National RV Holdings Web Site - December 28, 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 a new agreement to sell and leaseback its Perris, California property to First Industrial Acquisitions, Inc. First Industrial is an affiliate of First Industrial Realty Trust, Inc., a national provider of diversified industrial real estate. The previous agreement entered into on November 22nd with Warrior Holdings, Inc. was terminated on December 20th due to Warrior's inability to obtain a timely financing commitment from its lender.
Under the terms of this new agreement, which contains no third-party financing contingencies, the sales price is $31.75 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 February 9, 2007 with closing scheduled to occur on February 15, 2007.
Sphere: Related Content
Saturday, December 30, 2006
MTS Allstream Closes $51 Million Sale Leaseback of Winnipeg Offices
MTS Allstream Web Site - December 28, 2006
MTS Allstream Inc., a wholly-owned subsidiary of Manitoba Telecom Services Inc. (“MTS”) (stock symbol: MBT), today announced the closing of a transaction regarding the sale of the Company’s downtown office buildings located at 333 Main Street and 191 Pioneer Avenue in Winnipeg with Crown Realty Investments Ltd. for a price of $51.1 million. As part of this transaction, MTS Allstream has signed a 15 year lease to leaseback the office space it currently occupies, which will continue to be the Company’s head office.
"We are pleased to complete this transaction involving properties which we identified as non-core during our business review process," said MTS Allstream Chief Financial Officer Wayne Demkey. "This transaction represents good value for these assets, and will help us deliver significant value to our shareholders." Sphere: Related Content
MTS Allstream Inc., a wholly-owned subsidiary of Manitoba Telecom Services Inc. (“MTS”) (stock symbol: MBT), today announced the closing of a transaction regarding the sale of the Company’s downtown office buildings located at 333 Main Street and 191 Pioneer Avenue in Winnipeg with Crown Realty Investments Ltd. for a price of $51.1 million. As part of this transaction, MTS Allstream has signed a 15 year lease to leaseback the office space it currently occupies, which will continue to be the Company’s head office.
"We are pleased to complete this transaction involving properties which we identified as non-core during our business review process," said MTS Allstream Chief Financial Officer Wayne Demkey. "This transaction represents good value for these assets, and will help us deliver significant value to our shareholders." Sphere: Related Content
Friday, December 29, 2006
Alcatel-Lucent Completes EUR 124.5 Million Sale Leaseback of Business Park
Interactive Investor Web Site - December 27, 2006
Alpha Pyrenees has acquired, with IPGL Limited ("IPGL"), a 77,000 square metre business park comprising in total 20 office, warehouse and research and development buildings from SIVN (Societe Immobiliere Villarceaux Nozay). The deal is a sale and leaseback with Alcatel-Lucent with a 12 year lease with a minimum term of 9 years. The lease benefits from annual inflation-linked rent indexation.
The total consideration for the acquisition of the Business Park is Euro 124.5 million. The purchase consideration will be satisfied by the Company's and IPGL's existing cash resources and a new Alpha Pyrenees group debt facility. The total costs including acquisition costs are approximately Euro 130.9 million. The total rent from the Business Park will be approximately Euro 9.6 million per annum giving an annual rental yield of approximately 7.3 per cent including costs. Sphere: Related Content
Alpha Pyrenees has acquired, with IPGL Limited ("IPGL"), a 77,000 square metre business park comprising in total 20 office, warehouse and research and development buildings from SIVN (Societe Immobiliere Villarceaux Nozay). The deal is a sale and leaseback with Alcatel-Lucent with a 12 year lease with a minimum term of 9 years. The lease benefits from annual inflation-linked rent indexation.
The total consideration for the acquisition of the Business Park is Euro 124.5 million. The purchase consideration will be satisfied by the Company's and IPGL's existing cash resources and a new Alpha Pyrenees group debt facility. The total costs including acquisition costs are approximately Euro 130.9 million. The total rent from the Business Park will be approximately Euro 9.6 million per annum giving an annual rental yield of approximately 7.3 per cent including costs. Sphere: Related Content
Wednesday, December 27, 2006
House of Fraser Completes £60 Million Sale Leaseback of London HQ
Times Online - December 27, 2006
Highland Acquisitions, the Baugur-fronted consortium, has completed a sale and leaseback of House of Fraser’s headquarters for an estimated £60 million a month after completing its £351 million buyout, The Times has learnt. The sale of the building in Howick Place in Victoria, Central London, to Terrace Hill, an AIM-listed developer, has delivered funds well in excess of a £35 million bridging loan taken out with HBOS. Sphere: Related Content
Highland Acquisitions, the Baugur-fronted consortium, has completed a sale and leaseback of House of Fraser’s headquarters for an estimated £60 million a month after completing its £351 million buyout, The Times has learnt. The sale of the building in Howick Place in Victoria, Central London, to Terrace Hill, an AIM-listed developer, has delivered funds well in excess of a £35 million bridging loan taken out with HBOS. Sphere: Related Content
Homever Agrees to $663 Million Sale Leaseback of 10 Hypermarkets in Korea
Namnews - December 22, 2006
E-Land Ltd., which bought Carrefour's local outlets earlier this year, has said it will sell 10 of the stores and lease them back, raising $663m. E-Land will sell the 10 stores next week to real estate firm Koramco Reits Management and Trust Co. Ltd., and the funds raised will be used to repay debt and upgrade its shops, it said. E-Land will lease the shops back and continue to operate them under its Homever brand.
