Real Estate

< BACK TO Archive

Douglas Wells Joins Broe Real Estate Group as CEO

Denver  Broe Real Estate Group, a leading investor and manager of commercial real estate across the US, today announced that Douglas Wells is joining the company as CEO, effective immediately. In his new role, Wells leads all operational, investment and capital market activities for Broe Real Estate Group and its affiliates.

“Doug is a great find for Broe Real Estate Group, and The Broe Group. Along with the leaders of our transportation and oil and gas business units, he is indicative of the caliber of people we’ve added over the last few years to strengthen our management capability and implement best practices across the value creation chain,” said Claude Pumilia, Chief Operating Officer for The Broe Group.

“Doug has a critical mix of financial expertise and operating experience. Given his exceptional performance in his previous executive roles, we expect Broe Real Estate Group to experience significant growth under his leadership.”

Wells was previously Chief Investment Officer of Shelter Canadian Properties Limited, a real estate investment management company. Before that, he spent 15 years with Lazard Real Estate Partners, most recently as Managing Principal with investment management responsibility for five real estate opportunity funds, which at its peak totaled more than $3 billion of committed partner capital invested in the hospitality, office, industrial, retail, senior living and structured finance sectors. As part of his role at Lazard, Wells also served as President of InTown Suites, Inc., an Atlanta based extended-stay hotel company with 127 locations. He was previously with The Mutual Life Insurance Company of New York/ARES Realty Capital, and started his real estate career with Shelter Corporation of Canada Limited.

Wells received his B.A. from Trent University in Peterborough, ON and his M.B.A. from University of Denver.

“Broe Real Estate Group has an impressive real estate investment management platform with a track record of superior returns across all major property sectors through many investment cycles. I’m looking forward to the challenge of helping to take an already successful real estate investment management firm to the next level,” said Wells.

About Broe Real Estate Group
Broe Real Estate Group acquires, develops and manages commercial real estate assets. Affiliated companies own and manage office and industrial properties, medical office buildings and multi-family communities across the country, including premier assets in many of the most desirable markets. For more than 40 years, the company has operated a comprehensive real estate platform to provide complete solutions to maximize return on investment. Additional information is available at www.broerealestate.com.

 

About The Broe Group
The Broe Group and its affiliates, based in Denver, Colorado, employ more than 1,000 people and own and/or manage commercial real estate throughout North America. Its transportation affiliate, OmniTRAX, Inc., is a leading transportation services firm with railroad, port and terminal operations throughout North America, including the Great Western Railway. Its energy affiliate, Great Western Oil & Gas Company, is a top 100 driller in the U.S. For more information, see www.broe.com.

< BACK TO Archive

Broe Real Estate Group Affiliate Recapitalizes Office Complex Near Milwaukee

Transaction launches Broe Real Estate Group’s $100 million Equity Solutions program for capital constrained real estate investors

Denver – Broe Real Estate Group, a leading investor and operator of commercial real estate assets across the US, is recapitalizing the One Riverwood Place & Two Riverwood Place offices in Pewaukee, WI, under a managed affiliate. The two office buildings, which were constructed in 1999 and 2001, and total 197,000 square feet of Class A space, are now 72% leased.

As part of the transaction, Broe’s affiliate is assuming a $26.5 million dollar CMBS loan through a recapitalization. Broe will assume all asset management responsibilities and will fund all future capital improvements and leasing costs. The property was originally acquired by a Tenant-in-Common (TIC) group of investors in 2007 for $36.5 million.

“We are excited about the Riverwood recap because it’s a great property in a strong suburban market. The transaction also represents the first of many recapitalizations Broe plans to close in 2015 with our new Equity Solutions program,” said Jim Crawford, Vice President – Acquisitions, Broe Real Estate Group.

The Riverwood recapitalization is part of a $100 million program called “Equity Solutions,” which provides capital to TICs and other capital constrained partnerships that need additional capital for refinancing, capital expenditures, leasing costs, legal fees and other real estate related costs.

TIC structures were popular in the mid 2000’s because they allowed individuals to avoid capital gains taxes by re-investing proceeds from other real estate/asset sales. Many TIC investments soured due to the high prices paid for the properties during the height of the real estate cycle, high fees charged by TIC sponsors and the lack of additional sources to fund leasing costs and capital expenditures when initial reserves were depleted.

The Riverwood TIC members were represented by National Asset Services, a Los Angeles-based asset manager specializing in management of TIC groups across the country. National Asset Services will remain involved in the transaction by continuing to work with the TIC investors and will support Broe in the asset management of the property.

“The Broe team was great to work with. They are solution oriented professionals who helped get the TIC investors out of a difficult situation in a fair and non-predatory manner,” said Karen E. Kennedy, President of National Asset Services. “Broe not only brings capital but also years of experience and know-how that will help turn around the property.”

