Sunday, October 24, 2010

Marcus & Millichap Sells 222-Unit Luxury North Dallas Multifamily Community

DALLAS, TX – Marcus & Millichap Real Estate Investment Services, the nation’s largest real estate investment services firm, has brokered the sale of San Raphael (top left photo), a 222-unit 200,478-square foot luxury multifamily community in Dallas.

Will Balthrope (middle right photo), a vice president investments in the firm’s Dallas office, Matthew Friedman (lower left photo), a vice president investments in Encino, and Ryan Epstein, a senior associate in San Antonio, represented the buyer and the seller, both publicly traded REITs.

“San Raphael is an exceptional trophy asset located in the high barrier-to-entry Galleria area of North Dallas,” says Balthrope. “The property presents the new owner with an excellent opportunity for significant appreciation, rent growth and long-term stability.”

“The buyer has been targeting the Dallas market and is pleased to acquire an extremely well-located property in an area with strong apartment fundamentals at a price well below replacement costs,” adds Friedman.

The property is located 14181 Noel Road, one block east of the Dallas North Tollway, one-half mile north of the Galleria and one mile north of Interstate 635, the LBJ Freeway.

The Dallas North Tollway and Interstate 635 interchange is one of the busiest highway interchanges in Texas with traffic counts of 125,000 vehicles per day and 242,000 vehicles per day, respectively.

Noel Road is a north/south thoroughfare that leads directly into the Galleria’s affluent three-level mall with Westin Hotel and office towers.

Built in 1999, San Raphael units include full-size washers and dryers in every unit, fully equipped kitchens with luxurious granite countertops, built-in microwaves and oak cabinetry.

 Contact: Stacey Corso, Public Relations Manager, (925) 953-1716

Marcus & Millichap Names John Horowitz Sales Manager of Brooklyn Office

BROOKLYN, N.Y.– Marcus & Millichap Real Estate Investment Services, the nation’s largest real estate investment services firm, has promoted John Horowitz (top right photo) to sales manager of the Brooklyn office, according to John J. Kerin (lower left photo), president and chief executive officer.

 Most recently, Horowitz was an associate in the Brooklyn office, specializing in the sale of multifamily properties throughout Brooklyn and New York City.

“John brings a strong background and skill set to the sales manager position,” says J. D. Parker, regional manager of the Brooklyn, Manhattan and New Haven offices. “His experience in the Brooklyn market will be a tremendous asset to our clients and agents throughout the New York region.”

Horowitz joined the Brooklyn office in 2006. He was then promoted to associate director of the firm’s National Multi Housing Group and quickly earned associate status by the firm in 2007.

Prior to joining Marcus & Millichap, Horowitz worked as a corporate lawyer and ran a nonprofit agency that focused on criminal-justice issues.

Horowitz received a bachelor’s degree in political science from Tufts University and a law degree from Fordham University School of Law.

 Contact: Stacey Corso, Public Relations Manager, (925) 953-1716

Chicago Office Market Snapshot: Third Quarter 2010

CHICAGO, IL--The following summary is designed to provide a brief overview of the Chicago metro office market during the third quarter of 2010. 

 For more information or to speak with one of the company’s local market experts, please contact Erin Mays at 312.698.6735 or via email at

  • The region’s vacancy rate stayed flat at 20.9 percent during the third quarter, posting a total of 128,000 square feet of positive absorption.  Net absorption is negative 680,000 square feet for the first nine months of 2010.
  • The area currently has just 48,000 square feet of new development under construction – a fraction of the 5.8 million square feet under construction at the market’s peak in third quarter 2007.
  • Average Class A asking rental rates for the region increased $0.41 from the second quarter to $29.90 per square foot.
  • Inventory of available sublease space saw a decline in the third quarter to 5.5 million square feet – down from 6.6 million square feet in the previous quarter.
  • The investment market continues to become more active than it was in 2009, particularly for core assets with high occupancies and limited lease exposure.  Distressed assets have been slow to emerge as lenders continue to work out issues with borrowers or instead, move to sell their loan before foreclosure proceedings.

  • The vacancy rate in the Chicago CBD office market remained unchanged from the prior quarter at 17.4 percent, with the market posting 57,000 square feet of positive absorption.
  • Class A average asking rental rates increased $0.77 per square foot, full service gross.
  • No new construction is underway in the CBD.

