market report - Hanna Commercial Real Estate

MARKET REPORT
2ND Quarter 2013 | Corporate Services
BUILDING BERLIN - FEATURED LISTING
2012 NAIOP AWARDS:
We are excited to inform you of a unique opportunity to occupy a
modernized historic office building at Französische Strasse 33 a-c, in Central
Berlin near the Brandenburger Gate, Germany.
Ostendorf Morris’ winners of 2012 NAIOP Awards of Excellence:
Starting in 2014, your company can use a portion of the building (8,500 sq.
mtrs) or the entire 11,500 sq. meters of highly presentable office, conference
and event areas. This one-of-a-kind ensemble combines a protected
monument raised in 1877 and a transparent glass and steel annex built in the
year 2000. It also includes proprietary underground parking.
Those attracted to the space, might utilize the Mobile LED Screen (20 square
meters), integrated lighting and PA technology, lounge area for entertaining
important guests or taking a mid-day break. You may also host a program in
the impressive areas suitable for 1,500+ attendees.
For more information please contact:
David P. O’Neill
Executive Managing Director & Partner
Phone: +1 216-861-5612 Email: david. oneill@omcle.com
Link to LoopNet - CLICK HERE
BUILDING BERLIN
Diana Golob
Senior Vice President
Phone: +1 216-861-5398
Email: diana.golob@omcle.com
Congratulations to David O’Neill, Executive
Managing Director and Partner, on winning the
International Office Broker of the Year award.
In 2012 David completed 4.4M square feet of
transactions, including assignments around the
globe on behalf of our multi-national clients
in Luxembourg, Great Britain, Germany, Japan
and various countries throughout Southeast
Asia and China. North American activities led to
completed deals in multiple markets including
Los Angeles, Toronto, Chicago, and Cleveland. Community involvement
included instruction and mentoring at the CSU Levin College of Urban
Affairs, the Cleveland Catholic Diocese and various initiatives within the City
of Cleveland.
Congratulations to Diana Golob, Senior Vice
President, on winning the International Industrial
Broker of the Year award. In 2012 Diana was
involved in completing 36 transactions with
a total consideration of $63.8 million. She is a
global transaction manager for Fortune 1000
clients and also represents tenants, owners
and investors in Cleveland. She is the current
President of Mid-Day Toastmasters, National
Network liaison for CREW Cleveland, and
volunteer for Global Cleveland. In her spare time she enjoys mentoring
young professionals and helping them find employment opportunities.
IASB & FASB CHANGES
The International Accounting Standards Board (IASB) and the Financial
Accounting Standards Board (FASB) have released their latest version of the
revised proposal of accounting rules for real estate and equipment leases.
Public comments on this proposal will be accepted until September 13th
2013.
This revised draft continues to require lessee recognition of assets and
liabilities as rights and obligations created by a lease. An exemption in the
latest draft allows leases of 12 months or less (option to extend the lease
included) and an inconsequential portion of the assets to remain off balance
sheet. Requirement to recognize assets and liabilities can potentially cause
the shift towards short-term leases and in turn create an increase in credit risk
for building owners.
Under the current timeline, after assessing all the comments the boards
could approve a final rule by next year, with new rules taking full effect by
2017.
Ostendorf-Morris Company
1100 Superior Avenue, Suite 800
Cleveland, OH 44114
www.ostendorf-morris.com
For more information please contact:
David P. O’Neill, MRICS, SIOR, MCR
Executive Managing Director & Partner
Phone: 216-861-5612
Email: david.oneill@omcle.com
MARKET REPORT
2ND Quarter 2013 | Corporate Services
RECENT EUROPEAN PRESENTATIONS
SUCCESS STORY
David O’Neill gave a lecture in Hamburg, Germany on May 23rd featuring
current office workplace trends in North America. Attendees included
public and private sector market leaders, from university professors to
leading European developers. A lively exchange was had with many of the
corporate and institutional asset managers who were also in attendance.
