KBS Develops and Sells 453-Unit Luxury Apartment Community in the Salt Lake City Real Estate Market

Hardware Apartments, a 463,956 square-foot, Class A luxury resort-style apartment community, 
455 West 200 North, Salt Lake City, UT

 SALT LAKE CITY, UT (May 13, 2020) – KBS, one of the largest investors in premier commercial real estate in the nation, announced today that it has sold Hardware Apartments, a 463,956 square-foot, Class A luxury resort-style apartment community in the Salt Lake City real estate market. 

The property, owned by KBS Real Estate Investment Trust III, was sold in an off-market transaction to Oakmont Properties for an undisclosed amount.

Rod Richerson

KBS and Salt Development began ground-up construction on the 453-unit multifamily property in mid-2016 with the first phase of 267 units – Hardware West – being completed for the asset in June 2018. 

The sale was concluded shortly after  Phase II was completed on Hardware East, which comprises the remaining 186 units of the community. Hardware Apartments is situated in Hardware Village adjacent to the historic Salt Lake Hardware Building, which is also part of the KBS portfolio.

Tim Helgeson

The development project represents KBS’ extensive understanding of the Salt Lake City market and the firm’s ability to leverage its deep expertise in markets throughout the country, according to Rod Richerson, regional president, Western United States for KBS.

“We are very strategic about when and where we do ground-up construction but being active investors for well over a decade in the market we thought this would be a successful venture,” says Richerson. 

Thomas Vegh

“We have several office assets in Salt Lake City, including the Salt Lake Hardware Building, 222 Main, Millrock Park and Parkside Tower. 

"Considering how hard it is to close deals during the current economic environment this sale was a major accomplishment but we worked diligently with the buyer over the last couple of months to see it through. 

Tatyana Litovsky

"We hit a particular challenge when they lost their lender at the last moment so KBS provided short-term market rate seller financing to help Oakmont Properties complete the transaction.”

Salt Lake City is an ideal fit with KBS’ proven strategy of investing in key growth markets nationwide with solid economic fundamentals, adds Tim Helgeson, asset manager for Hardware Apartments and senior vice president for KBS.

Amanda Kennedy

According to CBRE’s office report in Q1 2020, the Salt Lake City-Provo office market absorbed 196,654 square-feet on net – a high for Q1 over the past two years. 

The abundance of incoming supply (over 3.0 million square-feet) with substantial preleasing reaffirms that there is still strong confidence in the Salt Lake-Provo marketplace.

Situated near the heart of downtown Salt Lake City, Hardware Apartments offer a distinct variety of penthouses, lofts, studios, one- and two-bedroom luxury apartments, townhomes and stunning brownstone row houses.

Chrisdo Fan

  

A state-of-the-art fitness center, yoga room, and a resort quality rooftop lounge with an infinity pool are among the luxury common amenities at the property, making it one of the highest-level amenities packages in the area, according to Helgeson.

“This development’s leading design and unparalleled urban finishes showcase the depth of attention KBS pays to every aspect of the properties in its client portfolio,” says Helgeson. “We have seen a ramp up in leasing tied to the recent completion of construction on the second phase of this unique community.”

KBS partnered with local developer SALT on the development of this project. “Hardware Village’s ideal location, combined with KBS’ deep knowledge of the Salt Lake City market and unparalleled track record of successful properties in downtown areas throughout the country, encouraged us to partner with the firm on this project,” says Thomas Vegh, president and CEO of SALT.

 “KBS left no stone unturned in ensuring that Hardware Apartments would be a multifamily community of the finest quality in downtown Salt Lake City, which made the partnership a win-win for both companies.”

Hardware Apartments is located steps from the TRAX light rail, Downtown Salt Lake City, Trolley Square and Liberty Park, and is connected to all major thoroughfares, employment centers, arts and entertainment in the Salt Lake City market. The property is within walking distance of restaurants, shops and retail stores.

Bruce Fischer

“We immediately recognized the value of this asset for its high-end amenities and prime location,” says Ryan Ashley of Sacramento, California-based Oakmont Properties. “Hardware Apartments is prominently positioned in the robust downtown Salt Lake City market to create an elegant living experience unlike any other in the area.”

Attorneys Bruce Fischer, Tatyana Litovsky and Chrisdo Fan, and paralegal, Amanda Kennedy, of global law firm Greenberg Traurig, LLP’s Orange County office represented KBS as legal counsel in the disposition.

“We were very pleased to represent KBS in what was a truly a unique disposition of Hardware Apartments.” said Fischer, Greenberg Traurig’s Chair of the West Coast Real Estate Practice and Co-Managing Shareholder of the Orange County Office, who led the Greenberg Traurig team.

CONTACT:

Micaela Fehrenbach

mfehrenbach@brower-group.com

 www.kbs.com.

