One Lincoln Center

General Electric Pension Trust (GEPT) retained ownership of One Lincoln Center, an 18-story office tower located in Syracuse, New York through a deed-in-lieu of foreclosure. This stand-alone asset located in a secondary market did not fit GEPT's objectives. The Bell Group was selected to sell this investment grade asset.

Objectives:

• Sell the office tower at a competitive capitalization rate
• Position the building through a marketing campaign as a first-class asset
• Create a competitive bidding environment helping to achieve maximum pricing

Process:

• Prepared an in-depth property survey detailing all physical characteristics including capital improvements
• Prepared lease abstracts, stacking plan, space plans and financial analysis including potential debt structuring
• Devised a marketing strategy targeting out of town investors and providing thorough market, property and financial information for asset managers

Results:

• It was determined that the asset would potentially appeal to certain asset or fund managers because of its stable cash flow and attractive cap rate. Local investors would shy away from the asset because of their familiarity with current inferior market conditions.
• A strategy of thorough market/property information dissemination would meet the outside investor's internal requirements
• A date-certain submission requirement was implemented creating a sense of urgency
• The property sold for over $17 million at a competitive 10% cap rate, which exceeded the client's objectives

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