DEBT/EQUITY FOR GARDEN STYLE APARTMENTS IN TEXAS

$22.06 MILLION IN DEBT FINANCING FOR THE CONSTRUCTION OF A COURTYARD BY MARRIOTT HOTEL

$36M RECAPITALIZATION FOR HOTEL AT PORSCHE HEADQUARTERS

$30 MILLION BRIDGE FINANCING FOR CALIFORNIA MIXED-USE DEVELOPMENT

Interest Rate and Cap Rate Increases – Does This Always Lead to Decrease in Value and Returns?

by Abbas Junejo | 06.07.2018

A common misconception is the idea that real estate tends to post negative returns during periods of interest rate hikes. This is based off three primary rationale:

  1. The cost of debt increases as interest rates increase.
  2. The cost of equity increases as interest rates increase.
  3. Cap rates increase as interest rates increase.

These points would make it seem that rising interest rates would have a doubly negative impact on real estate from the earnings as well as the capital appreciation perspective – NOT NECESSARILY THE CASE !!!

Cap rates have exhibited a 0.7 correlation with interest rates when measured using the NCREIF Property Index (NPI), an index of operating properties owned by “tax-exempt institutions and held in a fiduciary environment.”1 . This indicates a 1% increase in cap rates for every 0.7% percent increase in interest rates.2 This may bode ill for investors as an increase in cap rates correlates to a decrease in asset prices all else being equal.

This may bode ill for investors as an increase in cap rates correlates to a decrease in asset prices all else being equal.

Taking into conjunction NPI returns from 1977-2017, the following results are observed by the Black Creek Group3: :


  NPI Total Return NPI Income Return NPI Price Return
40-YEAR AVERAGE 9.05% 7.09% 1.95%
RISING INTEREST RATE AVERAGE 12.90% 7.41% 5.49%
FALLING INTEREST RATE AVERAGE 6.39% 7.08% -0.69%

It appears that total returns, price returns and income returns for the NPI were on average higher in rising interest rate periods than in those periods where interest rates were falling or the 40-year average return. This is primarily driven by higher economic growth during periods where interest rates are increasing, improving demand for real estate and increasing rents.

Using data on 1 Month T-Bill rates from 1978 -2017, we see similar results:4


  NTBI Total Return NTBI Income Return NTBI Price Return NPI Total Return NPI Income Return NPI Income Return
AVERAGE RETURNS 8.31% 2.72% 5.59% 8.01% 4.74% 3.27%
RISING INTEREST RATES AVERAGE 10.29% 3.65% 6.64% 8.83% 5.93% 2.89%

To insulate our results from errors in the NPI, we also utilize the NCREIF Transaction Based Index (NTBI), which measures returns using appraisals like the NPI as well as transactions. The NTBI shows greater returns in both capital appreciation and net income in periods of rising interest rates.

The correlations are as follows:5  


  RFR

NTBI TR

NTBI NI NTBI CA NPI TR NPI NI NPI CA
RFR 1.00 (0.75) (0.84) (0.68) (0.76) (0.83) (0.34)
NTBI TR (0.75) 1.00 0.96 0.99 1.00 0.97 0.63
NTBI NI (0.84) 0.96 1.00 0.92 0.95 1.00 0.42
NTBI CA (0.68) 0.99 0.92 1.00 0.98 0.93 0.71
NPI TR (0.76) 1.00 0.95 0.98 1.00 0.98 0.69
NPI NI (0.83) 0.97 1.00 0.93 0.98 1.00 0.56
NPI CA (0.34) 0.63 0.42 0.71 0.69 0.56 1.00

One can see the negative correlations of all components of the NPI and NTBI returns to the Risk-Free Rate. This indicates the inverse relationship of cap rates and real estate returns. We can hypothesize that while cap rates may rise during periods of rising rates, real estate incomes rise at a higher rate. One final data point corroborating our thesis is that the average quarterly change in the risk-free rate over this period has been 5.21% and in quarterly periods where the change has been above this average, real estate returns still outpaced aggregate returns for the period driven by greater income returns.


