Phillips Realty Capital Sets Mid-Year Production Record

Bethesda, MD, July 29, 2015 – Phillips Realty Capital (PRC) announced today that it has closed transactions totaling nearly $650,000,000 in the first half of 2015. That sets a mid-year production record for the boutique commercial real estate investment banking firm based in Bethesda, Maryland.

Among the deals closed recently was a permanent loan for Marymount University to replace the enigmatic “Blue Goose” building at 1000 N. Glebe Road in Arlington, VA. The financing structure allows the University to maintain its primary rights to the asset. The new development will include a nine-story office building, a 15-story residential building, retail space, and a public plaza with a western entrance to the Ballston Metro Station.

“The ‘Blue Goose’ deal is a great example of the role we play in commercial real estate,” said Phillips Realty Capital CEO, C. Stephen Shaw, Jr. “We’re going to do everything it takes to structure the best deal for our client, while also making sure it’s the right fit for the lender. That means working with the property owner to demonstrate the real value of the property, and then exploring the full range of the market to find the right lender and the right terms.”

Other notable 2015 Phillips Realty Capital transactions include:

  • $85,000,000 construction-to-permanent loan for a student residence development in Daytona Beach, Florida;
  • $68,000,000 Permanent financing for a Class A office building in Washington, DC;
  • $51,000,000 permanent loan for a multi-family property in in Cumberland, South Carolina, financed at 90 percent of cost; and
  • $51,000,000 construction/permanent loan for a mixed-use property in Gaithersburg, MD.

Phillips Realty Capital’s Chief Operating and Financial Officer, Joseph C. Tilley, noted that the 32 transactions closed before July 1, 2015 were spread across 27 different capital sources.

“The diversity of capital source providers we’ve worked with over the last six months demonstrates our ability to cover the market for our clients,” said Tilley. “That level of service and dedication is why we have been successful in beating our goal of closing around $100-million a month.”

About Phillips Realty Capital

Phillips Realty Capital is a leader in Washington, D.C. commercial real estate finance, structuring approximately $1.2 billion in debt and equity transactions a year and servicing a $2.0 billion loan portfolio on behalf of 24 institutional investors. Established in 1933, Phillips has a proven track record of collaborating with premier property owners, lenders, and investors to structure the most competitive transactions available in the market. With offices in Bethesda, Richmond and Charlottesville, dedicated teams of experts deliver reliable financial analysis, precise valuations, and deep knowledge of capital markets to engineer the proper mix of capital to meet each client’s needs.

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Phillips Realty Capital CFO to Serve in Dual Role as CFO at EB5 Capital

Bethesda, MD, July 17, 2015 — Phillips Realty Capital today announced that Chief Operating and Financial Officer, Joe Tilley has taken on a new companion role as the CFO of EB5 Capital, Phillips Realty Capital’s joint venture partner and leader in the EB-5 immigrant investor industry.

The Phillips Realty Capital/EB5 Capital joint venture brings together real estate finance and EB-5 investing expertise to match qualified immigrant investors with prominent real estate development partners to finance high-quality mixed-use, hospitality, and residential development projects. The Phillips Realty Capital/EB5 Capital team offers the ability to provide non-recourse construction financing that can take the form of a senior loan, mezzanine loan, preferred equity or joint venture equity.

“Many of our clients see EB-5 financing as an attractive source of lower-cost capital to add to their capital stack,” said Phillips Realty Capital CEO, C. Stephen Shaw, Jr. “The combined real estate, finance, and EB-5 program expertise of the Phillips/EB5 Capital team is unmatched in the industry. Joe’s leadership as CFO at both organizations strengthens the joint venture and our shared commitment to best-in-class business practices.”

“We welcome Joe’s passion for precision,” said Angelique Brunner, Founder & President of EB5 Capital. “Joe stepping into the CFO role at EB5 Capital further enables us to provide investors and developers an unparalleled level of professionalism and institutional practices. It also enables me and the rest of our team to focus on raising capital and identifying promising economic development opportunities.”

Tilley remains responsible for overseeing all aspects of Phillips Realty Capital’s operations and all financial reporting and accounting functions. In addition, he will continue to oversee the management of the firm’s $2 billion loan servicing portfolio. As CFO of EB5 Capital, Tilley is responsible for the oversight of all of the finances of EB5 Capital and its investments. This includes project and tax reporting to foreign investors, as well as establishing controls maintained for the safeguarding of investments and all EB5 Capital assets.

“We’ve seen tremendous growth at both companies this past year,” said Tilley. “There is really great synergy between the two firms. I am excited to provide financial and strategic leadership for both Phillips and EB5 Capital.”

