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@LVMH Buys Iconic Rodeo Drive House of Bijan for $122M, at Record $19.4k/PPSF

@LVMH Buys Iconic Rodeo Drive House of Bijan for $122M, at Record $19.4k/PPSF

The Rich. The sale price makes the deal “considerably ritzier” than Chanel’s purchase of its Rodeo store last year for $152 million, or $13,217 a square foot – then a retail record per square foot for California, said the Los Angeles Business Journal. The sale to LVMH is the latest high-profile deal on the Beverly Hills shopping street, which is home to luxury retailers such as Gucci and Prada. Louis Vuitton already has a store near the 6,287-square-foot Bijan building it purchased at 420 N. Rodeo Drive, the Los Angeles Times said. Rodeo Drive ranks second among the most expensive U.S. retail destinations, trailing only upper Fifth Avenue in Manhattan, according to Cushman & Wakefield. The property is fully occupied by Bijan, a world-class fashion house founded in 1976 by the late Iranian-American designer Bijan Pakzad. The exclusive boutique caters to the ultra-high-net-worth international shoppers by appointment-only. Bijan has successfully operated at the property for more than 40 years and is the longest-standing privately-owned designer house on Rodeo Drive. The Bijan building is one of the most-recognizable storefronts in retail. The renowned yellow Rolls-Royce Phantom and the yellow and black Bugatti Veyron (both Bijan limited editions) match the building’s façade and interior and have long been hallmarks of the internationally-acclaimed custom clothier. Born in Tehran in 1940, Bijan migrated to Los Angeles in 1973. His exclusive boutique on Rodeo Drive has been described as “the most expensive store in the world.” Among his clients, Bijan claimed to count five U.S. Presidents – both George Bush and his son, Barack Obama, Ronald Reagan, and Bill Clinton – and other world leaders such as Vladimir Putin, Tony Blair, and King Juan Carlos of Spain. He also dressed other fashion designers, such as Oscar de la Renta, Tom Ford, and Giorgio Armani, and high-profile Hollywood celebrities including actors Tom Cruise and Anthony Hopkins, as well as Walt Disney’s chairman and CEO Michael Eisner. Bijan’s fragrances for both men and women are known for their distinctive circular glass flacon with an open center and a dividing web. When half full, the fragrance fills two separate chambers, seemingly defying the law of gravity that liquid seeks its own level. One of these perfume bottles is featured in the permanent exhibit of the Smithsonian Institution. According to the 2001 Los Angeles Times Calendar Section, the Bijan Perfume and Fashion Business has brought in an estimated $3.2 billion in sales worldwide. Bijan has been married twice. His first wife was Sigi Pakzad, a Swiss-German whom he met while living in Europe in the 1960s. They had one daughter, Daniela Pakzad, and divorced when she was 17. His second wife was Irish-Japanese interior designer and model Tracy Hayakawa. They married in 1986 and divorced in 1995. They had two children together, Nicolas Bijan and Alexandra. She later remarried businessman David H. Murdock. In April 2011, Bijan suffered a stroke, which required emergency brain surgery, but never recovered and died two days later in Los Angeles. The House of Bijan lived on however, without losing its appeal. Holliday Fenoglio Fowler LP (HFF), a unit of HFF Inc. (NYSE: HF), represented the property sellers, reportedly Brooks Caddell Barton Trust and Dominium Management Corp. Dominium is one of the largest and fastest-growing affordable housing owners in the U.S. Brooks Cadell Barton, who died in 2013, was a senior executive at Coldwell Banker International Real Estate and Home Savings of America, after serving as managing publisher of the Hollywood Reporter. He then left the corporate world to become a shaman and spiritual teacher, opening a retreat in Ojai, Calif., and a school called Art of God. The HFF team was led by Marc Schillinger, Bryan Ley and Bill Fishel. “We are thrilled with the record pricing we were able to achieve on our client’s behalf,” Schillinger said. The sale of the Bijan building comes on the heels of the HFF-brokered sale of Runway Playa Vista, as well as high-street retail transactions on Melrose Avenue and Melrose Place, adding to the more than 4.7 million square feet of retail space that HFF has transacted on so far this year in the greater Los Angeles area.]]>

