The State of Retail Improving Steadily; Tenants Still Getting Great Deals

ATLANTA, GA – The retail sector has hit bottom, and retailers are starting to expand again, according to experts on the most recent episode of the Commercial Real Estate Show.  For companies willing to add locations, there are good real estate deals to be had.

“There are still pockets of weakness going forward, but my feeling is that the worst is most likely already behind us,” Ryan Severino, a senior economist at Reis, told radio show host Michael Bull (top right photo).

“I would characterize the environment as still challenging, but again keeping with the theme from before, we’re not seeing the massive deterioration we once saw in the sector.”

National retailers such as Blimpie are hopeful the market will continue to turn in their favor. Paul Gwin, a Blimpie franchisee and guest on the show, explained the company is promoting growth.

“We’re striving in the next three years to get to 200 locations in Georgia,” said Gwin.

In an effort to reach its goal, Blimpie has implemented the Blueprint 47 plan, which reduces franchise fees from $18,000 to $47 for veteran owners.

Guest Jon Neville, a partner at Arnall Golden Gregory, said national retailers should take advantage of a more tenant-friendly market. “Developers want to get in their centers the best tenant possible, if it has to mean making some concessions to get a national brand like a Blimpie in there, they are willing to do that,” he said.

The retail show aired Saturday on Biz 1190 WAFS in Atlanta and is available for download.

The next Commercial Real Estate Show will air April 2 and include a national office update, as well as a focus on office tenant/user strategies. Guests will include Andrew Zezas, president of Real Estate Strategies Corporation; Philip Skinner, a partner at Arnall Golden Gregory; and Rick Ferguson, a vice president in the corporate office services group at Bull Realty.

Contact: Midd Read, mread@wilbertnewsstrategies.com

Timothy Magnussen Appointed Director In Arbor’s New York City Office

 Uniondale, NY (Mar. 29, 2011) - Arbor Commercial Funding, LLC (“Arbor”), a wholly-owned subsidiary of Arbor Commercial Mortgage, LLC and leader in the commercial real estate finance industry, has announced today the appointment of Timothy Magnussen (top right photo) to Director in Arbor’s New York City office.

Mr. Magnussen is responsible for originating loans nationwide using Arbor’s complete product portfolio with a special focus on Fannie Mae DUS® and Federal Housing Administration (FHA) transactions. He reports to Ken Fazio, Senior Vice President, National Production Manager.

 Mr. Magnussen is a dedicated commercial real estate professional with 10 years of diversified experience in loan originations, specializing in Fannie Mae DUS®  transactions and construction financing.

Prior to joining Arbor, Mr. Magnussen worked as a Commercial Real Estate Loan Officer at Kearny Federal Savings Bank.

Previous to that role, Mr. Magnussen was a Consultant/Loan Officer at Capital Source Mortgage, where he was responsible for consulting clients and associates on their mortgage financing needs. While there, he expanded the client base and network of financial institutions to improve originators’ profitability and efficiency.

Contact:  Christopher Ostrowski, costrowski@arbor.com

Winter Park Construction Breaks Ground on 416-Unit Student Housing Project Near UCF

ORLANDO, FL /PRNewswire via COMTEX/ -- Winter Park Construction (WPC), (www.wpc.com), one of Orlando's leading locally owned construction companies, has broken ground on University House Central Florida (UCF), an off-campus student housing project located one half-mile from Orlando's University of Central Florida campus.

The 416-unit project is expected to be completed in August 2012 and will create 400 jobs.

University House Central Florida is located on 10 acres at 3100 N. Alafaya Trail, offering easy access to university and city shuttle systems at the University of Central Florida. The one-, two-, three- and four-bedroom apartments range in size from 500 -1,600 square feet. All units will be fully furnished.

University House Central Florida will offer state of the art student-oriented amenities including a large pool and patio deck, fitness center, sand volleyball, basketball court, putting green, clubhouse with multi-media lounge and parking garage.

With more than 20,000 units constructed throughout the country, WPC has a solid reputation in student housing construction. Prior projects include: Hawks Landing, Tampa; Northgate Lakes, Oviedo; and Countryside at The University and University Terrace, both in Gainesville.

