Phoenix, AZ – CBRE is pleased to announce Senior Associate Chris Marchildon has been honored with a prestigious NAIOP Developing Leaders Award for 2016. Now in its 11^th year, the national award program honors up-and-coming commercial real estate professionals across the country, 35 years of age and under, for their valued contribution and commitment to the industry.

“I am thrilled to congratulate Chris on his NAIOP Developing Leader of the Year award,” said Craig Henig, Senior Managing Director, Southwest Region and Arizona market leader. “Chris is a valuable asset to both the CBRE Phoenix office and our industry overall. He is diligent in his application of CBRE’s core values of Respect, Integrity, Service and Excellence to everything he does, and takes to heart NAIOP’s mission of improving the communities in which we develop, build and broker. Chris is most deserving of this award and I am proud to call him a partner.”

Mr. Marchildon partners with Executive Vice President Barry Gabel. The duo lead a Capital Markets team that advise clients on their real estate acquisition and disposition strategies. Their team has been nominated as Best of NAIOP Arizona’s Investment Team of the Year every year since 2010, winning the award in 2010. Individually, Mr. Marchildon has also been nominated as Best of NAIOP Arizona’s Rookie of the Year (2012), and was awarded NAIOP Arizona’s Developing Leader of the Year in 2014.

“Chris is a winner in all that he does,” said Mr. Gabel. “His care and concern for others, his follow-up skills and attention to detail, and his friendly and thoughtful disposition all make him one of the very best young brokers in not only Arizona, but throughout the entire Southwest. I am so proud of Chris for receiving this award and even more proud to have him as a partner.”

An active member of the NAIOP Arizona chapter, Mr. Marchildon is a highly visible member of the local Developing Leaders (DL) group. He has served as the DL Programs Committee Chair, Treasurer, Vice Chairman and is currently Chairman of the group. He has also served on NAIOP Arizona’s events host committee.

“Chris has been involved with almost every aspect of our Developing Leaders program,” said Tim Lawless, President, NAIOP Arizona. “This segment composes about a third of our Arizona membership and Chris has been an integral part in building the program into one of the largest in the country for NAIOP and very deserving of this national recognition.”

Mr. Marchildon is an Arizona native. He began his commercial real estate career with CBRE in 2008 after a brief stint as a minor league baseball pitcher. He is an alum and varsity athletics letter winner of Creighton University in Omaha, Nebraska, and a graduate of Brophy College Preparatory in Phoenix.

The 2016 Developing Leaders Award recipients will be honored at NAIOP’s Commercial Real Estate Conference 2016 in Scottsdale, Arizona. The event will be held at the Scottsdale Princess Resort September 26, 27 and 28.

Real Estate Daily News Buzz is designed to give news snippets to readers that our (yet to be award winning) editors thought you could use to start your day. They come from various business perspectives, real estate, government, the Fed, local news, and the stock markets to save you time. Here you will find the headlines and what the news buzz of the day will be.

Tuesday, the Dow Jones industrial average sank 84.03 points, or 0.5 per cent, to 18,552.02. The Standard & Poor’s 500 index lost 12 points, or 0.5 per cent, to 2,178.15. The NASDAQ composite declined 34.90 points, or 0.7 per cent, to 5,227.11.

Benchmark U.S. crude added 84 cents, or 1.8 per cent, to $46.58 per barrel in New York. Brent crude, a benchmark used to price international oils, rose 88 cents, or 1.8 per cent, to $49.23 a barrel in London. In other energy trading, wholesale gasoline rose 2 cents to $1.42 a gallon. Heating oil picked up 1 cent to $1.46 a gallon. Natural gas gained 3 cents to $2.62 per 1,000 cubic feet.

US stocks slip from records as investors sell safe picks — U.S. stocks slid Tuesday as investors continued to sell phone company and utility shares. Energy companies rose with the price of oil, but stocks have been locked in an up-and-down pattern for more than a week. As the dollar weakened, the price of oil rose for the fourth day in a row to sustain a recent recovery and metals prices also rose. Most stocks were down, but for the second day in a row, the biggest losses went to traditionally safe investments like telecom and utility companies. Bond prices also inched lower.