  • The vacancy rate stayed constant at 25 percent.  There was a nominal 70,000 square feet of positive net absorption. 
  • Just one building of 48,000 square feet is currently under construction in the I-88 East submarket. 
       Average Class A asking rental rates in the Chicago suburbs stood at $23.73 per square foot, a slight increase of $0.04 from the previous quarter.

Analysis:  The Chicago office market made it through the slow summer months without any significant hiccups and with some good news about languishing lease transactions finally fully executing. 

Any significant regeneration of office market fundamentals is highly dependent upon employment numbers, however.  Although the Chicago area unemployment rate has decreased by 60 basis points since this time last year, it is still 40 basis points higher than the national rate, and it has a long way to go until it reaches more normalized levels.

Despite a still-shaky economy, there is growing confidence among tenants regarding the future of their businesses.

They are becoming less hesitant to make lease commitments for more than just a few years, and while the majority of lease transactions continue to be renewals and many tenants continue to downsize, more relocations and expansions are taking place.

To access the full Chicago Metro Office Trends report and other Grubb & Ellis research publications, visit

U.S. Industrial Market First Look: 2010-Q3 from Grubb & Ellis

SANTA ANA, CA--Grubb & Ellis Co. senior vice president and chief economist Bob Bach (top right photo) presents his U.S. Industrial Market First Look: 2010-Q3:

·         On the heels of a strong performance in the second quarter, the market took a breather in the third quarter as the vacancy rate fell by just 10 basis points to end the quarter at 10.5 percent. Vacancy, though below its recent peak of 10.9 percent in the first quarter, remains elevated.
·         Net absorption plunged from a revised 19.9 million square feet in the second quarter to a slim 2.4 million square feet in the third quarter.
·         Only 2.0 million square feet of new space was delivered in the third quarter, a little over half of it speculative. Projects still under construction at the end of the quarter totaled 13.2 million square feet, of which just 3.2 million square feet was speculative. Spec construction will be minimal until the market firms.
·         The average asking rental rate for all types of industrial space available at the end of the third quarter was $5.30 per square foot per year triple net, a decline of 0.9 percent from the second quarter and 4.5 percent from the year-ago quarter. Rates for available space ended the quarter at $5.08 for general industrial (primarily manufacturing), $4.26 for warehouse-distribution and $9.23 for R&D/flex. Over the past four quarters, the average rates slipped by 6.8 percent for general industrial, 4.6 percent for warehouse-distribution and 5.2 percent for R&D/flex.


In our Industrial First Look email released at the end of the second quarter, we warned that the market was “not out of the woods by a long shot” despite the strong second quarter performance.

We said, “The sluggish economy raises the possibility that the industrial recovery could falter in the second half of 2010.” That appears to be happening.

Second quarter activity most likely was fueled by pent-up demand. According to the Institute for Supply Management’s Purchasing Managers Index, the manufacturing sector continues to expand but more slowly than in the spring, and other indicators such as industrial production point to further softening.

The Federal Reserve’s plan to implement a second round of quantitative easing (QE2) is causing the dollar to weaken, which should make U.S. exports more competitive. Also on the positive side, retail sales appear to be firming modestly, which should put a floor under inventory demand.

Overall, slow economic growth is expected to constrain the pace of the industrial market recovery, though the recovery should remain intact.


Janice McDill
Senior Vice President
Marketing & Communications
Grubb & Ellis Company
500 West Monroe Street, Suite 2700, Chicago, IL 60661
Direct: 312.698.6707• Fax: 312.698.5941

Grubb & Ellis Recruits Investment Sales Team from Sperry Van Ness

ATLANTA, GA– Grubb & Ellis Company (NYSE: GBE), a leading real estate services and investment firm,  announced that commercial real estate veterans Paul Johnson and Bob Johnson, along with their team of five brokerage professionals, have joined the company’s Atlanta office, effective immediately. 

The team, which joins from Sperry Van Ness|AREP bolsters Grubb & Ellis’ capabilities for private investors.

Paul Johnson and Bob Johnson join Grubb & Ellis as senior vice presidents, Private Capital Markets.  Also joining the company are Korey Prefontaine, associate vice president, Chris Dundon, senior associate, Steven Bush, senior associate, Ryan Williams, senior associate and Daniel Yi, associate.

“I’m excited that Paul, Bob and their team have decided to be part of our efforts to increase our investment sales capabilities,” said Brett Hunsaker, (top right photo) executive vice president and managing director of Grubb & Ellis’ Atlanta office. 

