Commercial Real Estate Vacancies Continue to Rise

SANTA ANA, CA--Bob Bach,  (top right photo) senior vice president and chief economist, Grubb & Ellis Co., notes the average U.S. vacancy rates for the four core property types – office, industrial, retail and apartment – continued to rise in the fourth quarter, but the rate of increase slowed for office and industrial.

Vacancy rates last quarter increased by 30 basis points for office and 20 basis points for industrial compared with third-quarter gains of 50 and 30 basis points, respectively.

This raises the possibility that the office and industrial leasing markets may bottom out as early as mid-year with modest, positive absorption possible in the second half of 2010.

In the office market, a prerequisite for this relatively early bottoming would be for employers to begin adding jobs in the first half of this year, which would also provide support for the apartment and retail markets.

For the industrial market, continued improvement in the drivers of demand for industrial space – production activity, freight shipments and global trade – would help the market bottom out around mid-year.


Contact: Janice McDill at 312.698.6707.

LandMark Retail Group Paves the Road to Success for 2010

WOODLAND HILLS, , CA (Jan. 19, 2010) – LandMark Retail Group (LRG), a subsidiary of NewMark Merrill Companies, beats the national recessionary trend with the development of additional stores for CVS CareMark Corporation (CVS) in California.

LRG enjoyed tremendous success in an otherwise down market for commercial real estate in 2009 with seven new CVS/pharmacy store openings plus an additional 20 sites approved in Southern and Central California.

LRG has been the CVS preferred developer since 2005 and in 2008 expanded their territory into the Greater Bay Area of Northern California with new stores slated to open throughout the State in 2010.

“After partnering with LandMark Retail Group, CVS gained significant traction with our new store growth strategy in California. As a result we are opening a number of stores in difficult markets throughout the state and have expanded LandMark’s territory into the Greater Bay Area of Northern California anticipating similar success. LandMark Retail Group was the right choice for CVS.” Mark Miller, Regional Vice President of Real Estate, CVS Realty Co.

Kicking off last year was the opening of the Huntington Beach location in March, 2009 across from the world famous Huntington Beach Pier. In May 2009, LRG opened a CVS in Whittier.

(CVS Pharmacy, Highland, CA, middle right photo)

The first of three Bakersfield openings was in July, 2009 at the high traffic intersection of Stockdale and California.

This marked the chain’s first new store development in the Bakersfield market and is the first freestanding prototype store with a drive thru for CVS in Bakersfield. (top left  photo)

Completing the summer expansion, LRG opened the CVS in La Quinta in August, 2009. The corner of Panama and Union was the site for another Bakersfield location which opened in October, 2009. LRG unseated a formidable national competitor to gain control of this site.

The final third quarter opening was Niles and Fairfax in Bakersfield which opened in September, 2009. This project involved significant topography challenges which LRG navigated to complete. A fourth LRG store to be opened in 2010 by CVS in Bakersfield is currently under construction at Rosedale and Calloway, another highly visible and well trafficked intersection in the Bakersfield market.

“We are aggressively looking to locate new development sites in strategic locations on behalf of CVS CareMark Corporation,” said Jeremy Just, (bottom left photo)  Principal, Chief Executive Officer, LandMark Retail Group, LLC. “We look forward to our continued partnership with CVS throughout California for years to come.”

The History of Store Openings in 2007-2008:
· Baldwin Park-April, 2007
· Newbury Park-July, 2007
· Venice-November, 2007
· Burbank- January, 2008
· Highland- August 2008.

For more details, visit: http://www.landmarkretailgroup.com/
Contact: David Ebeling, Ebeling Communications, 949.278.7851, david@ebelingcomm.com

$26M Home Sold at Hualalai Sets 2009 Hawaii Record

KONA, HAWAII--(BUSINESS WIRE)--Hualalai Resort, an award-winning residential resort community on the North Kona Coast of the Big Island, today reported the record-breaking sale of a single-family residence for $26.25 million.

The sale was the largest in 2009 in the state of Hawaii for a single home and the largest residential real estate transaction in Hualalai’s 13-year history. Total real estate sales transactions for 2009 at Hualalai Resort exceeded $150 million.

