Ad-Hoc-News - November 28, 2006
The Frankfurt-based DIC Group (Deutsche Immobilien Chancen) has acquired the real estate portfolio from the City of Hamburg, known as Primo 3. It consists of 52 commercial properties with a total floor space of around 176,000 sqm. The properties are located all over Hamburg. The total investment volume is around 205 million euros. The listed DIC Asset AG has a 20% share of the transaction. The transaction is still subject to the approval of the Senate and the Parliament of the Free and Hanseatic City of Hamburg.
80 percent of the portfolio consists of office properties. The remaining 20 percent consists of other types of commercial usage, such as retail and storage area. The vast majority of the properties are let long-term to public authorities and the local authorities of the City of Hamburg. In addition, there are several properties that have a development potential where project developments and refurbishments are concerned.
In the coming years, DIC will successively define the development potentials and will present plans for suitable construction projects. Prime properties in the portfolio include, for example, the centrally located buildings in Dammtorstraße/Große Theaterstraße as well as the local courts and revenue offices in the Wandsbek, Harburg and Bergedorf districts. In future, with its new asset and property management company, DIC will also maintain an office in Hamburg.
Sphere: Related Content
Thursday, November 30, 2006
Wednesday, November 29, 2006
Volkswagen Completes Sale Leaseback of Three North American Distribution Centers
First Industrial Realty Trust Web Site - November 28, 2006
First Industrial Realty Trust, Inc. (NYSE: FR), the nation's largest provider of diversified industrial real estate, today announced that it has completed a sale-leaseback transaction with Volkswagen of America and Volkswagen of Canada. In the transaction, First Industrial acquired a 977,686 square-foot portfolio comprised of three distribution centers that have been leased back to Volkswagen for terms of fifteen years.
Two of the facilities totaling 634,437 square feet located in the Dallas/Fort Worth and Chicago/Milwaukee markets, respectively, were acquired on behalf of the Company's net lease co-investment program. The company also acquired a 343,249 square-foot distribution center in the Toronto, Canada market for its portfolio. Sphere: Related Content
First Industrial Realty Trust, Inc. (NYSE: FR), the nation's largest provider of diversified industrial real estate, today announced that it has completed a sale-leaseback transaction with Volkswagen of America and Volkswagen of Canada. In the transaction, First Industrial acquired a 977,686 square-foot portfolio comprised of three distribution centers that have been leased back to Volkswagen for terms of fifteen years.
Two of the facilities totaling 634,437 square feet located in the Dallas/Fort Worth and Chicago/Milwaukee markets, respectively, were acquired on behalf of the Company's net lease co-investment program. The company also acquired a 343,249 square-foot distribution center in the Toronto, Canada market for its portfolio. Sphere: Related Content
CitiMortgage Closes $45.5 Million Sale Leasback of Office Building Near DC
GlobeSt.com - November 29, 2006
The CitiMortgage office building here has traded hands for $45.5 million. ING Clarion acquired the class B office building for a separate account institutional investor. Grubb & Ellis represented the seller.
Marc DeLuca, senior vice president at ING Clarion, tells GlobeSt.com that CitiMortgage, a business unit of Citigroup, arranged a sale-leaseback as part of the transaction. The company signed a 10-year lease at $14.50 triple net, DeLuca says. CitiMortgage employees occupy the entire 210,471-sf, two-story building located at 5280 Corporate Dr. in the Westview Corporate Center. The building is a hub that handles mortgage lending and services in the southeast. Sphere: Related Content
The CitiMortgage office building here has traded hands for $45.5 million. ING Clarion acquired the class B office building for a separate account institutional investor. Grubb & Ellis represented the seller.
Marc DeLuca, senior vice president at ING Clarion, tells GlobeSt.com that CitiMortgage, a business unit of Citigroup, arranged a sale-leaseback as part of the transaction. The company signed a 10-year lease at $14.50 triple net, DeLuca says. CitiMortgage employees occupy the entire 210,471-sf, two-story building located at 5280 Corporate Dr. in the Westview Corporate Center. The building is a hub that handles mortgage lending and services in the southeast. Sphere: Related Content
Merrill Lynch Mulls $1.17 Billion Sale Leaseback of London HQ
Reuters - November 29, 2006
Merrill Lynch is in talks with a number of potential parties about a possible sale and leaseback of its headquarters in the City of London, a source familiar with the matter said on Wednesday.
The building at 2 King Edward Street is close to London's St Paul's Cathedral and near to the London Stock Exchange. It was completed in 2001. UK real estate magazine Property Week estimated the sale and leaseback deal could be worth 600 million pounds ($1.17 billion).
Other big companies have carried out sale and lease back transactions, which enable them to make more efficient use of capital. Sphere: Related Content
Merrill Lynch is in talks with a number of potential parties about a possible sale and leaseback of its headquarters in the City of London, a source familiar with the matter said on Wednesday.
The building at 2 King Edward Street is close to London's St Paul's Cathedral and near to the London Stock Exchange. It was completed in 2001. UK real estate magazine Property Week estimated the sale and leaseback deal could be worth 600 million pounds ($1.17 billion).
Other big companies have carried out sale and lease back transactions, which enable them to make more efficient use of capital. Sphere: Related Content
Tuesday, November 28, 2006
Cost Plus Completes $53 Million Sale leaseback of Distribution Center in VA
SEC Edgar Database - November 27, 2006
On October 26, 2006, Cost Plus, Inc. entered into a Purchase and Sale Agreement with Inland Real Estate Acquisitions, Inc. Pursuant to the Purchase Agreement, the Company will sell the property located at 12300 Dominion Way, Windsor, Virginia, to Inland. The property consists of approximately 84 acres and includes a distribution facility of approximately 1,000,000 square feet. The Company anticipates that the closing date will be on, or around, December 15, 2006. The purchase price for the Property will be $52,275,000.
In connection with Inland’s purchase of the Property, the Company intends to enter into a lease agreement with Inland, as lessor, and the Company, as lessee (the “Lease Agreement”) that will become effective simultaneously with the closing of the Purchase Agreement. Pursuant to the Lease Agreement, the Company will lease the Property described above, including the distribution facility.
(On April 7, 2006, Cost Plus reportedly entered into a 20 year sale leaseback transaction with Inland Real Estate Acquisitions, Inc. involving its 500,000 square foot Stockton, CA distribution center at a cap rate of 7.2%.) Sphere: Related Content
On October 26, 2006, Cost Plus, Inc. entered into a Purchase and Sale Agreement with Inland Real Estate Acquisitions, Inc. Pursuant to the Purchase Agreement, the Company will sell the property located at 12300 Dominion Way, Windsor, Virginia, to Inland. The property consists of approximately 84 acres and includes a distribution facility of approximately 1,000,000 square feet. The Company anticipates that the closing date will be on, or around, December 15, 2006. The purchase price for the Property will be $52,275,000.
In connection with Inland’s purchase of the Property, the Company intends to enter into a lease agreement with Inland, as lessor, and the Company, as lessee (the “Lease Agreement”) that will become effective simultaneously with the closing of the Purchase Agreement. Pursuant to the Lease Agreement, the Company will lease the Property described above, including the distribution facility.
(On April 7, 2006, Cost Plus reportedly entered into a 20 year sale leaseback transaction with Inland Real Estate Acquisitions, Inc. involving its 500,000 square foot Stockton, CA distribution center at a cap rate of 7.2%.) Sphere: Related Content
Office Depot Agrees to $210 Million Build-to-Suit of New HQ in Boca Raton FL
CoStar Group - November 27, 2006
Flagler|Codina Development Group broke ground on November 20 on a three-building campus that will become the new global headquarters of Office Depot Inc. (NYSE:ODP). The three buildings will each measure 208,077 square feet, totaling 625,000 square feet, and will be at 660 N. Military Trail in Boca Raton, FL.
The company is currently headquartered in Delray Beach, FL and Flagler|Codina is helping it to stay in Palm Beach County in what is 2006's largest build-to-suit thus far (in the entire United States). The new facility will be in the northern half of Boca Raton's 54-acre Arvida Park of Commerce and is scheduled to complete in 2008.
Office Depot is currently headquartered on a three-building campus a few miles away at 2100-2300 S. Congress Ave. and 2200 Old Germantown Road in Delray Beach. An advantage offered by the new campus is that the buildings will be connected by a glass atrium, whereas the current headquarters consists of three buildings that stand alone.
