GTIS Partners Acquires Site from Lehman Brothers Holdings

  GTIS Partners Acquires Site from Lehman Brothers Holdings

  Joint Venture with Global Investment and Development Secures 153 Acres of
                                  Prime Land

Business Wire

NEW YORK -- May 27, 2014

GTIS Partners LP (“GTIS”), a real estate private equity firm headquartered in
New York City, with offices in Los Angeles, San Francisco and São Paulo, today
announced the closing of a residential land deal in the Southwest submarket in
Bakersfield, CA, in which it acquired 153 acres from Lehman Brothers Holdings
in a joint venture with Global Investment and Development, LLC.

“We believe in the fundamentals of Bakersfield’s local economy which continues
to add jobs throughout the MSA, most notably in agriculture and energy related
fields, and strongly believe that this site is well positioned to benefit from
these attractive employment demand drivers,” said Theodore Karatz, Vice
President of GTIS Partners. “The Bakersfield housing market has strengthened
considerably over the past 24 months and we see a path for upward growth in
new home permits over the foreseeable future,” noted Aaron Rivani, Managing
Member of Global Investment & Development, LLC.

The 153-acre site, acquired by the GTIS Partners / Global Investment and
Development joint venture, is fully approved for the development of 564 single
family residential lots along with a 5.6 acre central park amenity. The lot
and housing mix will be attractive to both first time purchasers and move-up
buyers given its lot sizes which range from 6,050 to 8,500sf and expected
average base home prices in the high $200,000’s.

Bakersfield, the ninth-largest city in California, is located close to the
southern end of the San Joaquin Valley roughly halfway between Fresno and Los
Angeles.

Kern County, in which Bakersfield is situated, is the most productive
oil-producing county and the fourth-most productive agricultural county in the
US. Other key industries like natural gas, energy extraction, aerospace,
mining, petroleum refining and manufacturing, have contributed to a tripling
of the city’s population between 1980 and 2010, creating pressure on local
housing.

The land is located within the Southwest submarket in Bakersfield,
approximately five miles from the area’s largest employers, making it an easy
and cost-effective commute to local employers.

GTIS was represented in the transaction by Paul Rutter and Elisa Paster at
Gilchrist & Rutter and the seller was represented by Andrew Kirsh and Michael
Floryan at Sklar Kirsh.

About GTIS Partners

GTISPartners is a global real estate investment firm headquartered in New
York with offices in Los Angeles,San Francisco and São Paulo, Brazil. GTIS
Partners has 65 employees and currently has approximately $2.8 billion of
assets under management. To date, the firm has committed capital to
residential, retail, industrial, office, hotel and mixed-use projects in the
U.S. and Brazil. In the U.S., GTIS has invested in over 70 projects across 20
states, including 55 projects in the residential sector. In Brazil, GTIS has
invested in 38 projects comprised of approximately 15,000 residential units
developed or planned, and six million square-feet of office, industrial and
hotel projects. For further information, please visit www.gtispartners.com.

About Global Investment & Development, LLC

Global Investment & Development, LLC (Global) is a privately held and managed
real estate investment and development company based in Los Angeles, CA with
over 25 years of experience and knowledge in the purchase of raw land. Global
is looking to invest its own equity, along with that of its financial
partners, in carefully selected projects throughout the Southwest. Global’s
experience lies in different strategic phases of land management such as
entitlement as well as development of single or multi-family residential use
in urban and non-urban areas which are all eventually sold to builders. Our
history is to acquire finished/semi-finished lots, standing inventory,
final/tentative tract maps and raw land at deep discounts from peak market
values.

Contact:

Water & Wall Group
Scott Sunshine, 212-625-2364
ssunshine@waterandwallgroup.com
 
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