The development/management company for University House Central Florida is Dallas-based Inland American Communities (http://www.inlandac.com), one of the nation's leading development, acquisition and management organizations dedicated to the creation of apartment communities in urban-infill and university markets.

The project architect is Humphreys & Partners (http://www.humphreys.com), an urban planning, master planning and land planning firm.

For more information contact Winter Park Construction at 407.644.8923 or visit http://www.wpc.com/

Contact:

Telleen Anderson-Lozano

Account Manager

communications 21

834 Inman Village Pkwy, Suite 150

Atlanta, GA 30307

404.814.1330 - office

TAnderson@c21pr.com

www.c21pr.com | Facebook | Twitter

HFF arranges $35 million refinancing for 50 and 60 Sylvan Road in Waltham, MA

BOSTON, MA – HFF announced today that it has arranged a $35 million refinancing for 50 and 60 Sylvan Road, two office/R&D buildings totaling 200,928 square feet in Waltham, Massachusetts.

HFF worked exclusively on behalf of the borrower, an entity controlled by Davis Marcus Partners and Prudential Real Estate Investors, to secure the fixed-rate loan through PNC Bank.  Loan proceeds were used to replace a maturing loan.

The HFF team representing the borrower was led by senior managing director Riaz Cassum and director Greg LaBine (middle right photo).

“The combination of credit quality, prime location and strong sponsorship made this an attractive loan opportunity for PNC Bank,” said Cassum.  ”The borrower was pleased with the professional execution on the part of PNC Bank.”

50 and 60 Sylvan Road are located within the 54-acre Reservoir Woods East Campus  (top left photo) adjacent to the Cambridge Reservoir, and close to Route 128/Interstate 95, Route 2 and The Massachusetts State Turnpike in Waltham. 

The properties include a two-story office/R&D building with 137,928 square feet, plus a 63,000-square-foot, Class A office building completed in December 2010.  Both buildings are fully leased to Verizon Laboratories.  The tenant has access to a full-service cafeteria, an internal conference center and an on-site credit union. 

Davis Marcus Partners is a venture between The Davis Companies and Marcus Partners.  Its affiliates own and operate a portfolio of real estate in excess of four million square feet valued at more than $1.0 billion.

Prudential Real Estate Investors is the real estate investment management business of Prudential Financial (NYSE: PRU).

Contacts:

Riaz A. Cassum, HFF Senior Managing Director, (617) 338-0990 rcassum@hfflp.com

Gregory F. Labine, HFF Director, (617) 338-0990, glabine@hfflp.com

Kristen M. Murphy, HFF Associate Director, Marketing, (713) 852-3500,

krmurphy@hfflp.com

Bull Realty’s REO Listings Top $162 Million

  

ATLANTA, GA (Mar. 28, 2011) - Bull Realty, a full-service commercial real estate brokerage firm specializing in marketing, acquisition and leasing services in the Southeast and throughout the U.S., continues to be a leader in selling bank-owned and distressed commercial properties.

 The firm currently has more than $162 million worth of distressed real estate listed for sale.

Last year the firm represented lenders in deals with more than $50 million, and Bull Realty has emerged as the go-to brokerage firm for lenders with distressed assets.

“We were doing REO deals before they were cool,” said Michael Bull (top right photo), founder and president of Bull Realty. “We are the smartest and most aggressive marketers of these properties, and we get results for our clients.”

Bull helped solidify its leadership position in the marketing of REO and distressed assets by closing a couple of major transactions. In 2010, Bull negotiated the sale of 5,690 acres of raw land in Phoenix. The sale, which was done in two transactions, totaled more than $36 million – or 20 percent more than the properties’ appraised value.

Bull was chosen to market the property by Peoples Bank of Winder, the lead bank handling the foreclosed property. Bull beat out several national brokerage firms to win the assignment.

When asked why the bank chose Bull, Peoples Bank CEOChris Maddox (lower left photo), said, “Because the property needed better marketing than the national firms could provide.”

Contact: Midd Read, mread@wilbertnewsstrategies.com

http://www.bullrealty.com/

Stan Johnson Completes sale of Walgreens Pharmacy in Silsbee, TX

  

Silsbee, TX, Mar. 28, 2011 – Stan Johnson Company, one of the nation’s premier net lease brokerage firms, has completed the sale of a 14,550-square-foot free-standing retail store 100% leased to Walgreens Pharmacy, located on 1.71 acres at 496 Highway 96 South in Silsbee, Texas to a Houston based individual investor.

