Commercial Real Estate News
Wall Street Journal
- Developer Aby Rosen, who has been fighting headwinds to shore up his highly leveraged U.S. office buildings, faces a new threat, this one to his firm's large portfolio in Stamford, Conn. - Hines, one of the world's largest real-estate groups in terms of assets, is preparing to spend $1.6 billion on buildings in the U.K., doubling its assets in the country in an effort to diversify away from riskier acquisitions. - Development company Avatar Holdings has to change its name because of confusion with the popular "Avatar" movie. - Commercial real-estate firm Grubb & Ellis Co. filed for Chapter 11 bankruptcy protection, requesting an expedited sale as it faces $30 million in debt that matures on March 1 and insufficient cash to make it through the first quarter. - Amazon is buying property in central Seattle with plans to construct about 3 million square feet of office space, a move that could have the company owning its headquarters for the first time amid big expansion. - The leading office landlord in California's Silicon Valley, Mission West Properties Inc., is preparing to sell itself to the highest bidder. But the selling price is likely to fall short of the $1.8 billion the company nearly fetched five years ago. - Private-equity firm Apollo Global Management has raised only about $385 million for a real-estate fund, well short of its goal. - A lawsuit provides a glimpse of the role being played by bankers-turned-consultants in the growing number of fights breaking out in the commercial real-estate industry. - The company that runs Manhattan's Empire State Building is planning an initial public offering that could raise as much as $1 billion. - The risks of speculative office building are obvious at the 11 Times Square skyscraper. More than a year after it opened, the 1.1 million square-foot building is about 60% empty and unleased. - A proposal from Trump Hotel Collection and private-equity investor Colony Capital was selected by the General Services Administration to redevelop Washington's Old Post Office Building into a luxury hotel. - A high-rise building boom in Cambodia's capital city, Phnom Penh, derailed by the 2008-2009 financial crisis, is starting up again. - Developer Robert Congel's drive to create one of the largest malls in the country, in Syracuse, N.Y., is back in gear after almost being upended by the economic downturn and a nasty court battle with Citigroup. - Banks in the United Arab Emirates are tiptoeing back into real-estate lending. - The tallest building in Atlanta is now in the hands of a group of bond investors that foreclosed on its first mortgage.
Costar Boston Commercial Real Estate News
- CoStar Group released the latest findings of the CoStar Commercial Repeat-Sale Indices (CCRSI) last week, providing the market's first look at commercial real estate pricing trends based on property sales that closed through December 2011, and offering the broadest measure of commercial real estate repeat sales activity.
The National Composite Index of commercial real estate prices ended the fourth quarter of 2011 relatively flat with December... - This week's People of Note includes the following markets: Atlanta, Charlotte, Dallas, Houston, National, New York City, Orlando, Phoenix, Portland, San Francisco, Tampa/St. Petersburg, Tucson and Washington, DC.
WASHINGTON, DC
Avison Young Expands Corporate Services Team in DC
By Chris Crouse
Industry veterans Bruce McNair (pictured far left) and Bill Morris (left) lead an eight-person team that has joined Avison - GREEN LEAD is a column on environmental and sustainable design and construction, best practices for green building maintenance and operations, economic impact on developers and owners, new LEED and Energy Star building certifications, and trends in the Green Building movement.
Send in your Green News Leads to news@costar.com
LEED Doesn't Cost More - Army Replies to - The Northwest Energy Efficiency Alliance's (NEEA) BetterBricks initiative, in collaboration with Cushman & Wakefield, has released comprehensive profiles of several major US cities in relation to their performances in the 2011 Green Building Opportunity Index (GBOI).
The index is a first of its kind assessment tool providing weighted comparisons of top office markets across the country based on real estate fundamentals and green assessment considerations... - Lifeimage, a diagnostic imaging information company, signed a 13,600-square-foot lease at Gateway Center in Newton, MA.
The 185,000-square-foot, nine-story, Class A office building at 300 Washington St. was built in 1992 and is in the Newton/Brookline submarket.
