Navigation Links
Forest City Announces Joint Venture with Health Care REIT for University Park Life Science Properties
Date:2/22/2010

CLEVELAND, Feb. 22 /PRNewswire-FirstCall/ -- Forest City Enterprises, Inc. (NYSE: FCEA and FCEB) and Health Care REIT, Inc. (NYSE: HCN) today announced the creation and first-stage closing of a new $668 million joint venture in Forest City's mixed-use University Park project in Cambridge, Mass.

(Logo:  http://www.newscom.com/cgi-bin/prnh/20080515/FRSTCTYLOGO )

Under the terms of the joint venture, Health Care REIT will acquire a 49 percent interest in the seven University Park life science properties owned solely by Forest City.  For its share of the joint venture, Heath Care REIT will invest $170 million in cash and the joint venture will assume $320 million of secured debt on the seven buildings.  Subsidiaries of Forest City will retain 51 percent ownership in the properties and will serve as asset and property manager for the joint venture.  The first-stage closing, announced today, includes six of the buildings, valued at $610 million.  Closing on the seventh building, valued at $58 million, is expected during the second quarter of 2010, subject to third-party consents.  All seven buildings are currently 100 percent leased. The transaction's implied valuation represents a 7.6 percent cap rate on projected 2010 net operating income for the properties.

"We're thrilled to launch this new venture with Health Care REIT," said Charles A. Ratner, Forest City president and chief executive officer.  "Today's announcement demonstrates both our ability to create liquidity by monetizing elements of our portfolio, and the intrinsic value in that portfolio.  It also positions us with a strong capital partner who can help us grow our life science business.  We are very proud of the value we've created over the past 25 years with the development and management of University Park, one of the great mixed-use parks in the country.  Its success shows not just the quality of the location and the individual assets, but the synergy possible by creating attractive campus environments with a true 'sense of place.'"

"These are best-in-class assets in a prime location leased to world-class life sciences companies that further diversify our health care real estate holdings," commented George L. Chapman, chief executive officer of Health Care REIT, Inc.  "We believe these assets have the ability to generate above average NOI growth due to the demand for space in this high-quality market.  We are pleased to establish this relationship with Forest City, which owns, develops, acquires and manages commercial and residential real estate.  They have extensive experience in successfully developing and managing life sciences properties throughout the country."

University Park is an award winning 27-acre, mixed-use campus developed by Forest City immediately adjacent to the Massachusetts Institute of Technology in Cambridge.  The 2.3 million-square-foot project includes a 210 room hotel, 674 residential units, a grocery store, restaurants and retail, in addition to ten life science buildings.  MIT is the ground lessor for the entire University Park project, including the properties that will become part of the joint venture.  

UBS Investment Bank and Eastdil Secured LLC acted as financial advisors and Goulston & Storrs acted as legal advisor to Forest City on this transaction.

About Forest City

Forest City Enterprises, Inc., is an $11.9 billion NYSE-listed national real estate company.  The Company is principally engaged in the ownership, development, management and acquisition of commercial and residential real estate and land throughout the United States.  For more information, visit www.forestcity.net.

Safe Harbor Language

Statements made in this news release that state the Company's or management's intentions, hopes, beliefs, expectations or predictions of the future are forward-looking statements. The Company's actual results could differ materially from those expressed or implied in such forward-looking statements due to various risks, uncertainties and other factors. Risks and factors that could cause actual results to differ materially from those in the forward-looking statements include, but are not limited to, the impact of current market conditions on our liquidity, ability to finance or refinance projects and repay our debt, the impact of the current economic environment on our ownership, development and management of our commercial real estate portfolio, general real estate investment and development risks, liquidity risks we could face if we do not close the transaction with Onexim Group to create a strategic partnership for our Brooklyn Atlantic Yards project, vacancies in our properties, further downturns in the housing market, competition, illiquidity of real estate investments, bankruptcy or defaults of tenants, anchor store consolidations or closings, international activities, the impact of terrorist acts, risks associated with an investment in a professional sports team, our substantial debt leverage and the ability to obtain and service debt, the impact of restrictions imposed by our credit facility and senior debt, exposure to hedging agreements, the level and volatility of interest rates, the continued availability of tax-exempt government financing, the impact of credit rating downgrades, effects of uninsured or underinsured losses, environmental liabilities, conflicts of interest, risks associated with developing and managing properties in partnership with others, the ability to maintain effective internal controls, compliance with governmental regulations, increased legislative and regulatory scrutiny of the financial services sector, volatility in the market price of our publicly traded securities, litigation risks, as well as other risks listed from time to time in the Company's SEC filings, including but not limited to, the Company's annual and quarterly reports.

