Harbert United States Real Estate Fund V Closes on a Major Suburban Cincinnati, Ohio Office Portfolio

BIRMINGHAM, AL--(Marketwired - December 09, 2015) - Harbert United States Real Estate Fund V, L.P. ("HUSREF V"), in conjunction with Smith/Hallemann Partners, recently acquired a 730,000 square foot, five-building office building portfolio in suburban Cincinnati/Mason, Ohio. The Seller was publicly-traded Duke Realty, Inc (NYSE: DRE).

Smith/Hallemann and HUSREF V closed on the office portfolio on December 4^th and intend to invest an additional $9.97 million upgrading and leasing space at the property. The office portfolio is home to Mercy Health, ATOS IT Solutions, Vantiv, GE Capital, Verizon Wireless, The State of Ohio, The Hillshire Brands Co, Colgate-Palmolive Co, Altria, General Revenue Corporation, and Schwan's Consumer Brands. The five buildings are approximately 80% leased overall and include the Governor's Pointe Portfolio consisting of four Class A office buildings totaling 530,000 square feet; and the Governor's Hill Portfolio consisting of one Class A office building containing 202,000 square feet, with both developments located along I-71 North in the Mason submarket of suburban northern Cincinnati, Ohio. The portfolio is likely to benefit from rising rental rates and increasing occupancy across the Mason, Ohio office market. The acquisition is the second joint venture between the Harbert Management Corp. U.S. real estate team and Smith/Hallemann, adding to a portfolio of well-located office assets with value-add upside through focused operational management.

About Smith/Hallemann Partners

Smith/Hallemann Partners (www.smithhallemann.com) is a partnership comprised of Tom Smith and Terry Hallemann of Nashville, Tennessee. Smith/Hallemann Partners was formed to facilitate acquiring, owning and operating a diversified portfolio of commercial properties.

Tom Smith is the Chairman of Smith/Hallemann Partners. Mr. Smith previously served as the Chairman of Mission Property Company of Nashville and was a member of the Board of Directors of Highwoods Properties, Inc., a publicly traded REIT. Prior to his tenure at Highwoods, he was a co-founder and Chairman of Eakin & Smith, Inc., a commercial real estate leasing, management, development and investment firm.

Terry L. Hallemann is the President of Smith/Hallemann Partners. Prior to the formation of Smith/Hallemann Partners, Mr. Hallemann was with First Union Corporation as the Regional Managing Director of its real estate banking and capital markets areas.

About Harbert Management Corporation
HUSREF V is sponsored by Harbert Management Corporation ("HMC"). HMC, together with its sponsored funds, has owned, developed and managed multifamily, office, industrial, retail and self-storage properties throughout the United States. HMC has a history of identifying real estate investment opportunities through its network of long-term, strategic relationships. HUSREF V's approach is hands-on, targeting properties that the HUSREF V Investment Team believes are undervalued, and where value can be created through focused operational management. Additional information about HMC can be found at www.harbert.net.