BGC Receives Approval to Acquire Grubb & Ellis Company
BGC Partners, Inc. (BGC), a global brokerage company, announced that it has received approval from U.S. Bankruptcy Judge Martin Glenn in the U.S. Bankruptcy Court for the Southern District of New York to acquire substantially all the assets of Grubb & Ellis Company. BGC expects to close the transaction shortly.
The combination of the two companies will give Newmark Knight Frank and Grubb & Ellis more than 100 offices in North America, 250 million square feet in Property and Facilities Management, and a national Appraisal business.
“As we welcome the Grubb & Ellis team to the BGC family, we intend to apply our financial strength, powerful proprietary technology, and deep marketplace relationships to provide Grubb & Ellis and its professionals with the resources they need to thrive and grow,” said Howard W. Lutnick, chairman and CEO of BGC. “Alongside Newmark Knight Frank, the acquisition of Grubb & Ellis creates a game-changing platform that further positions BGC as one of the most innovative and dynamic players in commercial real estate. As BGC continues to attract the best talent, invest in our world-class technology, and apply capital to build and expand into new markets, we are committed to providing Grubb & Ellis with the right tools and support to increase its strength and scale.”
Michael Lehrman, global head of Real Estate at BGC, said, “The expansion of BGC’s commercial real estate platform creates exciting new opportunities for our entire organization – including the talented Grubb & Ellis real estate professionals who are coming on board, as well as new opportunities for them to provide outstanding value to their clients. Together we are creating one of the most exciting platforms in the real estate market, one that is well positioned to deliver the unwavering service excellence that our clients expect, while enhancing opportunities for our brokers and employees.”
James D. Kuhn, president of Newmark Knight Frank, said “Since becoming part of BGC last fall, Newmark Knight Frank has benefited substantially from BGC’s capital strength, proprietary technologies, and relationships with the world’s leading financial institutions and other organizations. The addition of Grubb & Ellis will dramatically increase our footprint and expand our business lines, including Grubb & Ellis’ prominent industrial practice. We are firm in our conviction that Grubb & Ellis will deepen its capabilities, attract the best talent, and deliver outstanding performance just as Newmark Knight Frank has as part of the BGC platform.”
The transaction was implemented as an asset sale under Section 363 of the U.S. Bankruptcy Code.
Cantor Fitzgerald & Co., an affiliate of Cantor Fitzgerald, L.P. acted as a financial adviser to BGC in connection with this transaction.
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