Corporate mergers Los Angeles-based CB Commercial Real Estate Services Group Inc. has entered into an agreement to merge with London-based REI Ltd., the holding company for all Richard Ellis operations outside the United Kingdom. The combined company, which has not yet been named, will be based in Los Angeles.
James J. Didion, chairman and chief executive officer of CB Commercial, also will be chairman and chief executive officer of the combined company. Barry White, chief executive officer of REI Ltd., will serve as vice chairman of international activities and co-chairman of the Global Operations Management Board for the newly formed company. The merger is expected to be completed in April.
Washington, D.C.-based Barnes, Morris, Pardoe & Foster has merged with Greenville, S.C.-based Insignia Commercial Group Inc. The combined entity will operate as Insignia/Barnes Morris and be based in Washington, D.C. Robert L. Cohen, chairman and chief executive officer for Barnes Morris, will serve as president for the Mid-Atlantic region of Insignia Commercial. Petch Gibbons will remain president for Insignia/Barnes Morris.
-based HSS Real Estate Inc. and Northbrook, Ill.-based NORCOR Investments Inc. have formed Newcastle Properties L.L.C. The new company will acquire and reposition, renovate and re-lease existing office and retail properties in the Midwest. James D. Devine, John E. Gross, Herbert Saywitz and Mitchell Saywitz will serve as principals for Newcastle Properties. The company will be based in Northbrook.
Conshohocken, Pa.-based Banyan Associates Inc. has merged with Ripco Real Estate Corp. -- Philadelphia, an affiliate of New York-based Ripco Real Estate Corp. The new company will operate as Ripco Real Estate Corp. -- Philadelphia and will offer full-service, real estate advisory andservices. Ripco will have affiliate offices in Washington D.C. and Baltimore. Jeffrey Scott Cohen, founder of Banyan, will serve as partner for Ripco.
Greenwich, Conn.-based Starwood Capital Group and Westport, Conn.-based Ceruzzi Properties have formed Starwood-Ceruzzi L.L.C. The new venture, which is based in Westport, combines Starwood's financial expertise and Ceruzzi's development experience to acquire and develop retail properties throughout the United States. Starwood-Ceruzzi L.L.C. currently is privately held, but plans are under way to convert to a publicly traded REIT.
Sales & acquisitions Affiliates of The Rouse Co., Columbia, Md., have sold Almeda Mall and Northwest Mall in Houston to New York-based SAN Mall L.L.C. for an undisclosed amount. Each shopping center totals approximately 800,000 sq. ft. and is anchored by JCPenney and Foleys. The transaction was arranged by the investment services group of Chicago-based U.S. Equities Realty Inc. and financed by Nomura Asset Capital Corp., New York. The malls will be managed by Columbus, Ohio-based Glimcher Properties L.P.
Prime Retail, Baltimore, recently acquired two shopping centers from Buffalo, N.Y.-based Benderson Development Co. for $101 million. Niagara International Factory Outlets (534,000 sq. ft.) in Niagara Falls, N.Y., features Bose, Donna Karan, Estee Lauder, Eddie Bauer and Calvin Klein. Shasta Factory Stores (165,000 sq. ft.) in Shasta, Calif., includes Bugle Boy, VF Factory Outlet and Tommy Hilfiger.
Southfield, Mich.-based Ramco-Gershenson Properties Trust has acquired 15 southeastern shopping centers (a combined total of 2.5 million sq. ft. of GLA) from New York-based DRA Advisors Inc., for $124.5 million.
* In North Carolina, the shopping centers acquired are Hickory Corners (170,436 sq. ft.) in Hickory; Stonegate Plaza (138,490 sq. ft.) in Kingsport; Ridgeview Crossing (211,524 sq. ft.) in Elkin; and Holly Springs (155,584 sq. ft.) in Franklin.
* In South Carolina, the acquired properties include Taylor's Square (243,484 sq. ft.) in Greenville and Edgewood Square (217,319 sq. ft.) in North Augusta.
* The Tennessee acquisitions are Northwest Crossing (261,707 sq. ft.) in Knoxville; Cumberland Galleria (98,155 sq. ft.) in New Tazewell; Tellico Plaza (114,192 sq. ft.) in Lenoir City; and Highland Square (171,546 sq. ft.) in Crossville.
* In Georgia, Ramco-Gershenson has purchased Indian Hills (129,130 sq. ft.) in Calhoun and Mays Crossing (137,223 sq. ft.) in Stockbridge. The company also acquired Crestview Corners (111,653 sq. ft.) in Crestview, Fla.
* In Alabama, the acquired properties are Cox Creek Plaza (139,228 sq. ft.) in Florence and Athens Town Center (209,562 sq. ft.) in Athens.
These newest acquisitions are all anchored by Wal-Mart. The transaction brings Ramco-Gershenson's shopping center portfolio to 49.
