Hines Global REIT Proceeds With Liquidation, Puts 7 Properties On The Block Separately
Hines Global REIT is taking seven of its U.S. office properties to market separately, with Eastdil Secured overseeing the sales. Three of the properties are in Massachusetts, two are in California, and one each is in Washington, D.C., and Minnesota. The office buildings total about 2.2M SF all together.
Earlier this year, the company announced a plan to liquidate, which shareholders will vote on at Hines Global's annual meeting July 17. Hines Global had originally planned to sell the U.S. office buildings as a portfolio, Real Estate Alert reports, but recently the company decided to sell them separately.
Hines said portfolios tend to sell at a discount, while the market for individual assets or smaller portfolios remains strong enough that it expects to sell single assets at current book value or above.
The largest of the properties is the 532K SF Campus at Marlborough in Marlborough, Massachusetts. The campus also has approvals in place to develop 650K SF more office space. The other Bay State properties are the 510K SF 275 Grove St. in Newton and the 185K SF 250 Royall St. in Canton.
In California, the properties for sale include the 350K SF Campus at Playa Vista in Los Angeles and the 132K SF 2300 Main St. in Irvine.
In D.C., Hines Global plans to sell the 268K SF 55 M St. SE, and in Minnesota, it will sell the 255K SF 9320 Excelsior Blvd. in Hopkins.
Once the seven properties are sold, that would leave only two U.S. office assets for the REIT, one in San Francisco and the other in Bellevue, Washington. Hines Global also owns four U.S. shopping centers.
The rest of Hines Global's assets are outside the United States, in Australia, Russia and other parts of Europe. The company plans to sell 34 properties worldwide.