News and Events - 2009

pdfEXCO Resources Adds 30% More at Lakeside Square

DALLAS October 6, 2009 --- EXCO Resources, Inc., has leased an additional 30,450 sf of space in Younan Properties' prestigious waterfront Lakeside Square at 12377 Merit Drive, expanding EXCO's total footprint to more than 152,600 sf in the Class A building.

Celeste Fowden and Burson Holman with CB Richard Ellis, (NYSE: CBG) negotiated the transaction with EXCO in cooperation with Younan Properties.

Zaya S. Younan, Chairman and CEO of Younan, noted that the environment for leasing has begun to improve in Dallas. "In the last few weeks, we have seen an increase in tenant interest in expansion and leasing activity, which we have not seen in many months. In the case of EXCO, the longstanding partnership with CBRE and our ongoing relationship with the tenant played a critical role in responding quickly to EXCO's expansion needs."

"The positive relationship with EXCO Resources and the support of Younan made this an extremely smooth transaction for all parties" said CBRE Broker Celeste Fowden.

"In this environment we need to be sensitive to the financial needs of all parties. As such, we are paying 100% of the commissions with the execution of the lease," added John Cook, Vice President of Asset Management for Younan.

EXCO Resources, Inc., (NYSE: XCO) is an oil and natural gas acquisition, exploration, development and production company headquartered in Dallas, Texas with principal operations in Texas, Louisiana, Pennsylvania and West Virginia.

As the second largest owner of Class A office space in Texas, Younan Properties owns 9.5 million square feet of prime commercial real estate in the State, and it is the largest office landlord in Dallas. Other Dallas properties include; Eighty-Eighty Central, Energy Square I, II and III and 9400 NCX in the Central Expressway submarket; Four Forest, Galleria Plaza, Graystone Centre, The Meridian, and NCP Three in the LBJ Freeway submarket; and KPMG Centre, Patriot Tower, and Thanksgiving Tower in the Dallas CBD.

Younan Properties, Inc. is known for its detailed, hands-on approach to improving operational efficiencies while maintaining top building standards for tenants. Younan is recognized as one of the newest and most successful private real estate companies active throughout the United States in the acquisition, development, ownership and management of office and mixed-use properties. It is noted for its success in turning around undervalued assets and maximizing the value of stabilized assets. Since 2001, Younan has accumulated nearly 12 million square feet of well-located Class A office buildings in key markets in California, Texas, Illinois and Arizona. Additional information about Younan Properties, Inc. can be found at www.younanproperties.com.

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pdfLoan in "Good Standing" and Will Return to Normal Servicing

LOS ANGELES, September 15, 2009 --- Younan Properties, Inc., one of the nation's leading, privately-held real estate investment and asset management firms announced today that all issues have been resolved between the borrower and the special servicer LNR in connection with a $261 million loan for one of its portfolios. The loan, which is in "good standing," will be transferred back to its normal loan servicer.

Zaya S. Younan, chairman and chief executive officer commented on the announcement. "We consistently stated that this dispute had nothing to do with our ability to meet our financial obligations, but rather stemmed from a technical dispute over approval provisions that led to a freeze of our own funded reserves, which we were using to fund tenant improvements. As a result, this loan was referred to its special servicer earlier this year." Younan added, "We were single-minded in our efforts to correct this servicing issue and we are pleased with the outcome."

The loan, representing four office properties in Chicago and three office properties in Dallas, was moved to special servicing in the first quarter of 2009. The servicing dispute centered around 200 N. LaSalle in the Chicago CBD, which is 92% leased and performing better than its submarket. Babcock & Brown, the former mezzanine lender sought to prohibit Younan from accessing its own reserve funds used for tenant improvements and leasing commissions. Babcock & Brown subsequently filed for bankruptcy protection in the first quarter of 2009.

Younan continued. "This is a 2.1 million SF stabilized office portfolio with about an 85% average occupancy and positive cash flow. This portfolio has a healthy DSCR, and we have achieved 830,000 SF of new leases and renewals in the last 18 months."

The four office properties in the Chicago metropolitan area include 200 N LaSalle, a high-rise office building in the Chicago CBD; 1600 Corporate Center, Rolling Meadows; Bannockburn Corporate Center, Bannockburn; and Kensington Corporate Center, in Mount Prospect. The portfolio also includes three Dallas office buildings; Energy Square I, II and III, located on the North Central Expressway.

"While this servicing issue received more public scrutiny than it deserved because of the current economic climate, we are proud of the fact that we were able to successfully resolve it using the same prudent business policies and practices that have made Younan Properties so successful in the past," Younan said.

Headquartered in Los Angeles, Younan Properties specializes in acquiring Class A office properties in high-growth U.S. markets. Known for its detailed, hands-on approach to improving operational efficiencies while maintaining top building standards for tenants, Younan is recognized for turning around undervalued assets and maximizing the value of stabilized assets. Younan has accumulated nearly 15 million square feet of Class A office buildings in California, Texas, Illinois and Arizona.
Contact Younan at younan25.devsoho.com.