Evergreen Real Estate Group Expands National Affordable Housing Portfolio

Steve Rappin

CHICAGO, IL (May 12, 2020) — Chicago-based Evergreen Real Estate Group, a leader in the acquisition, development, rehabilitation and management of both affordable and market-rate multifamily housing, today announced it has been retained to manage affordable housing communities comprising a total of 971 units across Illinois, Minnesota, Ohio, Pennsylvania and Wisconsin.

The assignments include a mix of affordable housing for families, seniors and disabled individuals, expanding Evergreen’s management portfolio to 8,500 units throughout the U.S.  

“The need and demand for affordable housing continues to grow, and Evergreen has the cross-market experience needed to deliver comprehensive property management services that help preserve, enhance and expand housing options for low-income households,” said Steve Rappin, president of Evergreen Real Estate Group.

“Our firm utilizes an integrated approach, which means our construction, development, acquisition and management teams work hand-in-hand to provide expertise across multiple disciplines.

Oso Apartments, a 48-unit affordable
housing community in Chicago’s
Albany Park neighborhood. 

"The efficiencies created by our model benefit not only residents, but also third-party owners, housing agencies and other partners.

“We are excited to announce these new properties under management, which are a mix of newly renovated apartments along with new construction, including affordable senior residences co-located with public library branches developed through a creative partnership with the Chicago Housing Authority and Chicago Public Library.”

For a complete list of the properties, please contact:

Kathryn Kjarsgaard, kkjarsgaard@taylorjohnson.com,

(312) 267-4514 

Abe Tekippe, atekippe@taylorjohnson.com, (312) 267-4528

www.evergreenreg.com.

Chatham Lodging Trust Announces First Quarter 2020 Results

  

Jeffrey H. Fisher

WEST PALM BEACH, FL —Chatham Lodging Trust (NYSE: CLDT), a lodging real estate investment trust (REIT) that invests in upscale, extended-stay hotels and premium-branded, select-service hotels and owns 134 hotels wholly or through joint ventures, announced results for the first quarter ended March 31, 2020.

First Quarter 2020 Operating Results

Portfolio Revenue per Available Room (RevPAR) – Declined 21.8 percent to $96, compared to the 2019 first quarter. Average daily rate (ADR) decreased 5.2 percent to $153, and occupancy dropped 17.5 percent to 63 percent.

Net income (loss) – Declined $29.7 million to a loss of $(28.1) million for the 2020 first quarter compared to the 2019 first quarter, due primarily to a $15.3 million impairment on its investment in the Inland joint venture. Net loss per diluted share was $0.59 versus net income per diluted share of $0.03 last year.

Adjusted EBITDA – Decreased $10.5 million to $16.5 million.

Adjusted FFO – Declined $9.9 million to $6.3 million. Adjusted FFO per diluted share was $0.13, compared to $0.34 in the 2019 first quarter.

Operating Margins – Comparable hotel gross operating profit margins weakened 590 basis points to 38.0 percent. Comparable Hotel EBITDA margins were down 800 basis points to 27.6 percent.

“

"Our teams at Chatham and Island Hospitality are working vigorously to maximize revenue, and we have aggressively cut operating costs and deferred all non-essential capital expenditures to minimize the adverse effects on cash flow,” commented Jeffrey H. Fisher, Chatham’s president and chief executive officer.

  “We have the experience to persevere through difficult situations having lived through numerous cycles and shocks to the industry.  We are thankful to have this platform that enables us to move effectively, aggressively and quickly.”

Chatham and Island Hospitality have taken dramatic actions at its hotels.

 Dennis Craven

“We have taken meaningful short-term measures to protect long-term value for our shareholders and employees, preserving as much cash flow as possible and making additional liquidity available should the need arise if the recovery is slower than expected,” stated Dennis Craven, Chatham’s chief operating officer. 

“We appreciate the commitment of our employees and support of our lenders, banks and vendors during these unprecedented times. We are hopeful that people will have the confidence to resume travel, though we expect demand will recover slowly. Our actions provide us the stability to withstand a slow recovery.”

For complete details of first-quarter results, please contact:

PATRICK DALY

OFFICE MANAGER

DALY GRAY PUBLIC RELATIONS, INC.

620 Herndon Parkway, Suite 115 | Herndon, VA 20170

Main: 703-435-6293

Mobile: 703-300-8289

 patrick@dalygray.com | www.dalygray.com

Dennis Craven (Company)                                               Chris Daly (Media)

Chief Operating Officer                                              Daly Gray, Inc.

(561) 227-1386                                                           (703) 435-6293

Ware Malcomb Promotes Dennis Phan to Controller

Dennis Phan

IRVINE, CA (May 12, 2020) – Ware Malcomb, an award-winning international design firm, today announced Dennis Phan has been promoted to Controller in the firm’s Irvine, Calif.-based headquarters office.

