July 3, 2014 | Issue 283
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Newcastle Acquires $186 Million 
Six-Property Seniors Housing Portfolio 


NEW YORK -- Newcastle Investment Corp. (NYSE: NCT) has purchased a portfolio of six seniors housing communities for $186 million. The portfolio was purchased with unrestricted cash.


The six rental continuing care retirement communities in the portfolio are all located in Texas and consist of a total of 1,265 beds.


Concurrent with the acquisition, Newcastle has entered into a triple-net master lease agreement with a subsidiary of Lifecare Cos. LLC. The lease has an initial term of 15 years with two 5-year renewal options. The initial cash lease yield is 7.6 percent with 3.75 percent increases in years two to four and 2.5 percent in years five to 15.


Lifecare Cos., established in 1971, is a manager of continuing care retirement communities throughout the United States.


Newcastle has invested more than $700 million of equity in the past 24 months to acquire 95 seniors housing properties with more than 11,900 beds, totaling more than $1.8 billion in assets. The company is managed by an affiliate of Fortress Investment Group LLC.


Newcastle also recently created a spin-off company, New Senior Investment Group Inc. (NYSE:SNR), a publicly traded REIT focused on the seniors housing sector.


The stock price of Newcastle closed at $4.79 per share on Monday, June 30, down from $5.23 per share on Friday, June 28, 2013.


-- Scott Reid


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Forest City Enterprises, Greenland USA To Develop 22-Acre Mixed-Use Project

Atlantic Yards will include an arena and B2 BKLYN (pictured above), which are not part of Forest City and Greenland USA's partnership.

NEW YORK CITY -- Cleveland-based Forest City Enterprises and Greenland USA, a subsidiary of Shanghai-based Greenland Group Co., have partnered to develop Atlantic Yards, a 22-acre residential and commercial real estate development in Brooklyn. The joint venture covers both phases one and two of the project, including infrastructure, a permanent MTA rail yard, a platform above the rail yard, future residential units and future commercial high-rise development. The initial joint venture does not include the Barclays Center and B2 BKLYN, the first residential tower. 


Under the agreement, Greenland USA has acquired 70 percent of the project and will co-develop the project with Forest City, with both companies sharing all project costs going forward in proportion to their ownership interests. Forest City Ratner Companies, the New York-based subsidiary of Forest City, will co-manage the daily activities and develop project consistently with the approved master plan along with Greenland USA. The project will bring 6,430 residential units, including 2,250 units of affordable housing, to the Brooklyn area.


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KBS REIT II Sells Metropolitan Center For $108.7 Million In East Rutherford
The 15-story Metropolitan Center offers 421,317 square feet
of LEED Gold-certified office space.

EAST RUTHERFORD, N.J. -- Newport Beach, Calif.-based KBS REIT II, a public non-traded real estate investment trust, has completed the disposition of Metropolitan Center in East Rutherford. The office property was sold to One Met Center LLC, which is owned and operated by Vision Properties, a wholly owned subsidiary of Arena Capital Group, for $108.7 million. Located at One Meadowlands Plaza, Metropolitan Center is a 15-story, 421,317-square-foot LEED Gold-certified office building. The property is also adjacent to MetLife Stadium and the American Dream development, which is slated to include 1.7 million square feet of retail space and 1.2 million square feet of attractions and dining.


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Meridian Capital Arranges $45 Million For 13-Property Multifamily Portfolio 


NEW YORK CITY -- Meridian Capital Group has negotiated a $45 million loan to refinance the Continental Portfolio, a 13-property multifamily portfolio located throughout the Bronx. The five-year balance sheet loan, which was provided by a local community bank, features a competitive LIBOR-based rate. The 597-unit portfolio includes 2442 Morris Avenue, 1711 Morris Avenue, 1704 Morris Avenue, 1685 Morris Avenue, 1721-1729 Walton Avenue, 1715-1717 Walton Avenue, 1170 Gerard Avenue, 1165 Gerard Avenue, 2333 Loring Place North, 2322 Loring Place North, 2226 Loring Place North, 4138 Barnes Avenue and 1236 Grand Concourse. Tal Bar-or and Kyle Kite of Meridian's New York City office arranged the transaction.


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Gebroe-Hammer Arranges Two Multifamily Sales Totaling $38.3 Million

The Crest at Washington Square sold for $26 million in Lakewood, N.J.


