SANTA ANA, Calif.
Aug. 10, 2011
/PRNewswire/ -- Grubb & Ellis Company (NYSE: GBE) today announced the sale of Daymark Realty Advisors, Inc., to a joint venture entity controlled by Sovereign Capital Management Group and Infinity Urban Century, an investment affiliate of The Infinity Group. Grubb & Ellis has exited the tenant-in-common business with the disposition of its wholly owned subsidiary.
"The sale of Daymark is extremely positive for our company. Daymark was noncore to our Real Estate Services and non-traded REIT businesses. This sale will allow us to focus on profitability and growth, while continuing to review our broader corporate strategic alternatives," said
Thomas P. D'Arcy
, president and chief executive officer of Grubb & Ellis.
"We are very pleased to have completed our acquisition of Daymark, which manages one of the most attractive portfolios of tenant-in-common properties in the U.S., and we plan to use our knowledge of the sector to enhance the company's competitive advantage and performance in the marketplace," said
, managing partner of Infinity's Urban Century investment unit. "We believe that the investment acumen and capital markets relationships of Sovereign Capital and Infinity Urban Century will strengthen this platform with asset capital solutions and deep real estate management experience."
Grubb & Ellis entered the tenant-in-common business as part of the company's 2007 merger with NNN Realty Advisors, Inc. Daymark is one of the largest real estate asset management companies in the country, serving more than 5,200 clients and overseeing a nationwide portfolio of commercial property totaling approximately 33 million square feet, including more than 8,700 multifamily units.
The sale involved the purchase of Daymark stock by the joint venture entity. Additional terms of the transaction will be included in a Form 8-K to be filed with the Securities and Exchange Commission.