Carrefour sold its 32 Korean outlets to E-Land for $1.85bn. Carrefour has invested about $1.1bn since it entered South Korea in 1996, but left the $22bn local discount store market after underperforming. Sphere: Related Content
E-Land Ltd., which bought Carrefour's local outlets earlier this year, has said it will sell 10 of the stores and lease them back, raising $663m. E-Land will sell the 10 stores next week to real estate firm Koramco Reits Management and Trust Co. Ltd., and the funds raised will be used to repay debt and upgrade its shops, it said. E-Land will lease the shops back and continue to operate them under its Homever brand.
Carrefour sold its 32 Korean outlets to E-Land for $1.85bn. Carrefour has invested about $1.1bn since it entered South Korea in 1996, but left the $22bn local discount store market after underperforming. Sphere: Related Content
Hafslund Completes $58 Million Sale Leaseback of 15 Properties in Oslo
Hafslund Web Site - December 22, 2006
Hafslund has sold 100 percent of the shares in the company Hatros I AS to RBS Nordisk Renting for NOK 362 million ($58 million). The company is a single purpose company with 15 properties in Oslo. The properties mainly consist of transformer stations with surrounding areas.
Hafslund will lease back part of the properties for a period of 15 years with an option for extension, and will be responsible for the technical and building related maintenance of the properties during the period. The sale gives an accounting profit before tax of about NOK 290 million. Sphere: Related Content
Hafslund has sold 100 percent of the shares in the company Hatros I AS to RBS Nordisk Renting for NOK 362 million ($58 million). The company is a single purpose company with 15 properties in Oslo. The properties mainly consist of transformer stations with surrounding areas.
Hafslund will lease back part of the properties for a period of 15 years with an option for extension, and will be responsible for the technical and building related maintenance of the properties during the period. The sale gives an accounting profit before tax of about NOK 290 million. Sphere: Related Content
Tuesday, December 26, 2006
Brantano Group Completes EUR 36.8 Million Sale Leaseback of 19 Stores in Belgium
Brantano Group Web Site - December 22, 2006
The Brantano Group has concluded an agreement with the Belgian closedend property investment company Retail Estates concerning the sale of the shares of the real estate subsidiary Brimmo, owner of 19 stores located in Belgium and the distribution centre in Belgium.
As at 30 June 2006, the Brantano Group owned 21 stores located in Belgium as well as the distribution centre in Belgium, with Brimmo NV, the Group’s property arm, owning 19 stores, all run as Brantano stores, and the distribution centre.
The Brantano Group is staying on as tenant of the premises and has ensured its commercial interests by entering into 27 year long leases based on market terms. The operation took place with a return for Retail Estates of 6.62%.
The market value of the premises used to fix the value of the shares is € 42.5 million, as a result of which the Brantano Group realises a capital gain after tax of € 22.0 million. The future rent for the premises, including the distribution centre, will be € 2.8 million a year. Sphere: Related Content
The Brantano Group has concluded an agreement with the Belgian closedend property investment company Retail Estates concerning the sale of the shares of the real estate subsidiary Brimmo, owner of 19 stores located in Belgium and the distribution centre in Belgium.
As at 30 June 2006, the Brantano Group owned 21 stores located in Belgium as well as the distribution centre in Belgium, with Brimmo NV, the Group’s property arm, owning 19 stores, all run as Brantano stores, and the distribution centre.
The Brantano Group is staying on as tenant of the premises and has ensured its commercial interests by entering into 27 year long leases based on market terms. The operation took place with a return for Retail Estates of 6.62%.