Brandon Duff and Brad Feller of Stan Johnson Company represented the seller, a Houston based developer.  Jim Gibson of Stan Johnson Company represented the buyer in the transaction.

 “Texas continues to be a region that commercial real estate investors from across the country are attracted to,” said Gibson.

Contact: David Ebeling, Ebeling Communications, (949) 278-7851

david@ebelingcomm.com

Jones Lang LaSalle Completes 266,508-SF Industrial Lease with Lava DS in Ontario, CA

 ONTARIO, CA, Mar. 28, 2011 — Jones Lang LaSalle represented Lava DS in a 266,508-square-foot industrial lease expansion at Ontario Gateway West (top left photo), a four-building, 1,386,687-square-foot, industrial park in Ontario, Calif.

 Lava DS now occupies the entire 428,827-square-foot building located at 1495 E. Locust Street which serves as the company’s West Coast distribution hub. 

Jones Lang LaSalle’s Southern California Industrial Tenant Representation Team of Executive Vice Presidents Tim O’Rourke and Mike Fowler along with Jones Lang LaSalle’s Global Ports and Airports leader John Carver (lower right photo) represented Lava DS in the transaction. 

The property owner, James Campbell Company, was represented by Kevin McKenna of CB Richard Ellis.

“The Inland Empire accounted for one third of all industrial absorption in the United States in 2010,” said O’Rourke. “Despite this increased level of activity, we were able to negotiate this transaction at favorable terms allowing our client to expand their business and services.”

Located in the Inland Empire industrial market, Ontario Gateway West features a clear height of 32 feet, 56 dock-high loading doors, and 80 trailer storage spots.

 For further information, please visit our website, http://www.joneslanglasalle.com/

Contact: David Ebeling, Ebeling Communications, (p) 949.861.8351

(c) 949.278.7851, david@ebelingcomm.com

HFF arranges $65 million refinancing for 5900 Wilshire in Los Angeles

LOS ANGELES, CA – HFF announced today that it has arranged a $65 million refinancing for 5900 Wilshire (top left photo), an  iconic 31-story, 452,764-square-foot office tower centrally located at the intersection of Los Angeles’ entertainment, cultural and business districts in the Miracle Mile.

HFF worked exclusively on behalf of a joint venture between Prudential Real Estate Investors and The Ratkovich Company to secure the five-year, 5.72 percent fixed-rate loan provided by AXA Equitable Life Insurance Company through its advisor, Quadrant Real Estate Advisors. 

The loan is replacing a maturing loan that HFF procured for the borrower when it purchased the property in 2005.

As one of Los Angeles’ preeminent business destinations, 5900 Wilshire, also known as the Variety Building, is home to some of the city’s most notable media and entertainment companies including Variety, Los Angeles Magazine, The New York Times’ Los Angeles bureau, 100.3 FM “The Sound”, Millennium Entertainment and more. 

Located across from the Los Angeles County Museum of Art in Los Angeles’ Miracle Mile district, 5900 Wilshire’s central location makes it an integral part of the city’s creative, entertainment and media communities. 

Designed by the legendary William Pereira in the late 1960s, 5900 Wilshire was acquired by The Ratkovich Company in partnership with Prudential Real Estate Investors in December 2005.

 In December 2008, venerable Hollywood trade paper Variety moved its West Coast headquarters and operations to 5900 Wilshire and took its place as the building’s marquee tenant; placing its recognizable name in red lighting atop the tower.

 Following a $34 million renovation in 2008, 5900 Wilshire is the new headquarters for all innovative, successful entertainment and media companies in the Miracle Mile.

5900 Wilshire is the recipient of both the Building Owners and Managers Association of Greater Los Angeles Office Building of the Year award and the 2009 Renovated Building of the Year from the Los Angeles Architectural Awards.  For more information, visit www.5900wilshire.net.

The HFF team representing the borrower was led by senior managing director Paul Brindley (middle right photo) and director John Crump (lower left photo).

  For more information, visit http://www.ratkovich.net/

.

