Commercial Real Estate Loans & Investment Sales

Pacific Security Capital Addresses Ways to Minimize Commercial Real Estate Investment Risks

Real Estate Services Firm Educates on Ways to Reduce Risks when Investing in Commercial Real Estate Ventures

Beaverton, OR, August 17, 2006 – http://www.pacificsecuritycapital.com – Pacific Security Capital, a vertically integrated real estate services company providing investment and advisory services, commercial real estate loans, investment sales and  development services, is educating potential investors on ways to minimize commercial real estate risk.

Investors need not let the possible risks of real estate ventures stop them from embarking on a potentially rewarding journey. By relying on an integrated real estate services company that understands market and industry trends, performs objective project and market analysis and can match the best funding combination of commercial real estate loans and investment capital investors can significantly reduce the risks associated with their venture while still enjoying superior returns.

“There’s a lot of excitement and adrenaline in commercial real estate, and that is what draws most of us to the industry,” said Will Moore, Pacific Security Capital’s Managing Director of the Capital Markets group. “While that emotion is powerful in conceiving and energizing a project or purchase, it cannot be allowed to influence the analysis, implementation or execution of the project.”

Pacific Security Capital offers the following tips for wary investors:

•    Buy or build from the market’s perspective – understand what product type and demographic location the highest market demand is seeking and how you appeal to it.
•    Build your pro-forma from the market’s perspective – Know market costs and dynamics as well as market prices to position your project in the most favorable light with lenders and investors.
•    Know what your own financial capacity truly is, and not simply what you’d like it to be

“By using a third party integrated real estate services company, investors are not only provided with commercial real estate financing but also a sound project strategy  and the right team of professionals to effectively guide their endeavor,” said Moore. “Without experienced guidance, investors can easily be swayed by their emotions and their misconceptions.”

For more information on commercial real estate investments and to download an article on the “Five Ways to Reduce Risk in Commercial Real Estate,” visit http://www.pacificsecuritycapital.com/landing/cre.cfm.

To learn more about Pacific Security Capital’s core areas of expertise in Commercial Real Estate Loans, Investment and Advisory Services, Capital Markets, Development Services, and Investment Sales, please visit www.PacificSecurityCapital.com or call 1-800-844-6085.

About Pacific Security Capital
Pacific Security Capital is a vertically integrated real estate services company providing investment and advisory services, asset management, development services, commercial real estate loans, structured finance, landlord/tenant representation, and investment sales. Our mission is to add value to client initiatives at every level of the real estate cycle. PSC is headquartered in Beaverton, Oregon with offices in major markets in North America. More information about the company can be found at www.PacificSecurityCapital.com.

Global Real Estate Markets See Boom

Article by Anita Howarth Via GlobeSt

Commercial real estate markets in key cities around the world are booming as globalization pushes the economies of large international cities to converge.

All 10 global business centers now have vacancy rates below 10%, a milestone in the ongoing worldwide recovery of commercial real estate.  Globalization of trade and borderless movement of money have allowed key cities to rebound in tandem relatively quickly from the real estate decline that followed the technology bust in 2000.

Hong Kong, which was hit by the dotcom collapse and suffered another blow after the SARS outbreak in 2003, has rebounded quickly and strongly. The city saw asking rents shoot up 37% in the past 12 months to an average of $69.12 per sf as the vacancy rate fell to 4.1%. And by mid-year Tokyo's vacancy rate of 0.6% was down from 2.2% and spurred a 12% jump in average asking rent to $148.17 per sf.

London’s asking rent rose 17% to an average of $163.23, and Madrid also logged a 17% increase, to a $43.18 average. London and Madrid vacancy stood at 5.7% and 8.2% respectively, at mid-year 2006. And in Paris, asking rents rose to $80 per sf, up 5.1%, while vacancy stood at 4.8%, down 0.7%.

In North America, Toronto asking rents rose 9% to an average of $24.58 at mid-year, as vacancy rates slid to 5.2% from 8.4% at mid-year 2005. New York registered a 7% increase in asking rent to an average of $47.30, and vacancy fell 1.8% to 6.3%. Washington, DC which was the only major US city to thrive after the dotcom bust, saw asking rents rise $45.50, up 0.6%. Despite a tremendous rise in development, vacancy continued to fall, down 0.6% to 7.3%.

For more information on emerging markets, contact Pacific Security Capital at www.pacificsecuritycapital.com or call 1-800-844-6085.

Capital Markets Happy

The Fed announced yesterday that they would be holding interest rates steady much to the joy of borrowers.

Commercial real estate capital markets reacted with relative calm. Mortgage interest rates remained unchanged in the past couple of days, as treasury notes trade within the high 4% range.

For more information on capital markets services from Pacific Security Capital, visit www.pacificsecuritycapital.com or call 1-800-844-6085.

