HFF D.C. closes more than $240 million in multi-housing property and land sales in December 2010

WASHINGTON, D.C. – The Washington, D.C. office of HFF (Holliday Fenoglio Fowler, L.P.) has closed the sale of four multi-housing properties totaling more than $240 million and 1,515 units in December 2010 in the greater Washington, D.C. region. 

HFF managing directors Dave Nachison (top right photo) and Alan Davis (top left photo)  and Brenden Flood represented the respective sellers in these transactions. 

Individual sale details are listed below, showing buyer first and seller second:

Westwind Farms (middle right photo), Associated Estates, Camden Property Trust,   464 Units

Ashburn, VA

Marymont at Laurel Lakes (middle left photo), Pantzer Properties Inc., Eaton Vance Mgmt., 308 Units, Laurel, MD

The Ashton at Dulles Corner (bottom right photo), Bentall Kennedy, Fairfield Residential, 453 Units

Herndon, VA

The Heights at Groveton (Land) (bottom left photo), Redbrick Dev. Group, Madison Dev. Partners,    290 Units, Alexandria, VA

“These four transactions illustrate the depth and breadth of capital targeting the highly sought Washington, D.C. region’s multi-housing market today from core-quality, new construction to value-add and development opportunities,” said Nachison.

“Apartment fundamentals are stronger in the D.C. region than anywhere in the country and both the recent record-setting absorption and the gap in the development pipeline from 2008-2010 have bolstered rent growth expectations.”

“Westwind Farms and The Ashton at Dulles Corner are both market-leading Class A communities in the Dulles corridor that will directly benefit from the delivery of Metro’s Silver line in five years,” added Nachison.

“Marymont is a value-add acquisition that is well-positioned to take advantage of the tremendous BRAC growth at Fort Meade and the arrival of the InterCounty Connector that will link Laurel to some of the best employment centers in Montgomery County. 

“Lastly, The Heights at Groveton land will be developed by Redbrick Development and Wood Partners, and is poised to deliver apartments and complementary retail at a time when most experts project one of the tightest supply markets the DC region has ever seen.”

Contacts:

David R. Nachison, HFF Managing Director, (202) 533-2500 dnachison@hfflp.com

Alan M. Davis, HFF Managing Director, (202) 533-2500 adavis@hfflp.com

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

krmurphy@hfflp.com

Rubenstein Partners Finalizes Four Year-End Transactions

  

PHILADELPHIA, PA,  /PRNewswire/ -- In a sign that the commercial real estate investment market is beginning to thaw, Rubenstein Partners, a private equity firm providing leading real estate investment management and advisory services in office markets throughout the Eastern United States ("Rubenstein"), announced the closing of four separate transactions in the fourth quarter of 2010 by Rubenstein Properties Fund, L.P. ("Fund"), the Fund's first new investments in nearly four years.

The four transactions located in Charlotte, NC, Whippany, NJ, Alexandria, VA and Cleveland, OH represent an initial equity investment of approximately $70,000,000, with anticipated follow-on equity investments in these deals of $30,000,000. 

After patiently scouring for opportunities over the past few years, these deals reflect Rubenstein's ability to seize new opportunities in what had been a dislocated office investment market.

Each investment, while unique and distinct, is consistent with the Fund's focus on value-added office investments.   Following the execution of these four year-end deals, the Fund is approximately 70% committed and has approximately $150,000,000 of equity available for future investments.

Rubenstein anticipates this year-end flurry of investment activity to be a harbinger of increased deal flow as distressed situations and others begin to make their way into a market that was overheated in 2006-2007, largely frozen in 2009 and anemic in 2010.

 "We have worked very hard sourcing, underwriting and negotiating potential transactions for the better part of the last four years, but have refrained from buying.  As the result of the firm's discipline, the Fund is well positioned to take advantage of opportunities that we believe will be coming to the market in 2011 and beyond," said David Rubenstein (top right photo), senior managing principal of Rubenstein Partners, the Fund manager.

Rubenstein Partners, founded in September 2005, is a private real estate investment management and advisory firm with operations throughout the Eastern United States.  The firm is lead by David Rubenstein and a select group of former senior real estate executives from The Rubenstein Company, L.P.

For additional information on the individual transactions, please contact:

Michael O'Callaghan of Rubenstein Partners, +1-215-399-4572, mocallaghan@rubensteinpartners.com

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

Los Angeles Hotel and Multifamily Markets Improving, Says Jones Lang LaSalle

LOS ANGELES, CA-- Los Angeles hotels and multifamily are staging a comeback, but other commercial property types are lagging the nation in terms of recovery, according to the latest Jones Lang LaSalle analysis.

As steady job growth re-emerges, demand will pick-up in 2011, but growth will not only be slow, it will be uneven across geography and property types.

The professional services sector will lead the labor market recovery in terms of job growth and will be an important demand driver for both the office and hotel sectors.

 Manufacturing will lag, but rising demand for clean technology and a resurgence in aerospace will bolster Southern California’s manufacturing sector.

 Investment activity remains strong across all property sectors

 Challenges in obtaining traditional financing for small businesses is placing a significant drag on Los Angeles employment

Entertainment, one of Los Angeles’ largest employment subsectors, will add stability to the region’s recovery

Office:  Large space dispositions in the next six-to-twelve months will potentially set the office market back, causing recovery to be uneven and extending the window of opportunity for tenants.

Investment activity targeting well-leased core urban assets is expected to increase.  Office-using employment to show gains in 2011 but the office market will lag economic recovery significantly. 

Downtown CBD will experience decreases in occupancy while ownership may consolidate further.  Tri-Cities will see gains driven by entertainment. 

West Los Angeles leasing to improve, but larger deliveries will place additional pressure on the market.  South Bay will see increase in vacancy due to core defense industry consolidation, but space related business will spur growth.

 Industrial:  With leading industrial indicators pointing towards rental growth in 2011, the pace of investment activity should mirror the second half of 2010. However, the market will remain tenant favorable with vacancy above equilibrium.  Inland Empire experiencing the fastest recovery. 

Retail:  Although retail will continue to lag, increased consumer buying power is expected to lead to greater sales and profits for retailers.

Additionally, renewed demand for store space in malls and shopping centers will further strengthen the retail leasing market and ultimately, the retail investment sales market.  

 Multifamily:  With vacancy low and demand strong, multifamily will experience stable rent growth between 1.0 and 2.0 percent through 2011. Investment levels are also expected to grow as capital rates compress.  Strong net absorption predicted in 2012. 

Hotels:  Lodging demand already marked an unmistakable rebound, posting an 8.8 percent growth rate through November 2010.  Los Angeles hotel market recovery is expected to accelerate in 2011 as hotel operators recuperate pricing power lost during the downturn.

For additional information, please visit
http://www.us.am.joneslanglasalle.com/unitedstates/en-us/pages/los-angeles-property-forecast.aspx?PagePreview=true

 Contact:

David Ebeling, Ebeling Communications, (p) 949.861.8351, (c) 949.278.7851

david@ebelingcomm.com