Contact: 

Paul Brindley, HFF Senior Managing Director,  (310) 407-2100, pbrindley@hfflp.com

Kristen Murphy, HFF Associate Director, Marketing, (713) 852-3500                                         

krmurphy@hfflp.com

Grubb & Ellis Represents Ashley Capital in over 870,000 SF of New Leases at Brownstown Business Center in Southfield, MI

SOUTHFIELD, MI  (Mar.  28, 2011) – Grubb & Ellis Company (NYSE: GBE), a leading real estate services and investment firm, announced today that it represented Ashley Capital in 872,478 square feet of new leases at Brownstown Business Center (top left photo) in the past 45 days. 

Dan Labes, senior vice president, Global Logistics, and Jim McClowry, senior vice president, Industrial Group, facilitated the transactions.

In the largest of the transactions, MTU Detroit Diesel, a designer and manufacturer of medium and heavy-duty diesel engines, leased 395,000 square feet of warehouse/distribution space at 19771 Brownstown Center Drive. 

Grubb & Ellis’ Tony Avendt, associate vice president, Industrial Group, represented MTU in the transaction.

 In addition, Cabot Street, a third-party logistics provider, leased 363,756 square feet of space at 20501 Pennsylvania Road, and Federated Group Services, a sales and marketing company serving the grocery, foodservice, drug and convenience store industries, leased 61,000 square feet of space at 19771 Brownstown Center Drive.

 Marketing and Industrial Solutions Corporation, a provider of supply chain and manufacturing solutions, leased 52,722 square feet of space at 19881 Brownstown Center Drive.

“Activity in the logistics sector is picking back up, led by Class A warehouse facilities like Brownstown Business Center,” said Labes.  “We’re pleased to have partnered with Ashley Capital in these transactions.

 Located in Brownstown Township, Brownstown Business Center features high-density storage capabilities with 32’ minimum clearance height and wide column spacing, as well as state-of-the-art features, including ESFR Sprinklers, high-capacity electrical service and energy-efficient halide lighting.

 The park offers ample truck parking and I-75 visibility and access.

 For leasing information, contact Labes at 248.357.6578.

Contact:  Erin Mays, Phone: 312.698.6735                                     

Email:  erin.mays@grubb-ellis.com

Marcus & Millichap Sells 41-unit apartment property in St. Petersburg, FL for $1.050 Million

ST. PETERSBURG, FL, Mar.  28, 2011 – Marcus & Millichap Real Estate Investment Services, the nation’s largest real estate investment services firm, has announced the sale of Welk Arms (top left photo), a 41-unit apartment property located in St. Petersburg, Fla, according to Bryn D. Merrey, Regional Manager of the firm’s Tampa office.

The asset commanded a sales price of $1,050,000.

Michael P. Regan (middle right photo), an associate vice president investments, Francesco P. Carriera (middle left photo), a senior associate and Nicholas Meoli (lower right photo), a multifamily investment specialist all based in the Tampa office, had the exclusive listing to market the property on behalf of the seller, a financial institution based in California. 

The buyer, a limited liability company, was secured and represented by Regan, Carriera and Meoli.

Welk Arms was built in 1971 and is located at 4701 68th Street North, a few miles northwest of downtown St. Petersburg.  The property is concrete block constructed and offers both one and two-bedroom floor plans.

This garden-style community consists of six single-story buildings on approximately 2.5 acres. 

“Despite the buildings’ challenges, we were still able to generate multiple offers and close within the time frames under the original contract,” says Carriera

Press Contact: Bryn D. Merrey, Regional Manager, Tampa, (813) 387-4700

Equity Partners negotiates 14,500 SF in Orlando’s Alafaya Corporate Center

 ORLANDO – Michael Fess, (top right photo)  president of Equity Partners Inc., and Faith Thompson, Leasing Manager, represented the landlord, Alafaya Corporate Center, LC in a lease renewal and expansion with Environmental Tectonics Corporation for 8,831 square feet of office space and signed a long term lease for TRB Groves for 952 square feet of office space.

Equity Partners also negotiated a lease agreement with Wegmann, USA, Inc.  for 4,789 square feet of office space at Alafaya Corporate Center.