To accommodate Tilley’s dual roles, Phillips Realty Capital appointed Nancy Oliver to serve as its Accounting Manager. Ms. Oliver spent the previous three years with Phillips Realty Management where she oversaw all accounting functions related to the company’s portfolio of managed properties. Prior to Phillips, she worked as an Account Manager for Human Vision, LLC, a real estate development company. Additionally, EB5 Capital appointed Caroline Andersen as Director of Finance and Accounting, working under Tilley’s leadership. After beginning her accounting career at Baker Tilly Virchow Krause, LLP, Ms. Andersen served as the Assistant Controller for the Washington Redskins.

About Phillips Realty Capital

Phillips Realty Capital is a leader in Washington, D.C. commercial real estate finance, structuring approximately $1.2 billion in debt and equity transactions each year, and servicing a $2.0 billion loan portfolio on behalf of 24 institutional investors. Established in 1933, Phillips has a proven track record of collaborating with premier property owners, lenders, and investors to structure the most competitive transactions available in the market. With offices in Bethesda, Richmond, and Charlottesville, dedicated teams of experts deliver reliable financial analysis, precise valuations, and deep knowledge of capital markets to engineer the proper capital structure to meet each client’s needs.

About the EB-5 Visa Program

Administered by the United States Citizenship and Immigration Services (USCIS), an agency of the Department of Homeland Security, the EB-5 Immigrant Investor Program offers foreign nationals and their families the opportunity to become permanent residents of the United States in exchange for investing in a business that creates jobs for American workers. The program’s name, “EB-5,” comes from the visa category for which immigrant investors apply – the Employment-Based 5th Visa.

About EB5 Capital, Phillips Realty Capital’s Joint Venture Partner

EB5 Capital partners with foreign investor clients to help them gain permanent residency in the United States by matching them with promising investment opportunities and structuring projects to fulfill the mission of the EB-5 Program. EB5 Capital’s President, Ms. Angelique Brunner, first began raising EB-5 funds in 2007, and her first Regional Center was among the first approved by the United States Citizenship and Immigration Services (USCIS) in April 2008. EB5 Capital has raised capital for 13 transactions from more than 400 immigrant investors in nearly 50 countries, with a 100% approval rate for all past immigrant investor visa petitions.

In 2013, the principals of Phillips Realty Capital formed a joint venture with EB5 Capital, leveraging the significant real estate and capital markets experience of both teams to find high-quality investment opportunities for immigrant investors with prominent real estate partners. Several principals and investment analysts at Phillips have dual roles at EB5 Capital. EB5 Capital operates USCIS-authorized EB-5 Regional Centers a around the country, most notably in Washington, D.C., California, and New York, offering investors a level of choice, safety and flexibility unmatched in the industry. Read more at www.eb5capital.com.

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Washington Post

http://www.washingtonpost.com/business/capitalbusiness/washington-area-appointments-and-promotions-for-july-27/2015/07/24/9530d6b4-309c-11e5-8f36-18d1d501920d_story.html

Washington Business Journal

http://www.bizjournals.com/washington/potmsearch/detail/submission/4878502/Joe_Tilley

Washington Business Journal-http://www.bizjournals.com/washington/potmsearch/detail/submission/4878462/Nancy_Oliver

#NextGenCRE – Hotel Millenial

#NextGenCRE, June 24, 2015 – At a recent all-hands meeting of Phillips Realty Capital, talk turned to trends in the hotel industry aimed at attracting Millennials.Fellow Millennial and Mortgage Analyst, Peter Loukas, gave a quick primer on the two leading brands with openings anticipated in D.C.– Moxy and Canopy.

Marriott’s new Moxy brand offers a hip new twist on economy travel. With smaller, more affordable rooms than traditional business-hotels, Moxy features vibrant community gathering spaces with plenty of tech amenities and 24/7 food service, giving young professionals more of what they want and less of what they don’t need.

Hilton’s Canopy brand also caters to Millennials who crave less fuss and more personality when they travel. Canopy promises a more authentic experience with lobbies, common spaces and dining that reflect each property’s local neighborhood. Canopy also aims to reduce some of the hassle of living out of a suitcase, letting guests skip the desk and check-in using their cell phones, and removing doors from closets to accommodate rolling-luggage.

Phillips Principal, Dan Shiff, added that similar trends are also playing out in new multi-family offerings. Lifestyle amenities like rooftop pools are featured centerpieces, necessities for any new property rather than add-ons. Gone are the days of elaborate and stately entryways. Instead, builders are offering coffee-house-style community gathering places, dog parks, and in-house yoga and cycling studios.