Bethesda, Md.-based First Washington Realty Trust has acquired six Chicago area shopping centers from Itasca, Ill.-based Dodi Property, for an undisclosed amount. The properties are Riverside Square/River's Edge (163,980 sq. ft.) in Chicago; Mallard Creek (143,759 sq. ft.) in Round Lake Beach; The Oaks (135,259 sq. ft.) in Des Plaines; Pheasant Hill (111,190 sq. ft.) in Bolingbrook; McHenry Commons (100,470 sq. ft.) in McHenry; and Stonebrook Plaza (95,825 sq. ft.) in Merrionette Park. All six community centers are anchored by Dominick's Finer Foods. The transaction was arranged by the Investment Sales Group of Oakbrook Terrace, Ill.-based Mid-America Real Estate Corp.
Atlanta-based JDN Realty Corp. has acquired Sutton's Plaza in Topeka, Kan. from ING Barings, Der Haag, Netherlands, for $1.8 million. The 126,083 sq. ft. shopping center, which is scheduled to be expanded, is anchored by Bauersfeld's supermarket and Dollar General.
Myrtle Beach, S.C.-based WCI Management Group Inc. has sold Outlet Park -- Shoppes at Waccamaw in Myrtle Beach to a joint venture comprised of Stamford, Conn.-based GE Investment Management Inc. and New York-based Loeb Partners Realty. Sold for an undisclosed price, the 800,000 sq. ft. outlet mall features Waccamaw Pottery, Mikasa, Tags, Nautica, Eddie Bauer and London Fog. The seller was represented by Rosenthal-Shuler Realty Partners Inc., McLean, Va.
Fort Wayne, Ind.-based Equity Investment Group has acquired five shopping centers with an aggregate square footage of more than 700,000 for $25.4 million.
* The first center, Eastland Square (133,588 sq. ft.) in Columbus, Ohio, was acquired from Minneapolis-based American Express of Minneapolis. The shopping center features Big Bear, Hancock Fabrics and Family Dollar.
* Also in Columbus, Karl Plaza (97,349 sq. ft.) and Glengary Heights (100,473 sq. ft.) were purchased from Dallas-based Hudson Advisors. Karl Plaza is anchored by Staples, and Glengary Heights features Super Saver Cinema and Aldi's.
* Dixie Village (223,760 sq. ft.) in Gastonia, N.C., was sold by Gastonia-based Hugh Johnston. The center includes Winn-Dixie and Matthews Belk.
* Swansea Crossing (178,928 sq. ft.) in Swansea, Mass., was acquired from Quincy, Mass.-based Claremont Swansea L.P. The shopping center features Sears HomeLife, Marshall's, RX Place and Jo-Ann Fabrics.
Financing awards Columbus, Ohio-based Nationwide Life Insurance Co. has provided a $9.5 million, first mortgage loan to Hartford, Conn.-based Beckenstein Enterprises for Big Y Plaza in Manchester, Conn. The 100,450 sq. ft. shopping center, which opened August 1996, is anchored by Big Y World Class Market. The transaction was brokered by Boston-based Meredith & Grew Inc.*ONCOR International.
Horsham, Pa.-based GMAC Commercial Mortgage has provided $9.8 million in acquisition and lease-up financing to Dallas-based Nashpike Partners L.P. for The Shoppes of Rivergate in Nashville, Tenn. The 252,286 sq. ft. shopping center is anchored by SteinMart and Uptons.
Los Angeles-based Westmark Realty Advisors through its Commercial Mortgage Fund III has provided $9.2 million in fixed-rate financing to Atlanta-based Baita International Inc. for Regency Plaza in Jacksonville, Fla. The 202,000 sq. ft. shopping center, which recently was renovated and expanded, features T.J. Maxx, OfficeMax and Burlington Coat Factory. The transaction was arranged by the Orlando, Fla., office of Houston-based L.J. Melody & Co.
New York-based Lehman Brothers Conduit has provided $13.1 million in permanent financing to New York-based Trexlertown Plaza Associates to refinance Trexlertown Plaza in Trexlertown, Pa. The 212,000 sq. ft. shopping center is anchored by Ames department store and Redners supermarket. The transaction was arranged by the New York office of Dallas-based Holliday Fenoglio L.P.
New York-based Nomura Capital has provided $6.5 million in refinancing to Claymont, Del.-based Cressona Associates L.P. for Cressona Mall in Pottsville, Pa. The 282,211 sq. ft. shopping center is anchored by Insalaco supermarket, Hills department store, Staples and CVS. Philadelphia-based Legg Mason Real Estate Services assisted in the transaction.
Management contracts Mobile, Ala.-based Folmar & Associates has been appointed property manager by New York-based New York Life Insurance Co. for Boaz Outlet Center in Boaz, Ala. The 320,000 sq. ft. outlet center features WestPoint Pepperell, Corning Revere, Rack Room Shoes, Royal Doulton, Naturalizer and Casual Corner.
Management and leasing responsibilities have been awarded to San Francisco-based Terranomics Retail Services Inc. by Rockville, Md.-based Federal Realty Investment Trust for three shopping centers: Town & Country Village in San Jose, Calif.; 150 Post in San Francisco; and Uptown Center in Portland, Ore. Town & Country Village, a 325,000 sq. ft. community center, is being redeveloped into a mixed-use project that will include specialty retail, restaurants, hotel and residential components when completed. The seven-story 150 Post features 108,760 sq. ft. of retail space and includes Williams-Sonoma and Episode. Uptown Center, a 72,000 sq. ft., upscale "main street" retail project, features Zupan's Market, Uptown Pharmacy and Elephant's Deli.