The five-bedroom home sits on a one-of-a-kind oceanfront location and offers unsurpassed views of Hualalai Mountain, the Island of Maui, the 16th and 17th greens of the Hualalai Golf Course and the South-Kona coastline.

Natural lava rock walls surround the 49,136 square-foot perimeter, which includes 48 palm trees, botanical gardens, four lava rock outdoor shower gardens, two ocean-side hot tubs and one cold plunge pool.

 The approximately 8,630 square-foot home includes five and one-half bathrooms; great room with pocket glass, screen and operable louvered doors and open-air dining room and living room pavilion.

“We are thrilled to announce the largest single sale in Hualalai’s history and delighted with the continued interest we’ve seen recently,” said Patrick Fitzgerald, CEO of Hualalai Resort.

Fitzgerald did not disclose the name of the buyer or seller.

“With five transactions exceeding $10 million, including this record-breaking sale, Hualalai Realty did an outstanding job in 2009 despite a very difficult economic environment," Fitzgerald said.

"We believe that these sales reflect buyers’ confidence in the significant investments we have made at Hualalai, which include an extensive $40 million resort-wide enhancement. Our buyers recognize that the Hualalai lifestyle is rare and extremely special.”

Contacts:
Murphy O’Brien, Inc., Stacy Lewis or Lucy Zepp, 310-453-2539, slewis@murphyobrien.com
lzepp@murphyobrien.com

Taylor Morrison Acquires 425 Home Sites at Las Calinas in St. Augustine

ST. AUGUSTINE, Fla. --- Taylor Morrison has acquired 425 home sites at Las Calinas, (top left photo)  located on U.S. 1 near Palencia at International Golf Parkway (Nine Mile Rd.) four miles south of C.R. 210 in St. Augustine.

Kristin Vuckovic, marketing manager at Taylor Morrison in the North Florida region, said the homebuilder will start development of new phases at Las Calinas this month.

Presales of new three, four and five-bedroom single-family homes priced from the $150s will start in March, Vuckovic said.

“In the short term we are conducting presales for Las Calinas at the sales and information center at Austin Park at Nocatee,” Vuckovic explained. Austin Park at Nocatee (middle  right photo)  is located off Coastal Ridge Blvd. just east of U.S. 1 in the Town of Nocatee.

Taylor Morrison will feature its new Heritage Series of one and two-story designer homes at Las Calinas with spacious family rooms, dining nooks, lanais, lofts and dens.

New homes at Las Calinas will range in size from 1,442 square feet of living space to 3,284 square feet.

Vuckovic said Las Calinas home owners will enjoy a wide range of amenities, including a community swimming pool and children’s water park with cabana and tot lots, a basketball court, tennis courts, a sand volleyball court, sports field, covered pavilion and fishing pier.

“St. Johns County’s highly-rated schools will be a big draw at Las Calinas,” Vuckovic said. “In addition, Las Calinas has no CDD fees, which represents an additional savings.”

Taylor Morrison plans to host a grand opening of Las Calinas in the spring, Vuckovic said.

For more information, contact:
Kristin Vuckovic, Marketing Manager, Taylor Morrison, Inc. North Florida Division 321-397-7510, kvuckovic@taylormorrison.com
Larry Vershel or Beth Payan, Larry Vershel Communications 407-644-4142; lvershelco@aol.com

Industrial Team at Southern Commercial Completes 100,800-SF New Lease in Orlando

ORLANDO, FL.(Jan. 18, 2010) Principals Tom McFadden (top right photo),  SIOR and William “Bo” Bradford, (bottom left photo) CCIM, SIOR of Southern Commercial Real Estate Advisors completed a 100,800 square foot new lease at 3019 Mercy Drive, Orlando, Florida.

Bradford and McFadden negotiated the lease, representing the Landlord, RREEF. The tenant, Velocity Acquisition I, LLC was represented by Trent Smith of Mohr Partners.