US consumer prices unchanged in July — U.S. consumer prices were unchanged in July as a big drop in gasoline and other energy prices kept inflation under control. The Labor Department said Tuesday the flat reading for overall inflation followed a 0.2 per cent gain in June. Energy prices fell by the largest amount in five months. Core inflation, which excludes volatile energy and food, edged up 0.1 per cent in July, the smallest increase in four months. The Federal Reserve has an inflation target of 2 per cent annual increases.

US factory output jumps 0.5 per cent for biggest gain in year — U.S. factories cranked out more autos, machinery and chemicals in July, lifting production by the most in a year. The Federal Reserve said Tuesday that factory output grew 0.5 per cent in July, after a 0.3 per cent gain in June. The figures suggest that U.S. manufacturing may be turning a corner after struggling to overcome the impact of a stronger dollar, slower overseas growth and falling oil prices. Overall industrial production, which includes utilities and mining, expanded 0.7 per cent. That is the biggest increase since November 2014.

CBL & Associates Properties Inc. Says Independent Investigation Finds No Wrongdoing “CBL & Associates Properties Inc. said today that an independent investigation confirms that allegations regarding its procedures with respect to four loans were false and unwarranted. ‘Additionally, through our outreach to the Department of Justice, we confirmed that the DOJ is not conducting an investigation of CBL,’ the company said in a statement. Specifically, the investigation said that information concerning leases and revenue, provided to lenders in connection with four loans, and the accounting for the leases for properties securing the loans were accurate in all material respects.” (Times Free Press)

As a Young Donald Trump Began His Real Estate Career, He Fought Hard Against Allegations of Racial Bias “Before he became the king of Atlantic City casinos, before he put his name on steaks or starred on reality television, Donald Trump served his own apprenticeship in the less glamorous family business of renting apartments. Trump, in his autobiography, recalled learning valuable lessons from his father, Fred: Hunt for bargains. Chase out deadbeats. Spend some money on paint and polish. Some alleged there was another part to the Trump formula: Make it tough for black people to move in.” (Los Angeles Times)

Barrack Says U.S. Real Estate Market is Getting ‘Bubblycious’ “Real estate investors could be in for a shock if interest rates rise or demand in some markets continues to fall because “amateurs” are plowing money in at high prices, betting on rent increases that may not continue, said Tom Barrack, the billionaire chairman of Colony Capital Inc. Trends in demographics and technology are undermining traditional holdings such as hotels, office buildings and residential properties, Barrack said in an interview at Bloomberg’s Los Angeles office.” (Bloomberg)

AIG Nears Deal to Sell Mortgage-Insurance Unit to Arch Capital “American International Group Inc. is nearing a deal to sell its mortgage-guaranty unit to Arch Capital Group Ltd. for about $3.4 billion, according to people familiar with the matter, as the insurance giant has been speeding up the return of cash to restive shareholders. An agreement between the companies could be reached as soon as early this week, some of the people said, cautioning that the talks could still fall apart. AIG had announced plans early this year to stage an initial public offering of the mortgage business, known as United Guaranty.” (MarketWatch)

Chinese Investment Trends in U.S. Hotel Real Estate “The rising trend of Chinese investment in the U.S. real estate market dates back to 2010, just as the nation’s economy was pulling out of the recession. The impact of Chinese investment in U.S. residential and commercial properties—including hotels—has become increasingly pronounced every year since. The following tables show major single-asset transactions made by Chinese investors in the last five years. The two transactions in New York, one of which was recorded at approximately $1.4 million per room and the other at over $2 million per room, especially caught the attention of the industry.” (HospitalityNet)

The Cities with the Lowest Unemployment Rates in America “If you want to find the U.S. cities with the lowest rates of unemployment, you’ll have to leave the coasts and head to what are sometimes called the flyover states. Among 107 metropolitan areas surveyed by CNBC for its Metro 20 ranking of America’s Best Places to Start a Small Business, Provo, Utah, and Omaha, Nebraska, were tied for having the lowest annualized average unemployment rates in the United States in 2015.” (CNBC)