LAKEWOOD, N.J. -- Gebroe-Hammer Associates has arranged the two multifamily property sales totaling $38.3 million in Lakewood. In the first transaction, The Crest at Washington Square, a 144-unit residential property located at 415 Cedar Bridge Road, sold for $26 million. Built in 2006, the building features a mix of one- and two-bedroom/one-bathroom units and two- and three-bedroom/two-bathroom layouts. Also included in the sale was a two-story, 17,516-square-foot retail and office building, which has a fully occupied ground-floor retail center. Joseph Brecher of Gebroe-Hammer represented the seller and procured the buyer in the transaction. 


In the second transaction, the 72-unit Shenandoah Village, located at 102 Susan Dr., sold for $12.3 million or more than $173,000 per unit. Built in 2000, the property features one- and two-bedroom floorplans with central air conditioning, washer/dryer, and a balcony, deck or patio. Community amenities include an outdoor barbecue area, playground and 160 parking spaces. Brecher represented the seller in the transaction, while Debbie Pomerantz of Gebroe-Hammer procured the buyer.


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Zencorr Properties Takes 350-Unit Multifamily Property For $31.5 Million

AIMCO sold the 350-unit Center Square Towers for $31.5 million.

DOYLESTOWN, PA. -- Doylestown-based Zencorr Properties has acquired Center Square Towers, a 350-unit apartment complex in Doylestown. AIMCO sold the property, which is located at 555 N. Broad St., for $31.5 million. The buyer has a capital campaign planned for the property to refresh the units and common areas. Adam Gillespie of SSH Real Estate represented Zencorr in the transaction. The company purchased the property with 1031 funds.


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Mack-Cali Sells Montebello Office Building For $28.3 Million 
Located in Montebello, N.Y., the 195,375-square-foot office building was 75.8 percent leased at the time of sale.

MONTEBELLO, N.Y. -- Mack-Cali Realty Corp. has completed the disposition of 400 Rella Blvd. in Montebello for $28.3 million. The three-story, 195,375-square-foot office building, which was Mack-Cali's sole asset in Rockland County, N.Y., was 75.8 percent leased at the time of sale. Jeffrey Prezant of Cushman & Wakefield represented Mack-Cali in the transaction.  


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TerraCRG Brokers $1.6 Million Bushwick Multifamily Property Sale 


NEW YORK CITY -- TerraCRG has arranged the sale of 55 St. Nicholas Street in Brooklyn's Bushwick neighborhood. Located between Starr Street and Willoughby Avenue, the 5,832-square-foot, six-unit multifamily property sold for $1.6 million or $266,667 per unit. The property features three newly renovated units each comprising three bedrooms and two bathrooms. Matthew Cosentino, Eric Satanovsky and Robert McDonald of TerraCRG represented the seller in the transaction.


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Roosevelt Trail Acquires Napa Auto Parts Location For $1.35 Million 
Located in Windham, Maine, The NAPA Auto Parts location
is triple-net leased for 10.5 years.

WINDHAM, MAINE -- Roosevelt Trail LLC has acquired a NAPA Auto Parts location in Windham for $1.35 million. The 7,930-square-foot property was delivered with a new 10.5-year absolute triple-net lease with options. NAPA has occupied the site since 1996. Bob Horvath and Todd Tremblay of Marcus & Millichap represented the buyer in the transaction. The seller was not disclosed.


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Marcus & Millichap Brokers Two Multifamily Sales Totaling $2.3 Million

NEW YORK CITY -- Marcus & Millichap has brokered the sales of two multifamily buildings in Brooklyn totaling $2.3 million. In the first transaction, a private investor sold 503 Bevelry Road, a four-unit apartment building located in Brooklyn, for $1.1 million or approximately $220 per square foot. Erik Rodriguez, Derek Bestreich and Seth Schiffman of Marcus & Millichap's Brooklyn office represented both the seller and the buyer, a private investor, in the transaction.
In the second transaction, a private investor acquired 330 Starr Street, a six-unit apartment property located in Brooklyn's Bushwick neighborhood, for $1.2 million or $203 per square foot. Shaun Riney and Dan Greenblatt, also of Marcus & Millichap's Brooklyn office, represented the seller, a private investor, and the buyer in the transaction.
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Vericon Construction Takes 11,685 SF Commercial Building For $1 Million

MOUNTAINSIDE, N.J. -- Vericon Construction has acquired a single-story commercial building at 191 Glen Road in Mountainside for $1 million. The buyer, which also owns the adjacent building, plans to expand its operations into the 11,685-square-foot property. The property is currently 46.5 percent leased to NBD Fitness Center and divisible for multi-tenant use with separate entrances. Jacklene Chesler of Colliers International represented the seller, Caiola Family Trust, in the transaction.
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Levin Managements Signs Two New Retail Tenants in Patchogue

