Commercial real estate
* Related Beal acquired the 451 D St. office building in South Boston for $276 million, the Boston Business Journal reported. The report noted that the sale price is almost seven times the $40.5 million that Beal Cos. and Rockpoint Group paid for the 480,000-square-foot asset in 2006.
The buyer plans to convert some of the vacant space in the property to laboratory space to capitalize on demand for real estate for the life sciences sector. The conversion is expected to cost between $18 million and $20 million upfront, the report noted. The property is 85% occupied, the report added, citing Stephen Faber, executive vice president at Related Beal.
A partnership consisting of Meritage Properties, CV Properties and equity partner State Street Global Advisors was the seller.
* Ian Bruce Eichner's Continuum Co. received a $167.5 million condominium inventory loan from Madison Realty Capital for the 60-story, 83-unit 45 E. 22nd St. project in Manhattan, N.Y.'s Flatiron District, The Real Deal reported, citing unnamed sources familiar with the negotiations.
Continuum has been involved in disputes with Fortress Investment and Dune Real Estate Partners, the preferred-equity partners on the project, and the financing is expected to quell the disputes, the report noted, citing the sources.
* Bessemer Trust is in talks to lease more than 200,000 square feet at Rockefeller Group's 1271 Sixth Ave. in Manhattan, The Real Deal reported, citing unnamed sources. The 2.1 million-square-foot tower is a short walk away from Bessemer's present offices at 630 Fifth Ave., the report noted.
* Group RMC Corp. is poised to pay $84 million to acquire the three-building Executive Towers West in Downers Grove, Ill., from Blackstone Group LP, Crain's Chicago Business reported.
Blackstone acquired the three towers at 1400, 1411 and 1431 Opus Place as part of a $1 billion portfolio purchase from Duke Realty Corp. in 2011, and the properties had a valuation of roughly $60 million at the time, the report noted, citing Real Capital Analytics.
The buildings are 89% leased. The report pointed out that Blackstone has already sold over $600 million worth of suburban office properties over the past two years.
* J. Milton & Associates plans to develop a residential project with up to 550 units and ground-floor commercial space on a 1.7-acre site in Miami's Arts and Entertainment District, The Real Deal reported. J. Milton affiliate Art Luxury Rentals LLC is seeking a rezoning of 14 lots on the site to increase the potential project's square footage by 1.2 million square feet, the report noted.
According to the report, the developer can build a 36-story tower with 852 units totaling 674,920 square feet. The developer wants to build fewer but larger units, as the present zoning only allows micro-units, the report noted.
* Real estate developer Melo Group finalized an $85 million construction loan for two 34-story buildings at 58 N.E. 14th St. in Miami, The Real Deal reported.
Ocean Bank is providing the financing for Art Plaza, which is expected to open in mid-2019, according to the report.
* Lantower Residential paid roughly $76.3 million to buy the 305-unit midrise BullHouse apartment building in downtown Durham, N.C., the Triangle Business Journal reported, citing Lantower COO Philippe Lapoint.
The 3.8-acre complex on Pettigrew Street was developed by a partnership between Woodfield Investments and Carlyle Group.
* Ascent Residential acquired the 680-unit Sun Valley Lake multifamily development at 1300 Sun Lake Drive in St. Charles, Mo., from Priderock Capital Partners for an undisclosed price that is thought to be among the highest sale prices for an apartment community in St. Louis, the St. Louis Business Journal reported.
The 47-acre property previously changed hands for roughly $51.3 million in 2016, the report noted, citing St. Charles County records. The 1986-built asset includes a 7.5-acre recreational lake with two islands, along with one indoor and two outdoor pools and a fitness center.
The day ahead
Early morning futures indicators pointed to a lower opening for the U.S. market.
In Asia, the Hang Seng declined 1.76% to 30,958.21, and the Nikkei 225 decreased 0.56% to 22,694.50.
In Europe, around midday, the FTSE 100 was down 0.66% to 7,653.51, while the Euronext 100 was down 0.40% to 1,053.12.
On the macro front
The wholesale trade report and the Baker-Hughes Rig Count report are due out today.
After the bell
* Canada's Brookfield Asset Management Inc. has interviewed banks for the potential sale of its North America-focused industrial property business, Bloomberg News reported, citing unnamed sources.
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