito Architects, which opened in Orlando in 1996, currently employs a staff of 17, including seven registered architects. The firm served as lead architect for the Florida A&M University College of Law facility in downtown Orlando.

For more information, contact: Ruffin Rhodes, Rhodes+Brito Architects, 407-648-7288 ruffin@rbarchitects.com

Maximiano Brito, Rhodes+Brito Architects, 407-648-7288 max@rbarchitects.com

Larry Vershel, Larry Vershel Communications Inc. 407-644-4142 (fax: 4410)

Sheila GoodmanLarry Vershel Communications407-644-4142 P407-644-4410 F

Commercial/Residential Income Property Values and Mortgage Underwriting Readjusting to More Conservative Levels

CHICAGO, IL, April 1, 2009 - The Real Estate Capital Institute's Scoreboard reports today that commercial and residential income-property values and mortgage underwriting continue readjusting to more conservative levels not seen in more than a decade.

While most buyers and sellers are tangled in a pricing stalemate, funding sources define debt and equity metrics based on refinancing and renegotiating terms.

However,such metrics substantially vary from the sizing dynamics that many investors have grown accustomed to.

Current underwriting realities mainly include stringent resizing of existing cash flows, higher capitalization rates and lower new-construction costs --all summarized as follows:

Cash Flows Readjustments:

* Best case assumes annualized with a careful review of recent trailing three months occupancy and collections.

* "Re Forma" vs. Pro Forma - whereby funding sources expect outright lower income in anticipation of more challenging economic conditions. Numerous lenders expect income levels to drop from 3% to 6% during the year.

* Expense increases - Higher vacancies translate to carrying more common area expenses. Furthermore, few investors expect meaningful lower taxes and operating costs.

Higher Capitalization Rates:

* 8% is the now new valuation benchmark for most commercial properties; Single-tenant, credit deals secured by longer-term leases hover in the 7% range.

* Below 7% reserved for prime residential and trophy properties orproperties with substantial contractual upside.

* Full service lodging starts at 9% to low single-digit range asRevPAR and operating cash flow have been substantially reduced since 2008.

* Smaller projects based on 1031X trades may be priced as much as 50bps lower than typical capitalization rates, as demand remains brisk.

* Substantial widening for C-Properties by at least 150 basis pointsor more -- moving into the double-digit range. Price reductions of 30% ormore are common as compared to Credit and Class-A/B assets, as this segmentof the market remains very illiquid.

New Construction Realities:

* Despite public infrastructure spending, construction costs are loweras construction spending has decreased and competition has increased.Commercial building construction costs have fallen by more than 10% duringthe past year.

* Return-on-Cost yields are in the double-digit range. As investorsfocus on purchasing projects well below replacement costs andhigher-leveraged debt is scarce, development yields must be priced 200 basispoints or more above cost of debt.

Observations:

According to Aaron Gruen (top right photo) of the Real Estate Capital Institute AdvisoryBoard, "While declining rents, rising capitalization rates, and challengingeconomic and financial conditions make for black moods for real estateinvestors and developers, this is a good time to prepare for the return ofprosperity."

He adds, "From a longer term perspective, prices are morelikely to be bargains, constructions costs are low, and loans are likely tobe prudently made and taken."

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

Nat Zvislo, Research Director, Toll Free 800-994-RECI (7324).

director@reci.com and http://www.reci.com/

The New Year Didn’t Change the Downward Spiral of Residential Real Estate Prices

NEW YORK, NY--Mar. 31, 2009 – Data through January 2009, released today by Standard & Poor’s for its S&P/Case-Shiller1 Home Price Indices, the leading measure of U.S. home prices, shows continued broad based declines in the prices of existing single family homes across the United States, with 13 of the 20
metro areas showing record rates of annual decline, and 14 reporting declines in excess of 10% versus January 2008.

The middle left chart depicts the annual returns of the 10-City Composite and the 20-City Composite Home Price Indices. Following the lead of the 14 metro areas described above, the 10-City and 20-City Composites also set new records, with annual declines of 19.4% and 19.0%, respectively.

“Home prices, which peaked in mid-2006, continued their decline in 2009,” says David M. Blitzer, (top right photo) Chairman of the Index committee at Standard & Poor’s.

“There are very few bright spots that one can see in the data."

Most of the nation appears to remain on a downward path, with all of the 20 metro areas reporting annual declines, and nine of the MSA’s falling more than 20% in the last year.

Indeed, the two composites are very close to that rate and have been reporting consecutive annual record declines since October 2007.

The monthly data follows a similar trend, with the 10-City and 20-City Composite
showing thirty consecutive months of negative returns.”

The middle right chart shows the index levels for the 10-City Composite and 20-City Composite Home

Price Indices. As of January 2009, average home prices across the United States are at similar levels to what they were in late 2003.

From the peak in the second quarter of 2006, the 10-City Composite is down 30.2% and the 20-City Composite is down 29.1%.

All 20 metro areas are reporting negative monthly and annual rates of change in average home prices.

Seven metro areas and the 20-City Composite recorded a record monthly decline in January. In addition, seven metro areas (not always the same seven) reported declines in excess of 4% in the month of January alone.

Phoenix led with a report of -5.5%. Every MSA has had at least five consecutive months of decline, dating back to September 2008. On a marginally positive note Cleveland, Los Angeles and Las Vegas are reporting a relative improvement in year-over-year returns, in terms of lesser rates of decline than last month’s values.

Furthermore, Las Vegas, along with five other metro areas, showed a marginal
improvement in monthly returns, albeit still negative.

