Thursday, January 13, 2011

Grubb & Ellis Completes Disposition of Three Institutional-Grade Industrial Facilities in Chicago’s O’Hare Submarket

ROSEMONT, IL -- Grubb & Ellis Company (NYSE: GBE), a leading real estate services and investment firm, today announced that its Institutional Capital Markets group has completed three industrial investment sales totaling more than 465,000 square feet in Chicago’s O’Hare submarket.  Terms of the three separate transactions were not disclosed.

 In Elk Grove Village, the team of Erik Foster, CCIM, senior vice president, and Mike Wilson, associate vice president, represented an institutional investor in the sale of Tri Center, a three-building, 140,837-square-foot industrial portfolio located at 1710 to 1912 Elmhurst Road and 2532 to 2552 Pratt Blvd.

The buildings offer convenient access to I-90, I-290 and I-294 and are located at the gateway of O’Hare International Airport’s proposed expansion (top left photo).  Tri Center was purchased by Towne Investments.

 Foster and Wilson also facilitated the sale of Prospect Industrial Center, a 240,000-square-foot multi-tenant industrial facility located at 1900-2000 Carboy Road in Mount Prospect, to Brennan Investment Group on behalf of an institutional fund.  The property is leased on a long-term basis to a number of credit tenants, such as Walgreens.

The team, together with John Basile, associate vice president in the Industrial Group, represented Albion Illinois Funds, LLC, in the disposition of 2392 S. Wolf Road in Des Plaines, an 84,730-square-foot industrial/flex facility that is 100-percent leased to Unisource Worldwide, Inc., with a guarantee from Georgia-Pacific Corporation.  The facility was purchased by DCT Industrial Trust and is less than a quarter of a mile from the airport’s proposed North Cargo Entrance. 

“These transactions are definitely indicative of an uptick in investment activity in the Chicago industrial market, and we are pleased to have been able to help our clients take advantage of current market conditions,” said Foster.

“In addition to my team’s expertise in industrial investment properties, through the Grubb & Ellis platform we have access to some of the best industrial leasing brokers and debt and equity experts in the marketplace, allowing us to assess the investment sales transaction from all angles, from the leasing environment to pricing trends and debt availability.”

 Contact:  Erin Mays,  Phone: 312.698.6735

C&W negotiates office condo and land sale for medical office complex in Orlando, FL

 ORLANDO, FL – Jan. 13, 2011– Cushman & Wakefield Senior Associate Betsy Owens, and Associate Director Mindy Boehm announced the sale of .8 acres of land at 11602 Lake Underhill Road, and seven units totaling 6,704 SF in Lake Underhill Business Center (top left photo) located at 11616 Lake Underhill Road to Dr. Vineel Sompalli.

Cushman & Wakefield represented the buyer in the $1,225,000 deal that closed on December 31. 

 Dr. Sompalli plans to build medical offices on the land adjacent to Lake Underhill Business Center, and will use the office condos for administrative offices.

Contact:  Brook Hines, Tel: 407-541-4401,

Orlando Office Market Sees Negative Absorption in 2010

ORLANDO, FL – Cushman & Wakefield’s  year-end 2010 statistics for the U.S. office market that show absorption totaled negative 351,636 square feet in Orlando, compared to negative 1,468,560 square feet at the end of 2009.

Overall absorption – a measure which indicates the net change in occupied space – for U.S. central business districts (CBDs) was positive 2.2 million square feet at the end of 2010, a 106.5 percent increase in occupied space from the negative 33.5 million square feet of absorption at year-end 2009, and the first time U.S. CBDs charted positive absorption since the 11.6 million square of positive absorption at the end of 2007.
“Positive absorption is a promising sign for the U.S. office market’s recovery,” said Maria Sicola (top right photo), executive managing director and head of Americas Research for Cushman & Wakefield.

Increases in leasing activity and limited new construction contributed to the increase in absorption. Overall leasing activity for U.S. CBDs totaled 62.4 million square feet at the end of 2010, a 26.3 percent increase from the 49.4 million square leased in 2009.

