SANTA ANA, Calif., Oct. 6, 2011 /PRNewswire/ -- Grubb & Ellis Company (NYSE: GBE), a leading real estate services and investment firm, today announced that the company has completed the sale of its real estate investment fund business, Alesco Global Advisors, to Lazard Asset Management LLC. Terms of the transaction were not disclosed.
Alesco Global Advisors is a registered investment advisor that focuses on real estate securities and manages three registered mutual funds. Grubb & Ellis acquired a 51 percent interest in Alesco Global Advisors in 2007.
The sale is consistent with the company's strategy to maximize value for its stakeholders and strengthen the company's competitive position by exiting unprofitable, non-core businesses.
"The sale of Alesco combined with last month's divestiture of Daymark Realty Advisors has significantly strengthened the company's balance sheet and better positioned Grubb & Ellis as we continue to search for long-term strategic alternatives," said Thomas P. D'Arcy, president and chief executive officer of Grubb & Ellis.The transaction, which was announced in June, required approval of the mutual funds' Board of Trustees and shareholders. About Grubb & Ellis Company Grubb & Ellis Company (NYSE: GBE) is one of the largest and most respected commercial real estate services and investment companies in the world. Our 5,200 professionals in more than 100 company-owned and affiliate offices draw from a unique platform of real estate services, practice groups and investment products to deliver comprehensive, integrated solutions to real estate owners, tenants and investors. The firm's transaction, management, consulting and investment services are supported by highly regarded proprietary market research and extensive local expertise. Through its investment management business, the company is a leading sponsor of real estate investment programs. For more information, visit www.grubb-ellis.com. Forward-Looking Statements Certain statements included in this press release may constitute forward-looking statements. These statements involve known and unknown risks, uncertainties and other factors that may cause the company's actual results and events in future periods to be materially different from those anticipated, including risks and uncertainties related to the financial markets. Such factors which could adversely affect the company's ability to obtain these results include, among other things: (i) the general economic pressures on transaction values of sales and leasing transactions and businesses in general; (ii) a prolonged and pronounced recession in real estate markets and values; (iii) the unavailability of credit to finance real estate transactions in general; (iv) the success of current and new investment programs; (v) the success of new initiatives and investments; (vi) the inability to attain expected levels of revenue, performance, brand equity in general, and in the current macroeconomic and credit environment, in particular; (vii) the occurrence of a bankruptcy by the Met 10 tenant-in-common program or the demand for payments on certain non-recourse/carve-out guaranty and indemnification obligations issued by the company, which may, in turn, in the event such bankruptcy, or such guaranty or indemnification obligations cannot be met, result in a cross-default under the company's issued and outstanding Convertible Senior Notes; and (viii) other factors described in the company's annual report on Form 10-K for the fiscal year ending December 31, 2010, the Company's quarterly report on Form 10-Q for the quarter ended March 31, 2011 and June 30, 2011 in other Current Reports on Form 8-K filed by the company from time to time with the Securities and Exchange Commission. The company does not undertake any obligation to update forward-looking statements. SOURCE Grubb & Ellis Company
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