Office Depot signed a 15-year lease with the landlord, an 80-20 joint venture between pension fund giant TIAA-CREF and Flagler|Codina (TIAA-CREF is the majority partner). It has been reported that Office Depot will receive up to $16.7 million in state and county incentives to stay in Palm Beach County, and that 580 new jobs will be added with the creation of the new facility.
The price tag was estimated in August at $210 million. Sphere: Related Content
Flagler|Codina Development Group broke ground on November 20 on a three-building campus that will become the new global headquarters of Office Depot Inc. (NYSE:ODP). The three buildings will each measure 208,077 square feet, totaling 625,000 square feet, and will be at 660 N. Military Trail in Boca Raton, FL.
The company is currently headquartered in Delray Beach, FL and Flagler|Codina is helping it to stay in Palm Beach County in what is 2006's largest build-to-suit thus far (in the entire United States). The new facility will be in the northern half of Boca Raton's 54-acre Arvida Park of Commerce and is scheduled to complete in 2008.
Office Depot is currently headquartered on a three-building campus a few miles away at 2100-2300 S. Congress Ave. and 2200 Old Germantown Road in Delray Beach. An advantage offered by the new campus is that the buildings will be connected by a glass atrium, whereas the current headquarters consists of three buildings that stand alone.
Office Depot signed a 15-year lease with the landlord, an 80-20 joint venture between pension fund giant TIAA-CREF and Flagler|Codina (TIAA-CREF is the majority partner). It has been reported that Office Depot will receive up to $16.7 million in state and county incentives to stay in Palm Beach County, and that 580 new jobs will be added with the creation of the new facility.
The price tag was estimated in August at $210 million. Sphere: Related Content
Sunday, November 26, 2006
Sainsbury Nets £29.8 Million in Forward Sale of B&Q DIY Store in Derby
Porterfield Public Relations - November 24, 2006
Sainsbury’s, advised by Capital Retail, has forward sold the freehold of its retail warehouse development at Osmaston Park Road, Derby to a private syndicate for £29,805,000, reflecting a net initial yield of 4.6%.
The property will comprise a 103,500 sq ft (9,615 sq m) DIY store, which has been pre-let to B&Q plc on a 20-year lease, from practical completion, at an initial rent of £1,450,000 pa. Practical completion of the scheme is scheduled for autumn 2007.
Michael Comley, partner of Capital Retail’s London office which sourced the development site and the tenant (B&Q), comments: “This deal reflects debt driven private syndicate investors’ continued appetite for low risk investments with long lease terms and strong covenants.”
Sainsbury’s purchased the site, which originally housed a Midlands Co-operative Society supermarket and dairy, in 2003. The supermarket was rebranded to a J Sainsbury’s and the balance of the land was held with an option subject to planning. Cushman & Wakefield advised the purchaser. Sphere: Related Content
Sainsbury’s, advised by Capital Retail, has forward sold the freehold of its retail warehouse development at Osmaston Park Road, Derby to a private syndicate for £29,805,000, reflecting a net initial yield of 4.6%.
The property will comprise a 103,500 sq ft (9,615 sq m) DIY store, which has been pre-let to B&Q plc on a 20-year lease, from practical completion, at an initial rent of £1,450,000 pa. Practical completion of the scheme is scheduled for autumn 2007.
Michael Comley, partner of Capital Retail’s London office which sourced the development site and the tenant (B&Q), comments: “This deal reflects debt driven private syndicate investors’ continued appetite for low risk investments with long lease terms and strong covenants.”
Sainsbury’s purchased the site, which originally housed a Midlands Co-operative Society supermarket and dairy, in 2003. The supermarket was rebranded to a J Sainsbury’s and the balance of the land was held with an option subject to planning. Cushman & Wakefield advised the purchaser. Sphere: Related Content
Thursday, November 23, 2006
Sterling Bank Enters $28.3 Million Sale Leaseback of 16 Bank Branches
CoStar Group - November 21, 2006
Sterling Bank, a Houston-based banking corporation wholly owned by Sterling Bancshares Inc., entered into a definitive agreement to sell 16 properties to First States Group LP, an affiliate of American Financial Realty Trust.
The 16 properties have not been disclosed. Sterling Bank has locations in Houston, Dallas and San Antonio. The total purchase price is $28.3 million. Sterling Bank will enter into a separate lease agreement for each of the 16 properties under which it will continue to utilize those properties.
Closing of the transaction is expected to occur by Dec. 15. Newmark Southern Region LLC is brokering the deal for Sterling Bank. Sphere: Related Content
Sterling Bank, a Houston-based banking corporation wholly owned by Sterling Bancshares Inc., entered into a definitive agreement to sell 16 properties to First States Group LP, an affiliate of American Financial Realty Trust.
The 16 properties have not been disclosed. Sterling Bank has locations in Houston, Dallas and San Antonio. The total purchase price is $28.3 million. Sterling Bank will enter into a separate lease agreement for each of the 16 properties under which it will continue to utilize those properties.
Closing of the transaction is expected to occur by Dec. 15. Newmark Southern Region LLC is brokering the deal for Sterling Bank. Sphere: Related Content
National R.V. Holdings Signs $33.5 Million Sale Leaseback of CA Facility
National RV Holdings Web Site - November 22, 2006
National R.V. Holdings, Inc. (NYSE: NVH), the owner of leading RV manufacturers National RV, Inc. and Country Coach, Inc., today announced that it has entered into an agreement to sell and leaseback its Perris, California property to Warrior Holdings, Inc., the owner of Weekend Warrior.
At closing, the transaction will infuse $33.5 million of capital into the Company enabling it to, among other actions, substantially reduce the outstanding balance on its working capital line of credit. The company encountered financial challenges earlier this year when National RV received defective fiberglass that it used to construct sidewalls on at least 72 motorhomes.
Under the terms of the agreement the sales price is $33.5 million, and calls for the Company to enter into a 10-year, triple-net lease with approximately $2.7 million in annual lease payments, which increase 3% per year. The lease will include two 5-year renewal options. The agreement provides for customary closing conditions, including a due diligence period by the buyer through December 18, 2006 with closing scheduled to occur on or about December 21, 2006. Sphere: Related Content
National R.V. Holdings, Inc. (NYSE: NVH), the owner of leading RV manufacturers National RV, Inc. and Country Coach, Inc., today announced that it has entered into an agreement to sell and leaseback its Perris, California property to Warrior Holdings, Inc., the owner of Weekend Warrior.
At closing, the transaction will infuse $33.5 million of capital into the Company enabling it to, among other actions, substantially reduce the outstanding balance on its working capital line of credit. The company encountered financial challenges earlier this year when National RV received defective fiberglass that it used to construct sidewalls on at least 72 motorhomes.
Under the terms of the agreement the sales price is $33.5 million, and calls for the Company to enter into a 10-year, triple-net lease with approximately $2.7 million in annual lease payments, which increase 3% per year. The lease will include two 5-year renewal options. The agreement provides for customary closing conditions, including a due diligence period by the buyer through December 18, 2006 with closing scheduled to occur on or about December 21, 2006. Sphere: Related Content
Retailer C&A Completes $93 Million Sale Leaseback of Brazillian Store Portfolio
Valor Economico reports that Department store chain C&A, controlled by the private equity firm Cofra, has completed the sale leaseback of 30 stores in Brazil to Comercial Progressivo II, a real estate fund structured by Brazilian Mortgages and managed by Ourinvest. Investors in the fund include Canadian fund PSP Investments. The sale leaseback is reported to be R$200 million ($93 million) and is said to be part of Cofra`s strategy to pull out from the Brazilian real estate market.
Sphere: Related Content
Sterling Bank Agrees to $28.3 Million Sale Leaseback 16 Branches in TX
CoStar Group - November 21, 2006
Sterling Bank, a Houston-based banking corporation wholly owned by Sterling Bancshares Inc., entered into a definitive agreement to sell 16 properties to First States Group LP, an affiliate of American Financial Realty Trust. The 16 properties have not been disclosed. Sterling Bank has locations in Houston, Dallas and San Antonio. The total purchase price is $28.3 million.