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pdfTerry Smolich Hired as VP of Human Resources; Sarah Sadat Named to New Post as Director of Finance & Treasurer

LOS ANGELES, September 1, 2009 —Younan Properties, Inc., one of the nation's leading real estate investment and asset management companies announced that it has added new positions to its management team. Terry Smolich joins Younan as Vice President of Human Resources. Younan also announced it has promoted Sarah Sadat to the newly-created position of Director of Finance and Treasurer. Sadat previously served as Director of Human Resources.

According to Zaya S. Younan, Chairman and CEO of Younan, "Terry brings significant depth and experience in commercial real estate and in Human Resources having served in that capacity throughout her professional career. Previously, she was Vice President of Human Resources for Arden Realty, now part of General Electric. During that time, Terry managed all aspects of the HR function and assisted in Arden's considerable growth from a 40-person firm to the largest landlord of office space in Southern California."

Younan continued, "Sarah Sadat has served in numerous roles at Younan including accounting, acquisitions, due diligence and human resources. Because of Sarah's breadth of experience and background in accounting and finance, we strategically chose to create this new position, which will add a new dimension to our financial systems and reporting."

From 1995 through 2007, Terry Smolich was Vice President of Human Resources for Arden Realty, Inc, a Southern California-based owner of commercial office properties. Prior to that, she served as Manager of Human Resources and Administration for Tristar Risk Management in Los Angeles. Smolich began her career with Thor Temporary Services in Los Angeles, where she rose to the position of Temporary Services Manager.

Sarah Sadat joined Younan Properties in 2004 in the Accounting Department. She held various positions in the company with increasing responsibility including serving as Accounting Manager, member of the Due Diligence & Acquisitions team, and has served as Director of Human Resources since 2007.

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pdfLOS ANGELES, August 18, 2009 —Younan Properties, Inc., one of the nation's leading privately-held real estate investment and asset management firms continued its acquisition of California properties with the announcement that it is purchasing WarnerView Corporate Center in Woodland Hills, Calif., a property previously in the Younan portfolio.

Younan represented itself in the transaction. The three-story office building is located at 5959 Topanga Canyon Blvd. in Woodland Hills, Calif. Younan Properties first bought the building in 2004 and sold it less than 12 months later to Value Home Loan.

Zaya S. Younan, Chairman and Chief Executive Officer of Younan Properties commented on the purchase. "Although it is unusual for us to re-acquire a property we previously owned, this is an exceptional opportunity to acquire a property at a price well below the true market value. The significant expansion in the CAP rate does not correlate to the deteriorating fundamentals, but more relates to the anxiety, fear and an oversold market."

The 62,000-square foot Class "A" office building was built in 1981 and is 93% leased to a desirable roster of professional tenants. More than $1.5 million was spent replacing the HVAC system, installing a new roof and making upgrades to the elevator and common areas.

Headquartered in Los Angeles, Younan Properties specializes in acquiring Class A office properties in high-growth U.S. markets. Known for its detailed, hands-on approach to improving operational efficiencies while maintaining top building standards for tenants, Younan is recognized for turning around undervalued assets and maximizing the value of stabilized assets. Younan has accumulated nearly 12 million square feet of Class A office buildings in California, Texas, Illinois and Arizona.

Contact Younan at www.younanproperties.com.

pdfYounan Properties Returns to Southern California with Purchase of Office Asset from Arden Realty

LOS ANGELES, January 12, 2009 —Younan Properties, Inc., one of the nation's fastest-growing, privately held real estate investment and asset management firms is returning to southern California as an owner and investor. The nationally recognized Class A office owner announced it has closed on the purchase of Hillside Corporate Center, located in the thriving suburban city of Thousand Oaks, Calif.

Younan represented itself in the transaction. Mark Perry and Carlene O'Neill of CB Richard Ellis represented the seller, GE/Arden Realty.

Zaya S. Younan, Chairman and Chief Executive Officer of Younan Properties commented on the transaction. "This is an excellent property with attractive upside potential because of its below market rents and its location in the vibrant, high technology Conejo Valley submarket." Younan continued, "This building, one of several in the GE/Arden Realty portfolio, was offered with extraordinarily favorable terms, especially for an asset located off the important 101 Ventura Freeway business corridor."

The two-story, 62,356-square foot office building was built in 1998 and is 100% leased to a desirable roster of professional tenants. Hillside Corporate Center sits on 6.25 acres of land on a plateau that offers exceptional views of the Conejo Valley.

Headquartered in Los Angeles, Younan Properties specializes in acquiring Class A office properties in high-growth U.S. markets. Known for its detailed, hands-on approach to improving operational efficiencies while maintaining top building standards for tenants, Younan is recognized for turning around undervalued assets and maximizing the value of stabilized assets. Younan has accumulated nearly 12 million square feet of Class A office buildings in California, Texas, Illinois and Arizona.

Contact Younan at www.younanproperties.com.

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