Slowing Sales Foretell Weakening

Article By Ryan Chittum Via RealEstate Journal

Rents at shopping malls rose in the second quarter at their fastest clip in nearly three years, and strip malls posted solid increases as vacancies decreased in both sectors, a survey shows.

But weakening second-quarter retail sales have damped growth and could slow it further in later quarters as economic pressures squeeze consumers. For the second straight quarter, absorption -- the net change in occupied space -- showed signs of weakness. Tenants absorbed 4.9 million square feet in the period, up from 3.3 million in the first quarter, but well below the two-year average of about seven million square feet per quarter.

Retail sales moderated due to a variety of pressures, from high energy prices to rising interest rates and a slowdown in the once-booming housing market.

See full article >

For more information on Retail Loans from Pacific Security Capital, visit www.PacificSecurityCapital.com or call 1-800-844-6085.

Pacific Security Capital Closes $8.7 Million Bridge Loan for Large National Egg Producer

Real estate services firm, Pacific Security Capital, announced today that it has placed an $8.7 Million bridge loan for Ernest Mahard, President of Mahard Egg Farms, one of the nation’s largest egg producers.

Beaverton, OR, July 26, 2006 – http://www.pacificsecuritycapital.com – Pacific Security Capital, a vertically integrated real estate services firm, today announced that it has placed an $8.7 Million, one-year bridge loan for Ernest Mahard Sr, President of Mahard Egg Farm, one of the nation’s largest egg producers.

The bridge loan, which closed on May 25, 2006, was secured by raw land in suburban Dallas, Texas and was funded by PNL Companies, a private lending group in Dallas. The land is currently in the planning and entitlement process to be built out into a mixed-use development.

“We were able to negotiate a very attractive interest rate and fee structure for this bridge loan,” said Will Moore, Director of Capital Markets Services at Pacific Security Capital. “This was an extremely competitive deal for a land loan.”

The loan was structured as a one-year bridge loan with extension options, and the loan amount included an interest reserve. The loan is expected to be repaid by the sale of the land to Forest City Development California Inc.

Forest City is planning a 132-acre, mixed-use commercial project at the intersection of the North Dallas Toll way and the Virginia Parkway Interchange and will feature major retail anchors, entertainment venues, specialty stores and restaurants.

“The mixed use development will be built in an ideal location,” said Moore, “situated at the intersection of two major roads in the Northern Dallas suburbs, the development should see its value increase substantially.”

For more information on bridge loans from Pacific Security Capital, visit http://www.pacificsecuritycapital.com/index.cfm?action=hom.data&pageid=259
Or call 1-800-844-6085.

About Pacific Security Capital
Pacific Security Capital is a vertically integrated real estate services company providing advisory services, asset management, development services, commercial real estate loans, structured finance, landlord/tenant representation, and investment sales. Our mission is to add value to client initiatives at every level of the real estate cycle. PSC is headquartered in Beaverton, Oregon with offices in major markets in North America. More information about the company can be found at www.PacificSecurityCapital.com.

REITs Fuel Asian Market

According to Inodesian National News Agency, Antara News, a new analysis of the Hong Kong marketplace reports that the structured finance market in Asia is gaining momentum from an increase in real estate investment trusts (REITs).

According to a recent Standard & Poor's report, the total market value of REITs across Asia, including Australia, recently exceeded the USD$100 Billion mark.  While rising interest rates in the region may slow down some of the short term growth, the S&P report predicted that more favorable regulatory frameworks, strong economic growth and continuing improvements in property markets will encourage the formation of more REITs this year.

View the full press release here >

For more information on emerging markets and structured finance, contact Pacific Security Capital at www.pacificsecuritycapital.com or call 1-800-844-6085.

Nationwide Trend - Hotel Construction On The Rise

All around the country, an increase in leisure and business travel is fueling the latest boom in hotel construction.

In 2005, hotel occupancy in the United States was up to 63.1% compared to previous years' lows in the aftermath of 9/11.

In addition to the booming tourism industry, the hotel market is also benefitting form increased interest from investors looking to finance hotel construction.  The availability of capital can be attributed to the high performance of REITS over the first half of 2006.  Lodging real estate investment trusts posted an average gain of 17% compared with an average of 13% for REITS overall.

For more information on real estate investment trusts (REITs), contact Pacific Security Capital at 1-800-844-6085 or visit www.pacificsecuritycapital.com

Pacific Security Capital Finishes Puerta Azul Leisure Community Development

Destination community that is rich in leisure amenities nears completion in La Quinta, California

Beaverton, OR July 19, 2006 -- http://www.pacificsecuritycapital.com – Pacific Security Capital, a vertically integrated real estate services company, is nearing completion of the Puerta Azul destination residential community in La Quinta, California.

Only 17 of the 127 houses remain for sale in the gated community. Known as the “Gem of the Desert,” La Quinta is nestled at the base of the Santa Rosa Mountains and is just 30 minutes away from Palm Springs.