Michael Fess, President of Equity Partners Inc., and Faith Thompson, Leasing Manager, represented the Landlord, Alafaya Corporate Center, LC and Mary Frances West of NAI Realvest represented the Tenant.

Equity Partners negotiates over 6,000 square feet of Leases at University Science Center

ORLANDO, FL – Equity Partners negotiated a lease expansion with Katmai Government Services, LLC for 3,343 square feet of office space and negotiated a lease renewal expansion with Hostdime.com, Inc. for 2,858 square feet of office space at 12001 Science Drive in the University Science Center in East Orlando.

Michael Fess, president of Equity Partners Inc., and Faith Thompson (lower left photo), Leasing Manager, negotiated the transaction representing the landlord, University Science Center, Inc. 

 Contact:

 Faith Thompson, Leasing Manager, Equity Partners, Inc.,

Licensed Real Estate Broker, 20 North Orange Avenue, Suite 605, Orlando, Florida 32801; 407.660.4949 phone; 407.808.2656 cell;

407.660.4995 fax

www.equitypartners.net

EagleBridge Capital Arranges Mortgages For Connecticut and Rhode Island Retail Buildings

Boston, MA--EagleBridge Capital has arranged permanent mortgage financing totaling $2,090,000 for retail properties located in Connecticut and Rhode Island. 

The mortgage financing was arranged by EagleBridge principals Brian D. Sheehan (middle right  photo) and Ted M. Sidel  (bottom  left photo) who stated that the loan was provided by a regional financial institution.

In Windham, Connecticut, EagleBridge arranged permanent financing for the acquisition of a free standing 7000 square foot building net leased to Advance Auto Parts located at 320 Boston Post Road (Route 1).

Located nearby are Home Depot, Super Walmart, Ruby Tuesday’s, Wendy’s and numerous other retailers. 

Advance Auto Parts is a leading automotive aftermarket retailer of parts, accessories, batteries, and maintenance items which serves both the do-it-yourself and professional installer markets. The Company operated over 3500 stores in 39 states, Puerto Rico, and the Virgin Islands.

In North Kingstown, Rhode Island, EagleBridge arranged mortgage financing for the 4850 square foot AT&T Plaza located at 6070 Post Road (Route 6).

 The building is leased to AT & T Wireless and Great Harvest Bread Company (top left photo).  A number of other stores and restaurants are located in the immediate area including TJ Maxx, HomeGoods, McDonalds, and CVS.

Mr. Sheehan and Mr. Sidel stated, “We are pleased that EagleBridge was able to structure and deliver two separate mortgages for our borrower which met all of his financing requirements for each property.”

EagleBridge Capital is a Boston-based mortgage banking firm specializing in arranging debt and equity financing as well as joint ventures for shopping centers, condominiums, apartments, office, industrial, r & d buildings, hotels and mixed use properties as well as special purpose buildings.

Contact:  Ted Sidel, (617) 292—7177, Extension 10

33 Broad Street, Boston, MA 02109    TEL: 617.292.7177   FAX: 617.292.7575

http://www.eaglebridgecapital.com/

Grubb & Ellis Represents Joint Venture of Alliance Commercial Partners and CarVal Investors in $23.1 Million Receivership Purchase

  

 NEWPORT BEACH, CA– Grubb & Ellis Company (NYSE: GBE), a leading real estate services and investment firm,  announced that Scott Read, senior vice president, Industrial Group, represented a joint venture between Alliance Commercial Partners and CarVal Investors LLC in the purchase of 2001 E. Dyer Road, a 366,000-square-foot industrial building in Santa Ana.

 The property was acquired out of receivership from Taylor B. Grant of California Real Estate Receiverships, the receiver of the asset, for $23.1 million. 

 “This transaction represented an excellent opportunity for Alliance/CarVal to acquire a large industrial property at a significant price reduction,” said Read. 

“Available industrial properties of this size are hard to come by in Orange County and following the completion of the renovations/enhancements to the building that Alliance has already commenced, the property is expected to draw in significant interest from local and regional industrial companies.”

The buyer has selected Grubb & Ellis to immediately market the property for lease and sale.  On a lease basis, the building can accommodate a single large corporate tenant or be divided for smaller tenants down to 100,000 square feet of space. 

