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LAS VEGAS — Las Vegas Arena Co., owned by AEG and MGM Resorts International (NYSE: MGM), has commenced construction on a privately funded $375 million indoor arena set to open in spring 2016. Located west of the Las Vegas Strip, between New York-New York and Monte Carlo resorts, the new 20,000-seat arena will host boxing, UFC and other sporting events, headline entertainment, awards shows and special events. “We are committed to ensuring that Las Vegas retains its title as ‘Entertainment Capital of the World’ for generations to come,” says Jim Murren, chairman and CEO of MGM Resorts International. “The addition of this world-class arena, which will attract new events to the market and enable existing events to grow in scale, is an integral component in that strategy.” The arena is expected to host more than 100 events annually. The property will house multiple locker facilities, dressing rooms, broadcast facilities and staging innovations that will bring sporting and entertainment events to Las Vegas. Additionally, sports architecture firm Populous designed the arena to achieve LEED Gold certification. Upon completion, the arena will feature 50 luxury suites, more than two dozen private boxes and other hospitality offerings that have never been featured in …

WASHINGTON, D.C. — Washington Real Estate Investment Trust (NYSE: WRE) has acquired a 185,000-square-foot office building in Washington, D.C., for $104.5 million. The 11-story building is located at 1775 Eye Street, NW at the intersection of 18th and Eye streets in the central business district. It sits directly across from Farragut West (blue and orange lines) and two blocks from Farragut North (red line) Metro stations. The property was 62 percent leased at the time of sale. It is currently undergoing its second renovation, which includes a modernized lobby, common areas and fitness facility. The building was originally constructed in 1964. It received its first renovation in 1997 when the owner replaced the façade, storefronts and all of the building systems. “Acquiring 1775 Eye Street is yet another example of Washington REIT executing on its stated office strategy acquiring high-quality, well-located urban and metro centric assets,” says Paul McDermott, the REIT’s president and CEO. “This value-add acquisition further increases our downtown footprint at a prime location that provides a tremendous opportunity to create value for our shareholders through effective leasing of this property above its current level.” This is Washington REIT’s third acquisition in downtown Washington, D.C., this year. It …

NEW YORK CITY — Studley, a New York-based real estate brokerage firm specializing in tenant representation, will merge with London-based advisory firm Savills plc in a transaction valued at $260 million. The combined company, to be known as Savills Studley, will have more than 500 locations worldwide. Current Studley Chairman and CEO Mitchell Steir will serve in those same roles for Studley Savills. Studley President Michael Colacino will also retain his position in the new entity. Additionally, Steir and Colacino will share a seat on the Savills group executive board. “This is a great opportunity for us to build on our strong position in the market and benefit from being part of one of the leading global brands in the industry,” says Steir. “Studley and our clients will benefit from being part of an international firm with the ability to capitalize on cross-border opportunities in Europe and Asia.” In addition to brokerage and tenant representation services, Studley provides project management, corporate services and strategic portfolio solutions. Founded in 1954, the company currently has 25 offices nationwide. Savills, established in 1855, operates and maintains offices in North America, South America, Europe, Asia and Africa. Traded on the London Stock Exchange under …

BALTIMORE — KBS Realty Advisors has acquired the Thames Street Wharf office building in Baltimore for $89 million. The trophy-quality waterfront office property is located at 1300 Thames St. KBS acquired the 260,651-square-foot building from Thames Street Wharf LLC, an entity controlled by Michael Beatty, president of Beatty Development Group LLC. Beatty Development Group will serve as the manager of the LEED Gold-certified building. Bo Cashman and Jonathan Beard of CBRE represented the seller in the transaction. “We chose to add Baltimore to our portfolio because the city is in the forefront for the investment community and has the resources to continue its growth as a valuable center for investment,” says Marc DeLuca, president of the KBS Eastern Region. “Thames Street Wharf is a legacy asset and one of the highest-quality office buildings in Baltimore. Along with its location in a strong submarket with tremendous upside, its status as a LEED Gold building further separates it from others and enhances its appeal to tenants seeking efficiency and conservation advantages,” adds DeLuca. Built in 2010, the Thames Street Wharf building was the first building delivered at the 27-acre Harbor Point mixed-use development. The property has floor-to-ceiling glass with scenic harbor views …

ATLANTA — Real estate development firm Jamestown has secured a $180 million construction loan for the Ponce City Market adaptive reuse project, located two miles northeast of downtown Atlanta. PNC Bank provided the loan in partnership with SunTrust and JP Morgan. Ponce City Market is the largest construction loan in post-recession Atlanta, according to Jamestown. Jeff Ackemann and Jonathan Rice with CBRE Debt and Structured Finance Group in Atlanta arranged the loan. Up until now, Jamestown has used its own equity to fund 100 percent of the 1.1 million-square-foot restoration of a former historic Sears, Roebuck & Co. building. The 10-story, 16-acre Ponce City Market is slated for a rolling opening this fall. The ballyhooed project will consist of 330,000 square feet of retail and restaurants, 517,000 square feet of Class A loft office space, and 259 residential units. Signed office tenants of the market include athenahealth, Cardlytics, MailChimp, as well as retailer Binders and The Suzuki School, a preparatory preschool. Restaurants committed to the project include Dub’s Fish Camp and H&F Burger, both led by James Beard Award-winning chefs. Ponce City Market is the largest brick building in the Southeast. Its previous iteration was as Atlanta’s City Hall East. …

