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 for the day will be.

On Tuesday, the Dow Jones Industrial average lost 20.90 points, or 0.1%, to close at 15,618.22 points. The Standard & Poor’s 500 index fell 4.96 points, or 0.3%, to close at 1,762.97. The NASDAQ composite edged up 3.27 points, or less than 0.1%, to 3,939.86. Benchmark U.S. crude for December delivery fell $1.25, or 1.3%, to $93.37 per barrel in midday trading in New York.

ELECTION NIGHT RESULTS FROM TUCSON AND PHOENIX
In unofficial results, Tucson Ward 3 City Council candidate Karen Uhlich, Ward 5 candidate Richard Fimbres are leading with 58.38% and 60.31% of the vote respectively.
• Ward 3: Uhlich – 34,708 (58.38%); Buehler-Garcia – 24,589 (41.36%)
• Ward 5: Fimbres – 35,464 (60.31%; Polak – 23,206 (39.46%)
Steve Kozachik in Ward 6, running unopposed received 42,398 only (92.9%) of the votes due to protest votes of 3,227 (7.07%) going to write-in candidates who were not on the ballot. Tucson Prop 401 and 402 have both passed with 62% and 65.83% of the vote in favor. Of the 60,679 early mail-in ballots cast, all are counted. About 6,000 ballots remain to be counted, these were dropped off at the 6 ballot replacement centers on Tuesday and have not been counted. City officials will begin the process Wednesday morning and expect to have the remaining ballots counted by Tuesday, Nov. 12 for provisional ballots.

In unofficial results from Phoenix, District 4 candidate Laura Pastor and District 8 candidate Kate Gallego are leading with 51.76% and 62.47% of the vote respectively.
As of 8:49 p.m. Tuesday, Nov. 5, the updated, unofficial election results are:
• Council District 4: Justin Johnson – 6,810 (48.24%); Laura Pastor – 7,308 (51.76%).
• Council District 8: Kate Gallego – 7,183 (62.47%); Warren Stewart – 4,316 (37.53%).
Of the 25,617 ballots cast, 23,285 were early ballots. Early ballots dropped off at the 11 voting centers on Monday, Nov. 4, and Tuesday, Nov. 5, and received in the mail on Tuesday, Nov. 5, have not been counted. About 4,000 ballots remain to be processed and tabulated, which includes 99 provisional ballots. There still may be additional early ballots that were dropped off at County polling places, which will be returned to the city in the next few days. City officials will begin the process Wednesday morning and expect to have the remaining ballots counted by Friday, Nov. 8.
For more election updates, visit phoenix.gov.

US HOME PRICES RISE AT SLOWER PACE IN SEPTEMBER
WASHINGTON – A measure of U.S. home prices rose only slightly in September from August, a sign that prices are levelling off after big gains earlier this year. Real estate provider CoreLogic said Tuesday that home prices increased 0.2% in September from the previous month. That’s sharply lower than the 0.9% month-over-month gain in August and well below the 1.8 per cent increase in July. Prices still rose 12% in September compared with a year ago. Higher mortgage rates and steady price increases began to slow home sales in September. As a result, price gains have cooled off. Mortgage rates are still very low. And the average rate on a 30-year fixed loan has fallen to 4.1% in the past month, down from a two-year high of nearly 4.6% over the summer.

TWITTER IPO FEVER BACK ON
Five years after the financial crisis dampened enthusiasm for initial public offerings, investors are again eager to buy shares when companies start trading. Twitter is the star this week, but the number of offerings shows that it’s not just social-media darlings that are seeking and attracting investors. There have been 190 offerings this year, and momentum has built as market indexes have set new highs. A more active IPO market signals investor confidence in the economy. And the cash that companies raise in an IPO can help them invest and hire more, potentially supporting economic growth

COURT FINDS CITY OF TUCSON RESPONSIBLE FOR $2.95M IN DAMAGES FROM ALLEGEDLY LEAKY PIPES IN BARRIO VIEJO
A jury in Pima County Superior Court has awarded a $2.95 million against the City of Tucson in a case in which plaintiffs allege leaky water pipes have damaged some of their historic adobe structures. The suit, filed in 2002 by the Rollings family, initially went to trial in 2006. The jury in that case found in favor of the City, but an appellate court ordered a retrial. The city fought that decision all the way to the Arizona Supreme Court, which denied the city a hearing last January, sending the case back to Superior Court, where it went to trial Oct. 22. The trial ended Thursday, Oct. 31. The jury reached its verdict the following day.