The Colliers International team of John Dolan, James Eclock and John Carol represented Lifeimage. NAI Hunneman’s team of Stephen James and Brendan Daly represented the landlord, J.F... - Longtime Grubb & Ellis Co. director C. Michael Kojaian has resigned from the troubled Santa Ana, CA-based real estate services company.
Kojaian, a Michigan-based real estate investor who has served as director since September 1996, advised the company Feb. 10 that he was resigning from the board of directors "to avoid any actual or apparent conflicts of interest in connection with his fiduciary duties with respect to his affiliated companies in... - Clarion Partners acquired two adjacent properties on Boylston Street in Boston from 535-545 Boylston Street Property, LLC on January 31, 2012. The two office buildings sold for $87.1M or $456.73 per square foot.
The office building at 535 Boylston St. is a 13-story, 96,806-square-foot, class A, office building. Built in 1963, the property is situated on 8,960sf, or 0.21 acres. 545 Boylston St. is a 13-story, 93,896 square foot, class A, office building... - Public Consulting Group, currently headquartered in Boston, leased 24,764 square feet of first-class office space at 40 Broad Street in Boston, MA.
The 286,000-square-foot modern mid- rise office and retail tower is owned by Pearlmark. The property has recently been renovated to include: a new main lobby with original art, new stone flooring, an expanded lobby with seating areas and front desk. This boutique mid-rise image sets the tone for... - In The Pipeline is a column on significant acquisitions of commercial land for sale, and other transactions and trends affecting office, industrial, flex, multifamily, mixed-use, hotel and public works developers. Send us news leads about your new commercial real estate project -- and sign up to be added to our distribution list to receive future In the Pipeline columns by e-mail.
Brooklyn Tower Expected to Break Ground Late This Year
The... - This week's People of Note includes the following markets: Baltimore, Chicago, New York City, Philadelphia and Washington, DC.
NEW YORK CITY
Carlton Hires Managing Directors Gollin & Moss
By Timothy Weber
Mark Gollin and William Moss joined Carlton Group as managing directors. Gollin will run the European advisory group, while Moss will run the residential strategic advisory group.
Gollin has spent the last 16 years in senior pos - Ferris Development 352 Turnpike Road LLC acquired Southborough Executive Place at that address in Southborough from GCCFC 2006-GG7 Turnpike Street, LLC for $3.75 million or $53.13 per square foot.
The 3-story, 70,581-square-foot, Class A, office building was built in 1986 and is in The Boroughs submarket. The building sits on 13 acres and was delivered 40% vacant at the time of sale. The buyer plans to use the property as an investment and fill... - The Mount Vernon Co. sold the properties at 225 and 227 Newbury St. in Boston to The Copley Group. The two retail buildings sold for $8.8 million or $732 per square foot.
The four-story, 4,540 square foot, class B building at 225 Newbury was built in 1899 and is on 0.06 acres. The four-story, 7,480-square-foot, Class B building at 227 Newbury was also built in 1899 and is on 0.06 acres. The properties are in the Back Bay submarket.
Jason Weissman...
BizJournals Commercial Real Estate News
- Vail Resorts Inc. agreed to buy Kirkwood Mountain Resort for $18 million.
Effective immediately, pass holders from Heavenly Ski Resort and Northstar California will be able to ski at Kirkwood, and vice versa. Kirkwood is about 35 miles south of South Lake Tahoe.
The deal also includes land zoned for both residential and commercial development around the base of the resort, although the seller will keep some of the land in the area and will also keep a “participation interest” in the other parcels... - JBG Rosenfeld Retail is close to signing a 40,000-square-foot gym and three restaurants at Downtown Crown, a Harris Teeter-anchored mixed-use development in Gaithersburg that is expected to break ground in May.
There is 260,000 square feet of retail at the development, including a Harris Teeter, according to Krista Di Iaconi, principal for JBG, who was showcasing the project at the International Council of Shopping Centers' Mid-Atlantic conference at National Harbor this week.