Peter noted that while it is exciting to see apartments and hotels built to suit our generation’s lifestyle, he cautions that research related to hotel market demand misses the mark if it doesn’t factor in the continued growth of services like Airbnb. Millennials have embraced the tech-enabled sharing economy and won’t pay for big brand overhead when what they really want (cool digs in a great location) is literally available at their fingertips.

— By Laurie Peltola, Business Development Manager at Phillips Realty Capital

#NextGenCRE is an occasional blog by some of the younger analysts at Phillips Realty Capital.

This blog was originally published on Linked-in Pulse:

https://www.linkedin.com/pulse/nextgencre-hotel-millenial-laurie-peltola?trk=prof-post

Phillips Realty Capital Structured $85 Million for Quantum Student Residence Project

Bethesda, MD, June 1, 2015 — Phillips Realty Capital today announced that it closed on an $85 million construction loan for Quantum Realty Capital, LLC’s (Quantum) student residence development on the campus of Bethune-Cookman University (BCU) in Daytona Beach, Florida. The Silver Spring, Maryland-based developer is building student residence facilities that will be leased back to BCU.

Phillips Realty Capital Managing Director Brian Boland structured the financing with a lender that specializes in credit tenant lease financing. The construction-to-permanent loan has a 100 percent loan-to-cost ratio with a 36-year term.

“Phillips leveraged their commercial real estate expertise and relationships with key capital sources to secure the financing we needed to proceed with construction without missing a beat,” said Quantum Managing Partner, DL Dailey. “The Phillips team worked seamlessly with us on the finance component so we could remain focused on development and construction management.”

Quantum’s 1,206-bed residence hall project includes four student-housing buildings at two different locations on the BCU campus. The completed residence halls’ design compliments the historic fabric of the BCU campus and includes high efficiency energy systems and best-of-class student amenities. Each student housing building is comprised of exterior courtyard common areas, student living and study rooms, and student and staff offices. Interior common areas include multipurpose rooms, fitness, lounge, and laundry facilities. Construction is underway, with Phase I expected to be complete in January 2016 and completion of Phase II expected in June 2016.

About Phillips Realty Capital

Phillips Realty Capital is a leader in Washington, D.C. commercial real estate finance, structuring approximately $1.2 billion in debt and equity transactions a year and servicing a $2.0 billion loan portfolio on behalf of 24 institutional investors. Established in 1933, Phillips has a proven track record of collaborating with premier property owners, lenders, and investors to structure the most competitive transactions available in the market. With offices in Bethesda, Richmond and Charlottesville, dedicated teams of experts deliver reliable financial analysis, precise valuations, and deep knowledge of capital markets to engineer the proper mix of capital to meet each client’s needs.

About Quantum Realty Capital

Quantum Realty Capital, LLC is a developer of credit tenant lease projects for the tax exempt and corporate markets, focusing on the facility development needs of state and municipal governments, public and private educational institutions and corporations. With an understanding of the unique development and financial requirements of each client, Quantum custom tailors each project to achieve the best possible development, financial and long-term use objectives under a mutually-beneficial partnership model.

Mid-Atlantic Real Estate Journal

http://www.marejournal.com/#!Phillips-Realty-Capital-closes-85m-loan-for-student-residence-project/cuhk/55ae4e970cf286eab02837d6

 

Orlando Business Journal

http://www.bizjournals.com/orlando/morning_call/2015/06/7-things-to-know-today-plus-nelson-asks-forprobe.html

REBusinessOnline

http://rebusinessonline.com/phillips-realty-closes-85m-construction-loan-for-student-housing-project-in-daytona-beach/

Student Housing Business

http://www.studenthousingbusiness.com/latest-news/phillips-realty-closes-85-million-for-florida-student-housing-project

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Renderings and photos available

Phillips #1 in “Best Places to Work” Ranking

Bethesda, MD, May 15, 2015 – Phillips Realty Capital topped Washington Business Journal’s “Best Places to Work 2015” ranking of medium-sized companies in the greater Washington, D.C. area. The ranking determined by Quantum Workplace was announced at a May 14 reception at Warner Theater celebrating 85 finalists in four size categories.

“We’re thrilled to be front and center of this award,” said Phillips Realty Capital CEO, C. Stephen Shaw, Jr. “We’ve worked hard over the years to build a firm with talented, focused, hardworking people who have fun working together. We’ve always thought we were a great place to work, but this is a wonderful validation that everyone on our team knows they are valued and shares in our success.”

