Commercial real estate
* Citing unnamed sources, the Chicago Tribune reported that Facebook Inc. is in talks to lease more than 200,000 square feet at 151 N. Franklin St. in Chicago's Loop, and Google Inc. intends to lease more than 100,000 square feet of office space in the city's Fulton Market district.
Facebook recently signed the largest office lease deal in San Francisco's history by agreeing to fully occupy the 755,900-square-foot Park Tower in the city's Transbay district that is being developed by John Buck Co., Golub & Co. and MetLife Inc. John Buck is also the developer of the 35-story tower at 151 N. Franklin St.
The Google lease is being negotiated for a 12-story building at 210 N. Carpenter St. that is being developed by Sterling Bay, the report noted, citing the sources.
* Shopify Inc. is nearing a deal to lease new office space from RioCan Real Estate Investment Trust and Allied Properties REIT at the 7.8-acre mixed-use project in downtown Toronto dubbed the Well, Bloomberg News reported, citing a person with knowledge of the matter. RioCan and Allied Properties own the 1.6 million-square-foot commercial part of the project, which also features retail and residential space.
Allied Properties is finalizing leases with three tenants for the first 475,000 square feet of the space, the report noted. It is unclear how much space e-commerce company Shopify is seeking to occupy, the newswire noted.
* Portman Holdings is looking to sell its recently completed 615 South College office building in Charlotte, N.C., with a sale expected to close in the near future, the Charlotte Business Journal reported, citing multiple commercial real estate sources. The sources said the property is expected to fetch more than $500 per square foot, a record for office sales in the city's central business district. The current $309 per-square-foot record in the district was set in early 2016 with the sale of the Carillon Tower.
The report noted that another Charlotte property, Beacon Partners' 500 East Morehead in midtown, is also on the market, and the two assets would mark the city's first sales of office properties constructed after the recession.
* Brookfield Property Partners LP has enlisted Montage International-owned boutique brand Pendry Hotels to manage a 164-room hotel that is slated to open in 2021 at its Manhattan West project in Manhattan, N.Y., Bloomberg News reported.
The news outlet noted that the advent of luxury hotels on Manhattan's far west side follows the migration of blue-chip office tenants to the area, where projects include the 7 million-square-foot Manhattan West and Related Cos.' Hudson Yards.
* WeWork Cos. has leased roughly 30,000 square feet at The Olnick Organization Inc.'s 11-story building at 130 Fifth Ave. in Manhattan, The Real Deal reported, citing an unnamed source. The lease is the coworking giant's ninth location in the borough's Flatiron District.
* TIAA affiliate TH Real Estate plans to sell its 49% stake in the 470 Park Ave. South building in Midtown Manhattan that it co-owns with Norway's Norges Bank, The Real Deal reported, citing unnamed sources. The 17-story, 260,000-square-foot property was acquired from SL Green Realty Corp. for $157 million in 2007, and Norges Bank became a co-owner in 2013.
TH Real Estate also recently placed its 49% stake in the 8 Spruce St. rental tower in Lower Manhattan up for sale.
* Windward Design Group leased 281,276 square feet of industrial space at Daylion's 2150 Whitfield Ave. facility in Sarasota, Fla., Commercial Property Executive reported, citing JLL, which represented the tenant in the deal.
* Kansas Public Employees Retirement System approved a new $60 million commitment to JP Morgan Asset Management's Strategic Property Fund, IPE Real Assets reported. The pension fund had an investment of $208 million in the open-ended U.S. property fund at the end of 2017, the report added.
After the bell
* Education Realty Trust Inc. is in discussions with private equity firms for a possible going-private deal, as the student housing real estate investment trust weighs a potential sale, The Wall Street Journal reported, citing unnamed sources.
Housing
* Encore Capital Management is looking to raise $400 million for a new fund, with a view to acquiring land and building homes for sale, Bloomberg reported, citing sources privy to the matter.
The asset manager and real estate developer is in discussions with institutional investors regarding the fundraising plan, and the fund would target inexpensive, entry-level and seniors housing, according to the report.
The day ahead
Early morning futures indicators pointed to a higher opening for the U.S. market.
In Asia, the Hang Seng was up 1.66% to 30,997.98. The Nikkei 225 rose 1.37% to 22,475.90.
In Europe, as of midday, the FTSE 100 was up 0.31% to 7,701.77, while the Euronext 100 had climbed 1.02% to 1,059.77.
On the macro front
The factory orders report is due out today.
Now featured on S&P Global Market Intelligence
In big hotel deals, Blackstone is a buyer and a seller: The private equity giant agreed to purchase LaSalle Hotel Properties, a real estate investment trust, around the same time it exited a long-term investment in Hilton Worldwide Holdings, a brand company.
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