STAMFORD, Conn. and LOS ANGELES — Creating on its advancement ambitions in the Western area of the U.S., GE Serious Estate (NYSE:GE) declared the completion of its acquisition of Arden Realty, Inc. (NYSE:ARI) , the biggest publicly-traded office landlord in Southern California. The purchase price tag of somewhere around $four.eight billion contains the assumption and refinancing of $1.six billion of Arden’s exceptional financial debt. In connection with this transaction, Trizec Properties, Inc. (NYSE:TRZ) acquired 13 Arden houses for somewhere around $1.six billion. The remainder of the Arden portfolio will keep intact and carry on to run as Arden Realty.
The GE and Arden leadership will leverage Arden’s leading existence and solid interactions in the area to speedily put into action a strategic asset program to extend even further into its core markets. GE will also use the Arden platform to develop noticeably in other California markets, Washington and Arizona.
1 member of GE and four members of the Arden leadership groups have been appointed to oversee Arden:
— Joaquin de Monet, Managing Director at GE Serious Estate, has been named President and CEO of Arden Realty.
— Robert Peddicord, previously Government Vice President, Leasing and Operations at Arden Realty, assumes the purpose of Chief Running Officer.
— Andres Gavinet, previously To start with Vice President and Chief Accounting Officer, has been named Chief Financial Officer.
— Howard Stern and David Swartz remain Senior Vice President and Chief Expenditure Officer and Senior Vice President and Normal Counsel, respectively.
“We devote the place there are fantastic chances for advancement, each in asset price and portfolio dimensions. This transaction noticeably expands our footprint in a market place that we imagine is one particular of the strongest markets in the U.S.,” commented Joe Parsons, President, North American Equity at GE Serious Estate. “We will carry on to evaluate chances to obtain high quality belongings in Southern California, and search forward to Joaquin and Robert’s leadership to help us extend Arden’s existence in the Western area.”
“GE and Arden are a dynamic pressure in one particular of the country’s most robust markets,” extra Peddicord. “GE’s reliable financial backing and world assets put together with Arden’s area market place abilities and exceptional efficiency history will significantly boost Arden’s capacity to develop in the Western area of the U.S.”
The part ordered by Trizec Properties contains 13 houses comprising somewhere around four million sq. feet.
Tim Callahan, Trizec’s president and chief government officer commented, “As a result of this transaction, we have acquired a significant, substantial-high quality portfolio that is perfectly found in markets that we think have solid economies, constructive work developments and developing rental rates.” Mr. Callahan extra, “We are pleased to have partnered with GE in the execution of this transaction.”
Merrill Lynch acted as the financial advisor to GE Serious Estate, and King & Spalding LLP provided authorized suggestions. Lehman Brothers Inc., Wachovia Securities, and Secured Cash LLC served as financial advisors to Arden in this transaction. Wachovia Securities and Houlihan Lokey Howard …