The market value of the premises used to fix the value of the shares is € 42.5 million, as a result of which the Brantano Group realises a capital gain after tax of € 22.0 million. The future rent for the premises, including the distribution centre, will be € 2.8 million a year. Sphere: Related Content
Principal Hotels Completes £290 Million Sale Leaseback of Six UK Hotels
The Times - December 24, 2006
Alternative Asset Investment Management (AAIM) is understood to have struck a deal with Permira, the private-equity firm, to buy six four-star hotels in the Principal chain for £290m. The hotels have been acquired as part of a 25-year sale-and-leaseback deal with Permira, which snapped up the chain in September from Royal Bank of Scotland. The portfolio comprises the Russell in London, the George in Edinburgh, the Royal York in York, the Met in Leeds, the Palace in Manchester, and Selsdon Park in Croydon.
Principal, which competes in the upper mid-market of the hotel sector, has a total of 1,310 bedrooms and a strong focus on conferences, with 80 meeting rooms that can accommodate more than 7,000 delegates. The hotel purchase is being carried out using the Symmetry fund joint venture that AAIM set up with Bank of Scotland in October to spend £2 billion on European property. In October AAIM teamed up with Robert Tchenguiz, the property tycoon, to buy Menzies, the regional hotel chain, for £190m.
The hotel spending spree forms part of a plan by AAIM to act as a consolidator in Britain’s provincial four-star market. The transaction with Permira is just one of a flurry of pre-Christmas deals for AAIM. It has also refinanced its investment in the British headquarters of the electronics firm JVC at Staples Corner, north London, with HSH Nordbank, the German bank.
The refinancing has created a bonanza for its investors, earning them three times their original money in three years while retaining their original investment in the building. Since AAIM was launched in January 2003, it claims to have generated an average return of more than 80%, amid soaring commercial- property values that have squeezed rental yields to record lows. Sphere: Related Content
Alternative Asset Investment Management (AAIM) is understood to have struck a deal with Permira, the private-equity firm, to buy six four-star hotels in the Principal chain for £290m. The hotels have been acquired as part of a 25-year sale-and-leaseback deal with Permira, which snapped up the chain in September from Royal Bank of Scotland. The portfolio comprises the Russell in London, the George in Edinburgh, the Royal York in York, the Met in Leeds, the Palace in Manchester, and Selsdon Park in Croydon.
Principal, which competes in the upper mid-market of the hotel sector, has a total of 1,310 bedrooms and a strong focus on conferences, with 80 meeting rooms that can accommodate more than 7,000 delegates. The hotel purchase is being carried out using the Symmetry fund joint venture that AAIM set up with Bank of Scotland in October to spend £2 billion on European property. In October AAIM teamed up with Robert Tchenguiz, the property tycoon, to buy Menzies, the regional hotel chain, for £190m.
The hotel spending spree forms part of a plan by AAIM to act as a consolidator in Britain’s provincial four-star market. The transaction with Permira is just one of a flurry of pre-Christmas deals for AAIM. It has also refinanced its investment in the British headquarters of the electronics firm JVC at Staples Corner, north London, with HSH Nordbank, the German bank.
The refinancing has created a bonanza for its investors, earning them three times their original money in three years while retaining their original investment in the building. Since AAIM was launched in January 2003, it claims to have generated an average return of more than 80%, amid soaring commercial- property values that have squeezed rental yields to record lows. Sphere: Related Content
Casey's General Stores Ripe for Sale Leaseback of Store Portfolio?
BusinessWeek - December 14, 2006
Shares of Casey's General Stores rose on Thursday after an analyst upgraded the convenience store operator. Analyst Karen Short of Friedman Billings Ramsey Group Inc. said Casey's prepared food business is "healthy and growing" and the stock is stable and trading less on gas margin sentiment.
Short also looked at Casey's real estate portfolio and said if the company were to perform a sale-leaseback, which is when real estate is sold to an outside business, and then leased back to the seller, the company could get $755 million in cash proceeds. The value of the real estate should be reflected in the stock, Short said. Finally, Short said Casey's could be attractive to a buyer.
"We would argue Casey's could be an extremely attractive target given the portfolio of owned real estate, extremely low leverage, and steady cash flow from the prepared foods business," wrote Short in a note on Thursday. She upgraded the stock to "Outperform" or "Buy," from "Market Perform," or "Hold." Shares were up 67 cents, or 2.8 percent, to $24.32 in afternoon trading on the Nasdaq, after earlier trading as high as $24.65. Sphere: Related Content
Shares of Casey's General Stores rose on Thursday after an analyst upgraded the convenience store operator. Analyst Karen Short of Friedman Billings Ramsey Group Inc. said Casey's prepared food business is "healthy and growing" and the stock is stable and trading less on gas margin sentiment.