SOURCE Forest City Enterprises, Inc.

Back to top

RELATED LINKS
http://www.forestcity.net

'/>"/>

SOURCE Forest City Enterprises, Inc.
Copyright©2010 PR Newswire.
All rights reserved

Related medicine news :

1. Out of the woods: Physicians get urban disaster training in forests, gorges and waters
2. Forest Laboratories, Inc. Sets Date and Conference Call for Fiscal 2008 Second Quarter Earnings
3. Parasites a key to the decline of red colobus monkeys in forest fragments
4. Forest Laboratories and Cypress Bioscience to Host Webcast to Discuss Clinical Data Presentations for Milnacipran
5. Abbott Donates Cool Globe to Lake County Forest Preserves for Permanent Display at Greenbelt Cultural Center
6. Forest Laboratories, Inc. Sets Date and Conference Call for Fiscal 2008 Third Quarter Earnings
7. Forest Laboratories, Inc. and Merz Pharma GmbH & Co. KgaA File Lawsuits Against Several Companies for Patent Infringement
8. Lake Forest Hospital Proposes a New Health Care System in Lake County
9. Forest Laboratories Announces Resignation of Ivan Gergel, MD
10. Wake Forest to host nanomedicine workshop
11. Forest Laboratories, Inc. Sets Date and Conference Call for Fiscal 2008 Fourth Quarter Earnings
Post Your Comments:
*Name:
*Comment:
*Email:
(Date:2/24/2017)... ... February 24, 2017 , ... Only two months after the official release of ... in Cannes (France), XO Private has initiated a second print-run of its lavish luxury ... a metre across when open, weighs in at more than six kilos, retails at ...
(Date:2/24/2017)... ... February 24, 2017 , ... In the Health Care IT campaign, Robert Herjavec ... it’s not if you will be attacked, but when.” However, he and many others ... health care. , Improvements in auditing and monitoring have taken security in health care ...
(Date:2/24/2017)... ... February 24, 2017 , ... The California State University Institute for Palliative ... in or interested in palliative care education and research. The Symposium, “Innovate. Investigate. ... County San Diego on Sept. 28 and 29, 2017, on the campus of California ...
(Date:2/24/2017)... ... February 24, 2017 , ... Rosica ... in thought leadership , media relations, social media, content marketing and SEO, ... be powered through Act-On, an intuitive marketing automation platform. , Rosica will now ...
(Date:2/23/2017)... , ... February 23, 2017 , ... The 89th Academy ... winner of the 2016 National Education Policy Center Bunkum Award. We invite you to ... 2016. , This year’s Bunkum winner is the Center for American Progress (CAP), for ...
Breaking Medicine News(10 mins):
(Date:2/24/2017)... BRISBANE, Australia , Feb. 23, 2017  Directors from Pharma ... the two companies have joined forces, resulting in the founding of ... . Pharma To Market are pleased to announce their ... an office in Singapore . The company are ... Consulting as Co-Director of the Singapore based ...
(Date:2/24/2017)... -- Xynomic Pharmaceuticals, Inc., an oncology drug research and ... exclusive worldwide rights to develop, manufacture and commercialize ... hematological and solid tumors. To date ... clinical trials of Abexinostat in US, EU and ... completed, demonstrating that Abexinostat is clinically active in ...
(Date:2/23/2017)... 2017 LG Innotek hat heute die weltweit ... beträgt das 1,5-fache des 45-mW-Moduls der Konkurrenz. ... 200 und 280 nm und eignet sich damit für Sterilisationsaufgaben. ... DNA zerstört. Das Produkt von LG Innotek erzeugt UV-Strahlung ... ...
Breaking Medicine Technology: