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ATLANTA — Healthy real estate fundamentals in the U.S. lodging industry are setting the stage for increased capital investment and double-digit gains in profits for hotel owners during the next few years, say researchers. A challenging lending climate for developers also is helping to ensure that supply is held in check. The positive outlook is one of the storylines to emerge from Monday’s opening day of the 24th annual Hunter Hotel Investment Conference at the Marriott Marquis in downtown Atlanta. U.S. hotels rented more guest rooms in 2011 than ever before, according to Hendersonville, Tenn.-based Smith Travel Research. Meanwhile, PKF Hospitality Research observed new records in metro-level lodging demand in 30 of the top 50 markets it tracks. “By anybody’s definition, you would therefore say demand has fully recovered. Other things have not, but the demand side of the equation has fallen into place,” remarked Mark Woodworth, president of Atlanta-based PKF Hospitality Research, during a short presentation on Monday to several hundred conference attendees from across the Southeast. PKF’s forecast calls for revenue per available room (RevPAR) at U.S. hotels to rise 5.8 percent this year, the result of a 1.6 percent increase in occupancy and 4.1 percent gain in …

CLEVELAND — Meridian Capital Group has negotiated $127 million in mortgage financing for Harbor Group International’s 1.26 million-square-foot 200 Public Square, a 41-story office tower located in downtown Cleveland. The property, which was built in 1985, spans an entire block between Superior and Euclid avenues. Amenities include carry out dining, three full-service banks, a Starbucks, conference center, fitness center, convenience store, concierge and various service-oriented retail tenants including a barbershop and an optometrist. Additionally, the building contains an 8-story atrium. “Meridian leveraged its strong relationships with the most active conduit lenders, as well as the strength of the sponsor, to generate significant financing interest in this well-leased, first-class property,” said Ronnie Levine, managing director of Meridian’s New York City office, in a prepared statement. Levine, along with Aaron Birnbaum, also of Meridian’s New York City office, arranged the 10-year CMBS loan through JPMorgan Chase & Co. The proceeds were used to refinance the property’s existing CMBS financing. Levine added, “We ultimately were able to obtain a highly competitive loan structure and craft a financing solution specifically tailored to Harbor Group International’s business plan for the asset.” Harbor Group Management Co. manages the property. Tenants include Accenture, Cliffs Natural Resources, Dix …

WASHINGTON, D.C. — Rockrose Development Corp. has acquired the former Republic Place, a 10-story office tower in Washington, D.C., for $119 million. The company has renamed the building 1776 Eye and unveiled design upgrades for the property. The Class A office building is located at the corner of 18th Street and Eye Street NW, just three blocks from the White House in the heart of Washington's Golden Triangle District. The asking price was $140 million, and the building ultimately sold for $119 million. Washington Republic LLC was the seller. New York-based Rockrose selected architecture firm Leo A. Daly to transform the Class A building, which was built in 1987 and renovated in 2000, into a trophy property. Craig Deitelzweig, head of Rockrose's office division, says design plans are being finalized for a new, two-story glass lobby and relocated state-of-the-art fitness center. Pei Tan of Leo A. Daly will also include his signature glass light fins in the lobby. “Pei worked on the McPherson Building and included glass fins that are lighted from the side and make the whole space glow,” says Deitelzweig. “We're hoping for that same feel here.” The building's amenities also include a rooftop terrace with a bell …

DALLAS — Brookfield Asset Management (NYSE: BAM) and Hillwood, a real estate investment and development company owned by Ross Perot Jr., have entered into a joint venture that anticipates a $1 billion deployment within the first 3 years. “The partnership between Brookfield and Hillwood is not only the right fit, it’s happening at the right time,” said Perot, chairman of Dallas/Fort Worth-based Hillwood. “Industrial development slowed during the downturn due to a lack to equity and debt,” Perot continued. “Given the liquidity and resources supporting our investment, our joint venture is well-positioned to benefit from renewed demand for industrial space, which will increase as the economy continues to show signs of improvement.” Currently, the partnership has an equity commitment of $400 million to acquire, develop and manage industrial properties, primarily large warehouses, across the United States. Brookfield Asset Management is responsible for raising capital. “As long-term, value-oriented real estate investors, we believe this is an excellent time to selectively build a portfolio of high-quality industrial properties, and we look forward to expanding our relationship with Hillwood,” said David Arthur, managing partner at New York City-based Brookfield Asset Management. “This initiative expands the scope of our real estate platform in an …

BOSTON — Boston Properties Inc. (NYSE:BXP), a real estate investment trust, has completed the $615 million acquisition of 100 Federal Street, a 1.3 million-square-foot office tower in Boston’s Financial District. Locals refer to the Class A property as the “Pregnant Building” because of its protruding design. The firm purchased the property from an affiliate of Bank of America, N.A., and is expecting to incur approximately $700,000 in closing costs, which will be expensed in the first quarter of 2012. In addition to the acquisition, Boston Properties entered into a long-term lease agreement with the seller for approximately 787,000 square feet. The 37-story office property is 93 percent leased and features views of the Financial District, Post Office Square Park, the waterfront, Boston Harbor, the Charles River and the Cambridge skyline. It’s situated on an entire 2-acre city block on Federal Street and bounded by Franklin, Congress and Matthews streets. Boston Properties’ portfolio of 153 properties includes Class A office space, one hotel, three residential properties and three retail properties located in Boston, New York City, San Francisco, Washington, D.C., and Princeton, N.J. Approximately 77 percent of Boston Properties’ portfolio is located in CBDs, and the rest is located in suburban …

