Wells' Don Miller

It’s been a good year for Atlanta-based Wells Real Estate Funds. In recent weeks, GlobeSt.com has recorded its renewal/management agreement with Jones Lang LaSalle at Chicago’s Aon Center, and Wells REIT I closed 2003 with its $213-million buy of 60 Broad St. in Manhattan. Between the two there has been a string of major and medium-sized deals including its September purchase of four Atlanta-area buildings from Cousins for $173 million and its $44 million acquisition of a Dublin, CA office asset from Lowe Enterprises. But the recent past has also seen some less-than-flattering news, in the form of the late 2003 NASD sanction (recently lifted) of president and founder Leo Wells and a less-than-flattering article that appeared in Forbes magazine, calling into question everything from its investment strategy to the so-called values-based environment Wells says he fosters within his workplace. In a recent, exclusive interview with chief real estate officer Donald A. Miller, GlobeSt.com reviewed the highlights and the low-lights.

GlobeSt.com: What is the general direction of the capital markets as we head into 2005?

Miller: The simple answer is that the capital markets seem to be moving sideways. In 2003, we saw several bumps in pricing, particularly one toward the end of the year and rolling into January. We found ourselves bidding on properties that were getting away from us. So we responded and became more competitive.