The project is part of a larger development that includes multifamily housing... - 
The new Kohl’s department store planned for Southern Pines will open to its first customers on March 7, according to a news release from the company.
The Southern Pines store, located at 110 Brucewood Road, will employ 130 people. Joseph Bechtel has been hired as district manager for the new Kohl’s (NYSE: KSS) location.
The store, which was first announced in January, will be the company’s 30th location in North Carolina.
The Southern Pines store has also been built according to a prototype that received gold-level LEED certification from the U... - The struggling Gannon International has found a buyer for its West Pointe Apartments — that is if U.S. Bank doesn’t sell the 1,047-unit development in west St. Louis County first.
West Pointe Apartments LLC, which is owned by a Gannon International affiliate, has a contingency contract to sell the property to Everest Financial Inc. of Pasadena, Calif., for $56 million, or nearly $15 million more than the $41.048 million the development owes on its U.S. Bank loan, according to documents filed in a St... - Vail Resorts Inc. agreed to buy Kirkwood Mountain Resort in Lake Tahoe for $18 million.
The deal also includes land zoned for both residential and commercial development around the base of the resort, although the seller will keep some of the land in the area and will also keep a “participation interest” in the other parcels.
The Kirkwood resort owners will keep 100 percent interest in the Palisades and Martin Point family subdivisions and also two future projects at East Village and Timber Creek... - 
Here is a round-up listing of recent deals and announcements in the Austin real estate market since last Wednesday:
Saladworks leased 2,200 square feet in Northcross at 2525 W. Anderson Lane, its first Austin location. Lance Morris and Adam Zimel with the Commercial Retail Division of The Weitzman Group handled negotiations the landlord. The tenant was represented by Matthew Hanna with Clear Fork Management Co.
How Do You Roll leased 1,800 square feet in the Plaza Volente shopping center at 11521 FM 620 North... - 
Grubb & Ellis Co.’s bankruptcy and pending sale will not affect on the company’s local affiliate, Grubb & Ellis/Apex Commercial in Brookfield.
Although a local affiliate of the national firm, the principals of Apex Commercial own their operation and Grubb & Ellis has no ownership stake, said president Dan Jessup. Grubb & Ellis on Monday announced plans to sell its assets to BGC Partners Inc., a financial brokerage firm based in New York City.
Jessup said folks from Grubb & Ellis corporate have told him the sale will not bring any changes to the Brookfield operation... - 
The MBTA is seeking bids on three small retail spaces at two of its stations.
At the Ashmont Station on Red Line in the newly renovated south lobby, the T is offering 166 square feet of space. At the staion’s north lobby, a second 166 square foot space is also available. Both leases are for five years. At Beachmont Station on the Blue Line the T has advertised a 728-square foot space for one year. The three spaces list prohobited uses as popcorn, check cashing service tobacco, alcohol or ATMs and vending machines... - 
For the third month in a row, the American Institute of Architects’ Architectural Billings Index scored higer than 50 pointing to a continuing industry recovery.
The January score was 50.9 after hitting 51 in December and 52 in November.
The index, compiled by AIA, is used to indicate a nine- to 12-month glimpse into non-residential construction spending. A score of 50 or above shows an increase in demand for design services.
While the index had a similar fast start in 2011, Kermit Baker, chief economist for the AIA, said this year’s numbers are encouraging because numbers across the country are up... - 
Conley Rose PC, an intellectual property law firm with offices in Houston, Dallas and Austin, leased new office space in Houston.
The law firm is moving from the JPMorgan Chase Tower in downtown Houston to 1001 McKinney. In the new building, the law firm will occupy the entire 18th floor, which has 20,001 square feet of space.
Joe McCluan and Joseph Herbert of Cameron Management represented the landlord in the transaction. Kevin Hodges of Studley represented the tenant.
