Morgan Stanley acquires 49% interest in Crescent Resources, a subsidiary of Duke Energy Corporation
Clients Morgan Stanley Domestic Real Estate Funds
Jones Day represented Morgan Stanley U.S. Real Estate Fund V, part of the Morgan Stanley Domestic Real Estate Funds, in the acquisition of a 49% interest in Crescent Resources, a real estate development subsidiary of Duke Energy Corporation, based in Charlotte, North Carolina, with a total enterprise value of nearly $2.1 billion. The deal provided cash proceeds to Duke of approximately $1.4 billion. Jones Day advised on all aspects of the transaction, including the acquisition, joint venture with Duke Energy, and acquisition financing of more than $1.2 billion.
Crescent Resources is one of the leading developer's in the U.S. of master-planned communities and the preeminent residential and commercial development company in the Southeast. It owns 26 master-planned communities covering over 75,000 acres including the high-end Palmetto Bluffs development near Hilton Head, 31 projects in various stages of development through a joint venture active in the Florida residential market, 15 commercial projects including office, retail and industrial, 11 residential condo projects in Austin, Jackson Hole and Ft. Walton Beach, and more than 1,100 parcels of undeveloped land containing more than 100,000 acres owned by Duke for several decades as a land bank.