SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the
Securities Exchange Act of 1934
Date of Report (Date of earliest event reported):
March 1, 1996 (February 27, 1996)
TIAA REAL ESTATE ACCOUNT
(Exact name of registrant as specified in its charter)
New York 33-92990 Not Applicable
(State or other (Commission File No.) (IRS Employer
Jurisdiction of Identification No.)
incorporation)
c/o Teachers Insurance and Annuity
Association of America
730 Third Avenue
New York, New York 10017-3206
(Address of principal executive offices) (Zip Code)
Registrant's telephone number, including area code (212) 490-9000
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ITEM 5. OTHER EVENTS.
The TIAA Real Estate Account has recently purchased an
additional property for its portfolio. The property is described
below.
Southbank Business Park - Phoenix, Arizona
On February 27, 1996, the Real Estate Account purchased
the fee interest (i.e., ownership of underlying land and all
buildings and other improvements on the land) in a 122,609 square
foot office/service building in Phoenix, Arizona, for a purchase
price of approximately $10.05 million. The property is not subject
to a mortgage.
The building, completed in 1995, is located on
approximately 9.9 acres of land with 638 parking spaces. It is
currently 100% occupied by four tenants in the service industry,
with rents averaging $8.77 per square foot. None of the leases
expire until the year 2000, when leases on 65% of the space expire;
those leases together represent total annual rent payments of
approximately $684,907. Although the terms vary under each lease,
most of the expenses for operating the property are either borne or
reimbursed by the tenants.
The building is located within the Southbank Business
Park adjacent to the Phoenix Airport and is easily accessible from
either side of the Phoenix metropolitan area. Phoenix has
experienced positive population and employment growth over the last
15 years. Over 29% of its employment base is comprised of
employees in the service industry.
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SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of
1934, the registrant has duly caused this report to be signed on
its behalf by the undersigned hereunto duly authorized.
TIAA REAL ESTATE ACCOUNT
By: TEACHERS INSURANCE AND ANNUITY
ASSOCIATION OF AMERICA
Date: March 1, 1996 By: /s/ Peter C. Clapman
________________________________
Peter C. Clapman, Senior Vice
President and Chief Counsel,
Investments
(Authorized Signatory)
