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American Realty Advisors Announces Acquisition of Two Industrial Properties in …

Sun, 29 Apr 2012 19:31:05 +0000

GLENDALE, CA, Apr 27, 2012 (MARKETWIRE via COMTEX) –
American Realty Advisors, a leading provider of real estate
investment management services for institutional investors, announced
today the acquisition of two 100% leased quality industrial buildings
located in the Los Angeles MSA. The transactions were executed on
behalf of one of American’s separate account clients to acquire the
properties through a joint venture formed with CT Realty Investors.

Victoria Industrial is a 101,724 SF single-tenant industrial building
located on 4.18 acres of land in the heart of the South Bay
submarket, a prime submarket in the Southern California industrial
market due to its close proximity to the ports of Los Angeles and
Long Beach. The property is conveniently located near the 91, 710,
405 and 110 freeways, and further benefits from its highly-functional
design, including 20 dock-high loading positions, 22-24 foot clear
heights and 7,124 SF of office space.

14300 Bonelli Street is a 133,237 SF, single-tenant industrial
building located on 6.58 acres of land, ideally-situated near the 60
and 605 freeways in the San Gabriel Valley, one of the top-performing
industrial markets in Southern California. The property features a
100-205 foot truck court, 22 foot clear heights, rail access and
6,760 SF of office space.

American’s Chairman and CEO, Stanley L. Iezman, stated, “Backed by
strengthening industrial production in the U.S., in-fill submarkets
within Southern California appear to be positioned for strong
near-term and long-term growth. We believe the acquisition of this
two-property industrial portfolio in one of the nation’s
top-performing industrial MSAs will likely generate superior returns
for our client and is consistent with the firm’s commitment to
enhancing our client’s portfolios with strategically-located
high-quality assets.”

American Realty Advisors
American is an investment advisor
registered with the U.S. Securities and Exchange Commission (SEC)
under the Investment Advisers Act of 1940, as amended, and a leading
provider of real estate investment management services to
institutional investors. With over $4.5 billion* in assets under
management, American has provided real estate investment management
services to institutional investors for over 23 years utilizing core
and value-added commingled funds and separate accounts. The firm’s
portfolios include office, industrial, multi-family, and retail
properties nationwide. Information regarding American can be found
online at
www.americanreal.com .

CT Realty Investors
Since its establishment in 1994, Aliso Viejo,
Calif.-based CT Realty Investors (“CTRI”) has completed more than 220
transactions with value in excess of $2.5 billion through a series of
11 independent discretionary private equity real estate funds and
institutional joint ventures. CTRI continues to invest in
institutional-quality industrial properties, debt instruments and
multi-family properties. CTRI seeks to invest on behalf of its
affiliates in Arizona, Colorado, New Mexico, Nevada, Oregon, Utah,
Washington and California. The focus of CTRI’s investment activities
is to acquire well-located assets in major markets with the potential
to enhance their value through a solid, hands-on management approach.
For further information, contact Carter Ewing at CT Realty Investors
at (949) 330-5777 or visit
www.ctrinvestors.com .

*Assets under management represent approximate gross market value of
all assets and accounts managed by American as of December 31, 2011
which includes cash and cash equivalents and excludes partners’ share
of equity and partners’ share of debt on partnership investments.


        Contact:
        Jay Butterfield
        818.409.3243
        Email Contact

SOURCE: American Realty Advisors


http://www2.marketwire.com/mw/emailprcntct?id=B0A9981906682353

Article source: http://www.marketwatch.com/story/american-realty-advisors-announces-acquisition-of-two-industrial-properties-in-southern-california-2012-04-27

Terreno Realty Prices Equity Offer

Fri, 13 Jan 2012 23:19:45 +0000

Terreno Realty Corporation (TRNO), a real estate investment trust (REIT), has recently announced an equity offer of 4 million shares at $14.25 each to raise cash to increase its liquidity. The company has also decided to grant a 30-day option to the underwriters to purchase an additional 0.6 million shares to cover any over-allotments.