The conference was organized by Hafen City University of Hamburg in
cooperation with the Institute of Economic and Construction Management.
Subsequent to that, a talk was organized by RICS and delivered in Berlin
on May 29th regarding the origins and current practices of commercial
real estate service providers. Particular emphasis was placed on the
macroeconomic forces which led to the establishment of global practices
serving major multi-national corporations. A forecast of contrasting markets
was also presented looking at the North American sector as compared to
developing world activities. The results of a global survey conducted with
corporate real estate executives was discussed as well. This part of his speech
focused on future trends and how the corporate enterprise can become
aligned with best practices in space letting and design throughout the
European continent.
PERSON OF FOCUS: SEAN ROONEY
Sean has held the position of Senior Associate
since May 2011, and is now working with clients
to identify property solutions that address
high level requirements and integrated global
solutions. This includes transaction management
of leasing activity, oversight of property databases,
reporting, and providing advice with regards to
portfolio management.
Sean joined Ostendorf-Morris in February 2010
as the database and process manager for the
Corporate Services Group, with responsibilities including collection and
maintenance of property information for global clients and provision of
periodic updates on all ongoing transactions, savings and gains directly
to Senior Management. Sean holds a Master’s of Urban Planning, Design,
and Development with a concentration in Real Estate Development and
Finance from the Maxine Goodman-Levin College of Urban Affairs at
Cleveland State University and Bachelor’s of Science degree in Psychology
from Syracuse University. Sean has been a part of the Programming
Committee of Cleveland’s chapter of the Urban Land Institute and is an
active volunteer with Rebuilding Together Cleveland.
In his spare time Sean enjoys running organized 5 and 10k races with his
OM colleagues and friends. He also enjoys attending events at many of
Northeast Ohio’s renowned concert venues.
Ostendorf-Morris Company
1100 Superior Avenue, Suite 800
Cleveland, OH 44114
www.ostendorf-morris.com
LAND SALE - BETHLEHEM, PENNSYLVANIA
ArcelorMittal, headquartered in Luxembourg is the largest steel company
in the world. It has attained this status through worldwide growth and
acquisitions. In the United States one of its many acquisitions was the
Bethlehem Steel Corporation which was America’s second largest steel
producer and its largest shipbuilder. Following Bethlehem’s bankruptcy in
2001, the company was dissolved and its assets were sold to the International
Steel Group, which merged with ArcelorMittal in 2005.
The many acquisitions by ArcelorMittal left them with redundant steel
mills and properties in the United States that represented untapped
cash. Ostendorf-Morris has represented ArcelorMittal in their real estate
dispositions in North America for many years. Most recently, OstendorfMorris was charged with selling the last eighty-eight (88) acres of vacant
and surplus land remaining at Bethlehem’s former steel plant located in the
Lehigh Valley area on the south side of Bethlehem, PA.
The site was a former slag disposal and reclamation area that presented
environmental, topographic and access issues. Working with the eventual
buyer, the Pennsylvania EPA and local city and building officials over a four
year period, all of the obstacles to developing the site were addressed
and overcome. The sale was completed in March, 2013 and the site is
currently under development to support industrial uses for distribution and
warehousing.
OUR MISSION STATEMENT
Our mission is to provide consistent and unconflicted transaction
management services for our regional and multi-national clients’ real estate
portfolios as their trusted advisor. We serve with the finest professionals
in the industry within an environment of trust, respect and open
communication and partner with best-in-class local providers while working
to build reliability and accountability with our clients. Ostendorf-Morris is
a community-minded global leader pioneering in the delivery of Corporate
Services to Fortune 1000 companies within the framework of an innovative
value proposition.
This report has been produced by Ostendorf-Morris Company and it is not intended to be a complete description of the markets
or developments to which it refers. The report uses information obtained from public sources which Ostendorf-Morris believe to be
reliable, but we have not vertified such information and cannot guarantee that it is accurate and complete.