During the fourth quarter, 16.9 million square feet was leased in U.S. CBDs, making it the most active period since the second quarter of 2008, when 19.9 million square feet was leased.

Annual leasing activity in Orlando totaled 2,106,098 square feet at the end of 2010, a 1.5 percent decrease from 2,137,494 square feet at the end of 2009.

Senior Managing Director, Larry Richey (middle right photo)  said, “Like most every U.S market, Orlando continues to suffer from a lack of tenant demand.

“The Orlando office market has stabilized, and for all the reasons that we have historically attracted office relocations and expansions, this should continue. Office occupancy will remain a tenant’s market for the foreseeable future,” said Richey.

Meanwhile, new construction remained limited in U.S. CBDs. Just 7.5 million square feet of new office space was completed in 2010, a 40 percent decrease in construction from the 12.4 million square feet completed in 2009, and the lowest yearly total since 2005, when 5.2 million square feet was completed. Orlando added no new construction in 2010.

“Limited new construction has kept U.S. vacancy rates from reaching the historic highs of previous recessions,” said Ms. Sicola. “Looking forward to this year, restricted new development will play a major role in sustaining our recovery.”

The U.S. CBD overall vacancy rate declined to 14.4 percent at year-end 2010, down 0.3 percentage points from 14.7 percent at the end of the previous quarter.

The fourth quarter of 2010 marked the third consecutive quarter of declines for the U.S. CBD overall vacancy rate, which reached its peak at 15 percent in the first quarter of 2010.

Of the 31 CBDs tracked by Cushman & Wakefield, vacancy rates declined moderately in 19.

 The overall vacancy rate for Orlando decreased to 21.5 percent at the end of 2010, down from 21.9 percent at the end of the third quarter.

Despite increases in activity and declines in vacancy, rental rates remained stagnant.

The overall rental rate for U.S. CBDs was $36.43 per square foot at the end of 2010, a $0.09 decrease from $36.52 at the end of the third quarter.

 Fifteen of the 31 CBDs tracked by Cushman & Wakefield saw rental rates increase quarterly – though none more than $1.00 per square foot. Rental rates declined in 16 of the CBDs – also with none more than $1.00 per square foot quarter-over-quarter.

Rental rates for Orlando fell during the fourth quarter to $21.11 per square foot, down $0.38 from $21.49 at the end of the third quarter of 2010.

Contact: Brook Hines,  Tel: 407-541-4401,

NAI Realvest Negotiates New Industrial Lease at Goldenrod CommerCenter in Orlando

MAITLAND, FL - NAI Realvest negotiated a new lease agreement for 4,412 square feet of industrial space at Suite 240,  Goldenrod CommerCenter, 1468 N. Goldenrod Rd. in Orlando.

Michael Heidrich (top right photo), a principal in the firm, brokered the transaction representing the Maitland-based landlord, COP-Goldenrod, LLC and the tenant, A & B Stucco, Inc. of Orlando.

For more information, 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

Colliers International Acquires Leading California Retail Brokerage

SAN FRANCISCO, CA, Jan. 13, 2011/PRNewswire/ -- In a move that will immediately bolster the existing retail expertise of its domestic operations, Colliers International today announced that it has acquired Johnson Hoke, San Francisco's leading urban specialty and lifestyle center retail brokerage firm.

By joining Colliers International, Johnson Hoke will become a critical component of one of the world's largest and most sophisticated real estate companies.

Johnson Hoke executives including Vikki Johnson, Karen Hoke and Pamela Mendelsohn also will become part of Colliers International's expanding Retail Services Group, serving many of the world's largest and best-known retailers and retail landlords. 

In conjunction with Colliers retail experts located throughout the country, the Johnson Hoke team will focus on expanding and strengthening the organization's retail services footprint throughout California and in major markets across the nation.

"Johnson Hoke represents an excellent addition to our fast-growing U.S. retail platform," said Dylan Taylor (top right photo), chief executive officer of Colliers International in the U.S.