Sterling Bank will enter into a separate lease agreement for each of the 16 properties under which it will continue to utilize those properties. Closing of the transaction is expected to occur by Dec. 15. Newmark Southern Region LLC is brokering the deal for Sterling Bank. Sphere: Related Content
Sterling Bank, a Houston-based banking corporation wholly owned by Sterling Bancshares Inc., entered into a definitive agreement to sell 16 properties to First States Group LP, an affiliate of American Financial Realty Trust. The 16 properties have not been disclosed. Sterling Bank has locations in Houston, Dallas and San Antonio. The total purchase price is $28.3 million.
Sterling Bank will enter into a separate lease agreement for each of the 16 properties under which it will continue to utilize those properties. Closing of the transaction is expected to occur by Dec. 15. Newmark Southern Region LLC is brokering the deal for Sterling Bank. Sphere: Related Content
Wednesday, November 22, 2006
BAE Systems Completes £94 Million Sale Leaseback of R&D Campus in Edinburgh
Scotsman.com November 21, 2006
BAE Systems has sold its former industrial and laboratory complex in north Edinburgh for £94 million to a syndicate of private investors in a sale-and-leaseback deal.
The two buildings, Crewe Toll West and East, cover more than 439,000sq ft of office, laboratory and industrial space. The sale reflected a net initial yield of just over 5 per cent. The current rent for both properties is about £5m a year. BAE Systems Electronics will let the buildings until November 2024, with rent increases capped at 3 per cent above the retail price index.
LaSalle Investment Management, which sold the property on behalf of BAE Systems Pension Fund Trustees Ltd, said the funds would immediately be reinvested into industrial assets, as well as alternative sectors, such as car parks.
Earlier this year BAE Systems transferred property worth £242m to its pension fund including the Crewe Toll buildings, along with £110m cash, to help plug a deficit of more than £4 billion. Sphere: Related Content
BAE Systems has sold its former industrial and laboratory complex in north Edinburgh for £94 million to a syndicate of private investors in a sale-and-leaseback deal.
The two buildings, Crewe Toll West and East, cover more than 439,000sq ft of office, laboratory and industrial space. The sale reflected a net initial yield of just over 5 per cent. The current rent for both properties is about £5m a year. BAE Systems Electronics will let the buildings until November 2024, with rent increases capped at 3 per cent above the retail price index.
LaSalle Investment Management, which sold the property on behalf of BAE Systems Pension Fund Trustees Ltd, said the funds would immediately be reinvested into industrial assets, as well as alternative sectors, such as car parks.
Earlier this year BAE Systems transferred property worth £242m to its pension fund including the Crewe Toll buildings, along with £110m cash, to help plug a deficit of more than £4 billion. Sphere: Related Content
Random House HQ in Manhattan sold for $509 Million
CoStar Group - November 21, 2006
The Witkoff Group will be adding another New York City office to its holdings. The buzz is that the New York real estate investment firm has just landed the 675,000-square-foot office at 1745 Broadway that serves as the world headquarters for publishing giant Random House for $509 million, or roughly $754 per square foot.
The leasehold office condo at Broadway and 56th Street was put on the market by Jamestown recently. Douglas Harmon of Eastdil Secured marketed the property for sale. He also handled the $1.52 billion sale of 1211 Avenue of the Americas and the $1.25 billion sale of 1290 Avenue of the Americas for Jamestown earlier this year.
The 50-story property is a mixed-use building with 25 floors of residential space and 90,000 square feet of retail space. The sale only included the office component, floors two through 25, which Bertelsmann AG leases on behalf of Random House on a triple-net lease that runs until 2018.
The Related Cos. developed the property in 2001. Jamestown acquired the office portion in 2003 for $297 million or $458.33 per square foot in a sale-leaseback with Bertelsmann. The German media giant has the option to extend the lease by another 20 years.
The sale is part of Jamestown's new strategy to monetize some of its core holdings and pursue more opportunistic investments, targeting markets in the Southeast. Sphere: Related Content
The Witkoff Group will be adding another New York City office to its holdings. The buzz is that the New York real estate investment firm has just landed the 675,000-square-foot office at 1745 Broadway that serves as the world headquarters for publishing giant Random House for $509 million, or roughly $754 per square foot.
The leasehold office condo at Broadway and 56th Street was put on the market by Jamestown recently. Douglas Harmon of Eastdil Secured marketed the property for sale. He also handled the $1.52 billion sale of 1211 Avenue of the Americas and the $1.25 billion sale of 1290 Avenue of the Americas for Jamestown earlier this year.
The 50-story property is a mixed-use building with 25 floors of residential space and 90,000 square feet of retail space. The sale only included the office component, floors two through 25, which Bertelsmann AG leases on behalf of Random House on a triple-net lease that runs until 2018.
The Related Cos. developed the property in 2001. Jamestown acquired the office portion in 2003 for $297 million or $458.33 per square foot in a sale-leaseback with Bertelsmann. The German media giant has the option to extend the lease by another 20 years.
The sale is part of Jamestown's new strategy to monetize some of its core holdings and pursue more opportunistic investments, targeting markets in the Southeast. Sphere: Related Content
German State of Hesse Completes EUR 770 Million Sale Leaseback
CA Immo Web Site - November 20, 2006
CA Immo has acquired an extensive portfolio from the German state of Hesse. Most of the properties are located within the booming Rhine/Main region.
CA Immo has invested around Euro 770 million in the German portfolio, consisting of 36 properties with 170 buildings and encompassing a total floor space of 450,000 m2 and 6,200 car parking spaces. The properties are designated for a combination of purposes, mostly as office, administration and government buildings. The state of Hesse will remain as the primary tenant. The annual rental earnings amount to around Euro 42 million and the minimum lease lengths range from 2 to 30, the majority being long-term contracts. Sphere: Related Content
CA Immo has acquired an extensive portfolio from the German state of Hesse. Most of the properties are located within the booming Rhine/Main region.
CA Immo has invested around Euro 770 million in the German portfolio, consisting of 36 properties with 170 buildings and encompassing a total floor space of 450,000 m2 and 6,200 car parking spaces. The properties are designated for a combination of purposes, mostly as office, administration and government buildings. The state of Hesse will remain as the primary tenant. The annual rental earnings amount to around Euro 42 million and the minimum lease lengths range from 2 to 30, the majority being long-term contracts. Sphere: Related Content
Tuesday, November 21, 2006
Capio Nears £730 Million Sale Leaseback of 21 UK Hospitals
The Sunday Times - November 19, 2006
APAX Partners and Nordic Capital are understood to be in detailed talks to sell 21 of Britain’s best-known private hospitals to an investment club for an estimated £730m. The club’s investors comprise Sir Tom Hunter, the Scottish retail tycoon, Nick Leslau, the property entrepreneur, HBOS, the bank, and Baugur, the Icelandic group that counts House of Fraser and Hamleys among its investments.
The properties represent the bulk of the UK freehold and long-leasehold properties owned by Capio, the Swedish healthcare company the two private-equity firms agreed to buy for £1.2 billion last month. The transaction would represent one of the biggest sale-and-leaseback deals executed in the UK.
The portfolio includes the Capio Nightingale Hospital on Lisson Grove, northwest London, best known for treating the drug and alcohol addictions of the rich and famous. If the deal goes ahead, the purchasers are considering injecting the portfolio into a £2.5 billion tax-efficient real- estate investment trust (Reit), which could be launched in the first half of next year.
The investor club is understood to have hired Morgan Stanley to advise on the creation of the Reit. It is considering injecting portfolios of property worth £120m from Southern Cross nursing homes, £600m from Punch Taverns, and £500m from Travelodge hotels into the Reit. It is likely to be registered in Luxembourg, but listed in the UK. The assets would benefit from having secure 30-year property leases in place, with fixed rental rises.
Apax and Nordic Capital, which are advised by NM Rothschild and Deutsche Bank, and the investment club declined to comment. Sphere: Related Content
APAX Partners and Nordic Capital are understood to be in detailed talks to sell 21 of Britain’s best-known private hospitals to an investment club for an estimated £730m. The club’s investors comprise Sir Tom Hunter, the Scottish retail tycoon, Nick Leslau, the property entrepreneur, HBOS, the bank, and Baugur, the Icelandic group that counts House of Fraser and Hamleys among its investments.
The properties represent the bulk of the UK freehold and long-leasehold properties owned by Capio, the Swedish healthcare company the two private-equity firms agreed to buy for £1.2 billion last month. The transaction would represent one of the biggest sale-and-leaseback deals executed in the UK.
