SAN FRANCISCO – A portfolio sale that includes Apple’s retail store and Bulgari’s flagship location within San Francisco’s Union Square has closed for a total of $160 million. The buyer was a private, U.S.-based investor. The Bulgari Building is located at One Union Square and 212 Stockton Street. It is a fully leased retail and Class A office building. The property is anchored by Bulgari, though it includes other luxury retail and boutique office tenants like Loro Piana, Lacoste, Vera Wang and Union Square Investments. The Apple store is located at 1 Stockton Street. Other notable tenants within the Union Square neighborhood include Barneys New York, bebe, De Beers, Dior, Ferragamo, Gucci, Hermes, Louis Vuitton, Marc Jacobs, MaxMara, Prada, Saks Fifth Ave and Tumi. The seller, Deka Immobilien, was represented by Savills.
NEW YORK CITY — Brixmor Property Group, a retail landlord owned by private-equity firm Blackstone Group LP, announced today the terms of its initial public offering (IPO). The New York -based company plans to raise $750 million by offering 37.5 million shares at a price range of $19 to $21. At the top end of the expected price range, the REIT would be valued at about $4.61 billion. Brixmor, which first filed for an IPO in July, plans to use proceeds from its offering to repay debt. The company intends to list on the New York Stock Exchange under the symbol “BRX”. Bank of America Merrill Lynch, Citigroup, JP Morgan, Wells Fargo Securities and Barclays are among the lead underwriters for the IPO. To find out more information about Brixmor's portfolio, click here. Brixmor operates the country's largest portfolio of grocery-anchored and neighborhood shopping centers, with 522 properties encompassing 87 million square feet, the company noted its filing with the U.S. Securities and Exchange Commission. The company’s four largest tenants by annualized base rent include Kroger Co., TJX Cos. Inc, Publix Super Markets Inc. and Walmart Stores Inc. Since February 2011, when Blackstone acquired Brixmor for more than $9 billion, …
Speculative construction in Kansas City’s industrial market has exceeded the height of the last boom for a couple of reasons. On a macro level, the economy is improving, so it’s only natural that the local market would follow suit, especially given its logistical advantages. The development of intermodal facilities, the aging stock of existing product combined with no new construction in the past four years — plus a thriving automotive sector — are pushing this new wave of development locally. During the first half of this year, the Kansas City industrial market has absorbed more than 2 million square feet of space, driving down the vacancy rate to 7.5 percent, slightly lower than the historical average of 7.6 percent and down from the peak of 8.4 percent in 2011. We’re likely to experience an increase in vacancy during the next 18 months, however, as six properties totaling slightly more than 2 million square feet deliver. In fact, 2013 will post the most speculative development of the past decade, exceeding 2008’s total of 753,000 square feet. New Logistics, New Product One of the key demand drivers for the latest boom involves the more sophisticated approach to logistics on the part of …
NEW YORK — Boston Properties Inc. (NYSE: BXP) has completed the sale of its 45 percent ownership interest in Times Square Tower for $684 million. An affiliate of Norges Bank acquired the interest on behalf of Norway’s sovereign wealth fund, the Norwegian Government Pension Fund – Global. Times Square Tower is a 1.25 million-square-foot, Class A office tower that includes associated retail space and signage. Developed by Boston Properties and completed in 2004, the building was 99 percent leased at the time of the sale. Mortimer Zuckerman, executive chairman of Boston Properties, told the Wall Street Journal that the company was “extremely pleased to form a new and important relationship with such a strong and reputable organization as Norges Bank, while at the same time once again demonstrating our ability to create and realize value for our shareholders through our development and management expertise.” Boston Properties retains a 55 percent ownership interest, as well as property management and leasing duties following the sale. The REIT formed a joint venture with Norges Bank at the close of the deal. New York City holds the property’s ground lease, the term of which has 76 years remaining. Times Square Tower, which occupies a …
PORTLAND, ORE. — Goodwill Industries of Columbia Willamettehas purchased a 173,395-square-foot industrial building in Portland for $12.6 million. The facility is located at 5950 NE 122nd Ave. Goodwill plans to occupy the building. This new hub will allow it to serve the Gresham, Halsey, Sandy, Powell, Clackamas, Woodstock, Hood River and The Dalles Goodwill stores. The building was previously occupied by Qwest. Goodwill was represented by David L. Ellis of Capacity Commercial Group/CORFACand Dan Bozich of Urban Works Real Estate.The seller, 5950 NE 122nd Ave, LLC, was represented by Don Ossey, Robbie McEachern and Mitch Page, also of Capacity/CORFAC.