 “Their experience and local market relationships give us an instant advantage in meeting the needs of clients and prospects as the investment market re-emerges.”

Sperry Van Ness|AREP was founded by Bob Johnson and Paul Johnson in 2005 when their firm Atlanta Real Estate Partners became affiliated with Sperry Van Ness.

  Since the firm opened its doors in 1996, it has grown into one of the top boutique commercial brokerage firms in Atlanta and has been recognized by CoStar as one of the Top 20 Power Brokers for production in the metro Atlanta marketplace.

Contact:         Erin Mays                                            
Phone:            312.698.6735                                     

Cambridge Provides $13.6 Million HUD Lean Loan to Finance Construction of Shorewood, IL Skilled Nursing Home

CHICAGO, IL--Cambridge Realty Capital Companies reports closing a $13.6 million FHA-insured HUD Lean loan to finance the construction of Alden Estates of Shorewood, a 100 -bed skilled care nursing home in Shorewood, Ill.

Cambridge Chairman Jeffrey A. Davis (top right photo) said the HUD Section 232 funding package included both new construction and a fully-amortized 40-year permanent mortgage loan.

 The loan was underwritten by Cambridge Realty Capital Ltd. of Illinois, the Cambridge business that underwrites HUD loans.

The borrower is an Illinois limited liability company. The interest rate was not disclosed.

Evan Washington
Phone: (312) 521-7604
Fax: (312) 357-1611

BDG Construction Services Awarded Contract to Build-Out Anytime Fitness Center at University Shoppes Retail Center in Orlando

WINTER SPRINGS, FL--- BDG Construction Services, LLC a general contractor in Winter Springs, was recently awarded a contract to build-out the Anytime Fitness Center on Technological Avenue at the University Shoppes retail center near the University of Central Florida campus in east Orlando.
Kevin Guffee, principal with BDG Construction Services, LLC, said construction of the 3,500 square foot facility is already underway.
The new Anytime Fitness Center is scheduled to be completed by December.
BDG is a client company of the University of Central Florida Business Incubation Program located at the Seminole County/Winter Springs Incubator on E. State Road 434 in Winter Springs.

For more information, contact:  
Kevin Guffee, Principal, BDG Construction Services, LLC, 407-729-5832;     
Esther Vargas-Davis, Site Manager, UCF Incubator-Seminole County, 407-278-4881,;  
Larry Vershel or Beth Payan, Larry Vershel Communications, 407-644-4142  

Crossman & Company promotes three executives to senior positions

ORLANDO, Fla. --- Crossman & Company, the Orlando-based commercial real estate firm that ranks as one of the largest and most active retail property specialists in the southeast, recently promoted three top executives to senior positions.

John Crossman, president of Crossman & Company, said he recently appointed senior associate Justin Greider (middle left photo)  to vice president and director of leasing.

Greider, who joined Crossman & Company in 2008, currently oversees Publix Supermarket properties, which include 10 million square feet of retail space in four states. Greider is the Southern Division Next Generation Chair for the International Council of Shopping Centers (ICSC), Crossman said, and leads research and reporting efforts at Crossman & Company.

“Justin Greider is one of the most capable commercial real estate executives in Florida and he plays a critical role at Crossman & Company,” Crossman said.

Crossman promoted leasing associate Courtney Kowalchuk (top right photo) to vice president of leasing. Kowalchuk joined Crossman & Company four years ago and has ranked as the company’s top producer for the past three years. Crossman said Kowalchuk recently played a key role negotiating three major redevelopment projects.

Crossman promoted lasing associate Danny Germano (lower left photo) to senior associate. Germano joined Crossman & Company in 2007 an intern. Over the past two years, Germano has led the firm in completing the largest number of individual leasing transactions, Crossman said.

“Justin Greider, Courtney Kowalchuk and Danny Germano represent the best and brightest of the commercial real estate industry in Florida, and we are very proud they are part of the Crossman & Company team,” Crossman said.

Molly Delahunty, Crossman & Company 407-481-6220;
 John Crossman, CCIM, President, Crossman & Company, 407-581-6218,;
Larry Vershel or Beth Payan, Larry Vershel Communications, 407-644-4142,

Grubb & Ellis|Commercial Florida Negotiates $2 Million Sale of 32,652 square foot office building in Venice, FL

ORLANDO – Grubb & Ellis|Commercial Florida, associated with 130 Grubb & Ellis offices worldwide, recently negotiated a $2,000,000 sale price for the three-story office building located at
304 W. Venice Ave.
in Venice, Fla.