The portfolio includes the Capio Nightingale Hospital on Lisson Grove, northwest London, best known for treating the drug and alcohol addictions of the rich and famous. If the deal goes ahead, the purchasers are considering injecting the portfolio into a £2.5 billion tax-efficient real- estate investment trust (Reit), which could be launched in the first half of next year.
The investor club is understood to have hired Morgan Stanley to advise on the creation of the Reit. It is considering injecting portfolios of property worth £120m from Southern Cross nursing homes, £600m from Punch Taverns, and £500m from Travelodge hotels into the Reit. It is likely to be registered in Luxembourg, but listed in the UK. The assets would benefit from having secure 30-year property leases in place, with fixed rental rises.
Apax and Nordic Capital, which are advised by NM Rothschild and Deutsche Bank, and the investment club declined to comment. Sphere: Related Content
Monday, November 20, 2006
B&Q Seeking £71 Million Sale Leaseback of UK Distribution Center
Property Week reports that UK based DIY chain B&Q has appointed Savills to market its 650,000 square foot warehouse distribution center in Worksop. B&Q is reportedly seeking £71 million for the warehouse subject to a 20 year leaseback agreement.
Sphere: Related Content
Sunday, November 19, 2006
Sydney Water Awards $100 Million Build-to-Suit of HQ Offices in Sydney
Multiplex Group Web Site - November 17, 2006
Multiplex Group today announced that it has been selected as the preferred bidder for the Sydney Water corporate headquarters in Parramatta, western Sydney. The project is valued in excess of $100 million and is subject to finalising negotiations with Sydney Water. Multiplex will develop, design, construct and manage the building.
The project will comprise 23,000 sqm of ‘A’ Grade office accommodation across 15 storeys. It will also include 340 sqm of retail space, along with 254 on-site car parking spaces and a further 100 off-site spaces. Sydney Water will fully occupy the building, which will be designed to provide environmental performance in excess of its 5 GreenStar rating. Multiplex will manage the completed asset for a 15 year period and retain ownership through one of its managed funds.
Designed to achieve a high standard in design, workplace efficiency and environmental sustainability, the building will incorporate a range of innovative features, including an on-site water recycling plant, chilled beam cooling and optimal floor plate sizes of 1,600 sqm. Construction is expected to begin in March, 2007, with completion in early 2009. Sphere: Related Content
Multiplex Group today announced that it has been selected as the preferred bidder for the Sydney Water corporate headquarters in Parramatta, western Sydney. The project is valued in excess of $100 million and is subject to finalising negotiations with Sydney Water. Multiplex will develop, design, construct and manage the building.
The project will comprise 23,000 sqm of ‘A’ Grade office accommodation across 15 storeys. It will also include 340 sqm of retail space, along with 254 on-site car parking spaces and a further 100 off-site spaces. Sydney Water will fully occupy the building, which will be designed to provide environmental performance in excess of its 5 GreenStar rating. Multiplex will manage the completed asset for a 15 year period and retain ownership through one of its managed funds.
Designed to achieve a high standard in design, workplace efficiency and environmental sustainability, the building will incorporate a range of innovative features, including an on-site water recycling plant, chilled beam cooling and optimal floor plate sizes of 1,600 sqm. Construction is expected to begin in March, 2007, with completion in early 2009. Sphere: Related Content
Schwarz Gruppe Completes EUR 1 Billion Sale Leaseback of 250 Lidl Stores
NAMNEWS - November 17, 2006
German retail group Schwarz Gruppe, the holding company for Lidl and Kaufland, is reportedly selling E300m worth of properties in order to reduce its debts (estimated at E15bn). The report in the Financial Times Deutschland said the group is selling eight Kaufland across Germany for around E150m. It has recently sold around 250 Lidl properties in Switzerland and Germany for E1bn to Australian financial investment company Babcock & Brown and leased back the same.
Schwarz has been growing rapidly for years, but foreign expansion is slowing, and it is believed that Lidl has stopped expansion plans for Bulgaria, Romania, Serbia, Ukraine, Russia and the Baltic states. Its non-food-related business has also experienced difficulties, with items such as irons no longer selling, resulting in left over stock worth several hundred million euros' worth has had to be written off. Sphere: Related Content
German retail group Schwarz Gruppe, the holding company for Lidl and Kaufland, is reportedly selling E300m worth of properties in order to reduce its debts (estimated at E15bn). The report in the Financial Times Deutschland said the group is selling eight Kaufland across Germany for around E150m. It has recently sold around 250 Lidl properties in Switzerland and Germany for E1bn to Australian financial investment company Babcock & Brown and leased back the same.
Schwarz has been growing rapidly for years, but foreign expansion is slowing, and it is believed that Lidl has stopped expansion plans for Bulgaria, Romania, Serbia, Ukraine, Russia and the Baltic states. Its non-food-related business has also experienced difficulties, with items such as irons no longer selling, resulting in left over stock worth several hundred million euros' worth has had to be written off. Sphere: Related Content
Capio Considering £730 Million Sale Leaseback of 21 UK Hospitals & Clinics
Sunday Times - November 19, 2006
APAX Partners and Nordic Capital are understood to be in detailed talks to sell 21 of Britain’s best-known private hospitals to an investment club for an estimated £730m. The transaction would represent one of the biggest sale-and-leaseback deals executed in the UK.
The club’s investors comprise Sir Tom Hunter, the Scottish retail tycoon, Nick Leslau, the property entrepreneur, HBOS, the bank, and Baugur, the Icelandic group that counts House of Fraser and Hamleys among its investments.
The properties represent the bulk of the UK freehold and long-leasehold properties owned by Capio, the Swedish healthcare company the two private-equity firms agreed to buy for £1.2 billion last month. The portfolio includes the Capio Nightingale Hospital on Lisson Grove, northwest London, best known for treating the drug and alcohol addictions of the rich and famous.
If the deal goes ahead, the purchasers are considering injecting the portfolio into a £2.5 billion tax-efficient real- estate investment trust (Reit), which could be launched in the first half of next year. The investor club is understood to have hired Morgan Stanley to advise on the creation of the Reit. It is considering injecting portfolios of property worth £120m from Southern Cross nursing homes, £600m from Punch Taverns, and £500m from Travelodge hotels into the Reit.
It is likely to be registered in Luxembourg, but listed in the UK. The assets would benefit from having secure 30-year property leases in place, with fixed rental rises. Sphere: Related Content
APAX Partners and Nordic Capital are understood to be in detailed talks to sell 21 of Britain’s best-known private hospitals to an investment club for an estimated £730m. The transaction would represent one of the biggest sale-and-leaseback deals executed in the UK.
The club’s investors comprise Sir Tom Hunter, the Scottish retail tycoon, Nick Leslau, the property entrepreneur, HBOS, the bank, and Baugur, the Icelandic group that counts House of Fraser and Hamleys among its investments.
The properties represent the bulk of the UK freehold and long-leasehold properties owned by Capio, the Swedish healthcare company the two private-equity firms agreed to buy for £1.2 billion last month. The portfolio includes the Capio Nightingale Hospital on Lisson Grove, northwest London, best known for treating the drug and alcohol addictions of the rich and famous.
If the deal goes ahead, the purchasers are considering injecting the portfolio into a £2.5 billion tax-efficient real- estate investment trust (Reit), which could be launched in the first half of next year. The investor club is understood to have hired Morgan Stanley to advise on the creation of the Reit. It is considering injecting portfolios of property worth £120m from Southern Cross nursing homes, £600m from Punch Taverns, and £500m from Travelodge hotels into the Reit.
It is likely to be registered in Luxembourg, but listed in the UK. The assets would benefit from having secure 30-year property leases in place, with fixed rental rises. Sphere: Related Content
Saturday, November 18, 2006
National Grid Pursuing £61 Million Sale Leaseback of UK HQ
Property Week reports that National Grid is pursuing the sale and leaseback of its UK headquarters in Warwick Technology Park as part of an ongoing property review. National Grid has reportedly listed the property with GVA Grimley's Birmingham office. The property is expected to sell for £61.5m reflecting a yield of 5.4%. The sale leaseback agreement will include a 20-year lease with a break after 15 years and a fixed annual rent increases of 2.5%.
