Rivetting REITS Report
Commerical:
Maguire Properties Inc. has agreed to sell two office buildings in San Diego area for more than $298 million. The buildings are the Pacific Center is a 438,960 square foot office property in Mission Valley and Wateridge Plaza, 268,957 square foot office property in Sorrento Mesa. The sale is expected to close next quarter (bizjournals.com).
The deal is part of the company's strategy to raise equity for an acquisition of a part of the Los Angeles and Orange County EOP portfolio. The company also hopes to reduce debt.
Manhattan remains one of the strongest commercial real estate markets. Manhattan's office rents reached record highs during the first quarter of 2007. The drop in leasing was more than offset by limited supply and increasing demand. All areas of Manhattan have expereinced strong real estate markets. Average asking rent for Manhattan office space reached a record $53.43 per square foot, up 6% from last quarter. In Midtown, the largest commercial real estate market in Manhattan, rents rose an average $62.89 per square foot, up 27% from last year, and 7% from last quarter. In Downtown, rents rose to an average of $40.55 per square foot from $34.97 in the first quarter of 2006.
World Financial Center, owned by Brookfield, is the most expensive downtown real estate valued at an average $67.56. Lehman's subleased 400,000 square feet at 1271 Avenue of the Americas. Seven World Trade Center, the first building of the World Trade Center to be rebuilt, is already 2/3 leased.
Despite such high prices and demand, Manhattan is still on ly the world's ninth most expensive office market. It falls behind Mumbai, Dublin, Moscow, Milan, London, Tokyo, Hong Kong, and Paris (in ascending order).
~Jesse
Maguire Properties Inc. has agreed to sell two office buildings in San Diego area for more than $298 million. The buildings are the Pacific Center is a 438,960 square foot office property in Mission Valley and Wateridge Plaza, 268,957 square foot office property in Sorrento Mesa. The sale is expected to close next quarter (bizjournals.com).
The deal is part of the company's strategy to raise equity for an acquisition of a part of the Los Angeles and Orange County EOP portfolio. The company also hopes to reduce debt.
Manhattan remains one of the strongest commercial real estate markets. Manhattan's office rents reached record highs during the first quarter of 2007. The drop in leasing was more than offset by limited supply and increasing demand. All areas of Manhattan have expereinced strong real estate markets. Average asking rent for Manhattan office space reached a record $53.43 per square foot, up 6% from last quarter. In Midtown, the largest commercial real estate market in Manhattan, rents rose an average $62.89 per square foot, up 27% from last year, and 7% from last quarter. In Downtown, rents rose to an average of $40.55 per square foot from $34.97 in the first quarter of 2006.
World Financial Center, owned by Brookfield, is the most expensive downtown real estate valued at an average $67.56. Lehman's subleased 400,000 square feet at 1271 Avenue of the Americas. Seven World Trade Center, the first building of the World Trade Center to be rebuilt, is already 2/3 leased.
Despite such high prices and demand, Manhattan is still on ly the world's ninth most expensive office market. It falls behind Mumbai, Dublin, Moscow, Milan, London, Tokyo, Hong Kong, and Paris (in ascending order).
~Jesse
posted by Jesse Phillips at
3:57 PM
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