 The distribution/manufacturing building offers 31 dock-high loading doors and 11 drive-in doors, large, secured loading/yard areas, ample parking, and the potential for heavy power.  The building also includes approximately 50,000 square feet of existing two-story corporate office space.  The property is located across the street from the planned Tustin Legacy Re-Development project and offers easy access to State Route 55 and Interstates 405 and 5.

 “This acquisition was in line with our investment strategy to acquire distressed assets at prices significantly below replacement cost,” said Bob O’Neill, director of Acquisitions for Alliance Commercial Partners’ Irvine office. 

 Bill Welch of California Real Estate Receiverships marketed the property on behalf of Grant. 

Contact:  Julia McCartney, Phone: 714.975.2230                                     

Email: julia.mccartney@grubb-ellis.com

         

Grubb & Ellis Promotes Matt Devine and Jeffrey Tertel to Vice President in Philadelphia

 PHILADELPHIA, PA) – Grubb & Ellis Company (NYSE: GBE), a leading real estate services and investment firm, today announced the promotions of Matt Devine (top right photo)  and Jeffrey Tertel (bottom  left photo) to vice president, Office Group.  The promotions recognize their levels of production and contributions to the company.

“Matt and Jeff have excelled despite very challenging economic times, and I credit their focus on client service and their ability to build strong relationships for their successes,” said Bob Clements, executive vice president and market leader for Grubb & Ellis’ Philadelphia tri-state area.  “I couldn’t be more pleased to recognize them for their achievements.”

 Devine, who began his commercial real estate career with Grubb & Ellis in 2004, provides landlord and tenant representation in the Bucks County and eastern Montgomery County office submarkets.

During his tenure, he has been directly involved in more than 200 transactions totaling in excess of $175 million. 

Tertel joined Grubb & Ellis in 2000 and currently provides tenant representation services to companies with office requirements throughout the Philadelphia Tri-State area. 

  Contact:  Erin Mays, Phone 312.698.6735                              

Email:  erin.mays@grubb-ellis.com

Crossman & Company Tapped for Five Major Awards at NAIOP Orlando Chapter

 ORLANDO, FL--- The Central Florida Chapter of the Commercial Real Estate Development Association –NAIOP – presented Orlando based Crossman & Company with five major awards recently.

John Crossman, president of the commercial real estate company that ranks as one of the largest third-party retail leasing and management firms in the Southeast, said Crossman & Company Vice President & Director of Leasing Justin Greider (top right photo) was named Retail Broker of the Year.

 Greider negotiated retail property leasing and sales transactions that totaled more than 599,000 square feet of space in 2010.

 Crossman & Company associate Molly Delahunty (middle left photo) was named Student of the Year. Delahunty joined Crossman & Company in 2009.  Delahunty is a student in the University of Central Florida’s inaugural class of their Professional Masters of Science in Real Estate and will graduate December 2011.

Crossman & Company associate Whitaker Leonhardt (lower right photo) was named Rookie of the Year.  He joined Crossman & Company in 2009.  Last year, Leonhardt negotiated leases with the Disney Entrepreneur Center and Planet Fitness at the Orlando Fashion Square Mall, said Crossman.

 Two Crossman & Company properties were also cited with awards.

Aloma Shopping Center, the Publix-anchored shopping center which completed a major redevelopment last year, was named Retail Development of the Year.

 Orlando Fashion Square Mall, Orlando’s oldest shopping center with 1.1 million square feet of retail space, was named Re-Use Property of the Year.   The Disney Entrepreneur Center and Planet Fitness both signed leases at Orlando Fashion Square last year.  Planet Fitness is now open and Disney Entrepreneur Center will open in April.

For more information, contact:  

John Crossman, CCIM, President, Crossman & Company, 407-581-6218, jcrossman@crossmanco.com

Molly Delahunty, Crossman & Company, 407-581-6220 mdelahunty@crossmanco.com

Larry Vershel or Beth Payan, Larry Vershel Communications, 407-644-4142, lvershelco@aol.com

  

Akerman Senterfitt Plays Pivotal Role as Circuit Court Rules for Homebuilders on Chinese Drywall Issue

  

MIAMI, FL-- /PRNewswire/ -- Akerman Senterfitt  announced that a Palm Beach County, Florida Circuit Court Judge has ruled that builders and installers cannot be held liable for negligence for faulty drywall (commonly referred to as "Chinese drywall") installed during home construction if they did not have actual or implied notice of a defect in the drywall at the time of construction. 

