By Jennifer LeClaire Last Updated: May 24, 2012 07:27am ET
This is a fairly short article so I am re-posting it entirely. Read the full article at Industrial Notes Hit Market as Euro Zone Worries Rise
SAVANNAH, GA—Capital markets stateside are bracing for the impact of the European financial woes, but that’s not stopping notes collateralized by industrial assets from going up for sale. Two notes backed by industrial properties in Savannah, Ga. and Richmond, Va. have hit the market.
The Roseview Group, a private real estate investment and advisory firm, is the exclusive agent for the sale of the two notes. Nigel Keenan, a partner at The Roseview Group, is “confident in the quality of these assets and their ability to sell.”
The $4.3 million note in Savannah is secured by a single distribution warehouse located less than 1.5 miles from the Port of Savannah and within close proximity to Interstate 95 and the Savannah/Hilton Head International Airport.
The 10-property, $8.95 million note in Richmond is secured by eight distribution warehouse buildings and additional raw land totaling 1.67 million square feet, as well as a separate multifamily complex. The multifamly complex is historically well-occupied, which lends additional cash flow and stability to the portfolio.
The notes will be sold on an “as-is, where-is” basis without any representation or warranty. Roseview is accepting bids through June 15.
But how much interest will the notes receive in the wake of the Organization for Economic Cooperation and Development’s (OECD) Tuesday warning that Europe’s sovereign debt crisis is putting the global economic recovery at risk? And, more to the point, how will capital markets in the U.S. react to the crisis is the euro zone, which OECD Chief Economist Pier Carlo Podoan called the single biggest downside risk facing the global outlook?
CBRE vice chairman Charles Foschini tells GlobeSt.com the European debt crisis will effect CMBS lending, which is very in tune with world market movements. He says life companies will react to a lesser extent. For these reasons, multifamily will continue the easiest asset class for which to find funding.
“The true charter and essence of Freddie Mac and Fannie Mae is to provide liquidity to housing in the most volatile times,” Foschini says. “So that that is only going to create additional need and capacity for the agencies to continue funding.”
A. Joseph Marshall
Coldwell Banker Commercial
Commercial Real Estate Advisor
Savannah, Ga
This is a fairly short article so I am re-posting it entirely. Read the full article at Industrial Notes Hit Market as Euro Zone Worries Rise
SAVANNAH, GA—Capital markets stateside are bracing for the impact of the European financial woes, but that’s not stopping notes collateralized by industrial assets from going up for sale. Two notes backed by industrial properties in Savannah, Ga. and Richmond, Va. have hit the market.
The Roseview Group, a private real estate investment and advisory firm, is the exclusive agent for the sale of the two notes. Nigel Keenan, a partner at The Roseview Group, is “confident in the quality of these assets and their ability to sell.”
The $4.3 million note in Savannah is secured by a single distribution warehouse located less than 1.5 miles from the Port of Savannah and within close proximity to Interstate 95 and the Savannah/Hilton Head International Airport.
The 10-property, $8.95 million note in Richmond is secured by eight distribution warehouse buildings and additional raw land totaling 1.67 million square feet, as well as a separate multifamily complex. The multifamly complex is historically well-occupied, which lends additional cash flow and stability to the portfolio.
The notes will be sold on an “as-is, where-is” basis without any representation or warranty. Roseview is accepting bids through June 15.
But how much interest will the notes receive in the wake of the Organization for Economic Cooperation and Development’s (OECD) Tuesday warning that Europe’s sovereign debt crisis is putting the global economic recovery at risk? And, more to the point, how will capital markets in the U.S. react to the crisis is the euro zone, which OECD Chief Economist Pier Carlo Podoan called the single biggest downside risk facing the global outlook?
CBRE vice chairman Charles Foschini tells GlobeSt.com the European debt crisis will effect CMBS lending, which is very in tune with world market movements. He says life companies will react to a lesser extent. For these reasons, multifamily will continue the easiest asset class for which to find funding.
“The true charter and essence of Freddie Mac and Fannie Mae is to provide liquidity to housing in the most volatile times,” Foschini says. “So that that is only going to create additional need and capacity for the agencies to continue funding.”
A. Joseph Marshall
Coldwell Banker Commercial
Commercial Real Estate Advisor
Savannah, Ga