Short also looked at Casey's real estate portfolio and said if the company were to perform a sale-leaseback, which is when real estate is sold to an outside business, and then leased back to the seller, the company could get $755 million in cash proceeds. The value of the real estate should be reflected in the stock, Short said. Finally, Short said Casey's could be attractive to a buyer.
"We would argue Casey's could be an extremely attractive target given the portfolio of owned real estate, extremely low leverage, and steady cash flow from the prepared foods business," wrote Short in a note on Thursday. She upgraded the stock to "Outperform" or "Buy," from "Market Perform," or "Hold." Shares were up 67 cents, or 2.8 percent, to $24.32 in afternoon trading on the Nasdaq, after earlier trading as high as $24.65. Sphere: Related Content
Saturday, December 23, 2006
Regeneron Pharmaceuticals Signs Build-to-Suit For New HQ in Tarrytown, NY
Regeneron Pharmaceuticals Web Site - December 21, 2006
Regeneron Pharmaceuticals, Inc. (Nasdaq: REGN) today signed a 15-year lease with BioMed Realty Trust, Inc. for a new corporate headquarters and research and development complex to be constructed adjacent to its current facility at the Landmark at Eastview in the Town of Greenburgh in Westchester County, New York. Regeneron also has the option to extend the lease for three additional 5-year periods.
The state-of-the-art complex will consolidate Regeneron’s 440 Tarrytown-based employees, currently scattered among six buildings, into a three-building, interconnected campus. The new facilities will include approximately 194,000 square feet of laboratory and office space in two buildings to be constructed by BioMed Realty Trust over the next two years. The Company will also retain its 27,000 square foot specialized VelociGene® research facility in an existing building at the Landmark at Eastview. The new buildings will incorporate energy efficient technologies along with an open and flexible design that will enhance workplace interactions. Sphere: Related Content
Regeneron Pharmaceuticals, Inc. (Nasdaq: REGN) today signed a 15-year lease with BioMed Realty Trust, Inc. for a new corporate headquarters and research and development complex to be constructed adjacent to its current facility at the Landmark at Eastview in the Town of Greenburgh in Westchester County, New York. Regeneron also has the option to extend the lease for three additional 5-year periods.
The state-of-the-art complex will consolidate Regeneron’s 440 Tarrytown-based employees, currently scattered among six buildings, into a three-building, interconnected campus. The new facilities will include approximately 194,000 square feet of laboratory and office space in two buildings to be constructed by BioMed Realty Trust over the next two years. The Company will also retain its 27,000 square foot specialized VelociGene® research facility in an existing building at the Landmark at Eastview. The new buildings will incorporate energy efficient technologies along with an open and flexible design that will enhance workplace interactions. Sphere: Related Content
Old National Bancorp Closes $69 Million Sale Leaseback on HQ Campus in IN
SEC Edgar Database - December 22, 2006
Old National Bancorp (the 'Company') and its subsidiaries, Old National Bank and Old National Realty Company, Inc. has entered into a sale leaseback of three office buildings located in Evansville, Indiana. SunTrust Equity Funding, LLC is the sole member of each Buyer. The purchase price is $69,366,525 for the property located at One Main Street, Evansville Indiana (which serves as the Company's headquarters), $2,817,397 for the property located at 123 Main Street, Evansville, Indiana, and $6,797,600 for the property located at 101-105 NW 4th Street, Evansville, Indiana.
The closing of the sale of the Property occurred on December 21, 2006. Under each of the Lease Agreements, Old National Bank has the right at its option to extend the term of the lease for four additional successive terms of five years each, upon specified terms and conditions.
Old National Bank is obligated to pay (on a monthly basis) base rent in the aggregate annual amount of $6,550,469 (8.29% of the purchase price)to the Buyers under the Lease Agreements through December 31, 2029; no rent is payable for the final two years of the initial 25-year term. For financial reporting purposes, the rent will be expensed ratably over the 25-year term at an annual rate of $6,026,431 (7.63% of the purchase price.) Sphere: Related Content
Old National Bancorp (the 'Company') and its subsidiaries, Old National Bank and Old National Realty Company, Inc. has entered into a sale leaseback of three office buildings located in Evansville, Indiana. SunTrust Equity Funding, LLC is the sole member of each Buyer. The purchase price is $69,366,525 for the property located at One Main Street, Evansville Indiana (which serves as the Company's headquarters), $2,817,397 for the property located at 123 Main Street, Evansville, Indiana, and $6,797,600 for the property located at 101-105 NW 4th Street, Evansville, Indiana.
The closing of the sale of the Property occurred on December 21, 2006. Under each of the Lease Agreements, Old National Bank has the right at its option to extend the term of the lease for four additional successive terms of five years each, upon specified terms and conditions.
