High Pricing, Limited Construction Luring Industrial Portfolio Sellers Back Into Sales Market

Almost any way you look at it, from rising rents and e-commerce-related leasing demand, to strong investment sales and pricing, 2017 is shaping up as possibly the strongest year on record for U.S. industrial real estate. “It’s really hard to find anything negative to say about the current market,” said Rene Circ, director of U.S. research, industrial at CoStar Portfolio Strategy, who co-presented the 2017 Q3 State of the U.S. Industrial Market…

Major Apt. Developers Disclose Plans to Slow Pipelines as Multifamily Deliveries Expected to Peak Next Year

One of the largest projects of next year will be the mid-2018 groundbreaking of the 1.15 million-square-foot second phase of Washington, D.C.’s The Wharf by PN Hoffman and Madison Marquette, including residential, office, marina and retail space. In a reversal of current development trends that could help extend the run of increasing property values and rents in the multifamily sector, executives for several of the largest publicly traded apartment…

Workspace Property Trust Postpones IPO, Citing Unfavorable Market Conditions

Workspace Property Trust acquired 1 Country View Road in Malvern, PA, as part of its $969 million purchase of a 108-property office and flex portfolio in late 2016. Suburban office owner Workspace Property Trust has postponed a planned initial public offering, citing “current market conditions,” suggesting that investors have not yet fully embraced the Horsham, PA-based firm’s strategy of investing in largely suburban U.S. office properties. In…

Cold Storage Becoming a Hot Property Investment

The Blackstone Group (NYSE:BX), which reportedly attempted to buy one cold storage warehouse operator earlier this year, has found a willing partner in another. Sioux City, IA-based Cloverleaf Cold Storage has agreed to a recapitalization that will see private equity funds affiliated with Blackstone make a majority investment in Cloverleaf alongside the firm’s existing Feiges and Kaplan family shareholders, who will continue to operate the business…

VEREIT Selling Cole Capital to CIM Group Affiliate for Up to $200 Million

Cole Real Estate Income Strategy (Daily NAV), Inc., one of five REITs managed by Cole Capital, has acquired several retail portfolios and freestanding properties in 2017, including this Wal-Mart store in Liberty Plaza in Randallstown, MD. In a move to focus on its real estate portfolio, VEREIT, Inc. (NYSE: VER) has agreed to sell nonlisted REIT operator Cole Capital to an affiliate of Los Angeles-based CIM Group, Inc. in a transaction valued at…

Developer of Toronto’s Tallest Residential Tower Confirms Plans to Include Luxury Hotel

Rendering Courtesy of Foster + Partners The developer behind what would be the tallest residential building in Canada has decided to scale back plans for 10 floors of retail and bring in a luxury hotel, CoStar News can report. Sam Mizrahi, president of Mizrahi Developments, confirmed that The One project, slated to be completed as early as 2022 at the southwest corner of Bloor and Yonge streets where Toronto’s two main subway lines meet, plans…

Senior Health Care Operators and Property Owners Pursue Property Sell-Offs, Lease Restructurings in Uncertain Healthcare Environment

As senior care facility operators Genesis Healthcare Inc. (NYSE:GEN) and Brookdale Senior Living Inc. (NYSE: BKD) grapple with the fallout from the ongoing changes in the healthcare economy, they continue to press for lease restructurings with the health care REITs that have come to own their facilities. Welltower Inc. (NYSE:HCN) and Sabra Health Care REIT (NASDAQ:SBRA) are in that process with Genesis Healthcare and HCP Inc. (NYSE: HCP) is restructuring…

Office Lease Up (November 13) Brookfield Lands Another Major Tenant at One Manhattan West as Ernst & Young Signs Up for 600K SF

Ernst & Young (EY) has agreed to lease 600,000 square feet of office space in Brookfield Property Partners’ new One Manhattan West located at 400 West 33rd St., becoming the latest major office tenant to decamp for the emerging area of the city, the global tax advisory firm confirmed Thursday. The 67-story, 2.1 million-square-foot One Manhattan West is the first of two office towers Brookfield is building as part of its Manhattan West development…

Brookfield Proposes to Acquire GGP for $14.8 Billion

Brookfield Property Partners LP (NYSE:BPY) (TSX:BPY.UN) has made a non-binding proposal to acquire GGP Inc. (NYSE:GGP) beyond the 34% it already owns. Brookfield would pay $23/share payable in cash and stock at a total value of $14.8 billion. The proposal represents a premium of 21% to the unaffected closing share price of GGP’s common stock of $19.01 on Nov. 6, 2017, prior to when rumors of such a deal began circulating. As of Sept. 30,…

Closing of Weakest Stores by Retailers Ultimately Expected to Benefit US Shopping Center Performance

Developers of mixed-use projects such as Sunnyvale Town Center in Silicon Valley, which will include 900,000 square feet of new shopping space, are hoping to tap into continued demand for newer high-end retail properties. The U.S. national retail vacancy rate ticked up 10 basis points for the second consecutive quarter to reach 5.2% in the third quarter of 2017 as retail leasing and net absorption slowed despite continuing improvement in the broader…