Globest Boston Commercial Real Estate News
- BOSTON-Space With a Soul has expanded and lengthened its lease in the Seaport District in Boston.
- BOSTON-Public Consulting Group has signed a lease for 24,764 square feet of space in Boston's Financial District.
- BOSTON-Bank of America Corp. has signed a tentative deal with Boston Properties Inc. to sell its 1.6-million-square-foot building at 100 Federal St. for approximately $600 million.
- CAMBRIDGE, MA-The owner of Neena's Lighting, Raj Dhanda, is redeveloping a retail building on Massachusetts Avenue into a residential complex.
- FRAMINGHAM, MA-Capital Markets from Jones Lang LaSalle has arranged a $98-million senior financing for the purchase of Jefferson Hills, a 1,020-unit apartment complex at 1610 Worcester Road in Framingham.
- CAMBRIDGE, MA-In the tight Boston office market, this acquisition gives BioMed Realty Trust opportunities, Matthew G. McDevitt tells GlobeSt.com's Miriam Lamey.
- CAMBRIDGE, MA-San Diego-based BioMed Realty Trust Inc. has reached a deal to purchase Cambridge Place, a three-building office complex in Cambridge, for $119 million.
- BOSTON-The AFL-CIO Housing Investment Trust and MassHousing have agreed to provide $46.8 million in financing for a mixed-use development on Centre Street in the Jamaica Plain neighborhood of Boston.
- SALISBURY, MA-An environmental services company has purchased the former Fraser Automotive site in Salisbury.
- BOSTON-The Boston Herald's South End headquarters will be converted into an apartment complex.
- BOSTON-Clarion Partners LLC has purchased a pair of office buildings in Back Bay, Boston.
- BOSTON-The real estate investment manager bought the two adjoining Back Bay offices for $87.1 million. Together the properties, bought on behalf of a separate account client, total 184,222 square feet.
- BOSTON-Summer LLC, a private equity group based in New York, has sold an office building in the Fort Point neighborhood of Boston.
- SEABROOK, NH-As reported by the Daily News of Newburyport, the Seabrook Planning Board has approved final plans for the expansion of the South Gate Plaza situated on Route 1 in Seabrook.
- QUINCY, MA-The town of Quincy in Massachusetts is moving forward with a historic redevelopment.
CP Executive Northeast Commercial Real Estate News
- Stonehenge has picked up the building at 364 W. 18th St. in Manhattan from Fortuna Realty Group for $33.8 million. - Real estate fund manager Hudson Realty Capital L.L.C. and RXR Realty, a private real estate company, have joined forces to create a commercial real estate lending platform focused on the New York Tri-State market. - Malkin Holdings L.L.C., supervisor of Empire State Building Associates L.L.C., owner of the world-renowned Empire State Building in Manhattan, has gotten everyone's attention with the revelation -- in documents filed with the Securities and Exchange Commission -- that ESB Associates plans to become a REIT. - An affiliate of a real estate fund managed by Oaktree Capital Management and Cohen Asset Management tapped Holliday Fenoglio Fowler to orchestrate a $85 million refinancing for a 22-property portfolio. - HNA Property Holding Group Co. purchased the 165-room Cassa Hotel in midtown Manhattan from Assa Properties for $130 million. The transaction was helped by a $65 million senior loan from PCCP L.L.C. - Skanska USA's civil infrastructure division, Skanska USA Civil, in a joint venture with RailWorks subsidiary LK Comstock and Co., has secured an $87 million contract with the Metropolitan Transportation Authority to provide construction services for the Second Avenue Subway systems project in New York City. - Under a sale and management-back agreement, a subsidiary of Accor Business and Leisure Management has sold the 480-room Times Square Novotel in New York to a joint venture of Chartres Lodging Group and Apollo Global Real Estate Management. - Brookfield faced challenges on multiple fronts with the Occupy Wall Street protests and it walked a fine line to deal with the problem. By Paul Rosta. - In order to best take advantage of its trophy property at 1177 Avenue of the Americas in Manhattan, the partnership of Silverstein Properties and California State Teachers’ Retirement System has chosen Jones Lang LaSalle Inc. as its leasing agent for the Class A, 1 million-square-foot office tower. - After signing Pearson to a 200,000-square-foot lease at the Hoboken Corporate Center across from New York City, SJP Properties will commence construction of a 500,000-square-foot building to complete its mixed-use complex.