Phil Edwards, National Grid's property strategic sites manager, is said to be managing the transaction on behalf of National Grid. The transaction was prompted by the attractive property investment market in the UK. National Grid intends to reinvest the proceeds in its core infrastructure business. National Grid owns more than 600 sites across the UK. Sphere: Related Content
Phil Edwards, National Grid's property strategic sites manager, is said to be managing the transaction on behalf of National Grid. The transaction was prompted by the attractive property investment market in the UK. National Grid intends to reinvest the proceeds in its core infrastructure business. National Grid owns more than 600 sites across the UK. Sphere: Related Content
Moody's Assigns Provisional Ratings to $1.279 Billion of CVS Lease-Backed Notes
Moody's Investors Service - November 17, 2006
Based on information received through November 15, Moody's Investors Service assigns a provisional (P) Baa2 rating to approximately $1.279 billion of CVS Lease-Backed Pass-Through Certificates, Series 2006, to be issued by a trust that will acquire 340 first-priority lien commercial mortgage, credit-tenant lease loans. The loans will be secured by newly constructed and existing drug stores and related realty that will be triple-net leased to subsidiaries of CVS Corporation. Each of the leases will be bondable and guaranteed by CVS Corporation, and bankruptcy-remote, special purpose borrowers will own each of the fee or ground-leased properties. The loans mature in December 2028. Fixed net rent under the leases, plus a pre-funded interest reserve, will be sufficient to pay in full all interest and principal of the loans. The 340 drugstores are located in 28 states and the District of Columbia.
Moody's determined that, among other factors, the dark value of the collateral is sufficient, assuming a bankruptcy of CVS and rejection of the leases, to support the expected loss consistent with the Certificates' rating. The rating of the Certificates is primarily based on the senior unsecured debt rating of CVS Corporation, which is currently Baa2, on review for possible upgrade; therefore, the Certificates' rating will change as the senior unsecured debt rating of CVS Corporation may change. The rating of the Certificates was also based on the overall structure and legal integrity of the transaction. Sphere: Related Content
Based on information received through November 15, Moody's Investors Service assigns a provisional (P) Baa2 rating to approximately $1.279 billion of CVS Lease-Backed Pass-Through Certificates, Series 2006, to be issued by a trust that will acquire 340 first-priority lien commercial mortgage, credit-tenant lease loans. The loans will be secured by newly constructed and existing drug stores and related realty that will be triple-net leased to subsidiaries of CVS Corporation. Each of the leases will be bondable and guaranteed by CVS Corporation, and bankruptcy-remote, special purpose borrowers will own each of the fee or ground-leased properties. The loans mature in December 2028. Fixed net rent under the leases, plus a pre-funded interest reserve, will be sufficient to pay in full all interest and principal of the loans. The 340 drugstores are located in 28 states and the District of Columbia.
Moody's determined that, among other factors, the dark value of the collateral is sufficient, assuming a bankruptcy of CVS and rejection of the leases, to support the expected loss consistent with the Certificates' rating. The rating of the Certificates is primarily based on the senior unsecured debt rating of CVS Corporation, which is currently Baa2, on review for possible upgrade; therefore, the Certificates' rating will change as the senior unsecured debt rating of CVS Corporation may change. The rating of the Certificates was also based on the overall structure and legal integrity of the transaction. Sphere: Related Content
K&N Kenanga Agrees to $45 Million Sale Leaseback of HQ in Kuala Lumpur
Business Times - November 18 2006
K&N Kenanga Holdings Bhd has proposed to sell and leaseback Kenanga International, the group's commercial building in Kuala Lumpur, to Injaz Asiaequity Property Bhd (IAPB) for RM165 million cash ($45 million.) The Kenanga group bought the 22-storey building at Jalan Sultan Ismail for RM107.5 million in 1998. As at December 31 2005, the audited net book value of the property is about RM129 million.
KMS will enter into a lease with IAPB for the 4th to 20th floors for 10 years for RM10.75 million per year, with an option to renew for a further five years. K&N Kenanga said the gross proceeds from the exercise will be used to reduce KMS' borrowings of up to RM30 million, increase the capital base of the company to attain investment banking status, partially finance its overseas ventures, and for working capital.
K&N Kenanga plans to form joint ventures, particularly in Saudi Arabia, to carry out securities and investment banking-related activities as part of its initiative to expand its investment banking and stockbroking business to reduce its dependency on the domestic market.
The sale and leaseback agreement is expected to be finalised by December 31 this year. Sphere: Related Content
K&N Kenanga Holdings Bhd has proposed to sell and leaseback Kenanga International, the group's commercial building in Kuala Lumpur, to Injaz Asiaequity Property Bhd (IAPB) for RM165 million cash ($45 million.) The Kenanga group bought the 22-storey building at Jalan Sultan Ismail for RM107.5 million in 1998. As at December 31 2005, the audited net book value of the property is about RM129 million.
KMS will enter into a lease with IAPB for the 4th to 20th floors for 10 years for RM10.75 million per year, with an option to renew for a further five years. K&N Kenanga said the gross proceeds from the exercise will be used to reduce KMS' borrowings of up to RM30 million, increase the capital base of the company to attain investment banking status, partially finance its overseas ventures, and for working capital.
K&N Kenanga plans to form joint ventures, particularly in Saudi Arabia, to carry out securities and investment banking-related activities as part of its initiative to expand its investment banking and stockbroking business to reduce its dependency on the domestic market.
The sale and leaseback agreement is expected to be finalised by December 31 this year. Sphere: Related Content
Friday, November 17, 2006
Northrop Grumman Signs $32 Million Build-to-Suit for Virginia Office Building
Commercial Property News - November 16, 2006
Corporate Office Properties Trust said today it is constructing at $32 million, one-story building for Northrop Grumman Corp. in Lebanon, Va., and has signed the defense contractor to a long-term, triple net lease for the 102,842-square-foot facility.
It is the second building and long-term lease that COPT, a Columbia, Md.,-based REIT that specializes in office parks in the Washington, D.C., metropolitan area, has secured for Northrop Grumman in support of its contract with the Virginia Information Technology Agency (VITA). The first, a $54 million, 193,000-square-foot building is under construction at the Meadowville Technology Park in Chesterfield County, Va., just south of Richmond, Va., a company spokesperson told CPN today. The one- and two-story building in the 1,300-acre corporate park should be ready for an estimated 600 Northrop Grumman and VITA workers by May, the spokesperson said.
The new building will be constructed in the Russell Regional Business Technology Park in Russell County, about 20 miles from Interstate 81. The building, which will also house Northrop Grumman and VITA workers, should be completed by November 2007, the spokesperson said. It will be used as a data center to back up the Richmond operations and also as a call center. Sphere: Related Content
Corporate Office Properties Trust said today it is constructing at $32 million, one-story building for Northrop Grumman Corp. in Lebanon, Va., and has signed the defense contractor to a long-term, triple net lease for the 102,842-square-foot facility.
It is the second building and long-term lease that COPT, a Columbia, Md.,-based REIT that specializes in office parks in the Washington, D.C., metropolitan area, has secured for Northrop Grumman in support of its contract with the Virginia Information Technology Agency (VITA). The first, a $54 million, 193,000-square-foot building is under construction at the Meadowville Technology Park in Chesterfield County, Va., just south of Richmond, Va., a company spokesperson told CPN today. The one- and two-story building in the 1,300-acre corporate park should be ready for an estimated 600 Northrop Grumman and VITA workers by May, the spokesperson said.
The new building will be constructed in the Russell Regional Business Technology Park in Russell County, about 20 miles from Interstate 81. The building, which will also house Northrop Grumman and VITA workers, should be completed by November 2007, the spokesperson said. It will be used as a data center to back up the Richmond operations and also as a call center. Sphere: Related Content
Ernst & Young HQ in Manhattan to Sell for $1.3 Billion
CoStar Group - November 15, 2006
AVR Realty Co., a mid-sized firm based in Yonkers, NY, with a diverse portfolio of neighborhood shopping centers, mid-scale hotels, flex buildings and small office properties, is said to be close to landing the contract to buy the Big Kahuna in Manhattan -- the 1.1 million-square-foot tower at 5 Times Square.
A few months ago, Boston Properties announced plans to sell the trophy tower and tapped Eastdil Secured to formally market the property for sale. A number of high-profile buyers were linked to the property at one point or another, but the Yonkers firm headed by Allan V. Rose was not one of them. The somewhat surprising buyer, whose largest office property totals 350,000 square feet, is believed to be paying about $1.3 billion for the 37-story tower, as first reported in The New York Post.
