IBJNews

Duke, CBRE Realty Trust form joint venture

Tracy Donhardt
May 6, 2008
Keywords
Back to TopCommentsE-mailPrintBookmark and Share
Duke Realty Corp. and CB Richard Ellis Realty Trust have formed a joint venture that will buy from Duke up to $800 million of industrial buildings over the next three years.

The agreement calls for the joint venture to buy six properties this year. The properties span 5.2 million square feet and are valued at $250 million.

Included in the deal are AllPoints at Anson Building 1, which is being built for Amazon.com in Boone County, and AllPoints Midwest Building 1 in Plainfield, which houses Prime Distribution Services. Both buildings are warehouses.

Today's announcement is the latest in a strategy by Duke to free assets to be reinvested in other developments. Duke has a similar joint venture with JP Morgan that includes properties in Park 100 on the northwest side, and another with Eaton Vance for properties in the Washington, D.C., area.

In the CB Richard Ellis Realty Trust deal, properties will be acquired by the yet-unnamed joint venture company once leasing begins on the completed buildings. Duke will be paid fees related to construction, management and leasing of the properties.

"This venture will allow Duke to retain an interest in key bulk industrial build-to-suit projects, recycle a significant amount of capital, and strengthen its private capital track record with the ultimate goal of launching additional funds," said Duke CEO Denny Oklak in a statement.

ADVERTISEMENT

Post a comment to this story

COMMENTS POLICY
We reserve the right to remove any post that we feel is obscene, profane, vulgar, racist, sexually explicit, abusive, or hateful.
 
You are legally responsible for what you post and your anonymity is not guaranteed.
 
Posts that insult, defame, threaten, harass or abuse other readers or people mentioned in IBJ editorial content are also subject to removal. Please respect the privacy of individuals and refrain from posting personal information.
 
No solicitations, spamming or advertisements are allowed. Readers may post links to other informational websites that are relevant to the topic at hand, but please do not link to objectionable material.
 
We may remove messages that are unrelated to the topic, encourage illegal activity, use all capital letters or are unreadable.
 

Messages that are flagged by readers as objectionable will be reviewed and may or may not be removed. Please do not flag a post simply because you disagree with it.

Sponsored by
ADVERTISEMENT

facebook - twitter on Facebook & Twitter

Follow on TwitterFollow IBJ on Facebook:
Follow on TwitterFollow IBJ's Tweets on these topics:
 
Subscribe to IBJ
  1. With Pence running the ship good luck with a new government building on the site. He does everything on the cheap except unnecessary roads line a new beltway( like we need that). Things like state of the art office buildings and light rail will never be seen as an asset to these types. They don't get that these are the things that help a city prosper.

  2. Does the $100,000,000,000 include salaries for members of Congress?

  3. "But that doesn't change how the piece plays to most of the people who will see it." If it stands out so little during the day as you seem to suggest maybe most of the people who actually see it will be those present when it is dark enough to experience its full effects.

  4. That's the mentality of most retail marketers. In this case Leo was asked to build the brand. HHG then had a bad sales quarter and rather than stay the course, now want to go back to the schlock that Zimmerman provides (at a considerable cut in price.) And while HHG salesmen are, by far, the pushiest salesmen I have ever experienced, I believe they are NOT paid on commission. But that doesn't mean they aren't trained to be aggressive.

  5. The reason HHG's sales team hits you from the moment you walk through the door is the same reason car salesmen do the same thing: Commission. HHG's folks are paid by commission they and need to hit sales targets or get cut, while BB does not. The sales figures are aggressive, so turnover rate is high. Electronics are the largest commission earners along with non-needed warranties, service plans etc, known in the industry as 'cheese'. The wholesale base price is listed on the cryptic price tag in the string of numbers near the bar code. Know how to decipher it and you get things at cost, with little to no commission to the sales persons. Whether or not this is fair, is more of a moral question than a financial one.

ADVERTISEMENT