HOUSTON — Mattress Firm Holding Corp. (NASDAQ: MFRM) has entered into an agreement to acquire substantially all of the mattress specialty retail assets and operations of Mattress Liquidators Inc., a private company that operates Mattress King retail stores in Colorado and BedMart retail stores in Arizona. The Houston-based mattress retailer will add approximately 75 specialty retail stores in markets where it currently operates — primarily Denver, Phoenix and Tucson, Ariz. The aggregate purchase price is approximately $35 million. The closing of the acquisition is expected to occur by the end of the second fiscal quarter of 2014 and will be funded by cash reserves and revolver borrowings, as well as a $3.5 million seller note that is payable in quarterly installments over two years. “We are excited to further expand our position in the Denver, Phoenix and Tucson markets,” says Steve Stagner, president and CEO of Mattress Firm. “We believe that the acquisition of the Denver stores will allow us to leap into a strong position in that market, building on the foothold established by the acquisition last month of the formerly franchised Mattress Firmstores in Denver. The additional stores in Phoenix and Tucson will supplement the existing base of …

BOCA RATON, FLA. — The Herrick Company has acquired 44 properties throughout the U.S., all of which are triple-net-leased to CVS Caremark (NYSE: CVS), for a purchase price of $190 million. All of the CVS leases have 25 years remaining on the term. “In real estate, there are few investment opportunities as desirable as properties that are leased on a triple-net basis by creditworthy tenants such as CVS,” says Norton Herrick, Herrick’s chairman and CEO. “As we actively seek out additional investment opportunities that fit our requirements, we're intently focused on acquiring this type of stable, non-management-intensive property in the retail, industrial and office sectors.” The debt to finance this acquisition was provided by a consortium of capital sources under a private placement arrangement. Affiliates of The Herrick Company purchased the CVS portfolio from private equity firm Fortress Investment Group LLC. “As demonstrated by this latest transaction, our firm's ability to close quickly on investment targets puts us at a distinct advantage in today's highly competitive marketplace,” continues Herrick, who is best known as a movie producer with such works as 2013’s Lone Solider to his name. The Herrick Company is a real estate investment firm with offices in Boca …

BRENTWOOD, TENN. AND LONG BEACH, CALIF. — Brookdale Senior Living (NYSE: BKD) and HCP Inc. (NYSE: HCP) have formed a new $1.2 billion joint venture to own and operate entry fee continuing care retirement communities (CCRCs). At its inception, the joint venture will own 14 CCRC campuses, the majority of which are located in Florida. Also part of the agreement is the amendment of leases on 202 HCP-owned seniors housing communities that are currently operated by Emeritus Corp. (NYSE: ESC). Brookdale and Emeritus announced their merger in February, and the new agreement is conditioned upon the closing of that merger. “We are very excited about strengthening our relationship with HCP as we partner to create an industry-leading entry fee CCRC joint venture,” says Andy Smith, CEO of Brookdale. “Combining the capital strengths of HCP with Brookdale’s operating platform forms a compelling investment vehicle for our existing entry fee CCRCs and provides for growth in this fragmented asset class.” The joint venture’s 14-campus portfolio will total approximately 7,000 units, broken down as 67 percent independent living, 18 percent skilled nursing, 11 percent assisted living and 4 percent memory care. Brookdale will hold a 51 percent ownership stake while HCP holds the …

SAN FRANCISCO — Columbia Property Trust Inc. (NYSE: CXP) has acquired a 16-story, 387,943-square-foot office tower in San Francisco for $229 million. The Class A, LEED Platinum-certified property is located at 221 Main St. The purchase price includes the company’s assumption of a $73 million interest-only loan secured by the property that matures in May 2017 and bears interest at 3.95 percent. The $155.8 million cash portion of the purchase price was funded from the company’s $500 million unsecured credit facility and cash on hand. The acquisition is expected to increase Columbia’s leverage, based on debt-to-gross real estate assets, from 29.3 percent at the end of the first quarter to approximately 31.5 percent. The office tower is currently 81 percent occupied and is expected to have a first-year, in-place net operating income (NOI) of approximately $7 million. “San Francisco is an important market for us, and over the last two years we have worked to carefully identify acquisitions that could meet our stringent underwriting criteria,” says Nelson Mills, president, CEO and director of Atlanta-based Columbia. “221 Main Street offers a compelling opportunity to expand in one of the better performing submarkets in the country at a substantial discount to replacement …

CHARLESTON, S.C. — Federal Capital Partners (FCP) and Roi-Tan Investments have purchased the Cigar Factory building on Charleston’s Cooper River waterfront for $24 million with plans to convert the site into a mixed-use property. The target date for completion is first-quarter 2015. Taylor Smith and Austin Wilson of the Atlanta office of Lee & Associates, along with Amanda Reeves of the Charleston office, represented the buyer. The seller was TSO Cigar Factory LLC. Constructed in 1882, the vacant building previously was used as office and commercial space. Redevelopment plans call for a transformation of the five-story, 244,000-square-foot building into a mixed-use property that includes office, restaurants, retail and parking. Estimated costs for the building’s redevelopment will exceed $55 million, and both FCP and Roi-Tan will contribute equity capital to the transaction. FCP will also provide mezzanine debt financing. The Cigar Factory in Charleston’s Historic District sits on 4.5 acres at the foot of Ravenel Bridge. The building was constructed in the Victorian-era commercial architecture style and features high, exposed ceilings and views of the river, Ravenel Bridge and the city’s skyline. Roadstead Real Estate Advisors LLC and Palmetto Commercial Properties Inc. are currently pre-leasing the office and retail portions of …