A previous deal to sell the office tower fell through earlier this year with Dubai firm Istithmar. Boston Properties planned to sell the leasehold interest in the building in a package deal with 280 Park Ave. But, Istithmar walked away from the Times Square property citing a conflict of interest -- its auditor, Ernst & Young, is also the primary tenant at the tower. The financial firm leases about 976,000 square feet on a lease that runs through April 2022. The lease is valued at more than $1.2 billion, according to CoStar information.
There have also been rumblings that Istithmar didn't care for the tax incentives on the tower. The buzz back in April was that the rental income after taxes and the leasehold situation on the property killed the deal for the Dubai investor. The land beneath the tower is believed to be owned by New York State's development arm.
Presumably, AVR would still have to bring in a partner to take down the Times Square tower. Sphere: Related Content
AVR Realty Co., a mid-sized firm based in Yonkers, NY, with a diverse portfolio of neighborhood shopping centers, mid-scale hotels, flex buildings and small office properties, is said to be close to landing the contract to buy the Big Kahuna in Manhattan -- the 1.1 million-square-foot tower at 5 Times Square.
A few months ago, Boston Properties announced plans to sell the trophy tower and tapped Eastdil Secured to formally market the property for sale. A number of high-profile buyers were linked to the property at one point or another, but the Yonkers firm headed by Allan V. Rose was not one of them. The somewhat surprising buyer, whose largest office property totals 350,000 square feet, is believed to be paying about $1.3 billion for the 37-story tower, as first reported in The New York Post.
A previous deal to sell the office tower fell through earlier this year with Dubai firm Istithmar. Boston Properties planned to sell the leasehold interest in the building in a package deal with 280 Park Ave. But, Istithmar walked away from the Times Square property citing a conflict of interest -- its auditor, Ernst & Young, is also the primary tenant at the tower. The financial firm leases about 976,000 square feet on a lease that runs through April 2022. The lease is valued at more than $1.2 billion, according to CoStar information.
There have also been rumblings that Istithmar didn't care for the tax incentives on the tower. The buzz back in April was that the rental income after taxes and the leasehold situation on the property killed the deal for the Dubai investor. The land beneath the tower is believed to be owned by New York State's development arm.
Presumably, AVR would still have to bring in a partner to take down the Times Square tower. Sphere: Related Content
Owens-Brockway Leases 607,200 SF Warehouse in CA
CoStar Group - November 15, 2006
They need a lot of wine bottles in Sonoma and Napa counties, and one of the biggest suppliers of glass bottles just leased 607,208 square feet at 5195 Fermi Drive in Fairfield, CA. Toledo-based Owens-Brockway Glass Container Inc. signed a 10-year lease commencing next February. Owens-Brockway is an indirect, wholly owned subsidiary of Owens Illinois Inc.
At a market rate of 35 cents per square foot/month, the deal is valued at approximately $25.5 million. Saint-Gobain formerly occupied the space, which comprises the entire facility. The warehouse was built in 1996 and is situated on 28.1 acres. Features include ESFR sprinklers, 56 loading docks, eight grade-level doors, cross-docks and a 30-foot clear-height. Owens-Brockway will use the warehouse to store wine bottles until they are delivered to winery clients in Napa and Sonoma counties.
Tony Kepano, Peter Stewart and Brian Gleason of Trammell Crow Co., which represents Owens-Brockway on a national basis, negotiated the lease on behalf of the tenant. Brooks Pedder and Phil Garrett of Colliers International in Fairfield represented the landlord, Property California LS Corp. Sphere: Related Content
They need a lot of wine bottles in Sonoma and Napa counties, and one of the biggest suppliers of glass bottles just leased 607,208 square feet at 5195 Fermi Drive in Fairfield, CA. Toledo-based Owens-Brockway Glass Container Inc. signed a 10-year lease commencing next February. Owens-Brockway is an indirect, wholly owned subsidiary of Owens Illinois Inc.
At a market rate of 35 cents per square foot/month, the deal is valued at approximately $25.5 million. Saint-Gobain formerly occupied the space, which comprises the entire facility. The warehouse was built in 1996 and is situated on 28.1 acres. Features include ESFR sprinklers, 56 loading docks, eight grade-level doors, cross-docks and a 30-foot clear-height. Owens-Brockway will use the warehouse to store wine bottles until they are delivered to winery clients in Napa and Sonoma counties.
Tony Kepano, Peter Stewart and Brian Gleason of Trammell Crow Co., which represents Owens-Brockway on a national basis, negotiated the lease on behalf of the tenant. Brooks Pedder and Phil Garrett of Colliers International in Fairfield represented the landlord, Property California LS Corp. Sphere: Related Content
Monday, November 13, 2006
Luminar Nearing Sale Leaseback of UK Nightclub Portfolio
Hemscott - November 15, 2006
Nightclub operator Luminar is in the advanced stages of a deal to dispose of its Chicago Rock Café and Jumpin’ Jaks businesses after months of uncertainty. Luminar intends to create a new operating company for its entertainment division, which it will maintain a minority interest in.
As part of the process the company will then complete a sale and leaseback programme of the freehold properties within the division, retuning surplus cash to shareholders.
In May the company announced officially that it would be ditching the entertainment division, which includes Chicago Rock and Jumpin’ Jaks, as it no longer formed part of its future growth strategy, which is based on branded nightclub development. Luminar had sought to sell the entertainment division in 2005 but failed to attract high enough bids.
The company owns nightclub brands Ignite, Liquid and Oceana. Sphere: Related Content
Nightclub operator Luminar is in the advanced stages of a deal to dispose of its Chicago Rock Café and Jumpin’ Jaks businesses after months of uncertainty. Luminar intends to create a new operating company for its entertainment division, which it will maintain a minority interest in.
As part of the process the company will then complete a sale and leaseback programme of the freehold properties within the division, retuning surplus cash to shareholders.
In May the company announced officially that it would be ditching the entertainment division, which includes Chicago Rock and Jumpin’ Jaks, as it no longer formed part of its future growth strategy, which is based on branded nightclub development. Luminar had sought to sell the entertainment division in 2005 but failed to attract high enough bids.
The company owns nightclub brands Ignite, Liquid and Oceana. Sphere: Related Content
Sunday, November 12, 2006
Kwik Fit Seeking EUR 203 Million Sale Leaseback of 311 Service Centers Across Europe
Savills Web Site - November 10, 2006
Savills has been instructed by Kwik Fit Holdings Limited to dispose of a pan-European portfolio of roadside properties, by way of a sale and leaseback, for an asking price in excess of €203.5million.
The portfolio comprises 311 properties based in UK, Holland and France with an overall rent roll of €13.368million per annum, rising to €17,933million in year 10. The portfolio offers development opportunities on a number of the units. In the United Kingdom there are 148 properties with a rent roll of €8.662 million per annum. The properties will be let on a 25-year lease with five year upward only rent reviews to Kwik Fit GB Limited, and a guarantee from Kwik Fit Holdings Limited. The rental increase for the first 10 years will be a minimum of 3% per annum payable every fifth year.
In France there are 149 properties with a net rent roll of €4.061 million per annum. The properties will be let to Speedy France SAS with a guarantee from Kwik-Fit Europe BV for a term of 10 years with annual increases linked to INSEE. In Holland there are 14 properties with a rent roll of €0.643 million per annum. The properties will be let to Kwik Fit Nederland BV with a guarantee from Kwik-Fit Europe BV for a term of 15 years with ROZ/IPD increases applied annually.
Simon Hope, Savills' head of investment, says: "This is the culmination of a corporate review we have undertaken for Kwik Fit over the summer. In eight weeks we have inspected, measured and priced 370 properties across four countries through our European network." Sphere: Related Content
Savills has been instructed by Kwik Fit Holdings Limited to dispose of a pan-European portfolio of roadside properties, by way of a sale and leaseback, for an asking price in excess of €203.5million.
The portfolio comprises 311 properties based in UK, Holland and France with an overall rent roll of €13.368million per annum, rising to €17,933million in year 10. The portfolio offers development opportunities on a number of the units. In the United Kingdom there are 148 properties with a rent roll of €8.662 million per annum. The properties will be let on a 25-year lease with five year upward only rent reviews to Kwik Fit GB Limited, and a guarantee from Kwik Fit Holdings Limited. The rental increase for the first 10 years will be a minimum of 3% per annum payable every fifth year.