 "Like Colliers International, Johnson Hoke knows how to enhance the value of their clients' assets through sophisticated lease negotiations and other client services. With their long-standing reputation for creativity and integrity,

“ I am excited to have them now working shoulder-to-shoulder with us as part of Colliers International beginning today." 

"Johnson Hoke is the perfect complement to our existing San Francisco retail team of Ross Portugeis and Glen Jones," said Alan Collenette (top left photo), Managing Director for Colliers International's operations in San Francisco and Marin County. 

"Their clients have always sought them out for their flair and for their matchless knowledge, not just of real estate, but of retailing and merchandising.  They understand how to make intelligent retail real estate decisions.  I am so proud they are now part of our company."

"We are thrilled to add a team with the depth of experience that Vikki (Johnson) and her colleagues possess," said Patrick Duffy (middle right photo), head of the Retail Services Group and president of Colliers International's Houston office.

 "The Colliers Retail Services Group has expanded over the past few years to include more than 350 of the best retail professionals in North America and over 450 worldwide. The Johnson Hoke team stands among the best in the world, and their arrival will measurably elevate our game."

Founded in 1997 in San Francisco as a boutique retail services firm, Johnson Hoke has since become one of the savviest and most successful firms in their niche market of urban specialty retail. With a focus on the upper end of the retail market, the firm actively advises and consults with developers, landlords and tenants throughout the region.

"I look forward to taking the depth of our experience and utilizing the Colliers platform to provide an international reach for the benefit of our clients. My passion is the bricks and mortar of the business, which is where I want to spend my time," said Vikki Johnson (middle left photo), Managing Director - Colliers International Retail Services Group, San Francisco

"I wake up every day and love what I do; advising our landlord and retail clients. I want to be a part of the finest real estate firm in the world, and I think with Colliers, we will be," said Karen Hoke (lower right photo), Senior Vice President, Colliers International San Francisco

The former Johnson Hoke operation will be rebranded as Colliers International. There will be no staffing changes at either Johnson Hoke or Colliers International based on today's news.

    Richard Mulieri or  Parke Chapman
    The Marino Organization, 212-889-0808

HFF secures $6.4 million refinancing for Chelsea, MA industrial facility

BOSTON, MA – The Boston office of HFF (Holliday Fenoglio Fowler, L.P.) announced today that it has secured a $6.4 million refinancing for Mystic Commerce Center (top left photo), a two-building, 252,474-square-foot industrial facility in Chelsea, Massachusetts.

Working exclusively on behalf of Combined Properties, Inc., HFF directors Greg LaBine (middle right photo)  and Janet Krolman (lower left photo) placed the five-year, fixed-rate loan with PPM Finance, Inc. on behalf of Jackson National Life Insurance Company.  Loan proceeds are replacing the existing first mortgage debt.  HFF will also service the loan.

Mystic Commerce Center is located at 143-201 and 172-180 Williams Street close to U.S. Route 1, downtown Boston and Logan International Airport in Chelsea.

“A number of Mystic Commerce Center tenants have been in occupancy since the late 1980’s and early 1990’s demonstrating the strength of the asset and its location. 

"The property sits adjacent to Route 1, within a quarter of a mile from the entrance to the Tobin Bridge,” said Krolman.

Combined Properties, Inc. is a full-service real estate investment and development firm specializing in high-quality office, R&D, industrial and retail properties in the northern suburbs of Boston.  Since its founding the company has purchased, developed and managed more than two million square feet of space.

Gregory F. Labine, HFF Director, (617) 338-0990,
Janet N. Krolman, HFF Director, (617) 338-0990,
Kristen M. Murphy, HFF Associate Director, Marketing, (713) 852-3500

Marcus & Millichap Capital Corp. Arranges $5 Million Retail Loan

RALEIGH, N.C. – Marcus & Millichap Capital Corporation (MMCC) has arranged a $5 million loan to refinance a 14,550-square foot freestanding Walgreens drugstore in Raleigh, N.C.