Washington Business Journal teams with Quantum Workplace to conduct an employee engagement survey as the basis of it “Best Places to Work” awards. Quantum queries, evaluates and scores participating companies in categories ranging from team effectiveness, trust in senior leadership and alignment with company goals. Quantum identified three key areas employers should focus on to drive employee engagement: appreciation and value, a sense of connection, and growth and development.

“We created a culture where people come, we give them opportunities and they stay. Our retention rate is incredible and it’s something that we’re very proud of,” said Phillips Chief Operating and Financial Officer, Joseph C. Tilley.

With a nearly perfect score of 99.28%, Phillips Realty Capital ranked first in the medium company category of companies with 25-49 local employees. The Phillips score was also the highest among all of the companies surveyed, regardless of company size.

About Phillips Realty Capital

Phillips Realty Capital (PRC) is a leader in Washington, D.C. commercial real estate finance, structuring approximately $1.2 billion in debt and equity transactions a year and servicing a $2.0 billion loan portfolio for 24 institutional investors. Established in 1933, Phillips has a proven track record of collaborating with premier property owners, lenders, and investors to structure the most competitive transactions available in the market. With offices in Bethesda, Richmond and Charlottesville, dedicated teams of experts deliver reliable financial analysis, precise valuations, and deep knowledge of capital markets to engineer the proper mix of capital to meet each client’s needs.

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Washington Business Journal

http://www.bizjournals.com/washington/news/2015/05/15/medium-company-winner-phillips-realty-capital.html

Bethesda Magazine

http://www.bethesdamagazine.com/Bethesda-Beat/2015/Business-Notes-Local-Companies-Named-Best-Places-to-Work/

Leah Andress Joins PRC as Mortgage Analyst

Leah Andress has joined Phillips Realty Capital as a mortgage analyst. She will be working in the structured debt and equity finance team. She was previously an analyst in the specialty finance and real estate groups at FBR & Co., an investment bank.

Established in 1933, Phillips Realty Capital is a leader in Washington, D.C. real estate finance, structuring approximately $1.2 billion a year in debt and equity transactions and servicing a $2.0 billion loan portfolio for 23 institutional investors. With offices in Bethesda, Richmond and Charlottesville, Phillips has a proven track record of collaborating with premier property owners, lenders, and investors to structure the most competitive transactions available in the market.

See Washington Business Journal

http://www.bizjournals.com/washington/potmsearch/detail/submission/4457381/Leah_Andress?l=&time=&ind=&type=&ro=0

Phillips Realty Capital Announces Significant Growth

Phillips Realty Capital (PRC) CEO C. Stephen Shaw, Jr. today announced that the boutique commercial real estate investment banking firm added three new analysts as well as a business development manager. This marks a time of significant growth for Phillips. Having closed about $1.3 billion in 2014, the firm is in the process of increasing its staff by 20 percent in the first quarter of 2015.

“Our people are our secret sauce, so we invest double what our competition does in personnel,” said Shaw. “It takes a lot of time and talent to provide the expert strategic analysis and precise underwriting our clients expect from us. We are not trying to be the biggest name in commercial real estate capital, but we are delivering big results, so we are adding to our roster.”

Connor Bell was most recently a Financial Analyst at Crestline Hotel & Resorts in the Development & Acquisitions group. Amanda Gestl, an attorney and financial analyst, comes to Phillips from regional real estate development company Buchanan Partners, LLC. Both Bell and Gestl are additions to PRC’s EB5 Capital real estate finance team. Peter Loukas previously focused on real assets investment strategies at Cambridge Associates and joins PRC’s structured debt and equity finance team. Having been a research associate at The Costar Group, Laurie Peltola will develop and lead PRC’s market research team.

“We are extraordinarily careful about who we hire,” said Shaw. “First and foremost, I hire people who make me smarter. But there has to be a culture match. Every associate needs to be able to hold their own around our conference table and be as passionate as the rest of us about commercial real estate finance. We operate as a team here, and I couldn’t be more excited about this group of young recruits. Connor, Amanda, Peter and Laurie represent the future of Phillips Realty Capital, and that future looks very bright.”

Established in 1933, Phillips Realty Capital is a leader in Washington, D.C. real estate finance, structuring about $100 million in debt and equity transactions each month and servicing a $2 billion loan portfolio for 20 institutional investors. With offices in Bethesda, Richmond and Charlottesville, PRC has a long track record of successfully pooling their collective real estate investment experience and network of relationships to arrange the most competitive transactions available in the market.

Through a joint venture with EB5 Capital, PRC operates USCIS-authorized EB-5 Regional Centers in the Washington, D.C., San Francisco, and New York markets. Since late 2012, through those Regional Centers, PRC/EB5 Capital has raised nearly $175 million of real estate development capital from 350 immigrant investors from 43 different countries.

