Tuesday, May 22, 2007

There goes another Chicago company....

Grubb & Ellis has just announced that it will merge with NNN Realty Advisors, with a closing expected to occur in the 4th quarter of this year. NNN will be the larger partner in this deal, with 59% of the combined company, six of nine board members and the CEO's seat. The company will run out of NNN's headquarters in Santa Ana, California. As I recall, G&E almost merged with CB Richard Ellis back in 2002, but that deal was called off. Assuming the NNN deal closes, yet another good corporate citizen in Chicago is histoire.

Interestingly, both companies went with firms I didn't expect to see. NNN used Atlanta-based Alston & Bird, which is not too surprising since they are a BigLaw firm. G&E, instead of relying on anyone locally, went with Zukerman Gore & Brandeis, LLP, a relatively small (but from what I understand, excellent) Manhattan firm. As a small firm guy myself, I'm pleased to see good small firms land great deals.