Media Contact: Celeste MacKenzie, Southern Commercial Real Estate Advisors, 321-281-8503 20 N. Orange Avenue, Suite 605,Orlando, FL 3280.  cmackenzie@southerncommercialre.com

Maury L. Carter & Associates Close Central Florida Deals Valued at $48.2M in Past 10 Months

ORLANDO, FL--Daryl M. Carter,  (top right photo) Trustee of Carter-Orange 23 I-4 Land Trust recently purchased 23± acres along I-4 and Palm Parkway in Orange County, Florida for $7,325,000 cash from RBC Bank USA.

With this acquisition, Carter now controls almost 200 acres along the I-4 corridor between Disney (both left photo), Universal, Sea World, and the Orange County Convention

 The new acquisition is bisected by the future Wildwood Avenue / I-4 overpass which will also bisect Carter's 105± acre Wildwood PD parcel on the north side of Palm Parkway and Carter's 69± acre Vineland Pointe PD parcel on the south side of I-4.

Daryl M. Carter and Patrick Chisholm of Maury L. Carter & Associates, Inc. represented the Buyer. William Bishop with Bishop Realty & Development represented the Seller.

This transaction pushes Maury L. Carter & Associates, Inc.'s volume to $48,240,000 in the last 10 months.

Contact: Joan M. Fisher, Maury L. Carter & Associates, Inc., 3333 S. Orange Avenue, Suite 200, Orlando, FL 32806-8500, (407) 581-6207 direct, (407) 422-3144 office, (407) 422-3155 fax jfisher@maurycarter.com

Arbor Closes $11.2M Fannie Mae DUS® Loan for Blackwolf Run in Raleigh, NC

UNIONDALE, NY - Arbor Commercial Funding, LLC (“Arbor”), a wholly-owned subsidiary of Arbor Commercial Mortgage, LLC, announced the recent funding of a $11,200,000 loan under the Fannie Mae DUS® product line for the 168-unit complex known as Blackwolf Run in Raleigh, NC.

The 10-year loan amortizes on a 30-year schedule and carries a note rate of 5.75 percent.

The loan was originated by Alexander Kaushansky, (top right photo)  Director, in Arbor’s full-service New York, NY lending office.

“Due to the borrower’s prepayment penalty on the original loan, the borrower requested an early rate lock,” said Kaushansky. “Our capital markets team was able to lock the loan 60 days in advance, allowing the borrower to meet his timeline and also take advantage of the low interest rate environment.”

Contact:  Ingrid Principe, Marketing, Arbor Commercial Mortgage, 333 Earle Ovington Blvd., Suite 900, Uniondale, NY 11553, P: 516.506.4298, F: 516.542.2555, http://www.arbor.com/, Follow us on Twitter @ arbor1

$65M refinancing for 1700 Pacific in downtown Dallas arranged by HFF

 DALLAS, TX – The Dallas office of HFF (Holliday Fenoglio Fowler, L.P.) announced today it has arranged a $65 million refinancing for 1700 Pacific, (top right photo)  a 49-story, Class A office tower in downtown Dallas, Texas.

Working exclusively on behalf of Berkeley Investments, HFF managing director Steve Heldenfels and senior managing director Whitaker Johnson  (bottom  left  photo) placed the five-year, fixed-rate loan with ING Investment Management.

 HFF is the correspondent for ING. Berkeley Investments is owned by Jon Hamilton and the Hamilton family.

1700 Pacific has 1,340,481 square feet of office space and some of the larger tenants include Akin Gump Strauss Hauer and Penson Worldwide.

The recently renovated property’s amenities include Starbucks, Camille’s, Subway, Café Solace, Elevation Fitness Club, a concierge, a dry cleaner and a three-level 297-space underground parking garage.

The property is also attached via a sky bridge to the Elm Street Garage, which has 1,439 spaces. Located between Elm and Pacific Streets, 1700 Pacific is close to Thanksgiving Square in Dallas’ central business district.

“1700 Pacific is a world-class, trophy office tower in Dallas’ central business district that has earned a reputation as the market leader for small tenant leases,” said Heldenfels.

