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ATLANTA — A Mount Pleasant, S.C.-based real estate investment firm has purchased the iconic Underground Atlanta shopping district for $25.8 million. The 12-acre, multi-tiered, subterranean shopping and entertainment district is located in the Five Points neighborhood of downtown Atlanta. WRS Inc. will purchase Underground Atlanta from the city and the Downtown Development Authority. Atlanta Mayor Kasim Reed made the announcement at a news conference on Wednesday morning. Tentative plans for redevelopment include mixed-use retail and housing. The transaction will result in $8 million annual cost savings for the city, according to a news release from the city. “The sale of Underground Atlanta is another milestone in the revitalization of our downtown corridor,” says Mayor Reed. “WRS brings a high level of expertise and strong track record of successful developments to an area of the city in need of a fresh approach. Based on the city’s track record with Ponce City Market, the Lakewood Fairgrounds (now EUE Screen Gems) and Buckhead Atlanta, I am confident that we will succeed in transforming Underground Atlanta into a vibrant component of our city’s commercial business district.” Atlanta’s hospitality and tourism industry generates $11 billion annually. A revitalized Underground Atlanta will complement several new downtown …

LONDON — InterContinental Hotels Group (NYSE: IHG) has agreed to acquire Kimpton Hotels & Restaurants (Kimpton) for $430 million in cash, creating the world’s largest boutique hotel business. Kimpton manages 62 hotels in 28 cities, including Hotel Palomar locations in Phoenix, Los Angeles and Washington; and Hotel Wilshire in Los Angeles, with 16 more in the development pipeline. The 16 hotels will include 3,000 rooms, and 10 hotels are already under construction. The company operates 71 hotel-based destination restaurants, bars and lounges. Kimpton is widely regarded as a sophisticated food and beverage operator. “Kimpton has created a portfolio of world-class hotels and destination restaurants, and the distinctive and innovative Kimpton brand will fit perfectly into the IHG brand family,” says Richard Solomons, CEO of IHG. “Adding Kimpton to our portfolio of preferred brands creates the world’s largest boutique hotel business.” Following the transaction, IHG plans to capitalize on its scale, global owner networks, digital platforms and specialist capabilities of building preferred brands to enhance Kimpton’s growth globally. According to a release, there is a significant opportunity to expand the brand in Europe and Asia where there is strong demand for boutique brands. San Francisco-based Kimpton has achieved 4 percent growth …

ST. LOUIS — ElmTree Net Lease Fund II has acquired five single-tenant net lease investment properties for $105.2 million in five states. All properties are occupied under 10-to-15-year lease agreements. The acquisitions include three build-to-suit properties and two existing facilities. The first build-to-suit is a 306,406-square-foot industrial facility in Lafayette, Ind. Upon completion, the property, which sits on 53.5 acres, will be leased to General Electric Co. and will house subsidiary GE Aviation. It will operate an assembly line. The second build-to-suit is a 175,000-square-foot warehouse/office located on the 12-acre Tyco Electronics campus in Shakopee, Minn. The project will consist of 20,000 square feet of warehouse space, 35,000 square feet of lab space and 120,000 square feet of office space.  It will be leased to ADC Telecommunications, Inc., a communications company that was acquired by Tyco Electronics in 2010. The third build-to-suit is a 70,000-square-foot, three-story office facility located in Roanoke, Va. Upon completion, the office space will be leased to Allstate Insurance Co. and will be used for IT, claims and subrogation. It will also provide space for two call centers and will replace an existing facility in Roanoke. The first existing facility is a 57,260-square-foot office and call …