The Goldman Sachs Group, Inc. (GS) – a full-service global investment banking and securities firm, and KeyBanc Capital Markets Inc. – the investment banking division of KeyCorp (KEY), are acting as the joint book-running managers for the offering.

Terreno Realty intends to utilize the proceeds to repay a part of its debt and fund potential acquisitions. Over the years, the company has resisted from pursuing ground-up development or land investments and instead focused on acquiring high-quality assets. The continuous acquisition binge is also part of the long-term strategy of the company to own functional and flexible buildings in infill locations that can be modified to accommodate single and multiple tenants at discounts to replacement cost.

San Francisco-based Terreno Realty owns and operates industrial real estate properties primarily in six major coastal markets of the U.S. These include the high barrier-to-entry markets of Los Angeles, Northern New Jersey/New York City, San Francisco Bay Area, Seattle, Miami and Washington D.C./Baltimore.

Each of the locations in which Terreno Realty has a significant presence is characterized by a well-established transportation network – seaports, airports, highways and railways that are essential for the swift distribution of goods. In addition, available land in these markets is scarce, resulting in steep barriers for the development of new and competing properties.

We have a ‘Neutral’ rating on Terreno Realty, which presently has a Zacks #3 Rank translating into a short-term ‘Hold’ rating.

Read the full analyst report on KEY

Read the full analyst report on GS

Read the full analyst report on TRNO

Article source: http://www.zacks.com/stock/news/67805/Terreno+Realty+Prices+Equity+Offer

Kilroy Acquires CA Office Space

Mon, 26 Sep 2011 12:44:45 +0000

Kilroy Realty Corp. (NYSE:KRC), a real estate investment trust (REIT), has recently acquired an office property in the South of Market district of San Francisco, as part of its long-term strategy to own high-quality assets at below-replacement cost prices in areas that provide strong near-term cash flows and attractive long-term appreciation potential. The company further intends to make certain renovations to the acquired property over time to enhance its value.

Kilroy purchased ‘201 Third Street’ – a 311,455 square foot 12-story office property, for $103.3 million. The building, currently 90% occupied, is strategically located adjacent to the Moscone Center – the largest convention and exhibition complex in the region. In addition, the property offers amenities such as higher finished ceilings, increased natural light and collaborative meeting areas, which are expected to better suit the demands of technology and media tenants of the region.

Furthermore, the property offers superior communication facilities such as the Caltrain – a California commuter rail line on the San Francisco Peninsula and in the Santa Clara Valley (Silicon Valley) in the U.S.; Bay Area Rapid Transit (BART) – a rapid transit system serving the San Francisco Bay Area; and the new Transbay Transit Center – a transportation complex in San Francisco.

With the latest transaction, Kilroy has acquired six office properties year to date in key West Coast submarkets. The aggregate cost of transaction for the purchase of approximately 1.5 million square feet of office space was $516 million. The company is also presently under various stages of negotiation to acquire three more properties for about $163 million.

Kilroy owns, develops and manages a diverse portfolio of office, industrial and multi-purpose real estate properties primarily in the coastal regions of Los Angeles, Orange County, San Diego, greater Seattle and the San Francisco Bay Area. As of June 30, 2011, the company owned 11.5 million rentable square feet of commercial office space and 3.6 million rentable square feet of industrial space.

Kilroy maintains an active multi-year development program focused on the economically dynamic locations characterized by strong long-term demand, limited supply, and high barriers to entry. As such, most of the properties of the company are concentrated in the coastal submarkets of Southern California that offer both a vibrant economic backdrop for businesses and a unique quality of life for their employees.

Currently, we have a ‘Neutral’ recommendation and a Zacks #3 Rank on Kilroy that translates into a short-term ‘Hold’ rating. We also have a ‘Neutral’ recommendation and a Zacks #2 Rank (short-term ‘Buy’) for MPG Office Trust, Inc. (NYSE:MPG), a competitor of Kilroy.