  NTBI Total Return NTBI Income Return NTBI Price Return NPI Total Return NPI Income Return NPI Income Return
AVERAGE RETURNS 9.09% 3.55% 5.54% 8.70% 5.74% 2.96%

This gives us confidence that periods of rising rates bode well for real estate investments despite rising cap rates.


Sources:

[1]NCREIF Property Index, National Council of Real Estate Investment Fiduciaries, https://www.ncreif.org/data-products/property/

[2] Peyton, Martha & Pierzak, Edward, Real Estate: The Impact of Rising Interest Rates, TIAA-CREF, https://www.tiaa.org/public/pdf/real_estate_the_impact_of_rising_interest_rates.pdf, March 7, 2018

[3] Mueller, Glenn R., Do Rising Interest Rates Affect Commercial Real Estate Returns?, August, 2017, https://blackcreekgroup.com/wp-content/uploads/2017/06/WhitePaper-BCG-Raising-Interest-Rates_08-2017_FINAL.pdf, March 7, 2018

[4] NCREIF. NPI & NTBI Quarterly Returns. Raw data

[5]* RFR = Risk Free Rate, TR = Total Return, NI = Net Income, CA = Capital Appreciation


GREENWICH GROUP CONTACT:


Peter Witham
Managing Partner
703-525-8301
Peter.Witham@greenwichgrp.com
  Peter Witham is Managing Partner and Head of Capital Markets and Investment Banking in Washington, DC and California. His extensive experience extends over 25 years of commercial real estate experience in equity and debt financing, Investment sales, joint-venture structuring, asset management and consulting. He has extensive international experience in both the United States and United Kingdom.

 

Greenwich Group Arranges $16.5 Million Sale of 1500 Westbranch Drive – a 5.86-Acre Re-Development Site in Tysons, Virginia

Former government leased building site slated for residential development

TYSONS, VA – Greenwich Group (“Greenwich”) has announced that it sold on behalf of its client, a 5.86-acre un-entitled redevelopment site to a Texas based residential developer.

Greenwich was the exclusive advisor on behalf of the owner, TH Real Estate, an affiliate of Nuveen, (the investment management arm of TIAA) in successfully securing a sale to the developer for $16.5 million.

The building was part of an office building portfolio TH Real Estate had purchased in 2004 from the former West*Group who had also been advised by Greenwich.  Until recently the entire building was leased to a Government Agency, which had been the sole occupant since it was developed.

The Greenwich team representing the owner was led by Greenwich’s Managing Partner, Peter Witham. Mr. Witham says “1500 Westbranch Drive produced a positive outcome.  Both Greenwich as Advisor and TH Real Estate as Seller worked closely to navigate and overcome a number of challenges during the marketing process to maximize value and insure execution”.

ABOUT THE GREENWICH GROUP:

Greenwich Group is a leading real estate capital advisory firm headquartered in New York, with offices in Washington, DC, San Francisco and Los Angeles. Its main focus centers around all aspects of real estate investment capital.  The firm offers four main business lines: Capital Markets (Debt & Equity Placement), Investment Banking and Structured Finance, Investment Sales and Development Services.

For more information about Greenwich:

www.greenwichgrp.com

Other Inquiries:

Alla Torres
Director of Marketing and Public Relations
alla.torres@greenwichgrp.com
Phone: (703) 525-8300 Ext. 7

Bridge Loans Galore!

by Kevin Roe | 05.21.2018

 

A Liquid, Capital Abundant Market

Bridge loans by their nature are intended to assist borrowers by providing debt capital for transitional assets during the value creation phase of a project, which is typically a cheaper alternative to using equity capital. Bridge financing has been on the rise and the outlook for this product type will continue to be positive in 2018. The supply pool for loans of all product types (Office, Multifamily, Retail, Industrial) has never been more liquid and abundant.  The market supply of Bridge Loans has increased for multiple reasons: 

Over the past several years, a high volume of CMBS loans originated prior to the Great Recession have matured; traditional lenders such as banks and life insurance companies have tightened their underwriting standards on construction loans; and permanent financing and HVCRE rules have added restrictions to traditional lenders. The above factors have contributed in requiring new, alternative financing options. 

