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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):
January 6, 1998 (October 20, 1997)
TIAA REAL ESTATE ACCOUNT
(Exact name of registrant as specified in its charter)
New York 33-92990, Not Applicable
(State or other 333-13477 and (IRS Employer
Jurisdiction of 333-22809 Identification No.)
incorporation) (Commission File Nos.)
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 (the "Account") has recently
acquired several additional properties for its portfolio. The
properties are described below.
MULTI-FAMILY RESIDENTIAL PROPERTIES
The Lodge at Willow Creek -- Douglas County, Colorado
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On December 24, 1997, the Account purchased The Lodge at
Willow Creek, a first class garden apartment complex located in
Douglas County, Colorado, for a purchase price of approximately
$27.5 million. The property is not subject to a mortgage.
The Lodge at Willow Creek was built in 1997 and is located
on 20.4 acres of land. The complex contains 316 one- and two-
bedroom units in twenty-six two-story buildings. Amenities
include a community clubhouse/leasing office with a fitness
center, conference/computer room, heated spa and outdoor pool.
Apartment units have nine foot ceilings, covered private
balconies or patios, central air-conditioning and washers and
dryers. There are 190 direct access garages, 126 detached garages
and 420 surface spaces for a total of 736 parking spaces. The
complex, which is in the final stages of its initial lease-up, is
currently 81% occupied with monthly rents averaging $936 per
unit. We expect that the remaining units will be leased by the
Spring of 1998. Rents are comparable with competitive complexes
and are not subject to rent regulation. The Account is
responsible for the expenses of operating the property.
The Lodge at Willow Creek is approximately a 20 minute drive
from downtown Denver, and is near the intersection of I-25,
Denver's primary north/south artery, and C-470, an east/west
highway.
Lincoln Woods Apartments -- Lafayette Hill, Pennsylvania
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On October 20, 1997, the Account purchased Lincoln Woods
apartments, a first class garden apartment complex located in
Lafayette Hill, Pennsylvania, for a purchase price of
approximately $21.4 million. The property is not subject to a
mortgage.
Lincoln Woods Apartments was built in 1991 and is located on
24.7 acres of land. The complex contains 216 one- and two-
bedroom units in ten three-story apartment buildings. Amenities
include a community clubhouse/leasing office with a fitness
center, function rooms, a sauna, and an outdoor pool. Apartment<PAGE>
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units include an outdoor storage area, central air conditioning
and washers and dryers. There are 324 parking spaces. The complex
is currently 96% occupied with monthly rents averaging $990 per
unit. Rents are comparable with competitive complexes and are not
subject to rent regulation. The Account is responsible for the
expenses of operating the property.
Lincoln Woods is close to the major suburban employment
centers of Philadelphia and within a 30 minute drive to downtown
Philadelphia. Currently, the Philadelphia metropolitan area has a
population of almost five million people.
OFFICE PROPERTIES
Columbia Centre III -- Rosemont, Illinois
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On December 23, 1997, the Account purchased Columbia Centre
III, a suburban office building located in Rosemont, Illinois,
for a purchase price of approximately $38.5 million.
The building, completed in 1988, contains approximately
238,941 rentable square feet and is situated on 5.0 acres. The
property has 338 on-site parking spaces and an arrangement to use
351 additional parking spaces in an adjacent municipal parking
facility. The building is 99% leased to various tenants with
rents averaging $21.89 per square foot. Ameritech Corporation is
a major tenant, occupying approximately 54% of the building.
Although the terms vary under each lease, most of the expenses
for operating the property are either borne or reimbursed by the
tenants.
Columbia Centre III is within the O'Hare Airport office
submarket. It is approximately twenty minutes by car from
downtown Chicago and approximately five minutes to the terminals
of Chicago's O'Hare Airport.
371 Hoes Lane -- Piscataway, New Jersey
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On December 15, 1997, the Account purchased 371 Hoes Lane, a
suburban office building located in Piscataway, New Jersey, for a
purchase price of approximately $15.5 million. The property is
not subject to a mortgage.
The building, completed in 1986, contains approximately
136,088 rentable square feet and is situated on 8.9 acres of land
with 569 parking spaces. The building is 100% occupied with rents
averaging $15.68 per square foot. Hewlett Packard is the major
tenant, occupying approximately 42% of the building. Although the
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terms vary under each lease, most of the expenses for operating
the property are either borne or reimbursed by the tenants.
The building is in Middlesex County, New Jersey,
approximately 30 miles southwest of New York City and 20 miles
from Newark International Airport. The current population of the
Middlesex metropolitan area is approximately 1.1 million people.
Corporate Center at Sawgrass -- Sunrise, Florida
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On December 2, 1997, the Account purchased the Corporate
Center at Sawgrass, a suburban office building located in
Sunrise, Florida, for a purchase price of approximately $13.0
million. The property is not subject to a mortgage.
The building, completed in 1997, contains approximately
91,113 rentable square feet and is situated on 6.8 acres of land
with 425 parking spaces. It is approximately 93% leased to
various tenants with rents averaging $14.40 per square foot.
Cincinnati Bell and Principal Health, who are the major tenants,
occupy approximately 46% of the building. 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 approximately 18 miles west of downtown Fort
Lauderdale. Corporate Center at Sawgrass is part of the 612-acre
master planned Sawgrass International Corporate Park. The Park
is centrally located at the major intersection of I-75 (Sawgrass
Expressway) and I-595. Sunrise is located in the Ft. Lauderdale
metropolitan area, which currently has a population of
approximately 1.4 million people.
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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: January 6, 1998 By: /s/ Peter C. Clapman
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Peter C. Clapman,
Senior Vice President and
Chief Counsel, Investments
(Authorized Signatory)
