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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 …

ORLANDO, FLA. ­— Parkway Properties (NYSE: PKY) has acquired One Orlando Centre, a 356,000-square-foot Class A office building in Orlando, and simultaneously restructured the existing first mortgage loan. The purchase price was $62 million, according to the company. The seller was undisclosed. One Orlando Centre, known locally as the Wells Fargo building, is a 19-story office tower in the Orlando central business district. It includes an eight-story structured parking garage. Other onsite amenities include 24-hour security, full-service bank with drive-thru tellers and walk-up ATM, and a café. The property is 81 percent occupied and generates an initial full-year cash net operating income yield of 7 percent. Following this acquisition, Parkway Properties will own approximately 23 percent of the Class A inventory in the submarket in which the tower is located. Parkway has taken ownership of the asset by making an $8 million equity investment. In addition to the equity investment, the existing $68.3 million first mortgage note was restructured into a new $54 million first mortgage and $16.4 million B-note. “The acquisition of One Orlando Centre represents a creatively structured, off-market transaction that enables Parkway to strengthen its portfolio in a targeted submarket at an attractive basis,” says James Heistand, …

SAN FRANCISCO — Cloud computing giant salesforce.com has entered into a lease agreement for 714,000 square feet at the new Salesforce Tower, a 1.4 million-square-foot office building under construction in San Francisco. The 61-story tower is located at 415 Mission St. in the South Financial District and will be the hub of salesforce.com’s urban campus. According to the project’s developer, Boston Properties Inc., a Boston-based real estate investment trust, salesforce.com’s lease is the largest office lease in San Francisco’s history. Boston Properties and its co-development partner, Hines, expect to complete the building in early 2017 for a projected total cost of roughly $1.1 billion. “Salesforce Tower represents an incredible milestone in our company’s history —it will be the heart of our global headquarters in San Francisco,” says Marc Benioff, chairman and CEO of salesforce.com. “We founded salesforce.com in San Francisco 15 years ago, and this expansion of our urban campus represents our commitment to growing in the city.” The tech company, best known for its customer relationship management (CRM) software, will occupy floors 1, 3-30 and 61 in the building, which was formerly known as Transbay Tower. The office tower is pre-certified LEED Platinum and will feature 100 percent outside …

MIAMI — Parkway Properties (NYSE: PKY) has acquired Courvoisier Centre, a 346,000-square-foot office complex in Miami, for $145.8 million. The two-building, Class A complex is located at 501 and 601 Brickell Key Drive on Brickell Key Island in Biscayne Bay, which is 400 feet off the coast of downtown Miami. The seller was an affiliate of Swire Properties. Courvoisier Centre is the only office complex on Brickell Key, an exclusive gated island that contains high-end luxury condominiums and the five-star Mandarin Oriental Hotel and Spa. “The acquisition of Courvoisier Centre supports our strategy of acquiring best-in-class assets within the strongest submarkets across the Sunbelt,” says James Heistand, Parkway's president and CEO. “A heavy emphasis on multifamily development within the Brickell submarket has limited the amount of available supply of Class A office assets, which has enabled Brickell to achieve the highest rental rates in Miami.” The seven-story, 97,087-square-foot Courvoisier Centre I was completed in 1986. The 12-story, 207,489-square-foot Courvoisier Centre II and the adjacent parking garage and 22,084-square-foot retail component were completed in 1990. The complex includes banking facilities, a gourmet grocery, dry cleaner and other retail amenities. Courvoisier Centre underwent a $10 million renovation in 2013. The buildings are …

WASHINGTON, D.C. — First Potomac Realty Trust (NYSE: FPO) has acquired 1401 K Street, a 117,093-square-foot office building in Washington, D.C., for $58 million. The property, also known as The Tower Building, is included in the National Register of Historic Places. Completed in 1929, the 12-story Art Deco structure was 88 percent leased to 22 tenants at the time of the sale. First Potomac’s acquisition included the assumption of $37.3 million in existing secured mortgage debt, while the remainder will be funded through a draw on the company’s revolving line of credit. “We are very pleased to add 1401 K to our portfolio,” says Nicholas Smith, CIO of First Potomac. “This iconic building fits in nicely with our strategic plan to acquire, own and operate high-quality office properties in the Washington, D.C. metropolitan area.” Designed by architect Robert Beresford, 1401 K Street was the first Art Deco building in Washington, D.C. and the tallest high-rise in the city upon its opening. The structure still ranks among the 10 tallest buildings in the city. Located adjacent to Franklin Square, one of D.C.’s largest downtown parks, 1401 K Street offers access to the red, blue and orange Metro lines, as well as …

NAPERVILLE, ILL. — Select Income REIT (NYSE: SIR) has acquired 1415 West Diehl Road, a five-story, Class A office property for approximately $187.5 million, excluding closing costs, in a sale-leaseback transaction. Tellabs Inc., an optical networking firm, entered into a 15-year lease for use of the property as its corporate headquarters. The cap rate, based on current in-place net operating income, including straight-line rents, is approximately 8.7 percent. The property, constructed in 2001 and located in Naperville’s East West Corridor adjacent to Interstate 88, is approximately 820,000 square feet. Its amenities include parking structures, a Starbucks, fitness and convenience centers, and a convenience store. Naperville, located 30 miles west of Chicago, is frequently listed among Money magazine’s “100 Best Places to Live.” It has been awarded the highest bond rating available, the AAA rating, by both Standard & Poor’s and Moody’s for the past 19 years. Select Income REIT, based in Newton, Mass., funded the purchase with cash on hand and borrowings under its unsecured revolving credit facility. “We are excited to have identified and executed this sale-leaseback transaction with a terrific long-term tenant,” says David Blackman, president and COO of Select Income REIT. “1415 West Diehl Road is a …