Many groups have recently raised new funds to invest in this sector. Examples of transactions that are a good fit for these funds include: buildings going through renovation prior to starting a new leasing program, re-working the management of an asset to increase NOI and construction projects that have recently completed and are in the initial phases of lease up.  

One consistent comment we hear from the new Bridge Lending Platforms is the need to reluctantly stop fund raising efforts early due to reaching and exceeding the targeted amount of capital from investors.  Billion dollar funds simply cannot take on more investors for fear of not being able to deploy all the capital!

As a result of this large pool of lenders, spreads have narrowed significantly and proceed levels are being pushed out high into the capital stack with 85-90% LTC not out of the question.

Case Study 1

Recently Closed Value Add-Office Bridge Loan

Our firm recently closed on the funding of a bridge loan for the acquisition of a mid-sized, value add, 60% leased office building in Northern Virginia.  We received Non-Recourse term sheets from 8 lenders and successfully closed the loan within 5 weeks of going to market.  The loan was completed with a debt fund and structured as non-recourse, 3-year (2 1-year extensions), and 65% LTV (of stabilized value). The rate is a floating spread over LIBOR in the low 400s.  The loan included “good news money” for capital expenditures, leasing commissions, and tenant improvements.

Case Study 2

The Market for Bridge Loans for Newly Constructed Multi-Family Projects in Initial Lease-Up

We recently went out to market for a large bridge loan ($60 – $80 Million range).  This sized loan would have been too large for the bridge market in the past, but as the market has grown in recent years, lenders have become more flexible. A bridge loan made sense in this case due to higher interest rate construction loans which included a mezzanine loan.  Our marketing efforts resulted in 12 quotes from a variety of lenders in the L+200-300 range.

Because of our extensive experience in this area, Greenwich will continue to pursue Bridge Loan transactions on behalf of our clients and compete lenders to ensure execution certainty at the best possible terms.


        GREENWICH GROUP CONTACT:

Peter Witham
Managing Partner
703-525-8301
Peter.Witham@greenwichgrp.com

Peter Witham is Managing Partner and Head of Capital Markets and Investment Banking in Washington, DC and California. His extensive experience extends over 25 years of commercial real estate experience in equity and debt financing, Investment sales, joint-venture structuring, asset management and consulting. He has extensive international experience in both the United States and United Kingdom.

The Wharf Waterfront Development, Washington, DC

The Greenwich Group provided financial advisory services for the joint-venture equity placement into the Wharf, a 3.2 million square feet, $1.5 Billion world class mixed-use development along the Potomac River in Washington, DC.  The project comprises approximately 24 acres of land and more than 50 acres of water.   When complete, the project will contain; residential rental units and condominiums, two office buildings, at least three hotels, an entertainment arena and best in class retail.  The sponsor is a joint-venture between PN Hoffman and Madison Marquette.

Capital Land Portfolio, Singapore

The Greenwich Group, Germany provided financial advisory and capital markets services for the CapitaLand Commercial Limited (“CCL”) and the ERGO Insurance Group (“ERGO”), joint-venture to acquire $875 million of prime CapitaLand office properties – Temasek Tower, Pidemco Centre and The Adelphi – located in Singapore’s central business district.

$85 million Office to Residential Conversion, Washington, DC

1255 22nd Street, NW Washington DC – Conversion of existing office building to residential

$29.3 million structured acquisition finance, Washington, DC

770 M Street SE, Washington DC – Acquisition and Expansion of existing office building

$73.5 MILLION CONSTRUCTION DEBT FINANCING, WOODBRIDGE, VA

Rivergate - $73.5 million in construction financing for the development of Rivergate Phase I, a 402-unit Class-A residential apartment building to be developed along the scenic Occoquan River in Woodbridge, VA.

