Tag Archives: obtains

Brookfield Makes Big Buy in Houston, Obtains 4.2M-SF Houston Center Office/Retail Complex

J.P. Morgan Cashes Out, Sells Five-Building CBD Complex

Continuing to contribute to its Houston holdings, Brookfield Possession Management, an institutional investment company based in Canada, closed on its purchase of Houston Center, a 4.2 million-square-foot workplace and retail complex in downtown Houston from J.P. Morgan Asset Management.

Houston Center is billed as the biggest commercial home in Houston’s central downtown. It covers a 9.2-acre, 6.5-block website and includes five properties along Fannin and McKinney streets and Lamar Ave., consisting of 3 high-rise office towers and a 16-story office building atop 196,000 square feet of retail space. The complex is presently 71.6 percent leased. Significant tenants include LyondellBasell Chemical Co., Norton Rose Fulbright and Haynes and Boone.

Although a sale price was not launched, regional news reports pegged it at $875 million. Brookfield said it prepares to make extensive restorations to the aging property, which was mainly integrated in the 1970s and 1980s.

“The focus of our redevelopment efforts is going to be on enhancing the general tenant experience,” said Travis Overall, executive vice president and head of the Texas area for Brookfield. “Particularly, we wish to broaden and enhance the offering of features and redefine the general public areas-lobbies, skybridges and plazas,” he told Real estate News Report.com.

The seller, J.P. Morgan Property Management, originally owned Houston Center in collaboration with Crescent Real Estate before purchasing out its partner to become the sole owner of Houston Center.

An HFF financial investment advisory group of senior managing director Jeff Hollinden, executive handling directors Scott Galloway and Mark Gibson and senior director Trent Agnew marketed the home on behalf of the seller.

Brookfield is presently renovating the three-building Allen Center workplace complex on the west side of downtown Houston. Brookfield affiliates also own the DoubleTree hotel in downtown Houston along with Total Plaza and Heritage Plaza.

Additional info is available to CoStar subscribers at COMP # 4070846.

Ivanhoé Cambridge Obtains Evergreen Industrial Properties from TPG Real Estate

Financier Interest in ‘Last Mile’ Warehouses Remains Hot as Montreal-based Investor Closes on U.S. Light Industrial Portfolio Owner

Montreal-based Ivanhoé Cambridge made its first significant relocation into the ‘last mile’ storage facility market this week, closing on its purchase of Evergreen Industrial Residence from personal equity financial investment company TPG Real Estate. The investment system of Montreal pension fund advisor Caisse de Depot et Positioning du Quebec announced it plans to purchase more.

Financial terms of the deal were not divulged, although media reports hypothesized the owner/operator of the 16 million-square-foot light industrial portfolio across 150 homes cost roughly $1 billion.

Evergreen, which concentrates on infill, multi-tenant distribution residential or commercial properties measuring less than 250,000 square feet, has buildings in 18 markets, consisting of Seattle, Denver, and Charlotte, Atlanta, Chicago, and Dallas. Such properties are in hot need by investors who see them as serving the ‘last-mile’ distribution channel for online retailers to consumers.

“We began looking at companies in the commercial property sector over two years ago with the intention of making a tactical financial investment in this possession class,” stated Arthur Lloyd, president, Workplace The United States and Canada, at Ivanhoé Cambridge. “Industrial property uses an appealing present return and good diversification for our workplace portfolio in regards to underlying financial chauffeurs. Our company believe we have actually discovered the right fit with Evergreen. We continue to look for chances as we plan to grow our industrial service in the years to come.”

TPG Property developed Evergreen in 2014, seeding the platform with a 7.5 million square foot portfolio acquisition. In May 2014, it purchased a portfolio of 59 properties including 7.48 million square feet from affiliates of Prologis for $375 million about $21/square foot.

That deal was followed in August 2014 with a second portfolio buy from Prologis involving 25 homes amounting to 3 million square feet for $95.1 million or about $32/square foot.

Through 11 distinct acquisitions, Evergreen then went on to obtain an extra 127 residential or commercial properties in 18 target audience. Those offers consisted of 2 big portfolio buys:

A portfolio of 42 properties consisting of 3.42 million square feet purchased in September 2015 from affiliates of Crow Holdings for $162.9 million or about $50/square foot;
A portfolio of 32 residential or commercial properties consisting of 1.66 million square feet purchased in August 2015 from the Fleeman household for $103 million or about $62/square foot.

“In producing Evergreen, we saw an opportunity to develop a platform that was positioned to take advantage of a dynamic sector shift to “last mile” and infill places by light industrial and e-commerce users,” said Avi Banyasz, partner and co-head of TPG Realty.

Graydon Bouchillon, a former executive at Nest Capital and Cobalt Capital, joined Evergreen as its CEO in 2015. Ivanhoé Cambridge got Evergreen’s complete operating platform in addition to its portfolio, and Bouchillon is anticipated to stay on under the company’s brand-new ownership.

On the other hand, other major investors continue to make forays into the light-industrial market. After buying a 55-warehouse portfolio totaling 6 million square feet in April, TPG-rival Blackstone is reported to be thinking about buying another 8.7 million-square-foot commercial portfolio from a DRA Advisors partnership.

