Union REITs Present at PRIDE Conference

Date Posted: May 25, 2014

Posted In: News,

As the busy summer construction season gets set to begin, PRIDE Labor-Management is priming the pump of investment in building projects locally. The oldest construction labor-management organization of its kind hosted its fifth annual “Investment Summit” featuring three national real estate investment trusts:  AFL-CIO Housing Investment Trust (HIT), Multi-Employer Property Trust and Union Labor Life Insurance Co., Inc. (ULLICO). Each provided presentations to the region’s labor-management pension trustees and construction industry leadership and were engaged in local real estate investment opportunities. The event was held on Friday, May 16, 2014 at Carmines Restaurant at 20 South 4^th Street in Downtown St. Louis.

“These capital sources are well known to St. Louis and invest in the quality of our 100 percent union-built projects,” said Jim LaMantia, executive director, PRIDE Labor-Management. “The summit is an opportunity to further their investment in the growth of our city and region.”  The real estate investment trusts invited to the summit are all based in Washington DC and collectively have invested more than $600 million to launch construction projects in the St. Louis area.

Presenters at the event included:

• Griffin Goetz, director of institutional sales, Union Labor Life Insurance Co. (ULLICO).
• Ted Chandler, chief operating officer (COO) of the AFL-CIO Housing Investment Trust (HIT).
• Rob Gronda, Multi Employer Property Trust investors relationship team.

AFL-CIO HIT has an active track record of financing projects in the St. Louis area. In its nearly 50-year history, the HIT has invested more than $500 million in 27 St. Louis area projects with total development costs of more than $840 million. These projects represent more than 4,400 housing units and approximately 6,150 union construction jobs.

Under its Construction Jobs Initiative begun in early 2009, the HIT has invested $180 million to support six projects in the St. Louis metro area that represent approximately 2,630 jobs for members of the local building and construction trades unions. Besides providing a major boost to the local economy, these projects also represent 1,270 of new or rehabilitated housing units for local residents. Its most recent projects are Park Pacific and The Laurel in Downtown St. Louis; Council Towers Senior Apartments in Midtown St. Louis; Holy Infant and St. Joseph Apartments in Shrewsbury, Mo.; the Parkway Lakeside Apartments in O’Fallon, Ill. and the Villas at Crystal Lake in Swansea, Ill.

Meanwhile, AFL-CIO Building Investment Trust (BIT), which was unable to attend but supported the summit, has invested more than $150 million in Missouri projects, including the $42 million Cortona Apartments at Forest Park which will be completed this summer. Other projects include the Veterans Administration, IRS Building, and FBI Building in St. Louis, various projects at Fountain Lakes Commerce Center in St. Charles and more.  More can be found at www.aflcio–bit.com

Multi Employer Property Trust (MEPT) has invested $169.3 million in St. Louis area projects including Gateway Commerce Center in Madison County, Ill.; Shaw Park Plaza in Clayton; and West 70 Commerce Center in St. Charles. Since its inception in 1982, MEPT has generated $518.5 million in total economic impact in the St. Louis market and has created nearly 2.7 million job hours for the union construction industry. More can be found at www.mept.com.

 ULLICO has invested approximately $127.5 million in Missouri through its “J for Jobs” fund since it was formed in 1977. Currently, it is investing $37. 5 million to create the West End Apartments on Union Boulevard. More can be found at www.ullico.com.

PRIDE Labor-Management, founded in 1972, is an acronym for Productivity and Responsibility Increase Development & Employment.