The three worst performing cities, in terms of annual declines, continue to be from the Sunbelt, each reporting negative returns in excess of 30%. Phoenix was down 35.0%, Las Vegas declined 32.5% and San Francisco fell 32.4%.

Dallas, Denver and Cleveland faired the best in terms of annual declines down
4.9%, 5.1% and 5.2%, respectively.

Looking at the data from peak-thru-January 2009, Dallas is the least hurt, down 10.8% from its peak in June 2007, while Phoenix is down 48.5% from its peak in June of 2006.

The rates of decline from the individual heights of each market are evidence of how much each market has taken back in terms of the gains earned in the past 10-15 years.

All of the 20 metro areas are in double digit declines from their peaks, with nine of the MSA’s posting declines of greater than 30% and five of those (Las Vegas, Miami, Phoenix, San Francisco and San Diego) in excess of 40%.

For more information, please contact:
David Blitzer, Chairman of the Index Committee, Standard & Poor’s, 212 438 3907
david_blitzer@standardandpoors.com

David Guarino, Communications, Standard & Poor’s, 1 212 438 1471
dave_guarino@standardandpoors.com

Interstate Hotels & Resorts Receives Credit Facility Waiver

ARLINGTON, VA, Mar. 31, 2009—Interstate Hotels & Resorts (OTC: IHRI), a leading hotel real estate investor and the nation’s largest independent management company, today announced that the company had received a waiver through June 30 related to the requirement under its senior credit facility to maintain listing on the New York Stock Exchange.

The NYSE suspended trading of Interstate’s stock on March 12 after the company failed to meet the minimum $15 million market capitalization requirement.

Trading of the company’s stock has transitioned to the OTC market and the NYSE listing continues pending the appeal process.

“We appreciate the continued support from our bank group and have begun discussions regarding extending the facility’s March 2010 maturity,” said Bruce Riggins, chief financial officer. “Our goal is to have an amendment completed prior to June 30.”

As part of the waiver agreement, the interest rate on the credit facility was increased 75 basis points to LIBOR plus 350 basis points.

In addition, the company paid a 50 basis point fee to consenting lenders, and the facility size was permanently reduced to $173.3 million from $198.0 million.

The new facility size provides for $10 million of borrowing capacity, of which $6 million is available through June 30, in addition to cash on hand. The company does not expect to draw on the facility during the waiver period.

Contact: Bruce Riggins, Chief Financial Officer, (703) 387-3344

Palm Beach County Shopping Centers show positive absorption in 2008

MIAMI BEACH, FL, Mar. 31, 2009 – Palm Beach County shopping centers showed positive market absorption for the year ending in the third quarter of 2008, with 527,084 more shopping center square feet occupied in 2008 than a year before, according to statistics recently released by Terranova Corp.

Developers delivered nearly one million square feet of new retail space in those 12 months, increasing total inventory of shopping center space and contributing to increased market absorption.

While countywide vacancy increased to 7.5% in the third quarter of 2008, compared to 5.09% a year before, there still were more square feet occupied in 2008 than in 2007.

Although vacancy rates went up in all of the county’s six submarkets, three submarkets showed increases in average asking rent: Boynton Beach/Delray Beach submarket went up 2.49% to $25.95; Wellington/Royal Palm Beach went up 0.79% to $29.40 per square foot; and Lake Worth went up 0.36% to $19.63.

The biggest decrease was in the Jupiter/Tequesta submarket, where average asking rent declined 6.04% to $24.11. Countywide, the average asking rent for inline space was $25.67 per square foot, slightly lower than $25.78 a year before.

Please visit http://www.terranovacorp.com/ to purchase your copy of the 2008 Palm Beach Market Report.

Orlando's Industrial Vacancy Rises to 12% in 1st Quarter

CBRE Orlando First Quarter Industrial Mkt Report 2009

ORLANDO, FL-Asking Lease Rates:

The overall weighted average asking lease rate for all industrial product types was $6.87 NNN per sq. ft. at the end of first quarter of 2009.

This is a slight decrease from the average rate of $6.93 NNN in the fourth quarter of 2008.

To entice tenants, more rental concessions are being offered, including free rent and unprecedented first year rates.

(Ashley Furniture Distribution Center at Airport International Park of Orlando, middle left photo)

Vacancy Rates

The industrial vacancy rate was 12.0 percent at the end of the first quarter 2009, a slight increase from the 11.5 percent reported in the fourth quarter of 2008. The vacancy rate one year ago was reported as 8.8 percent.

Net Absorption

The first quarter of 2009 industrial absorption was a negative 460,111 sq. ft. That compares to a negative 434,475 sq. ft. in the fourth quarter of 2008.

(Kraft Foods Nabisco Division distribution Center at Airport International Park of Orlando, bottom right photo)

Industrial Market

Availability rates for warehouse/distribution buildings continue to rise, largely due to falling retail sales, especially in markets that were most affected by the housing crisis, such as Florida and many coastal California markets.

Furthermore, the global manufacturing slump has broadened.
With the auto industry on the precipice of an historic re-organization, Chrysler and General Motors announced shutdowns in January 2009 to curb production and preserve cash flow.

This move will affect parts manufacturers and distributors as well. With the pervasive economic slowdown, the auto sector is expected to continue adding to the labor market's losses.

(33rd Street Industrial Park, bottom left photo)

The Institute for Supply Management's manufacturing index fell to 32.4 in December 2008 – its lowest level since the early 1980s.

New orders were down and most capital expenditures have been deferred.

The industrial availability rate is expected to continue to rise, with rents softening.

Manufacturing job losses continue to mount, totaling close to half a million for the year.