That offer reportedly includes 100 light-industrial buildings with a heavy concentration in northern California with the remaining properties located in the St. Louis and Indianapolis markets.

Union Investment Obtains Amazon-Leased Midtown21 Office complex for $330M.

German Financial investment Company Adds Second Building in Seattle Rented to Online Retail Giant

Union Investment recently added to its growing Seattle home portfolio, purchasing the 21-story Midtown21 office building at 1007 Stewart St. for $330.2 million, or around $884 per square foot.

Amazon announced strategies to rent the brand-new 373,000-square-foot building last fall. Union Investment, a property financial investment firm based in Hamburg, Germany, acquired the building from a joint endeavor of MetLife Property and Trammell Crow Co., which established the workplace tower in 2015 in the Denny Triangle within the South Lake Union submarket.

The German investment company stated it plans to transfer Midtown21 to its open-ended real estate fund Unilmmo: Europa, which concentrates on European acquisitions however also gets homes overseas. The fund already owns 2 other office complex and a hotel in Seattle, consisting of the north and south structures developed as Stage VI of Amazon’s headquarters complex at 515 Westlake Ave. In March, Union Investment got the Hilton Garden Inn Hotel, located near the Midtown21 office tower.

“Seattle’s Denny Triangle is currently a first-rate submarket,” stated Willis Kim, Head of U.S. West Coast and Canada for Union Financial investment Real Estate GmbH. “Going forward, the quality of the place will continue to improve, for instance through the expansion of the Washington State Convention Center and substantial investment in local facilities with the extension of the city rail system.”

Todd Tydlaska and Tom Pehl of CBRE marketed the home on behalf of the sellers. Please refer to CoStar COMPS # 3929160 for additional information on this transaction.

Colliers Obtains Miami-Based Home Management Company

In a move to deepen its bench in the strategic South Florida market, Colliers International Group Inc. (Nasdaq: CIGI) announced it has gotten Miami-based commercial property management professional Pointe Group Advisors.

Pointe Group Advisors manages 7 million square feet of office, industrial and retail area in South Florida and brings more than 70 specialists running from two workplaces in the state.

Peter Gardner, who started the company in 2003, will remain on to lead Colliers property management operations in South Florida. Additional details of the transaction were not divulged.

“The integration of Pointe Group Advisors’ extremely skilled team of professionals will not just enhance our regional operations however likewise remain to place Colliers in the region that serves as a vital entrance to Latin America and the world,” stated Craig Robinson, president of Colliers International.

Colliers has actually been aiming to broaden its operations in South Florida. The acquisition will add substantial scale to its operations in the area, particularly in property management, added Karen Whitt, Colliers president of investor services and real estate management services.

While Pointe Group took pleasure in remarkable success as an independent company, “we are increasingly competing in an international environment,” Gardner stated.

Lincoln Apartment Obtains 3 Structures in Downtown Burbank

Purchaser to Market Building to Creative Business Seeking Foothold In Downtown Burbank Submarket

Lincoln Equipment Co. has actually gotten three workplace buildings on nearly a full city block in downtown Burbank, with plans to remodel the buildings and change the three-acre website into a walkable workplace school.

Bought from Kennedy Wilson for a concealed amount, the trio of buildings called the Burbank Collection at 303 and 333 N. Glenoaks Blvd., and 300 E. Magnolia Blvd., represents roughly half the city’s Class A workplace stock of about 740,000 square feet, according a release from Lincoln Property. The structures already house leading companies in the entertainment and imaginative industries, consisting of Cartoon Network and Nickelodeon.

The home of more than 700 home entertainment companies, the Burbank workplace market employs 60,000 individuals wields an outsized influence and is among Southern California strongest company centers regardless of being small relative to nearby market clusters in downtown Los Angeles, the Wilshire District and the Westside.

“We have actually had a very successful performance history establishing innovative office throughout the region and we anticipate changing the Burbank Collection into an active and dynamic campus for technology, media and home entertainment business seeking to locate or broaden in Burbank,” said Lincoln Building executive vice president David Binswanger.

In a task expected to be completed by early next year, Lincoln prepares to make the most of existing open space to renovate the home to reflect the design of the Burbank Town district, converting a loading alley in the middle of the site into a central pedestrian sidewalk that will join brand-new outside decks and terraced dining areas decorated with public art and landscaping.

Lincoln Equipment Business is a leader in establishing Class A workplace throughout the country. In Southern California, the business has actually been particularly successful at attracting top companies to ingenious office buildings.

CBRE represented Lincoln Equipment in the sale. Dallas-based Lincoln has established or had over 100 million square feet of industrial area and over 185,000 multifamily domestic devices in the U.S. and Europe, consisting of Playa Vista on the West Side of L.A., where Lincoln developed the home office for IMAX’s entertainment group.

Likewise in Southern California, Lincoln Property just recently revealed it has actually gotten in into special settlements with the City of Tustin to pursue property development at Cornerstone I at Tustin Legacy, a recommended imaginative office campus would on 37 acres at the southwest edge of the Tustin Legacy master-planned community. Based on its proposal, Lincoln would establish about 760,000 square feet of creative workplace.