Joe Rossi, senior vice president of Investment Services and associate vice president Bret Felberg in the firm’s Orlando office negotiated the sale representing the seller.  

Rossi said the 32,652 square foot office building and its 2.31-acre site was sold to Venetian Plaza, LLC of Sarasota.   The buyer was represented by Loyd M. Robbins of Harry E. Robinson Associates, Inc.

The 35 year old building was 55 percent leased at the time of sale, Rossi said.  

Contact:  Larry Vershel or Beth Payan at

Stirling Sotheby’s International Realty Opens Welcome & Marketing Center at Bella Collina, Florida

ORLANDO, Fla. --- Stirling Sotheby’s International Realty has opened a new Welcome and Marketing Center at Bella Collina, located in Lake County north of S.R. 50 near Montverde.

Roger Soderstrom, founder and owner of Stirling Sotheby’s International Realty, said the Welcome and Marketing Center---located in a fashionable 4,800 square foot luxury residence* near the Bella Collina Country Club, will be manned seven days a week with a full staff of six luxury home sales specialists. 

“Over the next 18 months Bella Collina will evolve as one of Central Florida's premiere luxury residential communities,” said Soderstrom. “In this niche, the real estate market has bottomed out and is recovering. We feel it will recover most quickly at Bella Collina,” Soderstrom said.

Luxury home buyers, investors and luxury home builders have tuned in to the opportunities afforded by low prices and lots of inventory at Bella Collina, Soderstrom said.

“With more than 800 luxury home sites that offer golf and water views, Bella Collina is truly a diamond in the rough right now,” Soderstrom said. “We are seeing a surge in the number of buyer inquiries we are handling and it’s just a matter of time before this jewel of a community emerges,” he said.

New Home sales will range from $500,000 to several million dollars, Soderstrom added.

Stirling Sotheby’s recently sold a luxury home site to a British buyer who plans to build a 10,000 square foot luxury home there. But most buyers will probably come from Central Florida, Soderstrom said.

“Downtown Orlando is only 25 minutes from Bella Collina and the view of the downtown Orlando skyline from the Bella Collina Country Club is really spectacular,” Soderstrom said.

The private, gated community offers finely manicured rolling hills, lakes, and views of Lake Apopka as well.

As part of Stirling's onsite marketing initiative, they are launching a worldwide marketing outreach campaign.

*To see a video of the Bella Collina home,

For more information about this press release, contact:
Roger Soderstrom, Founder/Owner Stirling Sotheby’s International Realty 407-581-7890  
Larry Vershel or Beth Payan, Larry Vershel Communications 407-644-4142 

Grubb & Ellis|Commercial Florida to handle Leasing for the Wachovia Building at 20 N. Orange Ave. in Downtown Orlando

ORLANDO, Fla. --- Grubb & Ellis|Commercial Florida has been named exclusive leasing agents for the Wachovia building (top left photo) at 20 N. Orange Ave. in downtown Orlando.

Jeff Sweeney, president and managing principal of Grubb & Ellis|Commercial Florida, said the 16-story building is now 85 percent occupied with 262,500 square feet of office space. 

Robert Kellogg and Sweeney will represent the owner, Cabot Investments, in the leasing of the building.

Jeff Sweeney SIOR President 407-481-5387
Larry Vershel Communications 407-644-4142

NAI Realvest Negotiates Sale of 10,100 square foot Sanford, FL Industrial building for $636,000

ORLANDO, Fla. – NAI Realvest recently negotiated the sale of a 10,100 square foot industrial building at
130 Keyes Court
in Sanford for $636,000.

NAI Realvest principal Michael Heidrich (top right photo) negotiated the transaction representing the seller, Debary-based RNB Holdings, LLC.    The buyer, Quality Moon Land Holdings, LLC of Orlando, was represented by Joe Abascal and Matthew McKeever of Cushman & Wakefield.