G-III Apparel $GIII to Acquire Donna Karan From @LVMH in $650M Deal

G-III Apparel $GIII to Acquire Donna Karan From @LVMH in $650M Deal

The Queen Of Seventh Avenue, extended her women’s ‘Donna Karan New York’ line by creating a less expensive clothing line for younger women, called DKNY. Two years later, she created DKNY Jeans, a denim-inspired collection. DKNY for men was launched in 1992, one year after the ‘Signature’ line for men had been presented. Karan left her CEO position in 1997, but continued as chairwoman and designer for the Donna Karan line. LVMH acquired Donna Karan’s company in 2002 for about $243 million, and “shelved her flagship line Donna Karan International shortly after she left in June 2015,” said the New York Post. “Donna Karan International is an iconic global fashion company. Its lifestyle aesthetic resonates well with consumers throughout the world,” said Morris Goldfarb, chairman, CEO and president of G-III. “Donna Karan brings increased scale and diversification, while providing incremental growth on top of our portfolio of some of the best fashion brands in the world.” “When G-III approached us about acquiring the brand, we concluded that the time was right,” said Toni Belloni, group managing director of LVMH. “We are pleased to have reached an agreement with G-III.” G-III plans to fund the acquisition through new indebtedness, $75 million of newly issued G-III common stock to LVMH, and a $75 million 6½ year seller note. In connection with the acquisition, G-III has obtained financing commitments from Barclays and JPMorgan Chase Bank for a $525 million ABL credit facility and a $450 million 6-year term loan. The closing of the transaction is not subject to financing conditions. Barclays is acting as exclusive financial advisor to G-III. Norton Rose Fulbright US LLP and Simpson Thacher & Bartlett LLP are acting as legal advisors to G-III. Barack Ferrazzano Kirschbaum & Nagelberg LLP is acting as legal advisor to LVMH. G-III is a leading manufacturer and distributor of apparel and accessories under licensed brands, owned brands and private label brands. G-III’s owned brands include Vilebrequin, Andrew Marc, Marc New York, Bass, G.H. Bass, Weejuns, G-III Sports by Carl Banks, Eliza J, Black Rivet and Jessica Howard. G-III has fashion licenses under the Calvin Klein, Tommy Hilfiger, Karl Lagerfeld, Kenneth Cole, Cole Haan, Guess?, Jones New York, Jessica Simpson, Vince Camuto, Ivanka Trump, Ellen Tracy, Kensie, Levi’s and Dockers brands. Through its team sports business, G-III has licenses with the National Football League, National Basketball Association, Major League Baseball, National Hockey League, Hands High, Touch by Alyssa Milano and more than 100 U.S. colleges and universities. G-III also operates retail stores under the Wilsons Leather, Bass, G.H. Bass & Co., Vilebrequin and Calvin Klein Performance names. LVMH Moët Hennessy Louis Vuitton is represented in Fashion and Leather Goods by a portfolio of brands that includes Louis Vuitton, Céline, Loewe, Kenzo, Givenchy, Thomas Pink, Fendi, Emilio Pucci, Donna Karan, Marc Jacobs, Berluti, Nicholas Kirkwood and Loro Piana. Its Wines and Spirits division includes Moët & Chandon, Dom Pérignon, Veuve Clicquot Ponsardin, Krug, Ruinart, Mercier, Château d’Yquem, Domaine du Clos des Lambrays, Château Cheval Blanc, Hennessy, Glenmorangie, Ardbeg, Wenjun, Belvedere, Chandon, Cloudy Bay, Terrazas de los Andes, Cheval des Andes, Cape Mentelle, Newton et Numanthia. LVMH is present in the Perfumes and Cosmetics sector with Parfums Christian Dior, Guerlain, Parfums Givenchy, Parfums Kenzo, Perfumes Loewe as well as other promising cosmetic companies (BeneFit Cosmetics, Make Up For Ever, Acqua di Parma and Fresh). LVMH is also active in selective retailing as well as in other activities through DFS, Sephora, Le Bon Marché, la Samaritaine and Royal Van Lent. LVMH’s Watches and Jewelry division comprises Bulgari, TAG Heuer, Chaumet, Dior Watches, Zenith, Fred, Hublot and De Beers Diamond Jewellers Ltd, a joint venture created with the world’s leading diamond group. LVMH is headquartered in Paris, France.]]>