Old National Bank is obligated to pay (on a monthly basis) base rent in the aggregate annual amount of $6,550,469 (8.29% of the purchase price)to the Buyers under the Lease Agreements through December 31, 2029; no rent is payable for the final two years of the initial 25-year term. For financial reporting purposes, the rent will be expensed ratably over the 25-year term at an annual rate of $6,026,431 (7.63% of the purchase price.) Sphere: Related Content
Arbuthnot Banking Group Enters GBP 35 Million Sale Leaseback of London HQ
Hemscott - December 20, 2006
Arbuthnot Banking Group PLC said today that it has exchanged contracts for the sale and lease-back of its London head office. The company said it will sell Arbuthnot House, its London headquarters, on Ropemaker Street for 35 mln stg resulting in a profit of 15 mln stg over the original cost of the building Arbuthnot expects a book profit of about 11 mln stg on the sale of the building, which it acquired in August 2003, after allowing for associated costs. It expects to complete the sale on Dec 20. It will lease back the building on a 15-year term with a rent of 1.7 mln stg annually. Sphere: Related Content
Arbuthnot Banking Group PLC said today that it has exchanged contracts for the sale and lease-back of its London head office. The company said it will sell Arbuthnot House, its London headquarters, on Ropemaker Street for 35 mln stg resulting in a profit of 15 mln stg over the original cost of the building Arbuthnot expects a book profit of about 11 mln stg on the sale of the building, which it acquired in August 2003, after allowing for associated costs. It expects to complete the sale on Dec 20. It will lease back the building on a 15-year term with a rent of 1.7 mln stg annually. Sphere: Related Content
Friday, December 22, 2006
EPA Regional HQ in Denver Sold for $91.3 Million
Government Properties Trust Web Site - December 21, 2006
Government Properties Trust, Inc. (NYSE: GPT), a self-managed, self-administered real estate investment trust, today announced that it has completed the acquisition of the Environmental Protection Agency (EPA) building at 1595 Wynkoop Street, Denver, Colo., for approximately $91.3 million in accordance with the terms of the Purchase and Sales Agreement.
The newly constructed, 280,000 square foot, nine story building is located in the Lower Downtown Historic District in Denver. The General Services Administration on behalf of the EPA has executed a 10-year lease. Approximately 15,000 square feet of the building will be available for street level retail space. The property includes 225 on-site underground parking stalls. The property will serve as the regional headquarters for the EPA.
The anticipated operating expenses for the property are estimated at $6.1 million, which includes $3.3 million for depreciation and amortization and $70,000 for reserves. Annual revenue, after the building is fully leased, is expected to be $9.4 million.
Simultaneous with the property acquisition, a mortgage financing was completed for $68.5 million. The mortgage bears a fixed interest rate of 6.19 percent and is interest only for the first two years. The mortgage is amortized for 30 years with a ten year term. Sphere: Related Content
Government Properties Trust, Inc. (NYSE: GPT), a self-managed, self-administered real estate investment trust, today announced that it has completed the acquisition of the Environmental Protection Agency (EPA) building at 1595 Wynkoop Street, Denver, Colo., for approximately $91.3 million in accordance with the terms of the Purchase and Sales Agreement.
The newly constructed, 280,000 square foot, nine story building is located in the Lower Downtown Historic District in Denver. The General Services Administration on behalf of the EPA has executed a 10-year lease. Approximately 15,000 square feet of the building will be available for street level retail space. The property includes 225 on-site underground parking stalls. The property will serve as the regional headquarters for the EPA.
The anticipated operating expenses for the property are estimated at $6.1 million, which includes $3.3 million for depreciation and amortization and $70,000 for reserves. Annual revenue, after the building is fully leased, is expected to be $9.4 million.
Simultaneous with the property acquisition, a mortgage financing was completed for $68.5 million. The mortgage bears a fixed interest rate of 6.19 percent and is interest only for the first two years. The mortgage is amortized for 30 years with a ten year term. Sphere: Related Content
Auto-Teile-Unger Closes Sale Leaseback of 23 Auto Parts and Service Centers in Germany
Europe Real Estate - December 21, 2006
IXIS Capital Partners has advised its Captiva Capital Partners II fund for the acquisition of a portfolio of 23 automotive retail and repair service outlets located throughout Germany from A.T.U Auto-Teile-Unger (A.T.U) in a sale & leaseback transaction. All properties are located in retail parks or commercial areas and have been constructed in the last 18 months. A.T.U has leased back the properties on a 15-year term.
IXIS Capital Partners have also closed a framework agreement with A.T.U to acquire the company’s retail and repair service outlets planned for development in Germany over the next two years, as part of A.T.U’s expansion strategy for the national market.