For more information, please contact:
Michael Heidrich, Principal NAI Realvest, 407-875-9989;
Patrick Mahoney, President, NAI Realvest 407-875-9989 
Beth Payan, Larry Vershel Communications, 407-644-4142  

HFF arranges $36.5 million refinancing for four self storage properties in Queens and Bronx, New York

NEW YORK, NY – The New York and Pittsburgh offices of HFF (Holliday Fenoglio Fowler, L.P.) have arranged a $36.5 million refinancing for four self storage properties totaling 4,981 units in Queens and the Bronx, New York.

HFF director Steven Klein (middle right photo), managing director Claudia Steeb and executive managing director and managing member John Pelusi, Jr  (lower left photo). worked exclusively on behalf of the borrower, Storage Deluxe, to secure the 10-year, fixed-rate loan through a national bank.

The portfolio consists of 257,884 net rentable square feet of self storage space that is approximately 90% occupied.  

 Two properties in the portfolio are located in Long Island City, Queens (39-25 21st Street and 38-01 47th Avenue) and two properties are located in Crotona Park East, Bronx (1810 Southern Boulevard and 1816 Boston Road). 

“Each property is located within highly dense urban infill residential areas with limited supply of self storage properties,” said Klein.

Storage Deluxe is a real estate company specializing in the acquisition, development and management of self-storage properties.

The company owns, has interests in, and manages twenty-nine facilities containing over three million square feet of storage space.
Steven J. Klein, HFF Director, (212) 245-2425,
Kristen M. Murphy HFF Associate Director, Marketing, 713) 852-3500

Sale of Long Island office and retail development closed by HFF

 FLORHAM PARK, NJ – The New Jersey and New York offices of HFF (Holliday Fenoglio Fowler, L.P.) have closed the sale of 1300 Franklin Avenue (top left photo), a 125,495-square-foot, Class A office and retail development in Garden City, Long Island, New York.

The HFF investment sales team was led by senior managing directors Jose Cruz (middle right photo)  and Andrew Scandalios (lower left photo) and directors Kevin O’Hearn and Jeff Julien, who marketed the property on behalf of the seller, Alfred Weissman Real Estate, Inc., a New York-based owner and developer. 

Intercontinental Real Estate Corporation purchased the property for an undisclosed price.  

Originally built in 1962, 1300 Franklin Avenue was completely redeveloped in 2008 into a two-story office and retail complex that is fully leased. 

Key tenants include Winthrop University Hospital, Healthtrax, Morgan Stanley Smith Barney and Walgreens.  1300 Franklin Avenue is between 13th and 14th Streets in downtown Garden City approximately 30 minutes from Manhattan.

“The property benefits from a desirable location in Nassau County, which is one of the most dynamic markets in the country, as well as a high occupancy rate with no lease rollover in the next five years,” said Cruz.

Jose  R. Cruz, HFF Senior Managing Director, (973) 549-2000,
Andrew G. Scandalios, HFF Senior Managing Director, (212) 245-2425
Kristen M. Murphy, HFF Associate Director, Marketing, (713) 852-3500

HFF secures $48.5 million refinancing for Port Charlotte Town Center in Port Charlotte, FL

 MIAMI, FL – The Miami and Pittsburgh offices of HFF (Holliday Fenoglio Fowler, L.P.) have secured $48.5 million in permanent first mortgage financing for Port Charlotte Town Center (top left photo), a regional mall in Port Charlotte, Florida.

HFF executive managing director Manny de Zárraga, director Luis Castillo (middle right photo) and managing director Danny Finkle (lower left photo), in conjunction with managing director Claudia Steeb and executive managing director and managing member, John Pelusi, Jr. of the Pittsburgh office of HFF, worked exclusively on behalf of Simon Property Group. 

The HFF team secured the 10-year, fixed-rate loan through RBS Securities, Inc., which replaced a maturing facility on the property.

Port Charlotte Town Center is anchored by Dillard’s, JCPenney, Macy’s, Sears, Bealls and a high-volume, 16-screen Regal Cinema. 

 National tenants at the property include Old Navy, DSW, Charlotte Russe and Victoria’s Secret, among others.  The property is located at 1441 Tamiami Trail (US 41) in an established commercial and residential area.

“Port Charlotte Town Center is the dominant enclosed retail mall in the market with no direct competition within 30 miles,” said Castillo.  “The mall benefits from an extended trade area and receives more than 8.4 million visitors annually.”

 Simon Property Group, Inc. is an S&P 500 company and the largest real estate company in the U.S. 

 The company currently owns or has an interest in more than 393 properties comprising in excess of 263 million square feet of gross leasable area in North America, Europe and Asia.