PATCHOGUE, N.Y. -- North Plainfield, N.J.-based Levin Management has signed two new tenants totaling 7,400 square feet at 35-71 South Ocean Avenue, a 23,000-square-foot retail space in downtown Patchogue. The new tenants include the 4,900-square-foot 360 Taiko Sushi & Lounge and the 2,500-square-foot Jeans Fashion. Jake Frantzman of Levin negotiated the transactions on behalf of 360 Taiko Sushi & Lounge and Jeans Fashion.
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Eastern Union Funding Launches Commercial Real Estate Lender Portal 


NEW YORK CITY -- Eastern Union Funding has launched its Lender Portal, a patent-pending interface designed to add speed and efficiency to commercial real estate transactions. Designed by CRE Tracker, the Lender Portal offers a specialized interface that will enable deals to be viewed in one systemized place. By using the portal, a lender will be able to organize all available Eastern Union deals, including quotes, documents, checklists and rates. 


The program's delivery and layout will allow initial review of deals in less than 60 seconds. The portal will track all of Eastern Union's negotiations and indicate potentially interested lenders. Additionally, the portal offers several tools, including a traditional mortgage calculator and a per deal maximum loan proceed calculator. The interface is also equipped with a comps section, detailing loan requests, as well as a complete real estate directory of appraisers, engineers and environmental technicians, attorneys and sales brokers.


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Gina Ignatieva Joins NYC-based Voda Bauer As Director, Investment Sales 

Gina Ignatieva



NEW YORK CITY -- Voda Bauer Real Estate has hired Gina Ignatieva as director of investment sales. In her new role, Ignatieva will focus on business development, deal sourcing, client support and transaction negotiation. Additionally, she will handle the sale of apartment buildings, development sites, office buildings and retail properties. Ignatieva will also be involved in the structuring of long-term net leases and joint ventures. Prior to joining the firm, she was an associate with Brookfield Financial.



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HFF Taps Eric Anton As New Senior Managing Director In NYC 
Erin Anton

NEW YORK CITY -- Eric Anton has joined HFF's Manhattan office as a senior managing director focused on investment sales in the New York metropolitan area. Anton has more than 22 years of investment sales/capital markets real estate experience and has completed more than $7 billion in transactions. He joins the HFF team from Brookfield Financial where he served as a managing partner.




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Joy Sinderbrand Joins NYC-based Washington Square Partners 

Joy Sinderbrand



NEW YORK CITY -- Joy Sinderbrand has joined Manhattan-based Washington Square Partners as an associate vice president. In this role, she is engaged in the firm's efforts on the Washington Heights redevelopment project, a major campus planning and facility repositioning in East Harlem, and the purchase of a building in Chelsea that will be adaptively reused to retain jobs. Additionally, Sinderbrand will be engaged on multiple Brooklyn projects for the firm. Previously, she served as development project manager at the Port Authority of New York and New Jersey.



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HAP Investments Promotes 
Nathan Franco to Vice President 

Nathan Franco



NEW YORK CITY -- HAP Investments has promoted Nathan Franco to vice president. In his new position, Franco is responsible for acquisitions and development, along with financial modeling and deal structuring. Prior to joining HAP Investments in 2012, Franco worked at Sol Goldman Investments. Franco studied finance at Touro College, as well as management and finance at Yeshiva University.




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Upcoming Events

Certified Buyer Representative Course

Overview: Sponsored by REBNY, the two-day course is for real estate professionals looking to obtain CBR certification or continuing education credits.
When: August 12-13, 9 a.m. to 5:30 p.m. 
Where: REBNY Mendik Education Center, 570 Lexington Ave. (Lower Level), NYC

InterFace Net Lease

Overview: The agenda will cover investment, development and financing trends and discuss market conditions in the NNN and sale/leaseback space.
When: September 17 
Where: New York Bar Association
(Cocktail reception on Sept. 16 at The Terrace Club)

Certified Negotiation Expert Course

Overview: Sponsored by REBNY, the two-day course is for real estate professionals looking to obtain CNE certification or continuing education credits.
When: September 29-30, 9 a.m. to 5:30 p.m. 
Where: REBNY Mendik Education Center, 570 Lexington Ave. (Lower Level), NYC


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Matt Valley, Editorial Director 

 Northeast Real Estate Business

 France Media, Inc.





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