First Signs of Cracking: Broadway Partners Defaults on Hancock Tower
January 9, 2009
New York’s Broadway Partners has apparently defaulted on their loan on an acquisition they made back in 2006, according to a report in the Boston Herald. The acquisition of Hancock Tower in 2006 for $1.3 Billion was a landmark deal at the top of the market. Hancock Tower is a 60-Story, 1,755,398 square feet, Class-A office [...]
Read More >>GE To Cut Real Estate Portfolio by More Than 10% Next Year
October 2, 2008
Costar is reporting that GE is planning a $10B haircut to its real estate holdings next year. This comes at a time when the cost of capital is increasing, its availability decreasing, and the supply of real estate assets available for sale will be spiking (think Lehman, AIG, Merrill, just to name a few).
The Fed has talked [...]
Lehman’s Ship Sinking; Bank of America Acquiring Merrill Lynch
September 14, 2008
In what is one of the most fantastic days in modern financial history, Lehman looks to be headed into bankruptcy as potential suitors Barclays and Bank of America have walked away. Meanwhile, Bank of America has reached an agreement to acquire Merrill Lynch.
These two moves likely won’t be the last as attention will likely next [...]
Lehman To Dump $40B Worth of Real Estate Assets
August 19, 2008
We wrote a piece the other day about Lehman looking to shed $14B of its $40B in real estate assets. The financial times is now reporting that Lehman is now looking to dump $40B stake. It is expected to take a loss somewhere in the range of $1.5-3B. Buyers who are circling the assets (which [...]
Read More >>Lehman Brothers Looking To Shed $14B in Commercial Real Estate
August 15, 2008
Lehman Brothers (LEH: 0.00 N/A), in a move to raise capital and reduce its real estate exposure, is said to be in talks to liquidate about $14B in commercial real estate assets. Lehman is said to be in talks with BlackRock for the assets. Lehamn currently owns about $10B worth of real estate, and an [...]
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