Luis Castillo, HFF Director, (305) 448-1333,
 Kristen Murphy, HFF Associate Director, Marketing, 713-852-3500,

HFF closes senior promissory note sale secured by oceanfront condominium complex in Daytona Beach Shores, FL

MIAMI, FL – The Miami office of HFF (Holliday Fenoglio Fowler, L.P.) announced today that it has closed a loan sale secured by the Islamorada Condominiums (top left photo), a 53-unit, luxury condominium complex in Daytona Beach Shores, Florida.

HFF executive managing director Manny de Zárraga (middle right photo), managing director George Vail (middle left photo)  and director Jaret Turkell exclusively represented the seller.

  Bayshore Capital purchased the senior promissory note for an undisclosed amount.

The Islamorada Condominiums is located directly on Daytona Beach at 2071 South Atlantic Avenue close to US Route 1 and Interstate 95 in Daytona Beach Shores. 

The property was completed in 2008 and is currently vacant.  All of the units are three bedroom layouts that average 1,865 square feet. 

Amenities at the 11-story property include a heated oceanfront swimming pool, fitness center, clubroom with bar, billiards table and underground parking garage.

“The fact that none of the units had sold yet was appealing to Bayshore in that it allows them to control the condominium association and grants significant flexibility in execution strategies,” said de Zarraga.

“The Islamorada Condominium is a class A property located on the ocean in Daytona Beach Shores–it is a prime candidate for a condominium sell-out execution,” added Turkell. 

Manuel de Zarraga, HFF Executive Managing Director, 305-448-1333,
George Vail, HFF Managing Director, 305-448-1333,
Kristen Murphy, HFF Associate Director, Marketing. 713-852-3500,

HFF completes sale of $11.4 million loan secured by 12-property self storage portfolio in Indiana

CHICAGO, IL –HFF (Holliday Fenoglio Fowler, L.P.) has completed the sale of an $11.4 million, first-mortgage loan secured by a 12-property, self storage portfolio in Indiana.

HFF managing director Bill Mitchell  and senior managing director Stuart Salins in Chicago along with senior managing director Aaron Swerdlin (top right photo) and managing director Doug McCarron (bottom left photo) of HFF’s self storage group, represented the seller, a major Midwest insurance company.

  An affiliate of First City Commercial Corp. purchased the loan for an undisclosed amount. 

The loan has a 6.37% coupon and seven-year remaining life. The loan sales process took 43 days from launch to closing, 53 firms performed due diligence and ten firms bid on the loan.

 The self storage collateral, located throughout central and southern Indiana, totals 3,320 storage units and is owned and operated by affiliates of Storage Express.

William G. Mitchell, HFF Managing Director, 312-980-3607,
Stuart M. Salins, HFF Senior Managing Director, 312-528-3678,
Kristen M. Murphy, HFF Associate Director, Marketing, 713-852-3500,

HFF expands New York/New Jersey area investment sales group with addition of industry veteran Michael Nachamkin

 FLORHAM PARK, NJ – HFF (Holliday Fenoglio Fowler, L.P.) announced that Michael Nachamkin (top right photo) has joined the firm as a managing director in the New York/New Jersey metro investment sales group and will office out of its Florham Park, New Jersey location.

Michael will focus on industrial investment sales in the northeastern United States in addition to being a member of HFF’s national industrial investment sales team led by Randy Baird and Jud Clements (bottom left photo) in Dallas.

Michael has more than 25 years of experience in the industrial real estate sector and has been involved in more than $1.2 billion of real estate transactions.

   Most recently, Nachamkin was regional partner and executive vice president of Oakmont Industrial Group, an Atlanta-based development and investment company.

Jon Mikula, HFF Senior Managing Director, 973-549-2000,
Kristen Murphy, HFF Associate Director, Marketing, 713-852-3500,

HFF arranges $9.75 million refinancing for four-property portfolio in San Diego’s Gaslamp Quarter

 SAN DIEGO, CA – The San Diego office of HFF (Holliday Fenoglio Fowler, L.P.) has arranged a $9.75 million refinancing for four mixed-use properties in San Diego’s Gaslamp Quarter (top left photo).

HFF associate director Patrick Burger and senior managing director Tim Wright (middle right photo)  worked exclusively on behalf of the borrower, Burni Enterprises, and its asset manager, Cardinal Group Investments, LLC, to secure the three-year, adjustable-rate, non-recourse loan through a major New York-based debt fund.