$6.5 million equity recapitalization, San Francisco, CA

2800 Sloat Street, San Francisco, CA – Equity Recapitalization from bankruptcy

$137 million Programmatic Debt & Equity Raise, Nationwide Self Storage Investment Platform

SecurCare Self-Storage – Nationwide – Programmatic Debt and Equity Investment

$144 million Credit Tenant Lease Financing , Tysons Corner, VA

7575 Colshire Drive, Tysons Corner, VA – Credit Tenant Lease Financing

$100 million Programmatic Equity Raise for Mid Atlantic Retail Investment & Development

Greenberg Gibbons Investment Program – Mid-Atlantic Region – Programmatic Equity

Development & Financial Advisory Services, New York, New York

443 Greenwich Street, New York, NY – Development Advisory Services

$45 million Debt & Equity Recapitalization, Bellevue, WA

Lincoln Square – Bellevue, WA – Debt and Equity Recapitalization for distressed condo development

$220 MILLION JOINT-VENTURE EQUITY, WASHINGTON, DC

The Wharf – Washington, DC - $220,000,000 Joint-Venture Equity for 3M Square Feet Mixed-Use Development

$180 million Structured Debt & Equity Financing for Office Development, Bethesda, MD

7501 Wisconsin Avenue, Bethesda, MD – Structured Finance for 750, 000 Square Feet Office Development

$800 million Investment Partnership Raise for New Investment Fund, Singapore

adelphie

one-george-4a

tomasec

CapitaLand Investment Program – Singapore – Arranged Equity Fund for Singapore based developer

$73.5 million Structured Debt for Apartment Development, Woodbridge, VA

Rivergate – Woodbridge, VA – $73.5 million in construction financing for the development of Rivergate Phase I, a 402-unit Class-A residential apartment building to be developed along the scenic Occoquan River in Woodbridge, VA.

$14.5 million Equity Recapitalization, San Francisco, CA

2655 Bush Street, San Francisco, CA – Bankruptcy Recapitalization and Workout

$20 million Disposition of S Corp Shares, Alexandria , VA

Versar Center Office Park, Springfield, VA – Sale of S Corp and real estate assets

Nationwide Financial Advisory Services for Major International Hotel Brand

Shangri-La Hotel – Chicago, IL – Development Consulting

$52 million structured finance for Speculative Office Development, Washington, DC

The Portals Phase III – Washington, DC – $52 million mezzanine construction loan for the development of Portals III, a 10-Story, 510,000 square foot office building in the SW submarket of Washington, DC

$116 Million DEBT & EQUITY NEW YORK, NY

The Metropolitan, New York, NY — $116,000,000 Debt & Equity for the Development of 94 Luxury Condominiums

$75 million Equity Recapitalization, La Defense, Paris, France

Euro Plaza – La Defense, Paris – $75 million Equity Raise for Corporate Headquarters

$101 Million Office Portfolio Disposition, Tysons Corner, VA

Tysons Corner Office Portfolio – Tysons Corner, VA – Sold for $101,000,000

$28,400,000 OFFICE DISPOSITION NORTH BETHESDA, MD

6000 Executive Boulevard, North Bethesda, MD — Sold for $28,400,000

$135 Million Hotel Resort Disposition, Leesburg, VA

Landsdowne Resort – Leesburg, VA – Sold for $135,000,000

$156.5 Million Office Disposition, San Francisco, CA

333 Bush Street – San Francisco, CA – Sold for $156,500,000

$97.25 Million Office Disposition, New York, NY

150 East 52nd Street – New York, NY – Sold for $ 97,250,000

$36 Million Apartment Disposition, Washington, DC

3333 Wisconsin Avenue – Washington, DC – Sold for $36,000,000

$85 Million Office Disposition, Bethesda, MD

Executive Plaza – Bethesda, MD – Sold for $85,000,000

$107 Million Office Disposition, San Francisco, CA

550 California Street – San Francisco – Sold for $107,000,000

$212 Million Office Disposition, Houston, TX

1100 Louisiana – Houston, TX – Sold for $212,000,000

$23.7 Million Office Disposition, Washington, DC

1401 K Street – Washington, DC – Sold for $23,700,000

$144 Million Office Disposition, Tysons Corner, VA

Northrop Grumman Corporate Headquarters - Tysons Corner, VA – Sold for $144,000,000