Broe Real Estate Group hired NAI MLG Commercial in Milwaukee to be the property manager and leasing broker. Tim Janusz and Rachel Schmidt, both Senior Vice Presidents at MLG, head the leasing team.

About Broe Real Estate Group
Broe Real Estate Group acquires, develops and manages commercial real estate assets. Affiliated companies own and manage office and industrial properties, medical office buildings and multi-family communities across the country, including premier assets in many of the most desirable markets. For more than 40 years, the company has operated a comprehensive real estate platform to provide complete solutions to maximize return on investment. Additional information is available at www.broerealestate.com.

 

About The Broe Group
The Broe Group and its affiliates, based in Denver, Colorado, employ more than 1,000 people and own and/or manage commercial real estate throughout North America. Its transportation affiliate, OmniTRAX, Inc., is a leading transportation services firm with railroad, port and terminal operations throughout North America, including the Great Western Railway. Its energy affiliate, Great Western Oil & Gas Company, is a top 100 driller in the U.S. For more information, see www.broe.com.

< BACK TO Archive

The Broe Real Estate Group Sells Denver’s Trinity Place Office Building to Velocis Partners

Denver – The Broe Real Estate Group, a leading owner and manager of commercial real estate across the US, has sold Trinity Place, a 17-story office building in downtown Denver, to Velocis Partners of Dallas. The purchase closed December 15, 2014. The price was not disclosed.

Located at 1801 Broadway, Trinity Place is a 195,753 square foot building in the Midtown East micro-market of Denver’s dynamic central business district. The office is currently 89% leased to 40 tenants including Broe affiliate Great Western Oil & Gas, Forrester Oil & Gas, Bank of Colorado and Trinity Grille, as well as other energy, professional services and legal service firms. Tenants are within walking distance to Brown Palace Hotel, Sixteenth Street Mall and Restaurant Row and have quick access to Denver’s Light Rail, the Downtown Circular and other major thoroughfares.

“The stabilization of Trinity Place prior to the sale resulted from an aggressive capital improvement plan, rapidly improving downtown market fundamentals and a niche focus on energy and professional services firms. Velocis is acquiring a quality asset with a stable roster of tenants and continued growth opportunities as leases roll to higher market rates,” said Scott Gibler, Managing Director of The Broe real Estate Group.

Trinity Place was built in 1981, acquired by Broe in October 2006 from Equity Office Properties and renovated in 2012.  Last year Broe sold nearby 1700 Broadway, a 400,000 square foot, 23-story office building, to Canadian REIT Artis in partnership with MDC realty. Mary Sullivan and John Jugl of Holliday Fenoglio Fowler, L.P. marketed both properties exclusively.

“Trinity Place caters to small-to mid-sized tenants, offering a boutique atmosphere in a traditional and distinctive building,” said Mike Lewis, Velocis principal. “Additionally, the building’s proximity to the city’s popular attractions as well as a multitude of thriving downtown businesses neighboring the asset provides tenants a truly walkable lifestyle.”

Velocis has been active in real estate investment since 2011, purchasing 15 assets located in markets in Texas, Colorado, Georgia, Florida and North Carolina. Velocis is led by a team of five seasoned principals who are directly responsible for the acquisition, asset management and disposition of assets. In addition to Lewis, principals include Fred Hamm, Jim Yoder, Paul Smith and David Seifert.

About The Broe Real Estate Group
The Broe Real Estate Group acquires, develops and manages commercial real estate assets. Affiliated companies own and manage office and industrial properties, medical office buildings and multi-family communities across the country, including premier assets in many of the most desirable markets. For more than 40 years, the company has operated a comprehensive real estate platform to provide complete solutions to maximize return on investment. Additional information is available at www.broerealestate.com.

About The Broe Group
The Broe Group, based in Denver, Colorado, employs more than 2,000 people and manages 29 million square feet of real estate throughout North America. Its transportation affiliate, OmniTRAX, Inc., is a leading transportation services firm with railroad, port and terminal operations throughout North America, including the Great Western Railway. Its Great Western Oil & Gas Company is a top 100 driller in the U.S. For more information, see www.broe.com.

 

About Velocis, LLC
Velocis consists of real estate funds and Velocis Advisors, LLC. Velocis is active in the acquisition, operation/management, and disposition of commercial real estate in the United States. Velocis Advisors, LLC provides asset management and advisory services to both investors and real estate clients. Additional information about Velocis can be found at http://velocis.com/.

 

Past performance does not predict future results. This article does not constitute an offer to sell, or a solicitation of any offer to buy any securities of the Fund, nor is it intended to be a description of all material factors an investor should consider before investing in the Fund.  Prior to making an investment decision, prospective investors should carefully review the offering documents of the Fund for a description of material factors to consider, including risk factors and investor suitability requirements.