ATLANTA — The Atlanta Braves have announced Wakefield Beasley & Associates as the lead designer of its mixed-used development in Cobb County, Ga. The Atlanta-based architectural design firm has designed mixed-use developments throughout the Southeast, including The Forum in Norcross, Ga., Town Center at Atlantic Station and Avalon in Alpharetta, Ga. Four newly released conceptual renderings of the mixed-use development surrounding SunTrust Park provide additional architectural detail, highlight the massing of proposed buildings, showcase the interaction of SunTrust Park and various elements of the mixed-use project. Phase I of the development is slated to open in spring 2017, coinciding with the stadium’s debut on Opening Day in 2017. The new community, which will encompass more than 60 contiguous acres of property at the northern intersection of I-75 and I-285 in Atlanta, will feature destination shopping and dining, living spaces, an entertainment venue, an office tower and a hotel that will have views into SunTrust Park. A mix of hardscapes and green spaces are integrated throughout the project. The main plaza that connects SunTrust Park with the rest of the community is designed for public gatherings, including pre and postgame programming on game days along with non-game day special events and …

LOS ANGELES — In a massive deal, Hudson Pacific Properties Inc. (NYSE: HPP) has entered into a definitive asset purchase agreement to acquire the Equity Office Properties San Francisco Peninsula and Silicon Valley office portfolio from Blackstone Real Estate Partners V and VI. The stock and cash transaction is valued at $3.5 billion. The Equity Office Properties portfolio includes more than two dozen properties located in cities such as San Jose, Palo Alto, Burlingame and Redwood City, and totals approximately 8.2 million square feet. The portfolio’s occupancy and rents are approximately 10 percent and 15 percent below market, respectively, with approximately 60 percent of the leased square footage expiring by the end of 2017. The expiration of the leased properties will afford Hudson the opportunity to gain “substantial embedded net operating income growth,” according to the company. Los Angeles-based Hudson believes the deal will help position it as a leading West Coast office REIT. Following the deal’s closing, Hudson, which will effectively double in size, is expected to have an equity market capitalization of $3.7 billion and total enterprise value of approximately $6.5 billion. The purchase brings together two office portfolios with a combined asset base of 53 properties totaling …

NEW YORK — SL Green Realty Corp. (NYSE: SLG), New York City’s largest commercial property owner, and Prudential Real Estate Investors, the real estate investment management and advisory business of Prudential Financial Inc. (NYSE: PRU), have formed a joint venture for the ownership of condominium units at Tower 46, located at 55 W. 46th St. in Manhattan. The units span 347,000 square feet with office space on floors two and 22-34 and retail space at grade on 46th Street. SL Green announced its acquisition of the Class A asset for $295 million in September and completed that transaction in October. A fund managed by PREI on behalf of institutional investors now owns a 75 percent stake under the terms of the new joint venture, with SL Green keeping 25 percent ownership and retaining management and leasing responsibilities. “Prudential, our longtime partner at 100 Park Ave., shared our vision for this prime Midtown asset,” says Isaac Zion, co-chief investment officer of SL Green. “We are delighted to be partnering with them once again and look forward to creating value together.” Skidmore Owings & Merrill designed the tower, which was completed in 2013. The glass and steel structure features floor-to-ceiling windows on …

CHICAGO — Acadia Realty Trust (NYSE:AKR) has acquired an 88.4 percent interest in an 87,000-square-foot retail building along Chicago’s Magnificent Mile for $144.3 million. The four-story flagship property is located at 840 N. Michigan Ave. The space is fully occupied by H&M and Verizon. H&M has operated at the space since 2003. The apparel and accessories retailer recently signed a new 10-year term that expands its selling space by about 10,000 square feet at the below-grade concourse level. H&M’s flagship now totals 59,500 square feet. Verizon also rolled out its newest Destination Store at this location. The two-story, 10,000-square-foot space is Verizon’s largest store in the country and one of only two such experience stores, according to Acadia. “Flagship locations, such as 840 North Michigan Avenue, located in live-work-play-visit cities, enable our retailers to pair highly visible branding with access to thousands of shoppers daily,” says Joel Braun, Acadia’s CIO and executive vice president. “In our experience, retailers have been highly motivated to invest their own dollars to uniquely merchandise these flagship stores.” The building is located directly across the street from Water Tower Place. It is situated along the stretch of Michigan Avenue known as Magnificent Mile, a premier …