$194 Million Office Disposition, Jersey City, NJ

Harborside Plaza 10 – Jersey City, NJ – Sold for $194,000,000

$73 Million Apartment Disposition, McLean, VA

The Commons Apartments – McLean, VA – Sold for $73,000,000

$25 Million Office Disposition, San Francisco, CA

$149 Million Office Portfolio Disposition, Orlando, FL

Heathrow International Business Center – Orlando, FL – Sold for $149,100,000

$10 Million Land Disposition, Fremont, CA

Sabercat - Freemont CA - $10 million Bankruptcy Recapitalization involving Disposition of Residential Development Land

$18.5 MILLION APARTMENT DISPOSITION, WASHINGTON, DC

The Remington Apartments - Partial Sale of 9-Story Extended Stay Apartments Based on a Total Valuation of $18.5 million

$55 Million Office Disposition, Washington, DC

L’Enfant Plaza - $55 million disposition of 8-Story 263,694 Square Feet Office Tower located in the SW Submarket of Washington, DC

$169.5 Million Residential Development Land Disposition, Tysons Corner, VA

Park Crest - $169.25 million Disposition of Prime Residential Development Site in Tysons Corner

Quote 2

“The Greenwich Group continue to play an important role in the growth of Calvano Development.  We have transitioned from a small developer funding projects at a local level to working hundred million dollar projects with global institutional capital.  The Greenwich Group have demonstrated an ability to work across the capital markets (both equity and debt) by adding value to projects through their underwriting, advocacy, and capital relationships.  They have been a committed partner to the expansion of Calvano Development as demonstrated by the successful capitalization of our multiple projects and Ventures.”

Mark A. Calvano
Calvano | Development

Our Mission Quote

Our Mission

We are committed to leaving no stone unturned in accessing domestic and overseas capital for each and every assignment. We will break new ground with unprecedented debt and equity capitalization success, providing our clients with a truly global capital solution in an ever-changing real estate marketplace.

$22 MILLION REHABILITATION, NEW CARROLLTON, MD

Metropoints Hotel – New Carrollton, MD - $22,000,000 Permanent Debt

$85 MILLION CONVERSION FROM OFFICE TO RESIDENTIAL, WASHINGTON, DC

1255 22nd Street, NW Washington DC – Conversion of existing office building to residential

$25 MILLION REDEVELOPMENT, NEW YORK, NY

443 Greenwich Street, New York, NY – Development Advisory Services

$14.5 MILLION DEVELOPMENT RECAPITALIZATION, SAN FRANCISCO, CA

2655 Bush Street – San Francisco – Bankruptcy Recapitalization and Workout

$250 MILLION DEVELOPMENT CAPITALIZATION, CHICAGO, IL

Shangri-La Hotel – Chicago, IL – Development Consulting

DEVELOPMENT ADVISORY, WASHINGTON, DC

770 M Street SE, Washington DC - Acquisition and Expansion of existing office building

DEVELOPMENT ADVISORY, SAN FRANCISCO, CA

2800 Sloat Street – San Francisco, CA – Equity Recapitalization from bankruptcy

$250 Million MIXED USE DEVELOPMENT, ARLINGTON, VA

Financial & Development Advisory Services for $250,000,000 Mixed-Use Development — Arlington, Va

About Us Content Column 3

James Flood
Chief Operating Officer
New York

James Flood joined The Greenwich Group International’s New York office in 1998 as the Chief Operating Officer and Chief Financial Officer. Mr. Flood has over 30 years of management experience in real estate development, finance, and property management.

Prior to joining The Greenwich Group International, Mr. Flood served for 14 years as Executive Vice President & CFO for The Related Companies, one of the nation’s leading acquisition/development, financial services and property management companies. Earlier, as Vice President of Finance and Administration for American Landmark Development, a joint-venture partner of Olympia and York in residential development in Canada and the United States, Mr. Flood directed all financial functions, property management and apartment conversions.

Mr. Flood is a NYS CPA. He holds a BEE degree from Manhattan College, an MSEE degree from New York University, and an MBA degree from the Harvard Business School.

Don Atchison
Managing Partner
Washington, D.C.

atchison

Don Atchison is Managing Partner with a focus on Investment Banking nationally and has over 30 years of commercial real estate experience in debt/equity financing, investment sales, development, leasing, and brokerage management. He has provided financing on all property asset types with structures ranging from acquisition/bridge to construction to long term fixed rate permanent loans as well as joint venture arrangements.