In this role, Phan manages the financial operations of the firm under the direction of CFO and Executive Vice President Tobin Sloane.

Phan brings over 14 years of experience to his new position as Controller. He joined Ware Malcomb in 2015 as a Senior Staff Accountant and was promoted to Assistant Controller in 2018. During this time, he has added tremendous value in the leadership and management of the firm’s financials.  

Tobin Sloane

“The talent and dedication that Dennis has demonstrated, combined with the incredible team he has developed, have been instrumental in effectively managing the financial complexities of the firm,” said Sloane.

“We look forward to his continued leadership and will rely on him and his team to serve as the backbone of Ware Malcomb’s financials as the firm continues to grow and diversify.”

Phan earned a Bachelor of Science degree in Biological Sciences from the University of California at Irvine, and a Master of Science degree in Accountancy from California State University at Fullerton. 

CONTACT:

Rachel Devany

VP Public Relations

 KCOMM for Ware Malcomb

Rachel@kcomm.com 

Maureen Bissonnette

 Associate Principal

Marketing, 

949.660.9128

mbissonnette@waremalcomb.com

JLL closes sale-leaseback of industrial facility in Harrisburg, NC

Val Derrick 

CHARLOTTE, NC, May 11, 2020 – JLL Capital Markets announced today that it has closed the sale-leaseback of a 126,363-square-foot, single-tenant, fully leased manufacturing facility in the Charlotte-area community of Harrisburg, North Carolina.

Pete Pittroff

 JLL marketed the property on behalf of the seller, Wilbert Plastic Services (WPS). AIC Ventures purchased the asset and executed a long-term, absolute net lease with the seller.

 The building will continue to be a mission-critical location for Wilbert Plastic Services, a premier thermoforming and injection molding company.

Situated on 15.64 acres at 7301 Caldwell Rd., the building is along the I-85 corridor, which is one of the premier distribution locations within the Charlotte market, and half an hour from the WPS headquarters and thermoforming facility in Belmont.

 Patrick Nally

This location is two miles from Interstate 485, five miles from Interstate 85 and provides exception regional access

The JLL Industrial Capital Markets team representing the seller was led by Managing Director Pete Pittroff, Senior Director Patrick Nally, Associate Val Derrick and Analyst Dave Andrews.

“Industrial demand remains strong in the Carolina’s markets particularly for quality assets with quality tenants,” Pittroff said. 

“This transaction led to a positive outcome for our client, and we would like to thank AIC Ventures for their efficient approach.”

 For more news, videos and research resources on JLL, please visit the firm’s U.S. media center Web page: U.S. newsroom.

 Dave Andrews

 About Wilbert Plastic Services

Wilbert Plastic Services is a premier injection molding and thermoforming plastic solution provider in the U.S. 

With more than 50 years of plastic manufacturing experience, Wilbert serves as a supplier for many of the world’s largest OEMs that operate in twelve industrial markets.

About AIC Ventures

AIC Ventures is an investment fund manager providing alternative capital solutions to middle-market companies throughout the U.S.A. The company acquires existing property and creates new leases, acquires property that is already leased or performs build-to-suit capital for new property.

 
 Contact:                                        

Kimberly Steele       

 JLL Senior Associate,             

 Public Relations

Phone: +1 713 852 3420

Email:  Kimberly.Steele@am.jll.com               

jll.com.

wilbertplastics.com.

aicventures.com 

JLL arranges $26.7 million loan for Boulder, CO shopping center

Jennifer Swanson

DENVER, CO, May 11, 2020 – JLL Capital Markets announced today that it has arranged a $26.7 million refinancing for Alcove on Arapahoe, a 159,050-square-foot community shopping center anchored by Safeway in Boulder, Colorado. 

 JLL worked on behalf of the borrower, an existing co-investment partnership managed by Regency Centers Corporation (NASDAQ: REG), to place the 10-year, fixed-rate loan with Nationwide.

Tarik Bateh 

 Alcove on Arapahoe is a Class A grocery-anchored community shopping center featuring premier retailers including Safeway, HomeGoods, Verizon Wireless and Flower Child.

The property was built in 1957 and most recently renovated in 2019. The center is in the heart of Boulder’s primary retail node at the corner of Arapahoe Avenue and the Denver-Boulder Turnpike, which draws a combined traffic count of 84,000 vehicles per day.

 Located at 2798 Arapahoe Ave., Alcove on Arapahoe is one block from the University of Colorado at Boulder’s 35,000 students.

A dense, affluent, educated population of more than 96,000 residents who earn an average annual household income of $104,000 live within three miles of the center.