Contacts:

Steve Heldenfels, HFF Managing Director, (214) 265-0880, sheldenfels@hfflp.com

Whitaker Johnson, HFF Senior Managing Director, (214) 265-0880, wjohnson@hfflp.com
Kristen Murphy, HFF Associate Director, Marketing, (713) 852-3500, krmurphy@hfflp.com

D & A contracted to keep Darden headquarters’ windows clean

LONGWOOD, FL, Jan.18, 2010 — D & A Building Services Inc. has secured a contract from Darden Restaurants (NYSE:DRI) to provide window cleaning for the more than 140,000 square feet of glass curtain wall cladding the exterior of the restaurant company’s new headquarters building (top left photo).

 A data center also located on the restaurant company’s 57-acre Orlando campus is included in D & A’s scope of services. The windows of both building will be cleaned periodically according to the terms of the contract.

PR Contact:  Elaine Ingra, (407) 384-1344, elainei@pr-works.com

National Retail Properties Inc. Declares Common Dividend

ORLANDO, FL ‐ The Board of Directors of National Retail Properties, Inc. (NYSE: NNN), a real estate investment trust, declared a quarterly dividend of 37.5 cents per share payable February 15, 2010 to common shareholders of record on January 29, 2010.

The dividend represents an annualized rate of $1.50 per share. National Retail Properties has paid increased annual dividends per share for 20 consecutive years and is one of only four publicly traded REITs and 156 publicly traded companies in America to have increased annual dividends for 20 or more consecutive
years.

National Retail Properties invests primarily in high‐quality retail properties subject generally to long‐term, net leases. As of September 30, 2009, the company owned 1,004 Investment properties in 44 states with a gross leasable area of approximately 11.4 million square feet.

For information, please contact: Kevin B. Habicht, (top right photo) Chief Financial Officer, (407) 265‐7348, http://www.nnnreit.com/

La Jolla Pacific to Present Opportunities and Recovery Solutions for builders at 2010 International Builders' Show in Las Vegas

Don Neff to Lead a Panel Discussion on Strategies for Repositioning & Maximizing the Value of Distressed Assets

LAS VEGAS, NV— Leading construction risk management firm La Jolla Pacific, Ltd. announced  its Chief Executive Officer and President Don Neff  (top right photo) will be a featured speaker next week at the International Builders’ Show (IBS) in Las Vegas, Nevada.

Combining the recent positive industry news and mixed current economic outlooks, builders remain cautiously optimistic and expect another tough year.

“Now more than ever, repositioning construction projects to ensure maximum value is critical to ensuring business survival and profitability,” said Neff. “This educational session will explore different opportunities and strategies that businesses can use to reposition their assets and weather the economic storm.”

The educational session is scheduled for Wednesday, January 20, 2010 from 3:30-5pm.

Joining Neff for this discussion will be Jeff Masters, (middle left photo)  a Partner in the Litigation Department and Co-Chair of the Development Risk Management Practice Group at Cox, Castle & Nicholson LLP.

Together, Neff and Masters will examine opportunities presently available for homebuilders, factors to consider in the decision process, and the risks associated with holding, repositioning, completing, or selling off projects and troubled real estate assets.

The International Builders’ Show, presented each year by the National Association of Home Builders, is the largest building industry tradeshow in the country. La Jolla Pacific will be at the Las Vegas Convention Center throughout the show, January 19–22, in booth N 3215.

With an extensive background in direct construction experience, Irvine, Calif.-based La Jolla Pacific Ltd. is the leader in construction risk management solutions, third-party peer review, sustainability consulting, quality assurance audits, and forensic-investigation services.

For further information, please visit http://www.lajollapacificltd.com/  or contact Cassie Cherry, (bottom right  photo)  Director of Marketing & Media Relations, at (949) 336-8913.

$12.75M Loan Arranged by Marcus & Millichap Capital Corp.

PUYALLUP, WA– Marcus & Millichap Capital Corporation (MMCC) has arranged a $12,750,000 refinancing loan for Sunrise Medical Campus, (top left photo)  a medical office property in Puyallup.

Glenn Gioseffi, a director in the firm’s Seattle office, arranged the financing for the property.

“In this market, many banks have been reluctant to provide financing for office buildings,” says Gioseffi. “The age of the property and the tenant mix really helped push this one over the top.”

The Sunrise Medical Campus was constructed in 2006.

The loan has a loan-to-value of 75 percent and a 7 percent fixed interest rate with a five-year term and 30-year amortization.