“Puerta Azul is attracting home buyers from all over Southern California, including San Diego, LA, Orange County, and San Bernadino,” said Pat Boege, Marketing Director for Puerta Azul. “Puerta Azul’s many amenities and ambience will attract visitors who simply come for a week and decide to stay for a lifetime.”

Pacific Security Capital’s Puerta Azul Development has many features, including:
• 127 homes, between 1380-1740 sq. ft.
• Priced between $390,000 - $535,000
• Neighborhood amenities, including a clubhouse, two swimming pools, a tennis court, putting green and a bocce ball court

In addition, the community is in the heart of the Coachella Valley and its 138 golf courses, internationally recognized tennis court, and high-end shopping and tourist attractions.

“La Quinta truly is a ‘Gem of the Desert,’” said Boege. “With luxurious foliage and greenery set apart from the desert by mountains, there truly is no better escape.”

To learn more about Pacific Security Capital’s core areas of expertise in Commercial Real Estate Advisory Services, Capital Markets, Development Services and Investment Sales, please visit www.PacificSecurityCapital.com or call 1-800-844-6085.

About Pacific Security Capital
Pacific Security Capital, named one of the fastest growing private companies by the Portland Business Journal, is a vertically integrated real estate services company providing advisory services, asset management, development services, commercial real estate loans, structured finance, landlord/tenant representation, and investment sales. Our mission is to add value to client initiatives at every level of the real estate cycle. PSC is headquartered in Beaverton, Oregon with offices in major markets in North America. More information about the company can be found at www.PacificSecurityCapital.com.

Commercial Real Estate Market Still Hot

According to a recent article in the Wall Street Journal, the commercial real estate market is still going strong.

Factors contributing to the strong commercial real estate market include:
Consistent consumer spending (good for retailers)
Increased business travel (good for hotels)
Rising land costs have slowed down office construction (vacancies remain low)

Rising interest rates may have little impact on the commercial real estate market, says the Wall Street Journal.  Many investors are institutional meaning that they already have large amounts of cash to play with and do not need to borrow money.

Full article available in the Wall Street Journal.

For more information on commercial real estate loans, contact Pacific Security Capital at 1-800-844-6085 or visit www.pacificsecuritycapital.com

Why Green Building Makes Financial Sense -- Pacific Security Capital Delivers Keynote Presentation at Land Development Breakthroughs Conference

Pacific Security Capital Managing Director, Theddi Wright Chappell, makes a keynote address at the Land Development Breakthroughs Conference on "How Sustainable Developments Make Greater Financial Sense."

Beaverton, OR June 29, 2006 -- http://www.pacificsecuritycapital.com -- Pacific Security Capital, a vertically integrated real estate services firm, today announced that Theddi Wright Chappell, Managing Director of its Commercial Real Estate Advisory Services business unit, will be a keynote speaker at the upcoming Land Development Breakthroughs Conference in Chicago, July 10 – 12, 2006.

Chappell, who is a LEED certified professional and has years of experience in the sustainable real estate development industry, will deliver a keynote presentation on "How Sustainable Developments Make Greater Financial Sense."

"Many people are skeptical about investing in green buildings," said Theddi Wright Chappell, "it is easy to be deterred by upfront costs without considering the great return on investment down the road."

Sustainable developments should be viewed as attractive investment opportunities because of their minimal upkeep and long term cost savings due to:
•     Water Conservation
•     Decreased utility bills
•     Better air quality
•     Energy efficiency
•     Reduced maintenance costs
•     Extended property lifecycle

Pacific Security Capital recently joined forces with sustainable development industry expert, Scott Muldavin, to form the Green Building Finance Consortium, which pools together some of the greatest minds in the real estate finance industry. The goal of this consortium is to create evaluation tools and best practices necessary for the investment community to really measure the financial value of sustainable development.

"The real estate industry is taking more and more notice when it comes to sustainable development," said Theddi Wright Chappell, "but investors are naturally looking for a way to prove that there is real value in their investment."

Join Theddi Wright Chappell in Chicago for a discussion on the value of building green.

Wednesday, July 12
12 – 12.30 pm
Trends in Project Finance: How Sustainable Developments Make Greater Financial Sense
Stephens Convention Center, Chicago, IL

Pacific Security Capital Principal, Simon Acheson, will also be speaking at the conference during a breakout session on "From Acquisition to Implementation: Valuable Lessons in Project Finance."

Register for the Land Development Breakthroughs conference and download "The Value of Green" written by Theddi Wright Chappell at http://www.pacificsecuritycapital.com/landing/sustainable-development.cfm

About Pacific Security Capital
Pacific Security Capital is a vertically integrated real estate services company providing advisory services, asset management, development services, commercial real estate loans, structured finance, landlord/tenant representation, and investment sales. Our mission is to add value to client initiatives at every level of the real estate cycle. PSC is headquartered in Beaverton, Oregon with offices in major markets in North America. More information about the company can be found at www.PacificSecurityCapital.com.