 The JLL Capital Markets debt placement team was led by Senior Directors Tarik Bateh and Kristian Lichtenfels and Associate Jennifer Swanson.

 Kristian Lichtenfels

“Despite current market volatility due to COVID-19, the capital markets remain open for business and Alcove on Arapahoe garnered significant lender interest,” Bateh said.

“Regency’s best-in-class operating team and long-term commitment to the property created conviction around the asset’s durability. 

Nationwide distinguished themselves via their own long track record of retail lending and provided a seamless execution during otherwise turbulent times.”

JLL Capital Markets is a full-service global provider of capital solutions for real estate investors and occupiers. 

The firm's in-depth local market and global investor knowledge delivers the best-in-class solutions for clients — whether investment advisory, debt placement, equity placement or a recapitalization. 

Alcove on Arapahoe, a 159,050-square-foot community shopping center anchored by Safeway in Boulder, CO

The firm has more than 3,700 Capital Markets specialists worldwide with offices in nearly 50 countries.

For more news, videos and research resources on JLL, please visit the firm’s U.S. media center Web page: U.S. newsroom.

 Contact:

Kimberly Steele       

 JLL Senior Associate,             

 Public Relations

Phone: +1 713 852 3420

Email:  Kimberly.Steele@am.jll.com

jll.com.

 RegencyCenters.com.

Regency Centers Prices $600 Million of Senior Unsecured Notes

JACKSONVILLE, FL, May 11, 2020 (GLOBE NEWSWIRE) -- Regency Centers Corporation (“Regency” or the “Company”) (NASDAQ:REG) announced today that its operating partnership, Regency Centers, L.P., priced a public offering of $600 million 3.70% notes due 2030 (the “Notes”).

The Notes are due June 15, 2030 and were priced at 99.805%. Interest on the Notes is payable semiannually on June 15 and December 15 of each year, with the first payment on December 15, 2020.

The Company intends to use the net proceeds of the offering to increase liquidity, reduce the outstanding balance on its line of credit, and for general corporate purposes, which may include the future repayment of a portion of its outstanding debt.

Settlement of the offering is subject to the satisfaction of customary closing conditions and is expected to occur on May 13, 2020.

Laura Clark

Wells Fargo Securities, LLC, BofA Securities, Inc., J.P. Morgan Securities LLC, Mizuho Securities USA LLC, SunTrust Robinson Humphrey, Inc., and U.S. Bancorp Investments, Inc. are acting as the joint book-running managers.

PNC Capital Markets LLC and Regions Securities LLC are acting as senior co-managers.  BMO Capital Markets Corp., SMBC Nikko Securities America, Inc., TD Securities (USA) LLC, Comerica Securities, Inc., Scotia Capital (USA) Inc., and Roberts & Ryan Investments, Inc. are acting as co-managers.

CONTACT:

Laura Clark
904 598 7831
LauraClark@RegencyCenters.com

Peterson Companies prepares for re-opening with Welcome-Back Plan as it Fights Coronavirus

Paul Weinschenk

FAIRFAX, VA,  May 11, 2020—As various states begin to open back up, Peterson Companies, known throughout the Washington, D.C. region as one of the largest shopping/lifestyle center owners and managers, has developed a plan to safely welcome back its tenants and their customers, once permitted to do so.

Elements of this plan will be implemented at several of its signature properties throughout the DMV including National Harbor, Downtown Silver Spring, Rio in Gaithersburg, Fairfax Corner and Fair Lakes.

Fairfax Corner, Virginia

 To better understand changing consumer preferences, the company recently surveyed its customers and received more than 5000 responses which helped inform key elements of the plan.

Customers are anxious to dine out again at restaurants although some are still hesitant about venturing out. Being able to go to places with outdoor spaces where social distancing and other safety measures are in place will help customers feel more comfortable.

 “Peterson Cos. lifestyle centers are known for their unique outdoor spaces—plazas, seating areas, stages, fire pits, walking trails, carousels, gathering spaces and more,”  said Paul Weinschenk, president of retail for Peterson Cos. 

Rio Shopping Center, Gaithersburg, MD

 “As a result, we are well suited to accommodate consumers’ desire for open spaces and social distancing.” 

Given the open-air nature of the retail centers, many of the restaurants have been able to continue to operate with curbside pick-up and carry-out. 

Many more merchants will join them as the stay at home restrictions are lifted.  Operating hours and policies will vary by merchant and center.

“The health and safety of our guests continues to be our primary concern and we’ll continue to follow CDC guidelines and recommendations from local and state officials,” added Weinschenk.  “When our merchants and guests are ready to return, our center’s will be ready for them.”

  Contact:

 Vicki Bendure

202-374-9259 cell

 Vicki@bendurepr.com

 www.petersoncos.com.