Prior to joining Greenwich, Mr. Atchison was with a national services provider for 17 years as a mortgage banker and regional manager having run two separate offices for the firm.  He has overseen/participated in over 5,000 leasing, sales, and financing transactions with valuation of over $10 billion.  He was with a Washington, DC area commercial office development firm for 8 years prior to this and worked on the design, construction, leasing, and tenant fit up of over 400,000 square feet of space. Before this, Mr. Atchison was in commercial banking for 7 years managing a portfolio of bridge, construction, and mini-perm loans. He spent 6 years in the United States Marine Corps, leaving with the rank of Captain.

Mr. Atchison received his BS in Management from the United State Naval Academy and his MBA in Economics and Finance from Texas Christian University.

About Us Content Column 2

Larry Baucom
President
Washington, D.C.

Larry Baucom is the President of Greenwich Group International. With more than 35 years of experience in major commercial real estate investment banking activities, Mr. Baucom has been involved in key leadership roles in The Greenwich Group International operations.

In 1995, he was one of the founding partners of The Greenwich Group International. His background as an investment banker and executive has included the firm’s total investment banking activities, which have involved major national and international investors and transactions in multiple real estate asset classes. These investment banking activities have included structured financing, equity and debt financing, joint-venture structuring, leasing, asset management, major project development financing and the recapitalization of real estate companies.

Prior to Greenwich Group International, Mr. Baucom was a Managing Director with Jones Lang Wootton USA (now known as Jones Lang LaSalle) responsible for the firm’s New York Wall Street Division. In 1984, he became the Managing Director responsible for the Washington, DC region.  In that capacity, he started the Washington office and oversaw the growth of its full-service operations with a concentration on international clientele.

Mr. Baucom received his BS in Electrical Engineering from North Carolina State University and his MBA in Finance from New York University.

Steve Lorenz
Managing Partner
New York

Steve Lorenz is Managing Partner of Greenwich Group International’s Capital Markets and Investment Banking New York team. He joined Greenwich in the beginning of 2016, and brings with him over 30 years of commercial real estate experience, working for several large Banks, Structured Products Groups and Developers throughout his career.

Prior to Greenwich Group International, Steve Lorenz was the President and Founder of LorCap, Inc., a firm he ran for 5 years principaling transactions, raising debt and equity for third parties, and offering commercial real estate advisory and structuring services.

Prior to founding LorCap, Mr. Lorenz was a Managing Director in the Structured Products Group of Sunrise Securities, where he focused on commercial real estate whole loans, CMBS, mezzanine and B-Notes, and CRE Structured Products. Prior to joining Sunrise, he was the Head of the CRE Capital Markets desks for PNC / NatCity Investments located in Stamford, CT where he ran CMBS production; and, helped lead the efforts in the bank’s CRE Distressed Assets group. Prior to this he was at Fortis Investments for 2 years where he was charged with buying CRE structured products for inclusion into CDO’s. Mr. Lorenz was at HypoBank (a.k.a. HVB Real Estate International) for 8 years where he was a relationship manager for 6 years and credit manager for 2 years. Mr. Lorenz worked for Citibank from 1991 to 1995 where he focused on CRE workouts, restructurings, asset management and asset sales. Mr. Lorenz also worked for the Trammell Crow Company in the late 1980’s.

Mr. Lorenz has an MBA from Columbia Business School (Class of 1991) and graduated from Hamilton College in 1986.  He has his Series 7 & 63. 

Alla Torres
Director of Marketing and Public Relations

Washington, DC

torres

Alla Torres is Director of Marketing and Public Relations with The Greenwich Group International.  She has over 12 years of commercial real estate marketing, design and PR experience. Since joining The Greenwich Group in 2004, Ms. Torres has been involved in the marketing of approximately $5 Billion worth of real estate transactions and currently oversees the design and production of all marketing and Greenwich related materials.   In addition to her involvement with marketing, Ms. Torres is now responsible for advertising, social media marketing, public relations and branding for the entire Greenwich Group International.

