the Editors of Commercial Property Executive
Recap Gives GVA Advantis New Owner, New Home
As part of a recapitalization deal, a Washington, D.C.-based private equity group co-founded and controlled by Jeffrey Neal will take a controlling interest in GVA Advantis, an Atlanta-based commercial real estate services company. In addition, GVA Advantis, which has 15 offices across the Mid-Atlantic states and the Southeast, will now be headquartered in Washington, D.C. Neal is the new chairman of GVA Advantis, and Richard Pogue, former president of Koll Northern California and chairman of CBRE’s Canadian operations, is the new CEO. GVA Advantis employs about 400 people, leases and manages more than 30 million square feet of commercial facilities,…
Heinz Plans $105M Manufacturing Facility in South Carolina
In an effort to catch up to demand for its frozen meals, the Pittsburgh-based H.J. Heinz Co. will develop a new 225,000-square-foot factory in Florence, S.C. The food and condiment company, known around the world for its ketchup, will spend $105 million to complete the facility. Heinz’s new state-of-the-art manufacturing plant will occupy a 49-acre parcel within the 700-acre Pee Dee Touchstone Energy Commerce City, one of the state’s top business and industrial parks. Heinz considered locations in various states before settling on Florence as the manufacturing site to accommodate its Southeast and Northeast distribution centers. Ground is scheduled to…
Management Matters with Mike Myatt: How to Reduce Employee Turnover
Few things in business are as costly and disruptive as unknowingly having the proverbial revolving door for employees from which to exit. While there are many secondary and tertiary items that can influence an employee’s decision to leave, in this week’s column I’ll address the one single factor which constitutes the overarching reason that drives a person’s decision to leave their employer.Let me begin by stating that no company in the world has a 100 percent retention factor if measured over any meaningful length of time. It is also particularly true that today’s global business climate creates a “grass is…
Crestline Buys 17-Hotel Portfolio from Tidewater
Barceló Crestline Corp. has acquired 17 hotels in Virginia and North Carolina. Barceló Crestline, the parent company of Crestline Hotels & Resorts Inc., purchased the properties from Virginia Beach firm Tidewater Hotels & Resorts Inc. The portfolio consists of a total of some 2,400 rooms in 15 hotels In Virginia and two in North Carolina. The purchase also includes a full-service regional laundry facility in Virginia Beach. CB Richard Ellis Inc. represented Barceló Crestline in the transaction. FInancial details of the transaction were not revealed. With this acquisition, expected to be finalized this month, Crestline Hotels becomes the fourth largest…
JV Plans 600,000SF Industrial Project at DFW Airport
In one of the hottest industrial submarkets in the Dallas-Fort Worth area, a joint venture between Dallas-based Jackson-Shaw and Chicago-based ORIX Real Estate Capital breaks ground Wednesday on a multi-phased flex/warehouse project on the borders of Dallas Fort Worth International Airport. The development (pictured) will consist of nine buildings containing nearly 600,000 square feet of space. Phase I includes five buildings with more than 380,000 feet of space. MYCON General Contractors will handle construction and Dallas-based Stream Realty is responsible for leasing. During the first quarter of 2008, a wave of new construction hit the market as developers added nearly…
Financing Set for $760 Million Vegas Hard Rock Expansion
The $760 million expansion at the Hard Rock Hotel & Casino in Las Vegas is under way as Morgans Hotel Group announced today it closed on the financing needed for the major facelift with its equity and joint venture partner, DLJ Merchant Banking Partners. The financing calls for a construction loan of up to $620 million under the Hard Rock’s existing loan facility. Hard Rock has already drawn $96 million and will draw additional amounts as needed, according to a Morgans press release. Under an amended joint venture agreement, DLJ agreed to make additional capital contributions of up to $144…
$150M Mixed-Use Project Kicks Off in Suburban D.C.
Work has gotten underway on North Bethesda Market, a 1.2 million-square-foot mixed-use project in Rockville, Md., about 20 miles from Washington, D.C. The JBG Cos., developer of the $120 million lifestyle center (pictured), is relying on Clark Construction Group to erect the walls and put on the roofs at the multi-structure development. Residential offerings will be the core of North Bethesda Market. Located just a block from a Metro station, the property will feature a 24-story tower with approximately 200 units and a six-story apartment building featuring 210 units. The site will also give rise to a significant amount of…
Tough Times Still Ahead for Banks, Fed’s Kohn Tells Senators
Testifying before the Senate Committee of Banking, Housing and Urban Affairs yesterday, Federal Reserve Bank vice chairman Donald Kohn offered some indications of improvement in the U.S. banking sector, but on the whole painted a somber picture of the short- to mid-term outlook for the industry. Banks have been responding to the economic turmoil touched off by the subprime meltdown last year, he said, but not enough yet. “Over the coming months, we expect banking institutions to continue to face deteriorating loan quality,” Kohn told members of the committee. “House prices are still declining sharply in many localities and losses…
Minneapolis-Area Race Track Mulls Adding Destination Retail
The owners of Canterbury Park, a race track and card club in Shakopee, Minn., have signed a letter of intent with RED Development L.L.C., a Kansas City–based retail developer, to explore the possibilities of adding destination retail to the property. Canterbury Park Holding Corp. and RED will examine the feasibility of a master-planned retail, entertainment and mixed-use development that would be integrated into the existing 400-acre property. The property is currently centered on a one-mile oval dirt race track and a seven-furlong turf course, as well as 34 tables for poker and other casino-type card games. The facility opened in…
Experts Paint Complex Global Picture at REIT Week Finale
The worldwide REIT movement offers vast potential, but cultural gaps continue to present hurdles to true globalization of the industry. That was the perspective offered by an expert panel in New York City this afternoon at the concluding event at the National Association of Real Estate Investment Trust’s annual REIT Week forum for investors. After a difficult period marked by declining stock values, the outlook for REITs is brightening, several panelists told an audience of several hundred at the Waldorf-Astoria hotel. “We still see some very positive light at the end of the tunnel,” noted Jack Foster, managing director &…