CNMB Completes Full Realization of its 2006 Vintage Fund
Columbus Nova MB, (“CNMB”), the Manager of the Real Estate Equity Fund I (“REEF I”) is very pleased to announce the full realization of REEF I, a 2006 vintage closed-end real estate fund that invested in industrial properties. The final property, a port city warehouse in New Orleans, LA, was sold on May 29 to a regional private buyer.
“The performance of REEF I was excellent, clearly within the top decile for its vintage,” indicated Amos Beason. “Our team deserves a great deal of credit for staying with the project for the duration. We are also grateful to our lenders, Anglo Irish, Wells Fargo and HSBC for their support through what turned out to be one of the most volatile cycles in recent history.”
“The credit environment was challenging, but our sale-leaseback portfolio performance was excellent,” indicated Lon Brown. “Some of our tenants encountered obstacles but were able to overcome them and, with our support and the support of their financial sponsors, have grown and expanded as the economy has grown. It gives us a lot of pleasure to play a part in their success.”
“We continue to look for port city warehouses for our most recent vehicle,” followed Stephen Pandos, “and we believe that the Panama Canal project and more robust foreign trade will lead to more opportunities in the smaller US Ports. We look forward to being part of that process.”
REEF’s Gross IRR for the period of March 2006-May 2015 was 14.43%, which compares very favorably to 2005, 2006 and 2007 vintage closed-end funds. According to Townsend/NCREIF, the top quartile for 2005 vintage funds was a 6.3% Gross IRR. For 2006-2007 vintage funds, the top quartile funds generated a 7.9% Gross IRR.
For additional information about Columbus Nova MB and their separate account investment strategies, please contact Amos Beason +1 (704) 285-7750 or Lon Brown at +1 (704) 285-7756
Columbus Nova MB (“CNMB”), with offices in Charlotte and New York, manages portfolios of real estate assets for a variety of investors in a separate account program. In addition, CNMB’s Advisory Group serves middle-market businesses by providing buy and sell-side, capital formation and restructuring services on a fee basis. Finally, CNMB manages the Baikal Program, which makes investments in growing businesses and in private equity funds.