Costar Hartford Commercial Real Estate News
- CoStar Group released the latest findings of the CoStar Commercial Repeat-Sale Indices (CCRSI) last week, providing the market's first look at commercial real estate pricing trends based on property sales that closed through December 2011, and offering the broadest measure of commercial real estate repeat sales activity.
The National Composite Index of commercial real estate prices ended the fourth quarter of 2011 relatively flat with December... - This week's People of Note includes the following markets: Atlanta, Charlotte, Dallas, Houston, National, New York City, Orlando, Phoenix, Portland, San Francisco, Tampa/St. Petersburg, Tucson and Washington, DC.
WASHINGTON, DC
Avison Young Expands Corporate Services Team in DC
By Chris Crouse
Industry veterans Bruce McNair (pictured far left) and Bill Morris (left) lead an eight-person team that has joined Avison - GREEN LEAD is a column on environmental and sustainable design and construction, best practices for green building maintenance and operations, economic impact on developers and owners, new LEED and Energy Star building certifications, and trends in the Green Building movement.
Send in your Green News Leads to news@costar.com
LEED Doesn't Cost More - Army Replies to - NorthMarq Capital’s New Jersey regional office provided a first mortgage refinance of $11.94 million for RBS Citizens Bank. The portfolio is comprised of 16 east coast retail bank branches located in New York, Connecticut, Pennsylvania and Delaware.
Greg Nalbandian, senior vice president and managing director of the New Jersey Regional office, arranged the financing and reported that it was established on a five-year term with two of the five... - Woodgreen Management acquired the retail property located at 30 Waterchase Drive in Rocky Hill, CT from Fields Realty for $10.1 million, or $93.00 per square foot.
The one-story, 109,000-square-foot, retail center was built in 1988 and is in the Rocky Hill submarket. The Center was 83 percent occupied at the time of the sale.
Thomas Dalzell, along with Joseph French, a senior director of Marcus & Millichap's National Retail Group, represented... - Diversified Information Technologies, a business process outsourcing and information lifecycle management solutions provider, purchased the industrial facility at 180 Moody Rd in Enfield, CT, from Mead Westvaco Corp. for $2.2 million, or about $13.39 per square foot.
The 166,000-square-foot building on 15 acres was constructed in 1965. The building was vacant for several years and was on the market for the same amount of time.
Keith Kumnick and... - In The Pipeline is a column on significant acquisitions of commercial land for sale, and other transactions and trends affecting office, industrial, flex, multifamily, mixed-use, hotel and public works developers. Send us news leads about your new commercial real estate project -- and sign up to be added to our distribution list to receive future In the Pipeline columns by e-mail.
Brooklyn Tower Expected to Break Ground Late This Year
The... - This week's People of Note includes the following markets: Baltimore, Chicago, New York City, Philadelphia and Washington, DC.
NEW YORK CITY
Carlton Hires Managing Directors Gollin & Moss
By Timothy Weber
Mark Gollin and William Moss joined Carlton Group as managing directors. Gollin will run the European advisory group, while Moss will run the residential strategic advisory group.
Gollin has spent the last 16 years in senior pos - Colony Hardware Corporation, a distributor of tools, equipment and safety products, has signed a long-term lease for 102,000 square feet of industrial space at 269 S. Lambert Rd. in Orange, CT.
The Lambert Bldg is a two-story manufacturing building constructed in 1986 on 6.3 acres in the Orange submarket of New Haven County. It features 2,400-amp heavy power, 14,000-square-feet of built-out office space, and 21-foot clear heights.
The tenant...
