A venture led by longtime Chicago parking executive Michael Prussian has purchased two downtown garages for nearly $97 million from a Chicago-based parking company owned by GE Capital Real Estate.
At the same time, the venture has refinanced two West Loop garages it already controlled with a new, $38-million mortgage that replaced $17 million in loans, property records show. Proceeds from the refinancing were apparently used to buy out some investors in those properties.
Boston-based John Hancock Life Insurance Co. provided a total of nearly $111 million in loans for all four deals, property records show.
The deal surprises some observers, because short-term trends in the parking industry are not expected to favor garage owners.
“Everybody is forecasting slowing parking rates in a tightening economy,” says John Gavin, an executive director in the Chicago office of real estate firm Cushman & Wakefield Inc., who wasn’t involved in the deal.
Ironically, the seller is an affiliate of InterPark Holdings Inc., which in 1997 through a predecessor acquired a controlling stake in General Parking Corp., a firm founded by Gordon Prussian, Mr. Prussian’s father.
More .
0 responses so far ↓
There are no comments yet...Kick things off by filling out the form below.
Leave a Comment