Israeli Elbit Systems $ESLT to Build $19M 'Punta del Este' Smart City System

Israeli Elbit Systems $ESLT to Build $19M 'Punta del Este' Smart City System

Elbit Systems Ltd. (NASDAQ/TASE: ESLT), a leading global defense electronics and homeland security company and Israel’s largest non-governmental defense contractor, has been awarded a $19 million contract by Uruguay’s Interior Ministry and the Municipality of Maldonado, to install a Smart City + Safe District video surveillance and sensor system covering the world-renowned Punta Del Este international luxury tourism and casino beach resort for the uber-rich. The “St Tropez of South America” is how the real estate agents like to brand it, says The Guardian. Others have likened Punta del Este or “Punta” to Monaco or Marbella. The quantity of top-dollar houses has persuaded the property arms of Christie’s and Sotheby’s to set up local offices in recent years. Monthly holiday rents can easily run into five figures during high season (US dollars that is, not local pesos), which lasts for about 10 weeks from late December to early March. “A sun-tanned cocktail waitress drops a sprig of mint into a mojito in the members-only bar at the Punta del Este racetrack. It is the third ePrix of the season (think Formula 1 with battery engines; more high-pitched squeal than guttural ‘vroom’) and this exclusive Uruguayan beach-side city is playing host,” The Guardian reported during Punta del Este’s recent high season. “Banners for Julius Baer, a Swiss private bank, flap in the wind. Lycra-clad models hand out hors d’oeuvres.” “Ever since wealthy Argentine and Uruguayan holidaymakers discovered this sun-drenched peninsula in the early 20th century, the city has enjoyed a reputation as a playground for the elite,” the British newspaper added, while “multimillion dollar yachts crowd bow to stern in the marina. Skyscraper apartments stretch into the cloudless azure skies. Cruise liners bob on the horizon.” Because it draws thousands of visitors, Punta del Este has its own international airport, the Aeropuerto Internacional de Punta del Este, located in the municipality of Maldonado, just a few minutes from the city. Naomi Campbell, George Clooney, Shakira, Rolling Stone Ronnie Wood, and British and Spanish royalty, are among the famous celebrities who have been spotted in Punta. In 1967, Punta del Este hosted the Summit of the Americas attended by U.S. President Lyndon B. Johnson. In 1986, Punta del Este played host to the start of the Uruguay Round of international trade negotiations, which ultimately led to the creation of the World Trade Organization in 1994. The Elbit Smart City information and communication technology (ICT) system will span across the South American nation’s six most high profile tourism destinations, including Punte del Este, San Carlos, Jose Ignacio, Maldonado, Piriapolis and Solis, over a total of 2000 sq km (770 square miles) on the Atlantic Coast. [caption id="attachment_432781" align="alignleft" width="1024"]Trump Tower Punta del Este Trump Tower Punta del Este[/caption] The Elbit Smart City system will include more than 1000 cameras and sensors, including vehicle traffic control, laid out at strategic standpoints. The collected information will be transferred to a control center to be located next to the Police Headquarters, which will include command and control (C2) systems with unique analytics capabilities, staffed by 50 people. The sensors and cameras infrastructure will transmit real-time data from the field to the C2 control room, and alert law enforcement officials, including logistics and emergency personnel, depending on the nature of the events or incidents. “We are proud to have won this Safe District contract, demonstrating our ISR (Intelligence, Surveillance and Reconnaissance) and HLS (Homeland Security) capabilities,” said Elbit Systems ISTAR Division’s executive vice president and general manager Elad Aharonson. SIBAT, the Israel Ministry of Defense (IMOD) International Defense Cooperation directorate, will monitor the project’s completion and performance. elbit_C4_command_centerElbit Systems is an international high technology company engaged in a wide range of defense, homeland security and commercial programs throughout the world. Elbit Systems operates in the areas of aerospace, land and naval systems, command, control, communications, computers, intelligence surveillance and reconnaissance (C4ISR), unmanned aircraft systems, advanced electro-optics, electro-optic space systems, EW suites, signal intelligence systems, data links and communications systems, radios and cyber-based systems, and provides a range of support services, including training and simulation systems. The company was founded in 1966 by Elron Electronic Industries (TASE: ELRN). It is headquartered in Haifa, Israel, and has 12,000 employees.]]>

Warburg Pincus Acquires Majority Stake in British Fashion Chain Reiss for £230M

Warburg Pincus Acquires Majority Stake in British Fashion Chain Reiss for £230M

The Telegraph. “As long-term growth investors, we look forward to partnering with David and his team and supporting the global expansion of Reiss. The business has built an enviable position in its core UK market, with a broad and loyal customer base, and we believe there is a significant opportunity to build on this success and accelerate development internationally,” said Warburg Pincus managing director Paul Best. Morgan Stanley acted as sole financial advisor to Reiss Holdings while Squire Patton Boggs acted as legal advisor. Financo acted as financial advisor to Warburg Pincus while Freshfields Bruckhaus Deringer LLP acted as legal advisor. Warburg Pincus LLC is a leading global private equity firm focused on growth investing. The firm has more than $40 billion in private equity assets under management. The firm’s active portfolio of more than 120 companies is highly diversified by stage, sector and geography. Founded in 1966, Warburg Pincus has raised 15 private equity funds, which have invested more than $55 billion in over 750 companies in more than 40 countries. The firm has significant experience of building retail companies across the world including Neiman Marcus (US), Poundland (UK), InTime (China), Kidswant (China), Restoque (Brazil), Pet Center (Brazil), Kalyan Jewellers (India) and Biba (India). The firm is headquartered in New York with offices in Amsterdam, Beijing, Hong Kong, London, Luxembourg, Mumbai, Mauritius, San Francisco, São Paulo and Shanghai]]>