WHAT IS GOOGLE BUILDING OUT IN SAN FRANCISCO BAY?
SAN FRANCISCO (AP) — San Francisco’s mayor says he doesn’t know what it is. Police say it’s not their jurisdiction. And government inspectors are sworn to secrecy. Google is erecting a four-story structure in the heart of the San Francisco Bay but is managing to conceal its purpose by constructing it on docked barges instead of on land, where city building permits and public plans are mandatory. The Internet giant’s actions appear legal. But the mystery surrounding the bulky floating building — and a similar one off Portland, Maine — is generating rumors and worries. Privacy experts, environmentalists and legal authorities say that whether it is a store, a data storage center or something else, the secrecy may backfire because Silicon Valley residents are highly protective of one of the most scenic and environmentally sensitive bays in the U.S.

TUCSON PARKS & REC RECEIVE GRANT FROM US TENNIS ASSOCIATION
The City of Tucson’s Parks & Recreation Department has received a Facility Funding Grant from the United States Tennis Association for a recent court resurfacing project at the Jim Reffkin Tennis Center. The project resurfaced 11 tennis courts and a practice area. The resurfacing allowed the center to provide a uniform surface treatment for all of its courts and included ‘blended line’ striping for youth tennis programs. The Reffkin Tennis Center has been heavily involved in USTA programming and has hosted numerous national tournaments. The center has been chosen to host seven USTA National Adult League Championships, which began September 26th and end November 24th. They will be hosting three major junior events over the Thanksgiving and Christmas holidays as well.

ENDO HEALTH BUYING PALADIN LABS FOR ABOUT $1.5BILLION
MALVERN, PA – Endo Health will spend about $1.5 billion to buy Canadian specialty drug maker Paladin Labs, and both will then be folded into a newly-formed Irish holding company. Endo wants to accelerate its expansion at home and abroad and the acquisition of Paladin is expected to immediately boost profit in 2014. Cost savings related to the acquisition are expected to total at least $75 million a year, according to the company.

CARGILL TO LABEL MEAT AFTER ‘PINK SLIME’ UPROAR
NEW YORK (AP) — Cargill Inc. says it will start labeling beef products that contain finely textured beef, an ingredient that came under attack as “pink slime.” The meat company says the new packages will appear before next year’s grilling season and is in response to consumer demand. It says packages will note when a product “Contains Finely Textured Beef.” Finely textured beef is made of fatty bits of meat left over from other cuts that are treated to kill bacteria. The filler had been used for decades in the U.S. but started to gain negative attention after a New York Times article in 2009, in which a federal microbiologist referred to it as “pink slime.” Cargill says it has been making finely textured beef since 1993.

VISIT TUCSON NAMES NEW SPORTS DIRECTOR
Visit Tucson has hired Angel Natal Jr., formerly of the St. Petersburg/Clearwater Sports Commission, as director of Tucson Sports. He replaces Vince Trinidad, who accepted the position as Executive Director of Tulsa Sports Commission, in August. Natal will be responsible for building awareness for metropolitan Tucson as a preferred destination for all types of sports events, and for selling and marketing the area in order to secure regional and national events that fill hotel rooms, venues and facilities throughout the region.

ANALYSIS: MARICOPA COUNTY CITIES CLIMBING OUT OF RECESSION, BUT FACE LONG-TERM CHALLENGES
An analysis of five years of city financial data by The Arizona Republic shows cities in the Phoenix metro area are increasing spending and restoring programs after several years of stagnation. But many of the underlying issues that led them to the brink of economic crisis during the recession remain, including sensitive revenue streams, legislative mandates and rising benefit costs.

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CBRE negotiated the sale of the former First Baptist Church Educational Building, a 25,216-square-foot commercial property located at 222 E. 5th St. in Tucson, AZ. The building, which sits on a 36,950-square-foot parcel, commanded a sale price of[mepr-show rules=”58038″]$1.5 million is to be redeveloped for headquarters of Mister Car Wash and Express Lube.

Buzz Isaacson with CBRE’s Tucson office represented the buyer, Tucson-based Michael R. Wattis, Inc.  The seller, Tucson-based 222 Storage, LLC (Ron Schwabe and David Dabdouh managing members) was represented by Ron Schwabe with Peach Properties of Tucson. The seller had acquired the property one year ago in an REO sale from the Bank of Oklahoma.

The buyer, Michael R. Wattis, Inc. is a real estate developer specializing in office and industrial projects. Wattis plans to redevelop the property as the corporate headquarters for Tucson-based Mister Car Wash. Permits have not yet been approved, but it is hoped construction can begin as early as November for a May delivery.

The property lies within the Downtown Area Infill Incentive District, a compelling location for the tenant, who is looking to attract top, young talent. Mister Car Wash (John Lai, CEO) will be moving from its La Paloma Corporate Center in the Foothills and hopes to draw on the dynamic area’s energy and amenities. The company moved its headquarters to Tucson in 1996. Mister Car Wash now operates 6 car washes in the Tucson market, having recently acquiring three of the former Simoniz car washes, makes a total of 124 car washes and 32 lube shops nationwide. Year to date 2013, Mister has acquired a total of 21 locations.