Stellar Management Buys Out Partner in SoHo Office Property “The real estate firm handling one of the largest office redevelopments in midtown south has bought out its lead partner and brought in another investor in a $650 million deal to recapitalize the project. Stellar Management purchased Rockpoint Group’s 40% interest in One SoHo Square, a pair of buildings on the corner of Spring Street and Sixth Avenue that the companies have been renovating into upscale office space. Stellar, which previously held a roughly 60% stake in the buildings, also brought in a new undisclosed partner.” (Crain’s New York Business)

4 Reasons Barnes & Noble Isn’t Dead Yet “In a bid to attract more customers to its stores, which once upon a time had serpentine lines in front of the cashiers, the book retailer is adding four new concept stores which will also serve alcohol. While existing stores already house coffee shops, the new stores will offer a complete breakfast, lunch and dinner menu served by waiters and will be twice the size of its existing cafes. The first store is set to open in October in Eastchester, N.Y. This innovation could be a game-changer that lights a fire under the stock.” (The Street)

Potential Hotel Buyer Backs Out in Fear of Ron Burkle “Ron Burkle can rest easier when it comes to Morgans Hotel Group. A potential bidder for the boutique hotel chain — whose $3-a-share proposal for the business would have trumped a rival offer from a Burkle group — has backed down rather than risk a battle with the billionaire investor, The Post has learned. The suitor fretted that Burkle, who holds veto power over significant Morgans asset sales, would prove to be a roadblock to any deal other than his own, said a source close to the situation.” (New York Post)

Logan’s Roadhouse Bankruptcy: List of 21 Restaurants to be Closed “Twenty-one locations of Logan’s Roadhouse will be closed as part of the chain’s bankruptcy proceedings. The Nashville, Tennessee-based steakhouse chain filed for bankruptcy last week. The chain operates 250 locations nationwide, including 23 in Alabama. Logan’s parent company, LRI Holdings Inc., cited years of declining sales and greater competition from fast-casual restaurant chains as contributing factors in its financial issues.” (AL.com)

Phoenix, AZ – ABI Multifamily, Arizona’s largest locally operated dedicated multifamily brokerage and advisory services firm, is pleased to announce the $22 million ($121,000 per unit) sale of The Hawthorne Apartments, a 182-unit (out of 276) apartment community located in Phoenix, Arizona.

“The Buyer, who also owns and manages Mozaic at Steele Park less than one mile away, loved the potential synergies between the two properties. The Buyer liked the fact that The Hawthorne was just as meticulously maintained and well managed as Mozaic, and they would work very well together serving this strong Midtown Phoenix submarket,” states Rue Bax, Senior Managing Partner at ABI who represented the Buyer and Seller.

Located in the Midtown Phoenix Submarket, The Hawthorne is located across the street from Evergreen Development’s proposed 306-unit development and approximately two (2) miles from both the I-17 and SR-51 Freeways. “The Submarket has witnessed a tremendous amount of economic activity over the past several years with over 4,000 new job announcements within 2 miles of the community,” states Doug Lazovick.

The Hawthorne is a gated-community that sits on 10.11-acres of land, with over 23 total building structures and a dedicated leasing center. Additional property features include: state-of-the-art fitness center, Tuscan style clubhouse with designer kitchen and custom fireplace, resort style pool, separate lap pool, two spas, pool house with TVs and bar area, gourmet BBQ grill areas and detached garages.

The Seller is Arizona-based Pacific Real Estate Partners.

The Buyer is Washington-based Weidner Apartment Homes, a private investment group who is one of the largest owners of multifamily units across Arizona.

The Phoenix based ABI Multifamily brokerage team of Rue Bax, Doug Lazovick, John Kobierowski, Alon Shnitzer, and Eddie Chang represented the Seller in this transaction.

For additional information Rue Bax, lead broker on this transaction can be reached at 602.714,1406