In France there are 149 properties with a net rent roll of €4.061 million per annum. The properties will be let to Speedy France SAS with a guarantee from Kwik-Fit Europe BV for a term of 10 years with annual increases linked to INSEE. In Holland there are 14 properties with a rent roll of €0.643 million per annum. The properties will be let to Kwik Fit Nederland BV with a guarantee from Kwik-Fit Europe BV for a term of 15 years with ROZ/IPD increases applied annually.
Simon Hope, Savills' head of investment, says: "This is the culmination of a corporate review we have undertaken for Kwik Fit over the summer. In eight weeks we have inspected, measured and priced 370 properties across four countries through our European network." Sphere: Related Content
Saturday, November 11, 2006
Antalis Signs EUR 103 Million Sale Leaseback of European Logistics Portfolio
Slough Estates Web Site - November 9, 2006
Slough Estates International ("SEI") and Antalis have concluded an agreement under which SEI will acquire a portfolio of logistics and light industrial properties, in a sale and leaseback arrangement. Antalis is the largest European distributor of communications support products (including packaging, paper, print & office materials)
The portfolio is concentrated around major cities in eight European countries including France (Lyon, Isle de France in Paris), Belgium (Brussels), Italy (Bologna, Parma) Spain (Madrid, Valencia), Germany (Berlin, Leipzig) and also in Switzerland, Portugal and Finland - amounting to 177,120m2 and 41.4 hectares of land. SEI is paying €103.2m for the properties. The transaction represents a post acquisition costs yield of 7.23 per cent.
Forty five percent of the portfolio is in Italy and Spain, which are major new strategic territories for SEI in Continental Europe. Almost forty per cent of the portfolio is in Belgium, Germany and France, where SEI is already well established.
The core properties are in Slough's strategic growth markets. The buildings are a mixture of old and new properties in good locations, providing excellent future development potential underpinned by an income stream. Antalis is committed to the properties it occupies for an average of approximately 7.5 years.
SEI and Antalis have also signed a partnership agreement, covering both the extension of existing properties and the potential development of new properties. This partnership agreement will also provide potential synergies in markets other than those covered by the deal being announced today - it covers the UK as well as Continental Europe. Sphere: Related Content
Slough Estates International ("SEI") and Antalis have concluded an agreement under which SEI will acquire a portfolio of logistics and light industrial properties, in a sale and leaseback arrangement. Antalis is the largest European distributor of communications support products (including packaging, paper, print & office materials)
The portfolio is concentrated around major cities in eight European countries including France (Lyon, Isle de France in Paris), Belgium (Brussels), Italy (Bologna, Parma) Spain (Madrid, Valencia), Germany (Berlin, Leipzig) and also in Switzerland, Portugal and Finland - amounting to 177,120m2 and 41.4 hectares of land. SEI is paying €103.2m for the properties. The transaction represents a post acquisition costs yield of 7.23 per cent.
Forty five percent of the portfolio is in Italy and Spain, which are major new strategic territories for SEI in Continental Europe. Almost forty per cent of the portfolio is in Belgium, Germany and France, where SEI is already well established.
The core properties are in Slough's strategic growth markets. The buildings are a mixture of old and new properties in good locations, providing excellent future development potential underpinned by an income stream. Antalis is committed to the properties it occupies for an average of approximately 7.5 years.
SEI and Antalis have also signed a partnership agreement, covering both the extension of existing properties and the potential development of new properties. This partnership agreement will also provide potential synergies in markets other than those covered by the deal being announced today - it covers the UK as well as Continental Europe. Sphere: Related Content
Thursday, November 09, 2006
Club Med Completes EUR 100 Million Sale Leaseback of 3 Ski Villages
Euronext - November 7, 2006
Club Méditerranée has carried out two sale and leaseback transactions, one with Vectrane on Les Deux Alpes Village and the other with non-trading property companies and real estate investment funds concerning the Chamonix and Avoriaz villages.
The transactions amount to a total of more than €100 million, including €14 million in renovation work. The facilities will be leased back under 12-year leases, renewable at Club Méditerranée's option. The leases carry rates of 6.50 to 6.80% depending on the type of assets, for an average rate of 6.70%.
The transactions, which are in line with Club Méditerranée's property management strategy, enable the Group to refinance three villages on attractive terms and to accelerate their move upmarket. As part of this process, the investors will finance €9 million in renovation work at Les Deux Alpes Village, which will be upgraded from two to three tridents, and €5 million in work at the Avoriaz Village.
The transactions will help to improve Club Méditerranée's balance sheet by reducing debt by €64 million and will generate an after-tax capital gain of around €20 million. The difference between the lease payments and the previous depreciation and finance costs will add around €1.5 million a year to net income. Sphere: Related Content
Club Méditerranée has carried out two sale and leaseback transactions, one with Vectrane on Les Deux Alpes Village and the other with non-trading property companies and real estate investment funds concerning the Chamonix and Avoriaz villages.
The transactions amount to a total of more than €100 million, including €14 million in renovation work. The facilities will be leased back under 12-year leases, renewable at Club Méditerranée's option. The leases carry rates of 6.50 to 6.80% depending on the type of assets, for an average rate of 6.70%.
The transactions, which are in line with Club Méditerranée's property management strategy, enable the Group to refinance three villages on attractive terms and to accelerate their move upmarket. As part of this process, the investors will finance €9 million in renovation work at Les Deux Alpes Village, which will be upgraded from two to three tridents, and €5 million in work at the Avoriaz Village.
The transactions will help to improve Club Méditerranée's balance sheet by reducing debt by €64 million and will generate an after-tax capital gain of around €20 million. The difference between the lease payments and the previous depreciation and finance costs will add around €1.5 million a year to net income. Sphere: Related Content
Interfruct Enters EUR 82.5 Million Sale Leaseback of 23 Cash & Carry Stores in Hungary
Hemscott - November 7, 2006
Dawnay Day Carpathian PLC has acquired a portfolio of 23 Interfruct properties in a sale leaseback deal from SCD International Ltd, for a purchase price of Euro82.5m representing an initial yield of 7.80%, net of acquisition costs.
The 23 cash and carry stores are located in Budapest and major regional cities throughout Hungary, and have a total gross lettable space of 105,000 metre sq. The stores are let on new 15 year leases to Interfruct kft, Hungary's largest cash and carry retailer, at an average rent of Euro5.00 per metre sq per month. The properties are situated on land plots totalling 345,000 metre sq, several of which offer development potential in the longer term.
The portfolio is being purchased in 2 phases, with the first phase of the purchase comprising 17 properties, financed by equity of Euro49.5m, having already completed. The additional properties will be transferred to the portfolio on or before 30 March 2007 once the vendor has fulfilled a number of conditions. Sphere: Related Content
Dawnay Day Carpathian PLC has acquired a portfolio of 23 Interfruct properties in a sale leaseback deal from SCD International Ltd, for a purchase price of Euro82.5m representing an initial yield of 7.80%, net of acquisition costs.
The 23 cash and carry stores are located in Budapest and major regional cities throughout Hungary, and have a total gross lettable space of 105,000 metre sq. The stores are let on new 15 year leases to Interfruct kft, Hungary's largest cash and carry retailer, at an average rent of Euro5.00 per metre sq per month. The properties are situated on land plots totalling 345,000 metre sq, several of which offer development potential in the longer term.
The portfolio is being purchased in 2 phases, with the first phase of the purchase comprising 17 properties, financed by equity of Euro49.5m, having already completed. The additional properties will be transferred to the portfolio on or before 30 March 2007 once the vendor has fulfilled a number of conditions. Sphere: Related Content
Sunday, November 05, 2006
State Street Financial Center in Boston to Sell For Over $880 Million
Commercial Property News - November 3, 2006
American Financial Realty Trust said today it has entered into a definitive contract to sell State Street Financial Center, a 36-story, Class A office building in Boston, for more than $880 million to an unnamed Northeast-based private real estate investment group. The price will be before defeasance and other settlement costs.
American Financial, a Jenkintown, Penn.-based REIT that acquires and leases properties to financial institutions, owns a 70 percent interest in the 1.1 million-square-foot-building at 1 Lincoln St. through a joint venture with an affiliate of IPC US Income REIT. IPC has a right of refusal but American Financial officials said in a release they expect the transaction closing to be later this year or in the first quarter of 2007. AFR had purchased the tower for $705 million in February 2004 from a joint venture that included The Gale Co. Later that year, it sold the 30 percent stake to the IPC US Income REIT affiliate. At the time of the joint venture agreement, the building was reportedly valued at $763.5 million.