Karsten Engel, CEO of A.T.U, commented: “A.T.U is a unique success story in Germany in the independent automotive aftersales market. With its high-quality full service offer at particularly favourable prices, A.T.U meets the needs of today’s car owners in Germany and across Europe. We are now on track with our European expansion strategy.” A.T.U currently operates 3 stores in the Czech Republic, 2 stores in The Netherlands and 19 stores in Austria. Soon, store openings in Italy and Switzerland will follow. Sphere: Related Content
IXIS Capital Partners has advised its Captiva Capital Partners II fund for the acquisition of a portfolio of 23 automotive retail and repair service outlets located throughout Germany from A.T.U Auto-Teile-Unger (A.T.U) in a sale & leaseback transaction. All properties are located in retail parks or commercial areas and have been constructed in the last 18 months. A.T.U has leased back the properties on a 15-year term.
IXIS Capital Partners have also closed a framework agreement with A.T.U to acquire the company’s retail and repair service outlets planned for development in Germany over the next two years, as part of A.T.U’s expansion strategy for the national market.
Karsten Engel, CEO of A.T.U, commented: “A.T.U is a unique success story in Germany in the independent automotive aftersales market. With its high-quality full service offer at particularly favourable prices, A.T.U meets the needs of today’s car owners in Germany and across Europe. We are now on track with our European expansion strategy.” A.T.U currently operates 3 stores in the Czech Republic, 2 stores in The Netherlands and 19 stores in Austria. Soon, store openings in Italy and Switzerland will follow. Sphere: Related Content
Mete SpA Closes EUR 39 Million Sale Leaseback of Five Furniture Stores in Italy
Europe Real Estate - December 14, 2006
JER Partners (“JER”) has acquired an Italian portfolio of five retail showrooms from Mete SpA (Mete), Italy’s fifth largest household furniture retailer for €39 million in a sale-leaseback transaction for 12 years. The portfolio, which is located throughout Italy, comprises approximately 30,000 m² of mainly retail space. JER has also agreed in principle to acquire further retail assets, including broader retail schemes, currently controlled by Mete.
Vittorio Bozzolini, Managing Director of Mete, said: "Mete's agreement with JER will allow us to continue to exploit our capabilities in the real estate sector together with JER whilst releasing capital to our core furniture retailing business".
Mete typically sources well-located, industrial type assets that are coming out of distressed situations, then applies for a change of zoning use to retail and refurbishes the assets. The properties are available to buy once permission to change the zoning has been granted.
The acquisition was financed by Unicredit Banca d'Impresa. JER was assisted in technical aspects by Abaco Consulting and by Gianni, Origoni, Grippo and Partners as legal counsel. Sphere: Related Content
JER Partners (“JER”) has acquired an Italian portfolio of five retail showrooms from Mete SpA (Mete), Italy’s fifth largest household furniture retailer for €39 million in a sale-leaseback transaction for 12 years. The portfolio, which is located throughout Italy, comprises approximately 30,000 m² of mainly retail space. JER has also agreed in principle to acquire further retail assets, including broader retail schemes, currently controlled by Mete.
Vittorio Bozzolini, Managing Director of Mete, said: "Mete's agreement with JER will allow us to continue to exploit our capabilities in the real estate sector together with JER whilst releasing capital to our core furniture retailing business".
Mete typically sources well-located, industrial type assets that are coming out of distressed situations, then applies for a change of zoning use to retail and refurbishes the assets. The properties are available to buy once permission to change the zoning has been granted.
The acquisition was financed by Unicredit Banca d'Impresa. JER was assisted in technical aspects by Abaco Consulting and by Gianni, Origoni, Grippo and Partners as legal counsel. Sphere: Related Content
Thursday, December 21, 2006
University of New South Wales Agrees to $41 Million Sale Leaseback of Campus Building
Australian Property Review - December 18, 2006
The Westpac Office Trust has contracted to acquire a University of New South Wales (UNSW) office and educational building in Kensington, Sydney, for $41 million. The university will lease back the entire building for an initial term of 25 years.
The purchase, the third for the Trust, involves the acquisition of a 99 year ground lease interest in the 10,685 sqm property. The lease back agreement includes two further options of ten years each. The lease provides for fixed 3% per annum rental adjustments and is 'triple net', with UNSW responsible for all capital and operating expenses. The purchase price of $41 million is supported by an independent valuation from CB Richard Ellis at an initial yield of 6%, a ten year discount rate of 8.5% and a terminal capitalisation rate of 6.1%.