Prior to joining The Greenwich Group International in 2004, Ms. Torres worked as an Associate at Wells Fargo Bank and as a BCBG brand specialist at Bloomingdales. From 1993 -1996 Ms. Torres worked as Distribution Manager for US International, the US company based in Moscow, Russia, and has been involved in a variety of international trade deals.

In 1991 Ms. Torres, obtained a Legal Secretary diploma in Moscow, Russia. Over the years, Ms. Torres has completed a variety of business and international marketing courses in Russia and the US, and continues to actively pursue college level courses as part of her continuing education. In addition, Ms. Torres has experience in graphic design and photography. Outside of real estate, Ms. Torres’s interests include, fashion and design, art, computer technology, photography and travel.

About Us Content Column 1

Simon Mildé
Chairman and Chief Executive Officer
New York

Simon Mildé is the Chairman and Chief Executive Officer of The Greenwich Group International. Mr. Milde is responsible for overseeing all worldwide real estate investment banking activities of the firm. With more than 35 years of experience in the international marketing of institutional real estate, Mr. Mildé is actively involved in the marketing efforts of all major assignments from the firm’s New York office. He is also a co-founder and Chairman of Terra Capital Partners.

Before founding Greenwich Group International in June 1995, Mr. Mildé was President of Kennedy-Wilson International, a Nasdaq-listed real estate company, a position he held for two years. From 1977 to 1993 Mr. Mildé was Managing Partner and Chairman of Jones Lang Wootton USA, where he was instrumental in building the firm from a five-person office into a major national full-service real estate company. Throughout the past 35 years, Mr. Mildé has attracted numerous foreign investors to the US real estate arena, and helped pioneer the export of US capital into European and Asian real estate investment markets.

Peter Witham
Managing Partner
Washington, D.C.

witham

Peter Witham is Managing Partner and Head of Capital Markets and Investment Banking in Washington, DC and California. His extensive experience extends over 25 years of commercial real estate experience in equity and debt financing, Investment sales, joint-venture structuring, asset management and consulting. He has extensive international experience in both the United States and United Kingdom.

Since joining The Greenwich Group, Mr Witham has been involved in approximately $10 Billion worth of real estate transactions in some of the largest and most complex real estate equity and debt financings and investment sales in the nation. These include the equity financing of The Wharf, a 3.2 million square feet, $2 Billion, mixed-use development along the Potomac River in Washington, DC, the construction financing of 1255 22nd Street, NW, a 197 unit office to residential conversion project in the West End submarket of Washington, DC, the recapitalization of the West Group Portfolio, consisting of 2.6 million square feet of office, 750,000 square feet of flex/industrial and 15 acres of prime residential development land in Tysons, Virginia,  the equity and debt financing of a multiphase office development in Mountain View, California, the joint-venture equity financing of 2175 K Street, NW, the European Union Headquarters in the CBD submarket of Washington, DC and many other construction financings, equity and debt recapitalizations, and investment sales.

Prior to joining The Greenwich Group International in 2001, Mr. Witham was an Associate of PricewaterhouseCoopers real estate consulting where his transactions included consulting on feasibility of development projects and valuations of all property types across the United States. Prior to that, Mr. Witham spent over 2 years as an analyst and then broker with Grubb & Ellis in Washington, D.C.

Mr. Witham received his BSc (Hons) Degree in Estate Management from the University of Greenwich, London, England. He is a Professional Member of the Royal Institution of Chartered Surveyors (MRICS). Outside of Real Estate, Mr Witham’s interests include, soccer, tennis, squash, golf, scuba diving and traveling.

Boaz (Buzz) Shattan, Jr. 
Senior Investment Director
New York

Buzz Shattan is a Senior Investment Director in Greenwich Group International’s Investment Banking and Capital Markets team. He advises developers, purchasers and operating entities on all phases of executing sales, equity and debt financing transactions, and portfolio strategy. He began his career as an attorney, practicing at international law firms Cadwalader Wickersham & Taft and Davis Polk & Wardwell, where he advised developers and investors (many from off-shore) on executing U.S. real estate matters.