“Currently, most office transactions have LTVs of between 50 percent and 60 percent,” adds Gioseffi. “According to our records, this was the highest-leveraged $10 million-plus loan in the area for a non-multifamily project.”

Press Contact:  Stacey Corso, Marcus & Millichap Capital Corporation, (925) 953-1716

Investor Acquires $16.5M apartment Complex in Huntington Beach, CA

HUNTINGTON BEACH, CA – Marcus & Millichap Real Estate Investment Services, the nation’s largest real estate investment services firm, has brokered the sale of Harborscape Apartments (top left photo), an 88-unit, 73,972-square foot apartment community in Huntington Beach.

 The sales price of $16.5 million represents $187,500 per unit, $223 per square foot and a cap rate of 5.4 percent.

John Nguyen, (bottom right photo) a vice president investments and a director of the firm’s National Multi Housing Group in Newport Beach, and Sheil Stampwala, a multifamily investment specialist, also in Newport Beach, represented the seller, a private investor.

“Harborscape Apartments is truly a rare investment,” says Nguyen. “The community is located in the Huntington Beach harbor area, five minutes from the wetlands preserve and the beach. There were multiple offers on the property because of its location and rarity,” adds Nguyen.

The property was built in 1970 on a 169,994-square foot lot at 5152 Heil Ave. in Huntington Beach.

The units at Harborscape Apartments are two-bedroom/one-bath single-story, two-story or private cottage. Select cottage styles have wood flooring, stainless-steel appliances, glass doors, upgraded cabinets, countertops, recessed lighting and new fixtures.

Huntington Beach, known widely as “Surf City,” is the fourth-largest city in Orange County and the 16th-largest city in California.

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

Grubb & Ellis Represents Both Parties in Sale of 912,820-SF Former Delphi Facility in Saginaw, MI

SOUTHFIELD, MI– Grubb & Ellis Company (NYSE:GBE), a leading real estate services and investment firm,  represented both parties in the sale of Delphi’s 912,820-square-foot manufacturing facility at 2328 E. Genesee in Saginaw to a California-based private investor. The purchase price was not disclosed.

Chris Dowell and Geoff Hill, SIOR, CCIM, both senior vice presidents in the company’s Industrial Group, and Patrick Shannon, vice president, Investment Group, facilitated the transaction.

“This was a success on many levels,” said Dowell. “We were able to bring together diverse parties to sell an automotive manufacturing facility in a tough market. It’s also a win for Michigan – this is the buyer’s first investment in the state, indicating that some investors see long-term potential here.”

Approximately 682,000 square feet of the facility is currently leased on a long-term basis to TRW Integrated Chassis Systems LLC, a subsidiary of TRW Automotive, which purchased Delphi’s braking unit in 2008. Dowell has been named the exclusive leasing agent for the remaining 230,000 square feet of available space.

Contact:  Erin Mays, Phone: 312.698.6735, Email: erin.mays@grubb-ellis.com

CBRE Tampa MarketViews - Office, Industrial, Retail

Tampa, FL - January, 14, 2010 - CB Richard Ellis is pleased to release the Fourth Quarter 2009 MarketView covering office, industrial & retail properties in the greater Tampa Bay area.

For a complete copy of the report, please contact lauren.crawford@cbre.com.

Tampa Bay Office

Recently, we have seen significant transactions that will set the bar as we move forward and establish value in 2010. Core Class A asset sales in 4Q09: Corporate Center IV and 4200 W Cypress St. sold this quarter, both located in the Westshore submarket.

Tampa Bay Industrial

Average asking lease rates continue to soften, currently standing at $5.69 NNN with all submarkets experiencing drops from last years asking rate of $6.31 NNN.

Polk County Industrial

Overall vacancy ticked up by 330 bps from this time last year. Much of this increase in inventory can be attributed to a handful of large blocks of space vacated this quarter in the East Polk submarket, with this submarket's overall vacancy approaching 25%.

Tampa Bay Retail

Key indicators continue to lag recovery in 4Q09. Investors and users alike are seeing stabilization, while landlords are struggling for TI & build-out dollars.