GMH Military Housing Becomes Balfour Beatty Communities
April 30 2008 - 5:35PM
PR Newswire (US)
NEWTON SQUARE, Pa., April 30 /PRNewswire/ -- GMH Military Housing,
the former military housing division of GMH Communities Trust
(NYSE:GCT), announced today that it has been successfully acquired
by Balfour Beatty plc, a UK-based international engineering,
construction, investment and services group, for an aggregate
purchase price of $350.5 million. The military housing business
will now be managed under the name Balfour Beatty Communities, and
will continue its focus as a leading provider of housing for
members of the U.S. military and their families throughout the
United States. The entire executive management team, as well as
existing corporate and project level military housing employees,
will remain part of the new company and will work toward creating a
seamless transition of the operating structure going forward.
Balfour Beatty Communities currently maintains interests, primarily
through joint ventures with the Department of Defense, in 12
military housing projects on 37 military bases (representing
approximately 25,700 end-state housing units) having an aggregate
development value of approximately $3.0 billion, including one
unaccompanied personnel housing project. In addition, the company
is in exclusive negotiations for four additional projects on six
military bases (representing approximately 6,000 end-state housing
units) that are expected to close during the second and third
quarters of 2008, as well as one unaccompanied personnel housing
project expected to close in the second half of 2008. The
acquisition of the military housing business by Balfour Beatty
significantly expands its already extensive presence in the defense
sector. Among other development projects within the U.S., Balfour
Beatty currently is involved in building the 9/11 Memorial at the
Pentagon and provides master planning, engineering, design and
design/build services for the U.S. Army Corps of Engineers and the
Department of Veterans Affairs for healthcare facilities in the
U.S., Puerto Rico and Germany. Balfour Beatty Group also has
performed construction work on the U.S. Capitol Visitor Center,
multiple National Archives and Records Administration facilities,
project management of border stations for the General Services
Administration (GSA) in Arizona and Washington, and project
management for the GSA for several Federal Bureau of Investigation
buildings. Bruce Robinson, President and Chief Executive Officer of
Balfour Beatty Communities stated, "We are extremely excited to
become part of the Balfour Beatty family of companies. We enter
into this new phase of our business with tremendous momentum, as we
are currently finalizing agreements for several new privatization
projects. Our management team and employee base remains unchanged,
and is clearly focused on our core strengths of providing high
quality housing communities to U.S. military members and their
families. We look forward to a rewarding future and further growth
of our business through the pursuit of additional defense sector
privatization projects, as well as other opportunities within the
public-private partnership (PPP) arena." Also commenting on the
acquisition today, Balfour Beatty plc Chief Executive, Ian Tyler,
said, "Balfour Beatty Communities will be central to implementing
our U.S. strategy of building a high-quality, domestic U.S.
business similar to our very successful UK model. It adds a major,
high- quality PPP business to our U.S. group in one of our key
target market sectors. GMH will be an excellent springboard into
other emerging PPP and support service sectors in the U.S. market,
will immediately enhance earnings and generate significant value
for our shareholders. "The military accommodation market is firmly
established and is based on strong, long-term relationships between
service providers and the U.S. military. We attach great importance
to the skills and experience of the management team, who will play
a key role in the further development of the business." Balfour
Beatty Communities is based in Newtown Square, PA and employs
approximately 1,000 employees nationwide. Balfour Beatty
Communities, LLC (http://www.bbcgrp.com/) operates 12 military
housing privatization projects covering family housing at 37
military bases, including one unaccompanied personnel project; and
is in exclusive negotiations relating to four additional family
housing projects representing an additional six military bases as
well as one unaccompanied personnel housing project. The Company
previously has partnered with The Department of the Army for the
military family housing privatization projects at Fort Stewart,
Hinesville, Georgia and Hunter Army Airfield, Savannah, Georgia;
Walter Reed Army Medical Center, Washington, DC and Fort Detrick,
Frederick, Maryland; Fort Hamilton, Brooklyn, New York; Fort
Carson, Colorado Springs, Colorado; Fort Gordon, Augusta, Georgia;
Carlisle Barracks, Carlisle, Pennsylvania and Picatinny Arsenal,
Dover, New Jersey; Fort Eustis, Newport News, Virginia and Fort
Story, Virginia Beach, Virginia; and Fort Bliss, El Paso, Texas and
the White Sands Missile Range, Las Cruces, New Mexico. The Company
has partnered with the Department of the Navy for its Navy
Northeast Region Project, covering eight Naval bases in Maine,
Rhode Island, Connecticut, New York and New Jersey, as well as the
Navy Southeast Region Project covering 11 Naval bases in South
Carolina, Florida, Georgia, Mississippi, and Texas. The company has
also partnered with the Department of the Air Force for the Air
Education and Training Command (AETC) Group consisting of four Air
Force bases located at Altus Air Force Base, Altus Oklahoma; Luke
Air Force Base, Glendale, Arizona; Sheppard Air Force Base, Wichita
Falls, Texas; and Tyndall Air Force Base, Panama City, Florida as
well as Vandenberg Air Force Base, Lompoc, California. Balfour
Beatty Communities is also partnered with the Department of the
Army for the privatization of Unaccompanied Officer
Quarters/Unaccompanied Senior Enlisted Quarters at Fort Stewart,
Hinesville, GA. About Balfour Beatty Communities
(http://www.bbcgrp.com/) Balfour Beatty Communities, LLC (formerly
known as GMH Military Housing) is responsible for the development,
renovation, operation and management of military privatization
housing projects for the U.S. Departments of the Army, Navy and Air
Force. The company has been a leader in the military housing
industry, and provides services to members of the U.S. military and
their families residing on or near bases located in 20 states
across the country. Currently based in Newtown Square, PA, the
company employs approximately 1,000 people nationwide. DATASOURCE:
GMH CONTACT: Kathleen M. Grim, Balfour Beatty Communities,
+1-610-355-8206, ; or Greg Matusky, +1-610-642-4045, or General
Media Contact, Katie Miller, +1-610-228-2124 or +1-610-639-7070,
both of Gregory FCA Web site: http://www.bbcgrp.com/
Copyright
Gmh Communities Trst (NYSE:GCT)
Historical Stock Chart
From Aug 2024 to Sep 2024
Gmh Communities Trst (NYSE:GCT)
Historical Stock Chart
From Sep 2023 to Sep 2024