LONG ISLAND, N.Y. — Savanna has completed a $196 million investment for a majority stake in the 795-unit Atlantic Point, a garden-style apartment and townhome complex located on Long Island. The company will own and recapitalize the property in a venture with Pantzer Properties. Pantzer Properties purchased the property in phases between 2003-2004 from a joint venture between Trammell Crow and JP Morgan. Atlantic Point, which was completed in 2004, includes four swimming pools, three tennis courts, an indoor basketball court and a fitness center. “We look forward to our new partnership in owning this premier property with Pantzer Properties and we are pleased to have had Berkshire and Berkeley Point assist us with our financing needs,” said Nicholas Bienstock, managing partner of New York-based Savanna, in a prepared statement. “This is a Class A multifamily property in a core location with a great in-place property management team.” The partners refinanced the existing debt on the property with a new $169.6 million, 7-year loan, comprised of a $138.6 million Freddie Mac CME first mortgage issued by Berkeley Point Capital and a $31 million mezzanine loan originated by Berkshire Property Advisors. Leverage was reduced by approximately $32 million as part of …

Apple, the iconic information technology company whose products include the popular iPad and iPhone, plans to expand its presence in Austin by investing $304 million in a new campus that will create more than 3,600 new jobs over the next decade, Texas Gov. Rick Perry announced Friday. The planned campus will more than double the size of Apple's workforce in Texas during the next decade, supporting the company's growing operations in the Americas with expanded customer support, sales and accounting functions for the region. In exchange for Apple's commitment to create these new jobs in Texas, the state has offered Apple an investment of $21 million over 10 years through the Texas Enterprise Fund. The agreement is contingent upon the finalization of contracts and a local incentive agreement with the City of Austin and Travis County. The city has proposed incentives of up to $8.6 million. “Apple is known for its bold innovation and game-changing designs,” the governor stated in a press release, “and the expansion of its Austin facility adds to the growing list of visionary high-tech companies that have found that Texas' economic climate is a perfect fit for its future.” The state’s relatively low taxes, reasonable and …

WASHINGTON, D.C. — HFF has arranged a $400 million refinancing for a five-property multi-housing portfolio in the Washington, D.C. and New York metropolitan areas. HFF worked on behalf of Brookfield Real Estate Financial Partners to secure the 7-year, floating-rate loan through M&T, a Fannie Mae DUS lender. Senior Managing Directors Bob Donhauser and Bill Asbill led the HFF team representing Brookfield. Donhauser describes the Class B+ apartment properties as well-located. According to reports, the properties include The Avant in Annadale, Va.; The Amberleigh in Fairfax, Va.; The Edgemoore in Alexandria, Va.; Meridian at Bowie in Bowie, Md.; and Grand Adams in Hoboken, N.J. The properties total 2,600 units with an average 98 percent of occupancy overall. Donhauser says Brookfield chose to refinance now to take advantage of an attractive rate environment. “The deal took about six months,” says Donhauser. “It was straightforward and the properties are well managed. There was great sponsorship.” Brookfield is a global alternative asset manager with approximately $150 billion in assets under management. The company has over a 100-year history of owning and operating assets with a focus on property, renewable power, infrastructure and private equity. — Liz Burlingame

MIAMI — Swire Properties has closed on a $140 million credit facility to fund the operations and initial cost of the development of Brickell CitiCentre, a mixed-use project in the heart of the Brickell financial district in downtown Miami. HSBC Bank USA, N.A., provided the loan. “The location of Brickell CitiCentre offers an excellent opportunity to draw market share from local businesses and residents as well as visitors,” said Martin Cubbon, chief executive of Swire Properties, the U.S. subsidiary of Hong Kong-based Swire Properties, Ltd., in a prepared statement. “We’re confident that Brickell CitiCentre will transform the Brickell neighborhood and become a key urban destination.” The first phase contains approximately 4.3 million square feet, which includes 520,000 square feet of retail space, 800 condominium units in two towers, 243 hotel rooms, 93 serviced apartments, and two 110,000 square feet office towers. Completion is slated for late 2015. For the second phase, a 750,000-square-foot office tower is planned. “We are a highly respected developer in Miami with 30 years of operational experience in the city and strong relationships within the community,” said Cubbon. “Miami’s economy is benefitting from investments by its neighbors from South America, and we see strong growth potential …

SAN FRANCISCO —Zynga Inc., a San Francisco-based online gaming company whose products include Words With Friends and FarmVille, has entered into an agreement to buy its corporate headquarters for $228 million. The office building, which is located at 650 Townsend St. in San Francisco, spans approximately 670,000 square feet. Zynga (NASDAQ: ZNGA) plans to close the transaction in the second quarter. Founded in 2007, the company refers to itself as the world’s leading social game developer with 240 million average monthly users in 175 countries. The seller and current owner of the office property is 650 Townsend Associates, a Delaware-based limited liability company and affiliate of TMG Partners. Zynga will deposit $25 million in escrow in connection with the transaction, which can be retained by the seller if closing conditions are satisfied and Zynga fails to close the transaction. The escrow will be established through Oakland, Calif.-based Chicago Title Co. Zynga currently leases approximately 65 percent of the building. According to the purchase agreement, the office lease with the seller will either terminate or be assigned to an affiliate of Zynga’s at the close of the sale. The seller has retained Jones Lang LaSalle for brokerage services in the transaction, …