Buzz Shattan transitioned from law to real estate investment banking with Sonnenblick-Goldman, where he became a partner and managing director, co-managing the firm’s institutional placement activities. He moved to Kennedy-Wilson to help develop the commercial real estate auction process as a remedy for the illiquidity then prevailing in the marketplace. He was part of the original team that created The Greenwich Group International, where he has been a participant in billions of dollars of income-property and development deals throughout the US covering all property sectors.

Buzz Shattan earned a B.A. from Harvard and a J.D. from the University of Pennsylvania Law School. He is a year-round bicycle commuter to meetings and sites throughout the NY Metro area and is active in cycling advocacy, especially in support of the 3000-mile-long bike route known as the East Coast Greenway.

$350 Million Joint-Venture Advisory, Miami Fl

Miami, FL - $350,000,000 Joint-Venture Equity for Luxury Hotel/Condo Development

$140 MILLION EQUITY/DEBT, NEW YORK, NY

The Centurion – New York, NY - $140,000,000 Equity and Debt for Luxury Condo Development

$150 MILLION EQUITY/DEBT RECAPITALIZATION, NEW YORK, NY

Trinity Center – New York, NY - $150,000,000 Equity and Debt Recapitalization

$135 MILLION JOINT-VENTURE EQUITY, NEW YORK, NY

610 Lexington Avenue – New York, NY - $135,000,000 Joint-Venture Equity for Mixed-Use Development

$124 MILLION OFFICE DISPOSITION, WASHINGTON, DC

1275 K Street – Washington, DC - $124 Million Office Disposition

$70 MILLION EQUITY RECAPITALIZATION, SAN FRANCISCO, CA

1700 California – San Francisco, CA - $70,000,000 Equity Recapitalization

$40 MILLION DEBT FINANCING, WASHINGTON, DC

2001 L Street – Washington, DC - $40,000,000 Acquisition Debt Financing

$41 MILLION JOINT-VENTURE EQUITY, WASHINGTON, DC

2175 K Street – Washington, DC - $41,000,000 Joint-Venture Equity

$22 MILLION DEBT FINANCING, NEW CAROLLTON, MD

Metropoints Hotel – New Carrollton, MD - $22,000,000 Permanent Debt

$147.5 MILLION CONSTRUCTION DEBT FINANCING, ARLINGTON, VA

The Eclipse on Center Park – Arlington, VA – $147,500,000 Construction Debt Financing

$164 MILLION DEBT FINANCING, TYSONS, VA

Tysons Corner Office Portfolio – Tysons Corner, VA - $164,000,000 Permanent Refinancing

$180 MILLION EQUITY/DEBT FINANCING, BETHESDA, MD

7501 Wisconsin Avenue – Bethesda, MD – $180,000,000 Debt and Equity Development Financing

$185 MILLION CONSTRUCTION DEBT FINANCING, FORT LAUDERDALE, FL

Trump Hotel – Fort Lauderdale, FL - $185,000,000 Construction Debt Financing

$111 MILLION CONSTRUCTION EQUITY/DEBT FINANCING, MOUNTAIN VIEW, CA

1001 North Shoreline BLVD, SF - $45 million joint-venture equity; $66 million construction financing for 115,000 square feet speculative office development

$70.55 MILLION CONSTRUCTION EQUITY/DEBT FINANCING, WASHINGTON, DC

Union Place - $55.25 million construction loan and $15.3 million joint-venture equity for the development of 212-unit apartment building located in the NOMA area of Washington, DC

$29.3 million structured acquisition finance, Washington, DC

770 M Street SE, Washington DC – Acquisition and Expansion of existing office building

1001 Shoreline Boulevard, Mountain View, CA

The Greenwich Group provided debt and equity capital markets services for Calvano Development for the $100 million first phase of this mixed-use development located prominently off Highway 101 in Mountain View.

1255 22nd Street, NW, Washington, DC

The Greenwich Group provided development consulting services and capital markets services for this large scale office to residential conversion and addition in the heart of downtown Washington, DC. 

Capital Markets

Greenwich is an industry leader in accessing global capital markets for debt and equity

Development Services

Tailor-made turnkey solutions for new development, adaptive re-use, and conversion projects

Investment Banking + Structured Finance

We have successfully arranged some of the largest structured financings in the country

Investment Sales

Our approach leverages global capital expertise with local market knowledge