State Street Financial Center, a 36-storey office building located in the heart of Boston's financial district, is up for sale. The asking price is US$1.11bn; the buyer, public investors. etre reit, an investment vehicle run by Paul Frischer, is looking to raise US$172.5m through an IPO to purchase a minority equity interest. While certainly not the first time institutional investors have been able to buy single properties, ETRE REIT is the first of its kind in a publicly traded vehicle - ETRE stands for Exchange Traded Real Estate. Notably the concept has been tried before and failed. Here's how it works. Sandier O'Neill, Evercore and Nomura are marketing 11.5m series A-1 shares at a fixed price of US$15, for pricing on July 23. Another 33,333 shares are being sold at the same price to ETRE Financial, the administrative agent.
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