KILROY REALTY (KRC): Free Stock Analysis Report

Article source: http://www.dailymarkets.com/stock/2011/09/21/kilroy-acquires-ca-office-space-2/

Kilroy Acquires CA Office Space

Mon, 26 Sep 2011 12:44:43 +0000

KILROY REALTY (KRC): Free Stock Analysis Report

Article source: http://www.dailymarkets.com/stock/2011/09/21/kilroy-acquires-ca-office-space-2/

Hyatt expands in East Bay

Wed, 08 Jun 2011 15:28:00 +0000

Click photo to enlarge

Hyatt Hotels has bought the Woodfin Suites complex in Emeryville and has re-branded the prominent hotel under the Hyatt Summerfield Suites flag, company officials said Tuesday.

The purchase of the East Bay hotel was part of a $76.5 million deal by Hyatt to snap up three Woodfin Suites hotels in Emeryville, Orange County and the San Diego area.

The 234-room Emeryville hotel was bought for an estimated $31.4 million. That’s based on a price-per-room of $134,000 for the three hotels combined. Hyatt didn’t officially disclose a separate price for the East Bay hotel, which is 11 years old.

“It’s a great buy for Hyatt,” said Alan Reay, president of Irvine-based Atlas Hospitality Group, which tracks the California hotel market. “Hyatt is stepping into some quality assets with all three of these hotels.”

Besides the price, the location of the Emeryville hotel is seen as ideal. The lodging is a short distance from the east end of the Bay Bridge.

“You have a major corporate presence in Emeryville, and it has great proximity to San Francisco,” said Mark Fraioli, a vice president with the hotels division of Jones Lang LaSalle, a commercial realty firm.

When hotel rooms fill up in San Francisco, guests are forced to seek lodging in nearby cities.

“San Francisco creates compression in the hotel market,” Fraioli said. “If you have events or conventions in San Francisco, rooms become less available there.”

The deals also were a

way for Hyatt to expand its footprint, the hotel giant said.

“These properties are great additions to the Hyatt Summerfield Suites portfolio in markets where the brand is not currently represented,” said Steve Haggerty, global head of real estate development for Hyatt Hotels.

At present, Hyatt has 11 hotels of all brands in the Bay Area, including three Summerfield Suites properties, according to the company online site. Four of the Hyatts are in the East Bay and three are in San Francisco, including the iconic Hyatt Regency.

It appears that Hyatt obtained a favorable purchase price, said analysts, who cited value trends for the hotel in Emeryville, which sold for more than $31 million on May 20.

“You can buy hotels at below replacement costs, you can get into strategic markets like the Bay Area,” said Andrea Grigg, a senior vice president with Jones Lang LaSalle.

In 2005, the hotel was valued at $41.1 million based on its financing at that time, according to Reay. In late 2007 or early 2008, at the peak of the commercial real estate bubble, hotels in Emeryville would have been worth $60 million. At present, the cost to build the hotel from scratch would be $50 million, Reay estimated.

“Hyatt Summerfield Suites is almost a quasi-residential concept,” Fraioli said. “Most hotels aren’t built that way. Typically, you would have to start from the ground up. This was a rare opportunity for Hyatt to buy an existing asset that suits their brand.”

The company’s Summerfield brand falls into a Hyatt unit called Hyatt select service. The select group has outperformed the company’s full-service unit.

During the fourth quarter that ended in December, Hyatt select-service generated a 9.5 percent increase in room revenue, while full service was up 3.9 percent.

The addition of the three inns leaves Hyatt with 38 Summerfield Suites hotels.

Customers can expect significant improvements at the new Summerfield Suites in Emeryville and Southern California.

Hyatt intends to undertake a major renovation of all three properties. The hotel company intends to spend $15 million on the three as a group. Hyatt didn’t specify how much of that cash it would deploy in Emeryville.

The seller of the hotels, San Diego-based Hardage Group, used the sales of the properties to pay off $110 million in debt.

“The Emeryville hotel will do really well at the price that Hyatt paid,” Reay said.

Contact George Avalos at 925-977-8477. Follow him at Twitter.com/george_avalos.

Article source: http://www.mercurynews.com/breaking-news/ci_18224893