The building, located at 221-227 Anzac Parade in Kensington, lies adjacent to the UNSW campus and was completed in May 2005. It was design by Bligh Voller Nield.
"The property will add diversity to the portfolio and meets the investment criteria of the Trust in offering a long term, investment grade equivalent, covenant from UNSW and a new building in a location that will improve significantly in the future," said Keith Grayson, Head of Property Funds Management for Westpac. Sphere: Related Content
The Westpac Office Trust has contracted to acquire a University of New South Wales (UNSW) office and educational building in Kensington, Sydney, for $41 million. The university will lease back the entire building for an initial term of 25 years.
The purchase, the third for the Trust, involves the acquisition of a 99 year ground lease interest in the 10,685 sqm property. The lease back agreement includes two further options of ten years each. The lease provides for fixed 3% per annum rental adjustments and is 'triple net', with UNSW responsible for all capital and operating expenses. The purchase price of $41 million is supported by an independent valuation from CB Richard Ellis at an initial yield of 6%, a ten year discount rate of 8.5% and a terminal capitalisation rate of 6.1%.
The building, located at 221-227 Anzac Parade in Kensington, lies adjacent to the UNSW campus and was completed in May 2005. It was design by Bligh Voller Nield.
"The property will add diversity to the portfolio and meets the investment criteria of the Trust in offering a long term, investment grade equivalent, covenant from UNSW and a new building in a location that will improve significantly in the future," said Keith Grayson, Head of Property Funds Management for Westpac. Sphere: Related Content
KarstadtQuelle May Raise EUR 800 Million for 49% Stake in Store Portfolio Fund
NAMNEWS - December 18, 2006
Retail group KarstadtQuelle has received offers for its stake in a property fund, and could use the proceeds to buy Lufthansa's stake in Thomas Cook, Reuters has quoted sources familiar with the situation as saying. The report said that several prospective buyers have shown interest in KarstadtQuelle's 49% stake in a property fund. A sale could generate E800m for KarstadtQuelle, which could help with restructuring and allow for acquisitions.
The sources said that offers are coming from Anglo-American financial investors keen to buy a large portfolio, given expectations of gains in the German retail property market and declines in the dollar. A sale would enable KarstadtQuelle to buy Lufthansa's half of their jointly owned travel tour operator Thomas Cook without taking on new debt.
In March, KarstadtQuelle sold its property portfolio (in a large sale leaseback transaction) for E4.5bn to a joint venture owned 49% by itself and 51% by Whitehall, a Goldman Sachs property fund. Karstadt had hoped to reduce its stake in the fund over a period of three to five years, generating E800m, but the improving German property market and better-than-expected performance at Karstadt's department stores are making an earlier exit possible. Sphere: Related Content
Retail group KarstadtQuelle has received offers for its stake in a property fund, and could use the proceeds to buy Lufthansa's stake in Thomas Cook, Reuters has quoted sources familiar with the situation as saying. The report said that several prospective buyers have shown interest in KarstadtQuelle's 49% stake in a property fund. A sale could generate E800m for KarstadtQuelle, which could help with restructuring and allow for acquisitions.
The sources said that offers are coming from Anglo-American financial investors keen to buy a large portfolio, given expectations of gains in the German retail property market and declines in the dollar. A sale would enable KarstadtQuelle to buy Lufthansa's half of their jointly owned travel tour operator Thomas Cook without taking on new debt.
In March, KarstadtQuelle sold its property portfolio (in a large sale leaseback transaction) for E4.5bn to a joint venture owned 49% by itself and 51% by Whitehall, a Goldman Sachs property fund. Karstadt had hoped to reduce its stake in the fund over a period of three to five years, generating E800m, but the improving German property market and better-than-expected performance at Karstadt's department stores are making an earlier exit possible. Sphere: Related Content
Sunday, December 17, 2006
CVS Completes Largest Retail Sale Leaseback in US History
Mintz Levin Web Site - December 14, 2006
Mintz, Levin, Cohn, Ferris, Glovsky and Popeo, P.C., a full-service, 450-lawyer AmLaw 100 firm with offices throughout the U.S. and in the U.K., announced that it represented CVS Corporation, the nation's largest pharmacy chain, in an historic $1.3 billion sale leaseback transaction - the largest retail sale leaseback deal in U.S. history. The transaction, which involved 340 owned or ground leased pharmacy properties located in 29 states, was financed through a 144A securities offering underwritten by five investment banks led by Lehman Brothers. Sphere: Related Content
Mintz, Levin, Cohn, Ferris, Glovsky and Popeo, P.C., a full-service, 450-lawyer AmLaw 100 firm with offices throughout the U.S. and in the U.K., announced that it represented CVS Corporation, the nation's largest pharmacy chain, in an historic $1.3 billion sale leaseback transaction - the largest retail sale leaseback deal in U.S. history. The transaction, which involved 340 owned or ground leased pharmacy properties located in 29 states, was financed through a 144A securities offering underwritten by five investment banks led by Lehman Brothers. Sphere: Related Content
Travis Perkins Completes GBP 31 Million Sale Leaseback of 35 Retail Properties in UK
Forbes/AFX - December 15, 2006
Travis Perkins PLC, the UK based construction products retailer, said it sold 35 freehold properties to an investment vehicle, in which the group retains a 15 pct stake, for 31 mln stg after costs. The properties, which have been leased back by the group on 25-year terms, on a near 6 pct yield, realised a net profit of 11 mln stg in 2006. Travis Perkins plans to re-invest the proceeds in new and existing properties.
