Phoenix Industrial Portfolio Acquisition

HG Capital, investing with Newport Real Estate Services Inc., acquires 375,000 square feet of industrial buildings in Phoenix, AZ.

Menlo Park, CA (PRWEB) April 29, 2008

HG Capital, LLC (HG) is pleased to announce its investment in an industrial value-added project in Phoenix, AZ. The project is the sixth joint venture between HG and Newport Real Estate Services Inc. (NRES), a real estate firm based in Costa Mesa, CA.

The project consists of the acquisition and renovation of a portfolio of industrial buildings comprising 375,000 square feet. HG provided substantially all of the equity for the transaction. The remainder of the project's capitalization came from NRES co-investment and a loan from California National Bank.

The eleven buildings are all located near the intersection of the interstate 10 and 17 highways in Phoenix and provide low cost space to local businesses.    

"The combination of the location with access to major highways and the limited supply of comparably priced space, makes these properties a great opportunity to satisfy the strong demand for cost effective industrial space," said HG Executive Vice-President, Andrew Jobst.

The renovation is focused on completing deferred maintenance and enhancing the functionality of the properties. The renovation is scheduled to be complete in the second quarter of 2008. Adam Hansen and Langdon Bridges of EBS & Associates are acting as the local leasing brokers for the project.

About HG Capital, LLC
HG Capital, LLC (HG) (http://www.hgre.com) is a real estate investment group that provides joint venture equity capital to real estate owners and developers for value-added and opportunistic real estate projects in the western United States. HG makes principal investments from its discretionary management of the HG Capital private equity funds. HG manages over $100 million of equity capital and has invested in over $1.5 billion worth of projects since 1995. With offices in Menlo Park and Newport Beach, California, HG has established a successful track record based upon its highly responsive and entrepreneurial approach to real estate investing.

About Newport Real Estate Services, Inc.
Newport Real Estate Services, Inc., (NRES) (http://www.nres.net) is a full service real estate firm that provides a wide range of real estate-related services to developers, institutional investors and corporate clients. These services include: Real Estate Development, Construction/Project Management, Real Estate Consulting, Corporate Real Estate Services, and Property/Asset Management. Unlike the typical consultant construction management or design/build firm that has a single discipline, the NRES full service approach to real estate uniquely qualifies it for complex projects that require development, construction, marketing and other real estate-related competencies.

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