PORTLAND, ORE. — Goodwill Industries of Columbia Willamettehas purchased a 173,395-square-foot industrial building in Portland for $12.6 million. The facility is located at 5950 NE 122nd Ave. Goodwill plans to occupy the building. This new hub will allow it to serve the Gresham, Halsey, Sandy, Powell, Clackamas, Woodstock, Hood River and The Dalles Goodwill stores. The building was previously occupied by Qwest. Goodwill was represented by David L. Ellis of Capacity Commercial Group/CORFACand Dan Bozich of Urban Works Real Estate.The seller, 5950 NE 122nd Ave, LLC, was represented by Don Ossey, Robbie McEachern and Mitch Page, also of Capacity/CORFAC.
CHICAGO — Harrison Street Real Estate Capital has completed the sale of a large portfolio of self-storage assets to Public Storage (NYSE: PSA), a publicly traded REIT. Industry sources report the total purchase price was approximately $315 million. The sale represents the largest portfolio transaction to date, surpassing a $300 million sale earlier this year. The portfolio consists of 43 properties in five states and was assembled over time by the firm from 2007-2012. The properties are located in Texas, North Carolina, South Carolina, Virginia and Georgia. At the time of the disposition, the 22,500-unit portfolio was more than 82 percent occupied. The assets were owned in a joint venture with Morningstar Properties and managed under the Morningstar Mini-Storage brand. Public Storage, which is headquartered in Glendale, Calif., is expected to rebrand the properties. “We are extremely pleased with the outcome of this portfolio sale,” says Christopher Merrill, co-founder, president and CEO of Harrison Street, a Chicago-based real estate private equity firm. “The strategy of rolling up our sleeves and working to build a portfolio over time proved to be quite successful for our limited partnerships.” Harrison Street, which was the majority owner, acquired or developed these assets across three …
LONG BEACH, CALIF. AND CHICAGO — Real estate investment trust HCP Inc. (NYSE: HCP) has named former Jones Lang LaSalle Inc. (JLL) executive Lauralee Martin as its new president and CEO. The REIT, one of the heavyweights in the seniors housing industry, owned $21.8 billion in healthcare assets, including seniors housing, life science, hospital and medical office facilities as of June 30. Long Beach-based HCP also elected Michael McKee, 67, the company’s lead director, as non-executive chairman. “The board believes Lauralee is the best choice to provide new leadership for the company and to execute its strategies to enhance long-term value for shareholders,” says McKee. Martin and McKee will replace James Flaherty, who became HCP's chairman and CEO in 2003. In a press release, the REIT stated Flaherty had been terminated, but offered no further details. “Jay was a substantial and successful force behind HCP’s considerable growth for more than a decade, and we wish him continued success,” says McKee. Flaherty will remain a member of the board. In a move to enhance the governance strength of HCP, the board decided to separate the chairman and CEO roles. “This is a pivotal time of challenges, transitions and consolidation for the …
SCOTTSDALE, ARIZ. – Galleria Corporate Centre, a 537,110-square-foot, mixed-use property in Scottsdale, has changed hands. It was acquired by a joint venture between Stockdale Capital Partners and funds managed by Oaktree Capital Management, L.P., for an undisclosed sum. The Class A office and retail center is located at 4301 and 4343 N. Scottsdale Road. It was nearly 90 percent leased at the time of sale. Notable tenants include McKesson Corporation, Yelp, SAP, Sagicor, Scottsdale Culinary Institute and CA Technologies. The seller, JEMB Realty Corporation, was represented by Jim Fijan and Will Mast of CBRE’s Phoenix office.
SCOTTSDALE, ARIZ. – Galleria Corporate Centre, a 537,110-square-foot, mixed-use property in Scottsdale, has changed hands. It was acquired by a joint venture between Stockdale Capital Partners and funds managed by Oaktree Capital Management, L.P., for an undisclosed sum. The Class A office and retail center is located at 4301 and 4343 N. Scottsdale Road. It was nearly 90 percent leased at the time of sale. Notable tenants include McKesson Corporation, Yelp, SAP, Sagicor, Scottsdale Culinary Institute and CA Technologies. The seller, JEMB Realty Corporation, was represented by Jim Fijan and Will Mast of CBRE’s Phoenix office.