Commercial real estate
* Extell Development Co. landed $690 million in new financing for the remaining unsold units at its 80-story One Manhattan Square tower in the Two Bridges neighborhood of Manhattan, N.Y., The Real Deal reported, citing a filing on the Tel Aviv Stock Exchange. The developer has sold more than 100 units at the 815-unit tower since March.
Citing an Extell spokesperson, the report added that Blackstone Group Inc. is the lender. The financing comprises a $553.5 million senior inventory loan and a $138.2 million mezzanine loan. Roughly $560 million of the new proceeds will be used to repay a previous $750 million construction loan from 2016.
* Thor Equities LLC is introducing a business that would invest $900 million in the acquisition and development of logistics facilities, The Wall Street Journal reported. The new business, called ThorLogis, has two properties in the works in Brooklyn, N.Y., and Amsterdam.
* Canadian developer Onni Group is planning a two-tower project in Glendale, Calif., with 857 hotel rooms and 7,500 square feet of retail and restaurant space, Urbanize Los Angeles reported. The project, in the design review phase, would be at 611 N. Brand Blvd.
Onni acquired the roughly 400,000-square-foot office tower and its associated parking areas on the site for $83 million in 2017 and previously planned a 600-unit apartment complex for the site.
* The 11-story, 373,000-square-foot Ziggurat office building in Sacramento, Calif., is being placed on the selling block without an asking price, the Sacramento Business Journal reported, citing confirmation from Cushman & Wakefield brokers. According to the report, a local spokesperson for Wells Fargo Bank said the property is owned by Zurich Alternative Asset Management LLC.
The property at 707 Third St. was last sold for $87 million a few months after its completion in 1998. It is fully leased by the state of California's Department of General Services. The report added that a neighboring six-story parking garage is also included in the listing.
* A Blackstone affiliate sold the roughly 217,000-square-foot 815 Connecticut Ave. NW building in Washington, D.C., for about $231.3 million, the Washington Business Journal reported, citing a deal recorded with the D.C. Recorder of Deeds. The buyer is an affiliate of Spanish investor Ponte Gadea.
* Advertiser Saatchi & Saatchi signed an 80,000-square-foot lease at Tishman Speyer's 555 Aviation campus in El Segundo, Calif., relocating its headquarters from the Hudson Pacific Properties Inc.-owned 3501 Sepulveda Blvd. in Torrance, Calif., The Real Deal reported, citing CoStar.
* The Real Deal carried a report featuring a number of WeWork Cos. Inc. landlords' sentiments regarding the coworking giant's upcoming IPO. While some landlords believe the IPO could be a positive for them as it would provide better collateral, others expressed concerns over various aspects of WeWork's business that came to light after its regulatory filing in preparation for the IPO.
* Tides Equities paid $57.3 million for the 380-unit The Edge community in Phoenix, Multi-Housing News reported. The asset was sold by Baron Properties, which paid $34 million for it in 2007, the report noted, citing Yardi Matrix. Tides Equities now owns 16 multifamily assets in the Phoenix area.
* Greystar sold the 264-unit Avana Orenco Station community in Hillsboro, Ore., to Jackson Square Properties for an undisclosed price, Multi-Housing News reported. The garden-style property was built in 1998 and previously sold for $51 million in August 2014, the report noted, citing Yardi Matrix.
After the bell
* Cross-border investors in U.S. commercial real estate became net sellers in the first half of 2019 for the first time in seven years in a warning sign for U.S. markets, Real Capital Analytics said.
Other real estate news
* Bloomberg News reported that U.S. cell tower real estate investment trusts like American Tower Corp. and Crown Castle International Corp. are mostly refraining from buying at a time when European phone companies are looking to sell their towers. Nick Del Deo, senior analyst at U.S. research firm MoffettNathanson, said U.S. companies are shying away from European acquisitions due to price concerns and growth prospects.
American Tower is focusing on expansions in Africa, Latin America and India to fuel its international growth, the news outlet noted.
The day ahead
Early morning futures indicators pointed to a higher opening for the U.S. market.
In Asia, the Hang Seng inched up 0.08% to 25,724.73, and the Nikkei 225 rose 1.19% to 20,704.37.
In Europe, around midday, the FTSE 100 was up 0.65% to 7,231.22, and the Euronext 100 was up 0.97% to 1,067.18.
On the macro front
The personal income and outlays report, the Chicago PMI, the consumer sentiment report, the farm prices report and the Baker-Hughes Rig Count report are due out today.
Click here to read about today's financial markets, setting out the factors driving stocks, bonds and currencies around the world ahead of the New York open.
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