William Craun, an associate director in the firm’s San Francisco office, arranged the loan.

“The borrower was trading 1031 exchange proceeds from an apartment building sale into two triple-net transactions, one in California and one in North Carolina,” says Craun. “Interest rates increased during the month, but MMCC was able to close the transaction in a timely manner.”

The Walgreens loan is for 10 years, amortized over 30 years with a fixed interest rate of 6.253 percent. The LTV is 66.4 percent.

$6 Million Private-Placement CTL Loan Arranged for Walgreens in Medford, OR

MEDFORD, OR – Marcus & Millichap Capital Corporation (MMCC) has arranged a $6,091,000 private-placement, credit-tenant lease loan for the purchase of a Walgreens drugstore in Medford, Ore.

Tim Kinney, a senior director in the firm’s Atlanta office, arranged the loan.

“MMCC’s ability to source financing for single-tenant net-leased assets is well established,” says Kinney. “Improved liquidity among lenders and buyer demand for national single-tenant leased properties is bringing increased momentum to the investment arena.”

The loan is for 24.6 years, amortized over 24.6 years with a fixed interest rate of 6.15 percent. The LTV is 88 percent.

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

Anchor Planning Group Introduces Next Generation of Hotel Executive Search

 FREDERICKSBURG, VA, Jan. 13, 2011—Anchor Planning Group, a human resources consultancy with global outreach experience helping organizations systematically improve productivity while reducing cost, today unveiled a number of innovative, valued-oriented programs designed to expedite the talent acquisition process, source better candidates and reduce cost, with each program accompanied by a first-of-its-kind guarantee.

 In addition, the company offers an “a la carte menu” of services to address the needs of individual clients.  The programs represent the first substantial, comprehensive changes to the executive search industry in some 30 years.

 “The hotel industry is on the road to recovery, and operators will soon be scrambling to find qualified talent as business levels improve and operators begin replacing some 500,000 associates that were laid off during the recession,” said Jeffrey A. Wade (top right photo), president and CEO, Anchor Planning Group.

 “However, it is a major misconception that high unemployment rates will make it easier to fill those positions with talented associates.  Many potential employees are skeptical or have left the industry completely due to the massive lay-offs.

“Concurrently, the downturn has caused hoteliers to rethink staffing levels and skill set requirements, which will significantly change the selection process,” Wade added.

 “The days of turning to a trusted Rolodex of contacts or placing an ad in a newspaper or even on-line are gone.  To respond, we have created a new system that combines technology with more than a century of hotel human resources expertise to develop a modern way to source, vet and attract top talent.” 

Additional information may be found at the company’s website:

Contact:  Patrick Daly, Jerry Daly,  media, (703) 435-6293

Doug Driver Joins Franklin Street as Senior Director in Fort Lauderdale, FL

FORT LAUDERDALE, FL--Franklin Street is pleased to announce Doug Driver has joined as Senior Director in Fort Lauderdale, FL Mr. Driver has over fifteen years of successful commercial brokerage experience.

Throughout his extensive career, he has been responsible for the sale or financing of over $900 million in commercial properties for numerous high-profile clients including AEW Capital Management, American Land Development, Ameriton Properties, Archon Group, Archstone, CIGNA, Highwoods Properties, Principal Capital Management, Sarofim Realty Advisors, Teachers Insurance & Annuity Association (TIAA-CREF), Times Square Capital Management, Trammell Crow Company and United Healthcare.
Mr. Driver has written numerous research reports and articles on the South Florida multifamily and commercial real estate markets.

He has been published in periodicals such as Miami Today, The South Florida Business Journal, Florida Real Estate Journal, Multihousing News, Urban Land (magazine), Chicago Tribune, Commercial Investment Real Estate (magazine) and Miami Herald.

Mr. Driver received his CCIM designation from the CCIM Institute in 1998 and his M.B.A. from the University of South Florida in 1996. Mr. Driver is a Florida licensed Real Estate Broker, Florida licensed Mortgage Broker and Florida Certified General Contractor.