Management and leasing responsibilities have been awarded to Houston-based Transwestern Property Co. by Placentia, Calif.-based FKC Lake Mead L.L.C., for Lake Mead Marketplace in Las Vegas. The 108,000 sq. ft. shopping center is anchored by Lucky Supermarket, Sav-On-Drugs, Hallmark and Blockbuster Video.
Other transactions Los Angeles-based CB Commercial Real Estate Group Inc. has been selected by Los Angeles-based Westmark Realty Advisors to market and lease Brea Marketplace and Imperial Center East, both in Brea, Calif. Brea Marketplace (298,706 sq. ft.) is anchored by an eight-screen United Artists theater complex, The Improv, Bookstar, Circuit City and Toys "R" Us. Imperial Center East (225,934 sq. ft.), which is anchored by Lucky supermarket, T.J. Maxx and Trader Joe's, also will be managed by CB Commercial Real Estate Group Inc.
On behalf of Payless ShoeSource, New York-based Excess Space Disposition Inc. has subleased a 1,520 sq. ft. space in Okemos, Mich., to River City Food Co., d.b.a. Manhattan Bagels; a 3,010 sq. ft. space in Cambridge, Md., to B.J.'s Furniture/Crazy Louie's Pawn Shop; and a 2,899 sq. ft. space at Horizon Park Shopping Center in Tampa, Fla., to National Cash Advance.
On behalf of Eckerd Drugs, Excess Space Disposition Inc. has subleased a 7,500 sq. ft. space in Lubbock, Texas, to Gary Schwede, DVM; a 5,600 sq. ft. space in Teaneck, N.J. to Artisan Showcase; a 9,159 sq. ft. space at South Dade Shopping Center in Miami, Fla., to Popular Discount; and a 8,450 sq. ft. space at Cherokee Plaza in Jacksonville, Fla., to Goodwill Industries of East Texas.
Also, Ventura, Calif.-based Kinko's Inc. has named Excess Space Disposition Inc. its exclusive agent to dispose vacant Kinko's stores throughout the country. The sites available range from 2,500 sq. ft. to 8,500 sq. ft. in size.
The Retail Group, Washington, D.C., has been named exclusive leasing agent for two Maryland shopping centers by Chicago-based LaSalle Advisors Ltd. The 412,388 sq. ft. Festival at Bel Air in Bel Air includes Kleins Market, Hechinger, Lone Star Steakhouse, Dress Barn and Marshalls. The 297,000 sq. ft. Festival at Riva center in Annapolis features Bath & Body Works, Giant Food, T.J. Maxx, M.J. Designs, Boston Market, Blockbuster Video, and Petco.
Baltimore-based Prime Retail Inc. and Norton Shores, Mich.-based Horizon Group Inc. have finalized an agreement to merge. The transaction comprises an aggregate consideration of approximately $906.3 million, including the assumption of $540.4 million of Horizon debt. The merger, which is expected to close the first quarter of this year, will bring Prime Retail's outlet center portfolio to 12.4 million sq. ft., including 20 of Horizon's 37 factory outlet centers.
Immediately prior to the merger, Continuing Horizon, a Norton Shores-based, newly formed subsidiary of Horizon, will own the 17 remaining Horizon centers and three Prime Retail outlet centers. Continuing Horizon also will become the sole general partner of Horizon/Glen Outlet Center L.P. The common stock of Continuing Horizon will be distributed to shareholders of Horizon.
Michael W. Reschke, chairman of Prime Retail, also will serve as chairman of Continuing Horizon; Abraham Rosenthal will remain chief executive office of Prime Retail; William H. Carpenter Jr. will remain president and chief operating officer of Prime Retail; Norman Perlmutter, formerly chairman of Horizon, will serve on the board of directors of Continuing Horizon and Prime Retail; and Robert D. Perlmutter and William P. Dickey also will serve on Prime Retail's board of directors.
The merger will be accounted for as a purchase conditioned upon the approvals of each company's shareholders andpartners and the satisfaction of other customary conditions. Closing is expected in March 1998.
Corrections In October 1997, the new owners of One Schaumburg Place were misidentified in "Development Digest." The project recently was sold to McCaffery Development and City Center Retail Trust, both based in Chicago.
In December 1997, the real estate contact for RadioShack (Eastern PA) was incorrectly named in "Retailers Expansion Plans Survey." All submittals should be directed to Greg Turrel, Real Estate Department, 300 W. 3rd St., #700, Fort Worth, Texas 76102.
Also in "Retailers Expansion Plans Survey," the real estate contact was inadvertently omitted for Regis Hair- stylists. Inquiries should be directed to Christopher A. Fox, Regis Corp., 7201 Metro Blvd., Minneapolis, Minn. 55439; (612) 947-7925.
Shopping Center World regrets these errors.