Built in 1952, the three-story steel and brick building at 222 E 5th Street is seven blocks from the University of Arizona, three blocks from downtown Tucson and two blocks from the planned 4th Ave. light rail system which will connect the University with downtown.

Project architect, Rob Paulus, plans to preserve much of the building character by keeping the old brick facade and architectural features. The building that has been partially demolished and gutted for a condominium project since 2008. Paulus has worked on many of the redevelopment projects downtown including the Ice House Lofts and the former Martin Luther King Jr. public housing project.

For more information, Isaacson should be contacted at (520) 323-5151. Schwabe can be contacted at (520) 798-3331.

Sale date for first sale was Nov. 13, 2012. Sale price was $1.1 million in REO sale. Sale date for second sale was Nov. 1, 2013. Buyer took title as 222 Building, LLC.

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The Phoenix office of Hines announced Monday that 24th at Camelback II has achieved Platinum certification under the U.S. Green Building Council’s LEED for Existing Buildings (EB) Rating System. The property, owned by Hines and an East Coast pension fund advised by Invesco, is the first LEED EB Platinum, and most efficient, multi-tenant property in Arizona.

The 11-story, 307,000-square-foot Class A office building was developed by Hines in 2010, and is located in the heart of Phoenix’s Camelback submarket.

In addition to earning LEED Platinum, 24th at Camelback II earned the ENERGY STAR® label in 2012. With a current ENERGY STAR rating of 93, the campus is 46 percent more energy efficient than the average U.S. office building. This translates to an estimated $1.43 per rentable square foot in annual energy cost savings and annual greenhouse gas reductions equivalent to removing 557 passenger vehicles from the road.

Green features and programs include: reduced heat island effect through covered parking and reflective roofing; use of low-VOC materials and finishes; a 30 percent reduction in indoor, potable water usage; electronic waste recycling programs; a 60 percent reduction in landscaping-related water consumption; enhanced indoor air quality systems; and a construction waste diversion rate greater than 50 percent. Additionally, Hines offers its proprietary GREEN OFFICE for Tenants program, which is designed to assist tenants in greening their office space.

“Energy savings, equipment efficiencies, water conservation and recycling programs directly benefit the tenants in terms of lower operating costs. By achieving LEED Platinum, the local project team demonstrates to our owners, tenants, prospective tenants and the community that this property is being managed to the highest standard of excellence,” said Hines Director John Orsak.

Hines Global Sustainability Officer, Gary Holtzer, added, “Hines has a long track record of commitment to sustainable development, and active leadership in the USGBC LEED programs. The 24th at Camelback II building is the firm’s latest commitment to sustainable development in Phoenix.”

Hines is a leader in Phoenix for sustainable real estate development and operations. 24th at Camelback II’s sister building, 24th at Camelback I, also managed by Hines, is ENERGY STAR labeled and certified LEED Gold under the Existing Building rating system. The US Airways headquarters building in Tempe, which was developed and is managed by Hines, is LEED Gold certified and is one of just five properties in the United States (and the only one in Arizona) to have earned 11 consecutive ENERGY STAR labels—one for every year since the building’s first full year of operations in 2000. Hines also owns and manages Renaissance Square, a two-building, LEED EB Gold, ENERGY STAR-labeled office complex in downtown Phoenix.
Hines is one of the most sustainable real estate companies in the world. In 2013 Hines was recognized by the EPA, for the sixth time, with the ENERGY STAR Sustained Excellence Award. In addition, Hines has received the ENERGY STAR Partner of the Year award three times. Hines manages 146 labelled buildings, representing more than 70 million square feet, in the ENERGY STAR program. Also, twelve Hines development or redevelopment projects, representing more than six million square feet, have been designated as Designed to Earn the ENERGY STAR.

Hines is also a leader in the U.S. Green Building Council’s programs, with 200 projects, representing more than 101 million square feet that have been certified, pre-certified or registered under the various LEED rating systems. Hines was a founding member of the German Sustainable Building Council and the Russian Green Building Council, and is active in the Green Building Council Brasil, the Green Building Council España, the Green Building Council Italia, the Indian Green Building Council, the BRE Environmental Assessment Method program in the United Kingdom and the Haute Qualité Environnementale program in France. To learn more about sustainability at Hines, visit www.hines.com/sustainability.

Hines is a privately owned real estate firm involved in real estate investment, development and property management worldwide. The firm’s historical and current portfolio of projects that are underway, completed, acquired and managed for third parties includes 1,283 properties representing more than 516 million square feet of office, residential, mixed-use, industrial, hotel, medical and sports facilities, as well as large, master-planned communities and land developments. Currently, Hines manages 378 properties totaling 151.9 million square feet, which includes 84.3 million square feet for third parties. With offices in 111 cities in 18 countries, and controlled assets valued at approximately $25.2 billion, Hines is one of the largest real estate organizations in the world. Visit www.hines.com for more information.