The building is fully leased with State Street Corp. taking most of the space under a 20-year triple-net lease. The property also has a 900-space garage. Eastdil Secured represented AFR in the transaction. Sphere: Related Content
American Financial Realty Trust said today it has entered into a definitive contract to sell State Street Financial Center, a 36-story, Class A office building in Boston, for more than $880 million to an unnamed Northeast-based private real estate investment group. The price will be before defeasance and other settlement costs.
American Financial, a Jenkintown, Penn.-based REIT that acquires and leases properties to financial institutions, owns a 70 percent interest in the 1.1 million-square-foot-building at 1 Lincoln St. through a joint venture with an affiliate of IPC US Income REIT. IPC has a right of refusal but American Financial officials said in a release they expect the transaction closing to be later this year or in the first quarter of 2007. AFR had purchased the tower for $705 million in February 2004 from a joint venture that included The Gale Co. Later that year, it sold the 30 percent stake to the IPC US Income REIT affiliate. At the time of the joint venture agreement, the building was reportedly valued at $763.5 million.
The building is fully leased with State Street Corp. taking most of the space under a 20-year triple-net lease. The property also has a 900-space garage. Eastdil Secured represented AFR in the transaction. Sphere: Related Content
Logan’s Roadhouse Agrees to $210 Million Sale Leaseback of 64 Restaurants
SEC Edgar Database - November 3, 2006
CBRL Group, Inc. has entered into a Stock Purchase Agreement with LRI Holdings, Inc. for the sale of it's wholly-owned subsidiary, Logan’s Roadhouse, Inc. LRI is owned by a consortium of private investment funds affiliated with Bruckmann, Rosser, Sherrill & Co. Inc. and of Canyon Capital Advisors LLC.
Total consideration in the transaction is $486 million, subject to customary post-closing adjustments, for working capital, indebtedness and capital expenditures. This amount includes the anticipated gross proceeds from a real estate sale-leaseback transaction to be undertaken by Logan’s and closed simultaneously with the sale of Logan’s to LRI.
Terms of the Purchase and Sale Agreement and Lease indicate that Logan’s has agreed to a sale leaseback of 64 Logan’s locations for a total of $210 million with Wachovia Development Corporation, Trustreet Properties, Inc. and National Retail Properties, Inc. Terms of the leaseback included lease terms of 20 years at a cap rate of 7.8% plus annual CPI increases of from 0.35% to 1.75% and five 5-year renewal options. Sphere: Related Content
CBRL Group, Inc. has entered into a Stock Purchase Agreement with LRI Holdings, Inc. for the sale of it's wholly-owned subsidiary, Logan’s Roadhouse, Inc. LRI is owned by a consortium of private investment funds affiliated with Bruckmann, Rosser, Sherrill & Co. Inc. and of Canyon Capital Advisors LLC.
Total consideration in the transaction is $486 million, subject to customary post-closing adjustments, for working capital, indebtedness and capital expenditures. This amount includes the anticipated gross proceeds from a real estate sale-leaseback transaction to be undertaken by Logan’s and closed simultaneously with the sale of Logan’s to LRI.
Terms of the Purchase and Sale Agreement and Lease indicate that Logan’s has agreed to a sale leaseback of 64 Logan’s locations for a total of $210 million with Wachovia Development Corporation, Trustreet Properties, Inc. and National Retail Properties, Inc. Terms of the leaseback included lease terms of 20 years at a cap rate of 7.8% plus annual CPI increases of from 0.35% to 1.75% and five 5-year renewal options. Sphere: Related Content
Thursday, November 02, 2006
Trustreet Properties Agrees to $3 Billion Acquisition by GE
Trustreet - October 30, 2006
Trustreet Properties, Inc. (NYSE:TSY), a leading restaurant real estate investment trust (REIT), announced today that it has entered into a definitive agreement to be acquired by GE Capital Solutions, Franchise Finance, a leading lender for the franchise finance market in the United States and Canada. The transaction is valued at approximately $3 billion, including the payment of $17.05 per outstanding share of Trustreet’s common stock, in the form of cash, and the assumption or refinancing of Trustreet’s outstanding debt.
GE Capital Solutions will add Trustreet’s preeminent restaurant 1031 trading platform to its own Franchise Finance business, and will also establish an East Coast office at Trustreet’s headquarters in Orlando, Fla., where all sale-leaseback financing and related asset management will be handled for GE Capital Solutions’ Franchise Finance business.
The transaction is expected to close during the first quarter of 2007 and is subject to the approval of Trustreet’s common shareholders and other customary closing conditions. Sphere: Related Content
Trustreet Properties, Inc. (NYSE:TSY), a leading restaurant real estate investment trust (REIT), announced today that it has entered into a definitive agreement to be acquired by GE Capital Solutions, Franchise Finance, a leading lender for the franchise finance market in the United States and Canada. The transaction is valued at approximately $3 billion, including the payment of $17.05 per outstanding share of Trustreet’s common stock, in the form of cash, and the assumption or refinancing of Trustreet’s outstanding debt.
GE Capital Solutions will add Trustreet’s preeminent restaurant 1031 trading platform to its own Franchise Finance business, and will also establish an East Coast office at Trustreet’s headquarters in Orlando, Fla., where all sale-leaseback financing and related asset management will be handled for GE Capital Solutions’ Franchise Finance business.
The transaction is expected to close during the first quarter of 2007 and is subject to the approval of Trustreet’s common shareholders and other customary closing conditions. Sphere: Related Content
GE Capital to Acquire Restaurant REIT Trustreet Properties for $3 Billion
Commercial Property News - October 30, 2006
GE Capital Solutions has agreed to buy Trustreet Properties Inc., the largest publicly traded restaurant REIT in the U.S., for $3 billion. GE Capital will pay $17.05 per outstanding share of Trustreet's common stock and assume or refinance Trustreet's outstanding debt.
The strategy behind the GE Capital Solutions acquisition is to add to the company's sale and leaseback capabilities. "Right now we have about one-half billion dollars in our sale-leaseback portfolio," John Oliver, a GE Capital Solutions spokesperson told CPN today. "When the acquisition closes, we will add about $3 billion to that."
As the business-to-business leasing, financing, and asset management unit of GE, GE Capital Solutions lends in the franchise finance market through direct sales and portfolio acquisitions in the U.S. and Canada. With more than $11 billion in assets, the GE unit has financed more than 20,000 properties, primarily in the restaurant, hospitality, branded beverage, storage, and automotive industries.
Trustreet provides sale-leaseback financing for operators of national and regional restaurant chains including Applebee's, Arby's, Bennigan's (pictured), Burger King, Golden Corral, IHOP, Jack in the Box, KFC, Pizza, Hut, TGI Friday's and Wendy's. The company's portfolio contains more than 2,000 full-service, family, and quick service restaurants operated by more than 500 tenants in 49 states. Sphere: Related Content
GE Capital Solutions has agreed to buy Trustreet Properties Inc., the largest publicly traded restaurant REIT in the U.S., for $3 billion. GE Capital will pay $17.05 per outstanding share of Trustreet's common stock and assume or refinance Trustreet's outstanding debt.
The strategy behind the GE Capital Solutions acquisition is to add to the company's sale and leaseback capabilities. "Right now we have about one-half billion dollars in our sale-leaseback portfolio," John Oliver, a GE Capital Solutions spokesperson told CPN today. "When the acquisition closes, we will add about $3 billion to that."
As the business-to-business leasing, financing, and asset management unit of GE, GE Capital Solutions lends in the franchise finance market through direct sales and portfolio acquisitions in the U.S. and Canada. With more than $11 billion in assets, the GE unit has financed more than 20,000 properties, primarily in the restaurant, hospitality, branded beverage, storage, and automotive industries.
Trustreet provides sale-leaseback financing for operators of national and regional restaurant chains including Applebee's, Arby's, Bennigan's (pictured), Burger King, Golden Corral, IHOP, Jack in the Box, KFC, Pizza, Hut, TGI Friday's and Wendy's. The company's portfolio contains more than 2,000 full-service, family, and quick service restaurants operated by more than 500 tenants in 49 states. Sphere: Related Content
Subscribe to:
Posts (Atom)
