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Sunday, 15 July 2007

Mission West in Talks to be Acquired in $1.8Bln Deal

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Commercial Real Estate Direct Staff Report

Mission West Properties is in negotiations to be acquired by a private equity fund.

The Cupertino, Calif., REIT, whose investment focus is research and development properties in California's Silicon Valley, says a sale agreement is pending due diligence by its prospective buyer. The suitor has bid $13.55/share for each of Mission West's common shares and units in its operating partnership affiliate. The common share value of the transaction would be roughly $266 million.

In an announcement, Mission West said the proposed sales transaction was valued at $1.8 billion.

The REIT declined to name the suitor, but local press reports say it's Starwood Capital Group, which declined to comment.

Mission West manages a portfolio of 107 R&D properties with a combined 7.7 million square feet. It had $396.6 million in liabilities of which $355 million was mortgage debt, according to its first quarter report. Its portfolio generates an annualized $13.5 million of income from $134.4 million of revenue.

The company is majority owned by the Berg Group, an area land development company that over the years has sold Mission West its completed projects.

Starwood Capital made a major Silcon Valley investment late last year when it bought the 1.7 million-sf Pacific Shores Center office complex in Redwood City, Calif., for more than $800 million from Jay Paul Co., Walton Street Capital and DLJ Real Estate Capital Partners.

Comments? E-mail John Covaleski or call him at (267) 247-0112, Ext. 208.



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“The Weekly” is Commercial Real Estate Direct’s PDF newsletter, sent to subscribers every Friday morning. With over 100 news stories published on Commercial Real Estate Direct each week, “The Weekly” features the top stories in commercial real estate that industry participants need to know first. “The Weekly” also contains:

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Additional Info

  • Syndicate to Realpoint: No
  • Subject: Mergers & Acquisitions (M&A)
  • Company: Monmouth Real Estate Investment Corp., Strategic Hotels & Resorts
  • Valuation: More than $150 million
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Data Digest

 

CMBS DELINQUENCY VOLUME

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CMBS SPECIAL SERVICING VOLUME

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Top Bookrunners Domestic, Private-Label CMBS - 2017
Investment Bank #Deals Vol$mln MktShr%
Goldman Sachs 17.59 11,819.34 13.68
JPMorgan Securities 14.52 10,968.11 12.70
Citigroup 12.04 10,012.71 11.59
Wells Fargo Securities 14.02 9,936.06 11.50
Deutsche Bank 12.55 9,879.74 11.44

 

RCA CPPI

 

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CMBS 2.0 Spreads

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Top CMBS Loan Contributors - 2017
Lender #Loans Vol$mln MktShr%
Goldman Sachs 146.89 11,719.34 13.63
JPMorgan Chase Bank 117.68 10,114.14 11.76
Deutsche Bank 198.48 9,689.97 11.27
Morgan Stanley 166.18 8,539.78 9.93
Citigroup 199.05 8,088.24 9.41

 

 

 

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