 Loan proceeds are retiring existing debt on the property in addition to funding the conversion of two assets to retail and residential loft uses.

The portfolio totals 48,065 square feet and includes retail, residential loft, office and specialty-use space along 4th and 5th Avenue in the historic Gaslamp Quarter of San Diego.

"This financing is part of a larger portfolio recapitalization and will enable the borrower to maximize the value of these trophy assets and of their portfolio," said Burger.

Burni Enterprises is a private real estate investor that has been investing in San Diego for more than 30 years.

Cardinal Group Investments, LLC is a full-service real estate investment, development and management firm specializing in opportunistic and value-added investments throughout the United States.

Patrick M. Burger, HFF Associate director, 858-552-7690,
Kristen M. Murphy, HFF Associate Director, Marketing, 713-852-3500,

HFF arranges $20 million refinancing for Orange County multi-housing community

IRVINE, CA – The Orange County office of HFF (Holliday Fenoglio Fowler, L.P.) announced has arranged a $20 million refinancing for Rose Garden Apartments (top left photo) Community, a 239-unit multi-housing community in Garden Grove, California.

HFF managing director David Bleiweiss (bottom right photo) worked on behalf of the borrower, Bertram Partners, Inc., to secure the 10-year, fixed-rate loan.  The Fannie Mae DUS loan replaced higher rate bond financing that was previously encumbering the property. 

“This allowed the borrower to significantly reduce his interest costs to today’s rates in the four percent range,” said Bleiweiss.

Rose Garden Apartments Community is located at 9645 Westminster Avenue and 11632 Stuart Drive close to the Garden Grove Freeway, Interstate 5, Huntington Beach and Santa Ana in Garden Grove.  The property is an affordable housing complex and maintains, on average, 97% occupancy. 

Irvine, California-based Bertram Partners, Inc. (BPI) currently is the owner and managing general partner of approximately 2,000 conventional and affordable apartment communities in both Southern California and Arizona and is actively seeking to acquire additional properties in both locations.

David A. Bleiweiss, HFF Managing Director, 949-253-8800,
Kristen M. Murphy, HFF Associate Director, Marketing, 713-852-3500,


HFF closes $15.05 million sale of 20,000 SF retail center in North Bethesda, MD

 WASHINGTON, D.C. – The Washington, D.C. office of HFF (Holliday Fenoglio Fowler, L.P.) has closed the sale of 11503 Rockville Pike (top left photo), a 20,149-square-foot retail building in North Bethesda, Maryland.

The HFF investment sales team was led by senior managing directors Jim Meisel (middle right photo) and Dek Potts (middle left photo) who represented the seller, JBG Rosenfeld Retail.  Saul Centers, Inc. purchased the property for $15.05 million all cash.

11503 Rockville Pike is fully leased to Staples and Casual Male.  The property is situated on nearly two acres directly between the White Flint Mall and White Flint Metrorail Station within the White Flint Sector Plan redevelopment area of North Bethesda. 

 This program focuses on redeveloping the area around the White Flint Metro Station with potentially 9,800 residential units and 5.69 million square feet of commercial development.

“This property offers an investor a secure stream of income with a long-term lease to Staples, as well as tremendous long-term upside as a potential 315,000-square-foot urban infill redevelopment play in the up-and-coming White Flint mixed-use planning district,” said Potts.

Based in Chevy Chase, Maryland, JBG Rosenfeld Retail (JBGR) specializes in the leasing, development, acquisition, construction and management of retail properties throughout the mid-Atlantic region.  JBGR’s portfolio contains more than six million square feet of shopping centers, freestanding store sites and mixed-use retail sites.

Saul Centers, Inc. (NYSE: BFS) is a self-managed, self-administered equity real estate investment trust, formed in 1993 and headquartered in Bethesda, Maryland.

Saul Centers operates and manages a real estate portfolio of 52 community and neighborhood shopping center and office properties totaling approximately 8.4 million square feet of leaseable area. Approximately 82 percent of their cash flow is generated from properties in the metropolitan Washington, D.C./Baltimore area.

James A. Meisel, HFF Senior Managing Director, (202) 533-2500,
Stephen ‘Dek” Potts Jr., HFF Senior Managing Director, (202) 533-2500
Kristen M. Murphy, HFF Associate Director, Marketing, (713) 852-3500