Press Releases
CANYON-JOHNSON URBAN FUNDS AND STRUEVER BROS. ECCLES & ROUSE BREAK GROUND ON MIXED-USE DEVELOPMENT IN BALTIMORE
'Magic' Johnson and partners invest in community around Johns Hopkins University
BALTIMORE (Sept. 29, 2005) - Canyon-Johnson Urban Funds is investing in Baltimore for the first time through a partnership with local developer Struever Bros. Eccles & Rouse on a $90 million urban in-fill development near Johns Hopkins University. Today, Canyon-Johnson officials, including co-founder Earvin "Magic" Johnson, joined Baltimore Mayor Martin O'Malley and students from a nearby school to break ground on the residential and retail project.
Called Village Commons, the mixed-use development in Baltimore's Charles Village neighborhood will contain, between its two phases, approximately 170 new condominiums for sale, more than 30,000 sq. ft. of ground-floor retail and more than 600 structured parking spaces.
The development of Village Commons is a public-private partnership that is integral to the community-endorsed master plan for Charles Village. Convenient to downtown Baltimore and Interstate 83, the area is home to Johns Hopkins University's undergraduate campus and Union Memorial Hospital. It is anticipated that restaurants, fashion boutiques, coffee shops and other community-serving merchants will occupy the development's retail space.
Village Commons' major equity investor, the Canyon-Johnson Urban Fund II (CJUF II), is a joint venture between Canyon Capital Realty Advisors and basketball-legend-turned-urban-entrepreneur "Magic" Johnson. Based in the Los Angeles area, the Canyon-Johnson funds are the largest private real estate funds focused on the development of urban properties in underserved U.S. neighborhoods. Struever Bros. Eccles & Rouse (SBER) is a Baltimore-based developer and general contractor with more than 30 years' experience revitalizing urban neighborhoods. Citibank Community Development, a member of Citigroup, is providing construction financing and a permanent loan for the project.
"We welcome the Canyon-Johnson Urban Funds to our great city, and we're very pleased that Earvin Johnson and Bobby Turner BELIEVE in Baltimore and are working with one of the city's finest real estate development companies, Struever Bros. Eccles & Rouse," said Mayor O'Malley. "Once complete, Village Commons will bring a wealth of new residential and retail opportunities to the Charles Village community."
A public garage at Village Commons is being made possible by financing from the City of Baltimore, which, along with the Charles Village Civic Association, has been very supportive of the Village Commons project. Public financing is also funding streetscaping of the project along the 3100, 3200 and 3300 blocks of St. Paul Street and environs. Wide sidewalks, distinctive street-lighting fixtures and trees will knit the new development together with the existing business district.
"I've worked with a lot of cities, their mayors and other officials," Johnson said, "and few have Mayor O'Malley's vision and his gift for bringing people together. The Mayor and the City stepped up. With Struever Brothers and the Charles Village community, we believe we can make a positive impact in this neighborhood."
CJUF Managing Partner and Baltimore native Bobby Turner said, "Earvin, our partners and I are believers in Baltimore. Our investment in Village Commons is consistent with our approach to fund value-oriented opportunities in urban America, a largely overlooked segment of the real estate market."
As part of today's community celebration, the developers of Village Commons are replacing damaged windows at the nearby Barclay School, a public elementary/middle school serving Charles Village and other city neighborhoods. Johnson and Mayor O'Malley visited with students on campus before leading the school's chorus to the construction site for the groundbreaking celebration.
"Along with Canyon-Johnson, all of us at Struever Bros. believe that business leaders have a responsibility to help make our communities the best they can be-in Baltimore and in cities around the country," said SBER President and CEO Bill Struever. "We are tremendously pleased to celebrate the official groundbreaking for Village Commons. This is a great day for all of Charles Village, and when we gather again for the grand opening celebration in time for the holidays in 2006, I am sure you'll agree that the transformation will be dazzling."
Construction is underway on Village Commons' first phase, called Village Lofts-a five-story building with 68 for-sale lofts, more than 12,000 sq. ft. of retail and underground parking. Units should be available for new residents in Fall 2006. In Spring 2006, construction is slated to begin on the second phase, called Village West-a 10-story building with approximately 100 for-sale condos atop nearly 20,000 sq. ft. retail, and the bulk of the public parking for Village Commons.
Representing Citibank Community Development at today's groundbreaking was Harry Goff, CEO of CitiFinancial, a member of the Citigroup family of companies headquartered in Baltimore. Said Goff, "Citibank Community Development is very pleased to be part of the partnership that is making Village Commons possible and to provide financing for the project. It reflects our commitment to revitalize communities by creating new homeownership opportunities and retail outlets, as well as our commitment to help make communities where we do business better places to live and work."
The architects for Village Commons are the Baltimore firms Hord Coplan Macht, Inc. (Village Lofts) and Ayers/Saint/Gross (Village West).
Across from Village Commons, SBER is also constructing Charles Commons for Johns Hopkins University, which will include a 620-bed dormitory for Johns Hopkins students, a university dining hall and a 25,000 sq. ft. campus bookstore run by Barnes & Noble.
For more information about Village Commons and other redevelopment projects ongoing in Charles Village, visit www.charlesvillageprojects.com.
About Canyon-Johnson Urban Funds
The Canyon-Johnson Urban Funds (CJUF) are the country's largest private real estate funds focused on the development of urban properties in underserved neighborhoods. A joint venture between Canyon Capital Realty Advisors and Earvin "Magic" Johnson's Johnson Development Corporation, the funds were formed to identify, enhance and capture value through the development and redevelopment of real estate in densely populated, ethnically diverse urban communities. The Funds' objectives are to seek current income and capital appreciation and, in addition to meeting investment goals, the funds are committed to providing for and fostering economic opportunities for the residents of the urban neighborhoods in which CJUF invests. With nearly $1 billion in committed equity capital, the funds are positioned to facilitate more than $4 billion in development and revitalization in major U.S. metropolitan areas. To date, projects have been undertaken in Atlanta, Baltimore, Brooklyn, Chicago, Cleveland Heights, Las Vegas, Los Angeles, Miami, Milwaukee and San Diego.
About Struever Bros. Eccles & Rouse
Struever Bros. Eccles & Rouse, Inc. (SBER) has been restoring urban landmarks and preserving the infrastructure that defines America's traditional downtown centers since 1974. SBER has a long-standing and prestigious record of success as an unequalled urban development and construction company. Nationally recognized for conquering challenging locations and complicated projects as a multi-role developer, builder and construction manager, the firm has an intentional focus on urban transformation, adaptive reuse and mixed-use redevelopments. With more than $2.3 billion in total investment in Baltimore, SBER has developed more than 18 million sq. ft. of commercial, residential and retail space for some of the nation's corporate leaders including Morgan Stanley, Brown Advisory Group and Johns Hopkins. While the company's projects populate Baltimore, its recognition for quality has reached communities in Delaware, Rhode Island, Pennsylvania, North Carolina, Massachusetts, New York and Tennessee. Struever Bros. Eccles & Rouse prides itself in discovering hidden value where no one else sees it-revitalizing urban American neighborhoods as it builds an international reputation for excellence through quality, creativity and commitment to the community through its double-bottom-line approach to business.
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Media Contacts:
Steve Sugerman
310-689-7535
steve@sugermangroup.com
www.sugermangroup.com
Bob Rubenkonig
443-573-4444
b.rubenkonig@sber.com
www.sber.com