"This is our biggest ever property deal and represents an important step in our implementation of the group's policy of maximising value through the development of its property portfolio," said chief executive Geoff Cooper. The group operates from over 1,000 sites of which 377 are freehold or long leasehold. It said that disposals in future years will likely be on a smaller scale. Sphere: Related Content
Travis Perkins PLC, the UK based construction products retailer, said it sold 35 freehold properties to an investment vehicle, in which the group retains a 15 pct stake, for 31 mln stg after costs. The properties, which have been leased back by the group on 25-year terms, on a near 6 pct yield, realised a net profit of 11 mln stg in 2006. Travis Perkins plans to re-invest the proceeds in new and existing properties.
"This is our biggest ever property deal and represents an important step in our implementation of the group's policy of maximising value through the development of its property portfolio," said chief executive Geoff Cooper. The group operates from over 1,000 sites of which 377 are freehold or long leasehold. It said that disposals in future years will likely be on a smaller scale. Sphere: Related Content
Thursday, December 14, 2006
Telstra Agrees to AUS $550 Million HQ Build-to-Suit in Brisbane
The Australian - December 12, 2006
Telstra has struck Brisbane's biggest office lease as it moves to consolidate its massive property requirements. The telco will lease a total of 50,000sqm in generating a new purpose-built 30-storey office tower at 275 George Street and sparking the refurbishment of Northbank Plaza in Ann Street next door. The buildings will house its 2500 office workers and 2000 call-centre staff.
Telstra chief executive Sol Trujillo said the new leases, to begin in 2008 and 2009 when the new buildings are complete, meant it would consolidate from eight Brisbane locations down to the two new towers. The deal would result in annual lease savings of $11.65 million from 2009, Mr Trujillo said.
Sydney-based property company Charter Hall will develop the $550 million complex through two of its wholesale property funds. Brisbane has been one of the country's hottest office leasing markets with an all-time low vacancy rate of 1.8 per cent and rents surging 23 per cent in the year to September, according to agent Jones Lang LaSalle.
Telstra director of property Vito Chiodo declined to comment on the rent to be paid on the 10-year leasing agreement. Industry sources said the telco's rental bill on the new deal was likely to gross around $500 per square metre, but with significant incentives for such a big deal.
There has been ongoing market speculation that Telstra will also sell part of its $2 billion-plus property holdings. In 2002, Telstra boosted its bottom line with the $570 million sale and lease-back of seven office properties to Investa Property Group. Sphere: Related Content
Telstra has struck Brisbane's biggest office lease as it moves to consolidate its massive property requirements. The telco will lease a total of 50,000sqm in generating a new purpose-built 30-storey office tower at 275 George Street and sparking the refurbishment of Northbank Plaza in Ann Street next door. The buildings will house its 2500 office workers and 2000 call-centre staff.
Telstra chief executive Sol Trujillo said the new leases, to begin in 2008 and 2009 when the new buildings are complete, meant it would consolidate from eight Brisbane locations down to the two new towers. The deal would result in annual lease savings of $11.65 million from 2009, Mr Trujillo said.
Sydney-based property company Charter Hall will develop the $550 million complex through two of its wholesale property funds. Brisbane has been one of the country's hottest office leasing markets with an all-time low vacancy rate of 1.8 per cent and rents surging 23 per cent in the year to September, according to agent Jones Lang LaSalle.
Telstra director of property Vito Chiodo declined to comment on the rent to be paid on the 10-year leasing agreement. Industry sources said the telco's rental bill on the new deal was likely to gross around $500 per square metre, but with significant incentives for such a big deal.
There has been ongoing market speculation that Telstra will also sell part of its $2 billion-plus property holdings. In 2002, Telstra boosted its bottom line with the $570 million sale and lease-back of seven office properties to Investa Property Group. Sphere: Related Content
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