RealStake

The largest U.S. owner of community shopping centers, Hyde Park, New York-based Kimco Realty Corp., is getting even bigger with the agreed $4 billion purchase of Pan Pacific Retail Properties. Pan Pacific owns 138 retail properties, about 22.6 million square feet, in California, Washington, Oregon and Nevada. Kimco already owns 1,117 properties.

The deal is $70/share in cash and stock ($2.9 billion) plus the assumption of $1.1 billion in debt by Kimco. This brings announced REIT acquisitions for 2006 to $44 billion, more than doubling last years pace.

REIT,shopping centers,acquisitions

Kimco to acquire Pan Pacific

Kimco Realty to acquire Pan Pacific Retail

Kimco to Acquire Pan Pacific Retail for $2.9 Billion

Kimco Realty Inks $4Bln Merger Deal With Pan Pacific Retail

Kimco paying $4B for Pan Pacific

Pressure from development, investors and farmers exchanging for land outside the path of development has North Dakota cropland prices at an all time high after two years of double digit price growth.

The 10-percent cropland value hike followed increases of 11 percent and 7 percent in previous years, making them the three largest annual increases since 1979, according to a release from NDSU Agriculture Communications.

The hikes have increased land values to roughly $500, $550 and $600 per acre in three successive years, eclipsing the previous high of $430 set in 1981.

Grand Forks Herald | 04/08/2006 | AGRICULTURE: N.D. cropland values continue rise, but not at accelerating rate

1031,investment

A report by TNS Financial Services found that the number of US households with net worth over $1 million excluding primary residence rose by 8 percent in the last year. Not surprisingly, a large percentage of them invest in real estate.

Although real estate is not their sole source of wealth, it remains a staple for many. Forty-six percent of those surveyed own investment real estate like a second home or rental properties.

Report: Number of U.S. millionaires reaches record - Mar. 29, 2006

millionaires,investing

The recently released Commercial Real Estate Outlook from the National Association of Realtors and the Real Estate Industry Outlook from PNC Financial Group both predict a positive year for commercial real estate ahead.

«Investors' love affair with real estate is still very much alive, but the risk is that that, too, can quickly change,» [PNC Financial Group Senior Vice President Nick] Buss said.

The multifamily housing and retail sectors are at greatest risk: multifamily because for the past year the supply of rental units was diminished by a wave of condominium conversions, which may not continue; and retail because consumers may cut back on their spending, much of which has been fueled by home equity loans that are becoming less attractive as interest rates rise.

Bright outlook for commercial real estate

commercial real estate

David Lereah, NAR’s chief economist, said the fundamentals are solid. “Vacancy rates are declining in all of the major commercial sectors, and rents are rising at healthy rates,” he said. “Job growth and international trade are fueling demand for space and facilities.”

NAR President Thomas M. Stevens from Vienna, Va., said the flow of funds into commercial real estate is extraordinary. “Investment grade real estate has been changing hands at unprecedented rates, which demonstrates that the value of portfolio diversification into commercial real estate is being embraced strongly in the investment marketplace,” said Stevens, senior vice president of NRT Inc.

Commercial Real Estate Improving With Record Investment

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The five year old, 25,575-square-foot, 3.14 acre North Scottsdale Gateway zero vacancy retail center in North Scottsdale, Arizona has sold for $12.1 million or $473/square foot.

Originally built in 2000, the retail center is situated on 3.14 acres and is 100 percent leased to FedEx Kinko's, Quiznos and Cingular Wireless among others. The center is part of a larger, mixed-use development that includes BNC National Bank, Residence Inn Marriott, restaurants and a Class-A office building.

Scottsdale Retail Center Sells for $12M, Part of 1031 Exchange

retail real estate,shopping center,1031 exchange