New York Real Estate Company To Develop $150 Million Mixed-Use Property in Detroit
By Erin Brereton, Content ManagerDetroit–New York-based real estate investment firm Northern Group announced plans Wednesday to build a $150 million residential, retail and entertainment complex with more than 80 apartments in downtown Detroit.The Cadillac Centre will feature two 24-story towers of sculpted metal and glass and will connect to the existing 1927 Beaux Arts Cadillac Tower skyscraper, already owned by the Northern Group. The property will fill in the last piece of land surrounding Campus Martius Park, which Northern calls Detroit’s new town square.Cadillac Centre will include 84 apartments, 48 of which will be located in the 24-story SkyLoft Towers….
DEAL OF THE DAY: Oregon Broker Coordinates Sale of Five Apartment Properties for Over $70 Million
Portland, Ore.–Portland, Ore.-based real estate investment firm Hagerman Frick O’Brien recently arranged the sale of five apartment buildings in Washington and Oregon for more than $76 million.The 334-unit Meadow Wood Apartments in Vancouver, Wash., sold for $26.6 million or $79,640 per unit. Hagerman Frick O’Brien Investment Real Estate (HFO) represented both the buyer, Meadow Wood Associates, based in Washington state, and the seller, Orchards Retirement, LLC of Vancouver.Prairie View (pictured), a 284-unit apartment complex in Vancouver, sold for $26.7 million, or $94,014 per unit. The buyer, Vancouver Prairie View, LLC of Vancouver, and the seller, Prairie View Associates of Seattle,…
Merrill Lynch Looks Overseas to Ease the Blow of Potential $15 Billion Writedown
New York–Merrill Lynch may post twice its original mortgage investment loss estimate–$15 billion total–triggering the firm to look overseas for investment capital, The New York Times reported Friday.The nation’s largest brokerage firm likely will disclose the writedown–larger than the $12 billion many experts had predicted–next week in its earnings report. To raise roughly $4 billion, Merrill is now talking with potential U.S., Asian and Middle Eastern investors, including American private equity firms, according to the Times.New CEO and Chairman John A. Thain already has sold a $5.6 billion stake to Temasek Holdings, administered by Singapore’s government, and Tucson-based money management…
Housing Slump Becomes Hot Election Year Issue
Concord, N.H.–New York Sen. Hillary Clinton’s success in the New Hampshire primary earlier this week marked a turn for the election: For Clinton, who had advanced in the race, and for housing, which she mentioned in her victory speech.The housing market has become a key issue in the U.S. presidential race as candidates try to drum up votes in Michigan, Nevada, Florida and other states with a high foreclosure rate, The Wall Street Journal reported Friday. Clinton also was scheduled to discuss the slump Thursday in Las Vegas. Former Arkansas Governor Mike Huckabee’s new television advertisement, airing in Michigan, also…
Alterra Capital Group Completes Renovations on Three Properties in Memphis
By Matthew Marin, Associate EditorMemphis, Tenn.–Alterra Capital Group, a privately held real estate investment company based in Miami, has completed $4.7-million renovations on three of its multifamily communities in Memphis: Corner Park, Winbranch Apartments and Parkview Apartments. “As we expand our presence in key markets, it is important we maintain a consistent image,” says Matt Papunen, company principal of Alterra Capital Group. “Delivering all these units at one time allows us to leverage our size by making a statement about our commitment to the area while providing the market with a large volume of rehabilitated inventory that raises the standard…
Europe Feels the Sting of the U.S. Housing Slump
London–The U.S. economy isn’t the only one suffering from the credit and housing collapse; a ripple effect has plagued parts of Europe–especially Britain–in the past year, The Chicago Tribune reported Friday.Banks in Europe and other regions were burdened when Americans defaulted on their mortgages because they had been packaged into securities and sold globally.The German government had to spend $11.1 billion to rescue the IKB Deutsche Industriebank several months ago because of its U.S. mortgage investments. French bank BNP Paribas had to halt withdrawals from $2.2 billion in investment funds when the mortgage collapse prevented the bank from estimating their…
Freddie Mac: 30-Year Mortgage Rates Fall, Refinance Activity Increases
McLean, Va.–Refinancing activity picked up this week after mortgage rates fell due to disappointing economic results, according to government-sponsored loan buyer Freddie Mac.McLean, Va.-based Freddie Mac said the rate on a 30-year fixed-rate loan averaged 5.87 percent for the week ending Jan. 10, a decrease from last week’s 6.07 percent average, CNNMoney.com reports.The 30-year fixed-rate mortgage averaged 6.21 percent this week in 2007.An increase in unemployment–which hit a new two-year high of 5 percent last month–and slow growth in the service sector helped influence the drop, Freddie Mac Vice President and Chief Economist Frank Nothaft said Thursday.The National Association of…
Undermanaged Property Receives Fixed-Rate Loan for Immediate Turnaround
By Keat Foong, Executive Editor Austin, Texas–The Houston office of HFF (Holliday Fenoglio Fowler LP) arranged a $1.8 million financing for Alpine Village and Alpine Grove Apartments, two multifamily communities totaling 68 units in southern Austin, Texas.Seamless Development Inc. is using the loan proceeds to acquire the properties, implement a more efficient property management team and make minor capital improvements to facilitate immediate increases in rental rates. “The multifamily market in South Austin has been very resilient in withstanding rental increases without affecting occupancy levels. The close proximity to Saint Edward’s campus and the mismanagement of the property made it…
Bank of America Buys Countrywide for $4 Billion
By Anuradha Kher, MHN Online EditorCharlotte, N.C. — Bank of America Corp. today announced its decision to purchase the troubled home loan lending company Countrywide Financial for approximately $4 billion in stock.The purchase will make Bank of America the nation’s largest mortgage lender and loan servicer. Meanwhile, Countrywide will benefit from the stability of being part of the largest and one of the most financially strong financial institutions in the United States, according to Bank of America.“Countrywide presents a rare opportunity for Bank of America to add what we believe is the best domestic mortgage platform at an attractive price…
Hurricane-Resistant Solar Panels Power Broward County Building
By Anuradha KherFort Lauderdale, Fla.– Advanced Green Technologies, a Fort Lauderdale, Fla.-based company that provides sustainable building solutions and renewable energy products for residential and commercial applications officially opened its 10,000-sq.-ft. building topped by hurricane-resistant solar panels. The building belongs to Advanced Roofing, a 24-year-old company of which AGT is a subsidiary.Florida Governor Charlie Crist presided over the ribbon-cutting ceremony and reviewed the renewable energy efforts of the company. “They’re doing such great things and making such a difference,” said Gov. Crist. “The largest solar panel roof in Florida is obviously a good example.”The building is an office and warehouse….