Connecticut state treasurer Denise L. Nappier says the sale price exceeded expectations. "The sale achieved our primary objective--to generate proceeds representing solid price performance for the pension fund." She also called it "a reflection of the solid real estate market and growing confidence in Hartford's future, and will help to advance the city's economic vibrancy."
The Pension Fund, which had owned the property since 1989, put it on the market last year. State officials say that all of the leading bidders agreed to assume the collective bargaining agreement with employees of the hotel and to retain all of the hotel's 85 union employees. Northland intends to continue to operate the Goodwin Hotel property as a hotel.
Goodwin Square is located across from Northland's Hartford 21 project, a $160-million mixed-use redevelopment of the former Civic Center mall. Construction on the project began in June 2004 and the topping off is scheduled for later this month, according to state officials. Completion of the project is projected for the summer of next year. Among Northland's other office property holdings here are City Place II, Trumbull Place, Metro Center and 901-104 Allyn St.
In connection with the sale, the local office of Holliday Fenoglio Fowler LP arranged $33 million in acquisition financing for Northland. HFF managing directors Gerry Yates and Tim Breda secured a five-year, 5.4% interest-only, fixed-rate loan through Deutsche Bank.
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