Judge Glenn Kelley (top right photo) of the 15th Judicial Circuit issued the Omnibus Order which is applicable to all lawsuits in Palm Beach County, Florida.  It is one of a number of wins the Akerman team has secured for several homebuilders it has represented on this issue in both state and federal courts.

"Judge Kelley's ruling is an important victory for the homebuilding industry, as it adds clarity and requires that builders and their subcontractors have knowledge of potential drywall defects at the time of construction," said Stacy Bercun Bohm (middle left photo) a shareholder with Akerman's Construction practice. 

In various lawsuits around the country, builders and their installer subcontractors have been accused of being "negligent" with respect to Chinese-manufactured drywall.

  Specifically, these businesses have been charged with having failed to "inspect" or "test" the foreign sourced drywall before installation, and have been faulted with having failed to "warn" homeowners of the problems associated with some Chinese-manufactured drywall.

 Implicit in these allegations is the expectation that these businesses should have been prescient enough to know, in early 2005-06 (in some cases, well before this), of problems associated with Chinese drywall. 

"We are hopeful that this decision will be adopted by other judicial circuits as well as in the multi-district litigation currently pending in a federal court in Louisiana," said Leslie Tomczak (middle right photo)  a construction litigation and real estate shareholder with Akerman.

Ms. Tomczak led the Akerman team that argued the issues before the Court. The team included shareholders Stacy Bercun Bohm, Valerie Greenberg, Sam Heywood, Samantha Kavanaugh and Hugh Turner, as well as associates Carmen Tugender, Michael Sayre, Lauren Fernandez, Stacy Harrison and Alan Fry in Akerman's Fort Lauderdale and Miami offices.

Judge Kelley entered the Omnibus Order regarding this matter on March 18, 2011.

More information can be found at www.akerman.com or www.twitter.com/akerman_llp

.

Contact:

Pat Tucker, RF|Binder Partners, Inc., (212) 994-7561 

Patrick.Tucker@rfbinder.com

Web Site: http://www.akerman.com/

Fitch U.S. CMBS Newsletter: Mood Among Market Players Mixed

 

NEW YORK, NY--The  mood  among  U.S.  CMBS lenders and third-party loan sellers is fairly optimistic,  while servicers and traditional b-piece buyers are maintaining a  more  guarded view of the sector's health, according to Fitch Ratings in its  roundup  of  last  week's  Distressed Debt Summit. The full roundup is featured in this week’s U.S. CMBS newsletter.

Most agreed that commercial real estate values are on the upswing. However, the  improvements  are  being  driven  more by compressed cap rates than by

increasing  cash flow.  Additionally, servicers are increasingly turning to

loan modifications with increased success.

In contrast, much of the market pessimism centers on the amount of loans in

special  servicing. While new transfers into special servicing have slowed,

the  inventory  of  assets  to  work  through is large. Approximately $89.7

billion  of  loans  are  in  special  servicing  as  year end-2010 (YE’10),

compared to $73.9 billion at YE’09.

New  issuance is seen as a positive sign to help temper the volume of loans

entering  special  servicing.  However,  the  burgeoning  trend  is also of

concern  among  investors  who  are wary of competitive pressures weakening

underwriting standards.

Additional  information  is available in Fitch's weekly e-newsletter, 'U.S.

CMBS  Market  Trends',  which  also  contains  recent rating actions and an

overview  of  newly  released  CMBS  research, including Fitch presales and

Focus  reports.  The  link  below enables market participants to sign up to

receive future issues of the E-newsletter:

'http://www.magnetmail.net/forms/display_form.cfm?fid=22908&mid=929091&rid=297925736&rtype=mm&uid=Fitch'

Contact:

Mary MacNeill

Managing Director

+1-212-908-0785

Fitch Inc., 1 State Street Plaza, New York, NY 10004

Lindsay Weichert

Director

+1-212-908-0398

Media   Relations:   Sandro   Scenga,   New  York,  Tel:  +1  212-908-0278:

sandro.scenga@fitchratings.com.

Additional information is available at http://www.fitchratings.com/