the Editors of Commercial Property Executive
Hotel Investors Hold Tight
After the last few years which saw hotel assets trading hands at a breakneck pace, hospitality investors are exhibiting more willingness to hold on to their assets. The “hold” sentiment is the dominant investor strategy—at 38.1 percent– for the first time in five years, according to Jones Lang LaSalle Hotels’ recently released Hotel Investor Sentiment Survey. Net buyers represented 37.1 percent of the respondents. A number of factors are responsible for the shifting sentiment, according to Kristina Paider, senior vice president of Jones Lang LaSalle Hotels. Many hotel owners believe the market will support their pricing expectations, so there is…
West Los Angeles Office Property Added to Aslan Portfolio
Taking advantage of a location surrounded by freeways leading to downtown Los Angeles, Beverly Hills, Santa Monica and the Los Angeles International Airport in the popular West Los Angeles area, Transwestern Investment Co. has picked up Corporate Pointe in Culver City for an undisclosed price. It did so on behalf of Aslan Realty Partners IV L.L.C., a fully-discretionary institutional equity fund. Corporate Pointe consists of two multi-tenant office towers totaling 442,000 square feet in the West Los Angeles submarket. The property is currently more than 93 percent occupied. In-place rents are 24 percent below market, according to Transwestern information. Culver…
Breaking: RER Survey Says Commercial Real Estate Feeling the Strain
Income-producing real estate is feeling the strain of persistent turmoil in the world’s financial markets and the downbeat outlook for the U.S. economy, according to the latest survey of real estate executives by the Real Estate Roundtable, which was released today. Still, a majority of those surveyed expected some improvement in the not-too-distant future. The survey, conducted for the Washington, D.C.-based Roundtable by FPL Advisory Group, polled over 100 upper-level managers in the real estate industry, including CEOs, presidents, board members and other executives to get a C-suite eye-view of the market. The participating executives hailed from across the spectrum…
Former St. Joe Exec Rummell to Head Nicklaus Cos.
Peter Rummell, former CEO of Jacksonville, Fla.-based The St. Joe Co., Florida’s largest private landowner, has been chosen as the new CEO of the North Palm Beach, Fla.-based Nicklaus Cos. Rummell, 62, retired from St. Joe in May and will take over his new position in mid-August, according to the Nicklaus Cos. In addition, Rummell will head the NicklausMilstein Fund, which was formed to capitalize on real estate development and investment opportunities that arise from the Nicklaus golf-course-design business. Nicklaus Design currently has more than 55 courses under construction and projects under development in 44 countries. Nicklaus Companies L.L.C. was…
Chicago’s Allerton Hotel Relaunches after $12M Renovation
The landmark Allerton Hotel on the “Magnificent Mile” of Chicago’s North Michigan Avenue has relaunched following a $12 million renovation. The project included the redesign of all guest rooms and public spaces, the relocation of the front desk from the third floor to its original site on the second floor, and the creation of a new restaurant/bar/lounge known as M Avenue and new ballrooms and meeting spaces. The hotel remained open during the five-month renovation. Andrea Mayer, the Allerton’s general manager, told CPN that the 443-room hotel’s interior décor is “W-esque,” in reference to the chic Starwood brand. She described…
CAP Closes Two Deals in Toronto, Victoria, Canada
Canadian Apartment Properties Real Estate Investment Trust has just wrapped up the acquisition of a 50 percent interest in a 784-unit apartment portfolio from CST Corp. All eight buildings are in the Toronto area, and both the seller and buyer are based in the city. CAP REIT shelled out a total of $45 million to become co-owner of the high-quality portfolio, which boasts an average occupancy level of 98 percent. In addition, the firm has also just taken a 137-unit multi-family in British Columbia for $14 million. The group of multi-family assets includes a four-structure high-rise apartment community with 369…
Rockefeller Plans 1MSF Industrial Park in Florida
Rockefeller Group Development Corp. has purchased 113 acres in Lakeland, Fla., with plans to develop an industrial park on the site. RGDC plans to build an industrial park of over 1 million square feet on the site, targeting specifically large-scale tenants. The company intends to begin development on the site in early 2009. The site of the proposed development is the former USA International Speedway in Lakeland, which is located between Tampa and Orlando. RGDC is marketing the property as an opportunity for businesses to connect to the 8.5 million people in the area surrounding the business park. The site…
New Windsor COO: Get Back to Basics
“You have to get back to basics in a down economy,” says Bill Upshaw, new COO of Windsor Hospitality Group, which is both practicing that philosophy and looking forward to substantial growth over last year in an industry that’s increasingly struggling. A 25-year veteran of the hospitality business, Upshaw was most recently vice president of operations for Benchmark Hospitality. Previous to that, he had held positions at Marriott, Mariner Corp., the Durbin Cos. and Crestline-Barcelo. Windsor Hospitality is an affiliate of Windsor Capital Group, a privately owned hotel ownership and management company with 31 hotels in 13 states and nearly…
SLS Hotel at Beverly Hills Gets $33M in Preferred Equity from Lowe Enterprises Investors
As it nears the November opening of its luxury SLS Hotel at Beverly Hills (pictured), SBE has received $33 million in preferred equity from the Lowe Structured Investment Fund, a discretionary investment fund managed by Lowe Enterprises Investors. A source close to the deal told CPN that the total price tag is roughly $229 million, including acquisition and renovations.“This property is a solid fit with the loan criteria established for our fund,” said Philip Peters, LEI executive vice president and portfolio manager for the fund, which offers mezzanine debt and preferred equity for commercial, residential and hospitality properties in the…
BDO Seidman Inks 121,000SF Lease at 100 Park Avenue
BDO Seidman signed a 15-year lease to occupy 121,400 square feet of office space on three floors at Manhattan’s 100 Park Avenue. The transaction, for which financial terms were not disclosed, raises building occupancy from 67 percent to 80 percent. The 100 Park Avenue building (pictured), owned by SL Green Realty Corp., is nearing completion of a $72 million capital improvement program. The redevelopment includes a new two-story atrium lobby, complete re-cladding of the façade featuring a glass curtain wall along Park Ave., 2,000 new insulated windows, new elevator cabs and infrastructure upgrades. The building is on track to receive…