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Media Contact:
Jan Hyland 703.801.8474
jan.hyland@jhycom.com

Connor Bell, Mortgage Analyst — Mr. Bell joined Phillips Realty Capital as an Analyst in late 2014. Prior to Phillips, he worked as a Financial Analyst at Crestline Hotel & Resorts in the Development & Acquisitions group. Mr. Bell graduated from Southern Methodist University in 2012 with a Bachelor of Business Administration and is currently working towards his Masters in Real Estate Finance at Georgetown University. Mr. Bell serves as a Student Board Member at Georgetown University, a Committee Member on the JDRF Real Estate Games Fundraising Team, and leads DCHA, one of the largest hospitality networking groups in the DC, Maryland, and Virginia area.

Amanda Gestl, Esq., Mortgage Analyst — Ms. Gestl joined Phillips Realty Capital as an Analyst in late 2014. Prior to joining the team at Phillips, Ms. Gestl worked as a Junior Financial Analyst at Buchanan Partners, LLC, a regional real estate development company. During law school, she worked as a Student Associate at The Sack Law Firm P.C., and at Lerch, Early & Brewer, Chtd. Ms. Gestl graduated from The George Washington University Law School and became a member of the Virginia State Bar in 2014, after graduating summa cum laude with dual undergraduate degrees from The University of South Carolina in 2011.

Peter Loukas, Mortgage Analyst — Mr. Loukas joined Phillips Realty Capital as an Analyst in 2015. Prior to Phillips, he worked as a Senior Associate focusing on real assets investment strategies at Cambridge Associates, LLC, an investment advisor to endowments, foundations, and corporate and government entities. Mr. Loukas graduated from Fordham University in 2011 with a Bachelor of Arts in International Political Economy. Mr. Loukas is a Chartered Alternative Investment Analyst (CAIA) charterholder and is a 2015 Level III Candidate in the CFA Program.

Laurie Peltola, Business Development Manager — Miss Peltola joined Phillips Realty Capital as the Business Development Manager in 2015. Prior to Phillips, she worked as a research associate at The CoStar Group, an international commercial real estate information company. While at CoStar, she managed the pipeline and public record filings of all commercial property types. Miss Peltola graduated from The Farmer School of Business at Miami University in 2013 with a Bachelor of Science in Marketing.

NOTE: Photos available upon request.

Mid Atlantic Real Estate Journal

Phillips Realty Capital Structured Two $51 Million Loans in January

Bethesda, MD — Phillips Realty Capital today announced that two separate $51 million transactions closed and funded in January:

  • $51,000,000 non-recourse acquisition loan for a multi-family property in Cumberland, South Carolina, financed at 90 percent of cost
  • $51,000,000 construction loan for a multi-family property in Gaithersburg, Maryland

“Both of these deals demanded precision underwriting and significant capital market expertise,” said Phillips CEO, C. Stephen Shaw, Jr. “Our teams of investment bankers, analysts and underwriters structure and execute the most competitive transactions available in the market. We are known to dig deep into the details to engineer the right capital solution for each property.”
Established in 1933, Phillips Realty Capital (PRC) is a leader in Washington, D.C. real estate finance with offices in Bethesda, Richmond and Charlottesville. PRC structures about $100 million in debt and equity transactions each month and services a $2 billion loan portfolio for 20 institutional investors.

Read more about BP Realty’s Majestic at Watkins Mill

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Media Contact:
Jan Hyland 703.801.8474
jan.hyland@jhycom.com

Phillips Realty Builds EB5 Capital Bona Fides

BETHESDA, MD–Locally-based Phillips Realty Capital expects to end this year with $1.4 billion or so in transactions. A few of these deals were financed with EB5 capital, an intriguing new source of funding for commercial real estate projects.

Read More:

http://www.globest.com/news/12_1009/washington/office/Phillips-Realty-Builds-EB5-Capital-Bona-Fides-353571.html

Phillips Realty Capital Eyes $1.4B in Deals for 2014

BETHESDA, MD–Locally-based Phillips Realty Capital could be arguably described as the CRE industry’s best kept financial secret. The company closes about $100 million a month in deals, according to CFO Joe Tilley and is on track to end this year with $1.4 billion or so in transactions. It also works with a wide range of capital providers, he tells GlobeSt.com. “The 70 or so transactions we close this year will have been with 43 separate providers,” he says.

Read More:

http://www.globest.com/news/12_1008/washington/finance/Phillips-Realty-Capital-Eyes-14B-in-Deals-for-2014-353520.html