ILLINOIS, INDIANA, WISCONSIN AND TEXAS — KeyBank Real Estate Capital has secured $51.5 million in Fannie Mae financing for the acquisition of six affordable housing properties in four states. The properties include: Parkway Highlands in Green Bay, Wis.; Marian Heights in Alton, Ill.; Shelby’s Crest and Landing in Shelbyville, Ind.; Capitol Place in Springfield, Ill.; Broadway Place in South Roxana, Ill.; and Gardens of Mabank in Mabank, Texas. The portfolio totals 701 units. Tabare Borbon and Kyle Kolesar of KeyBank structured the financing on behalf of the borrower, Harmony Housing.
Milhaus, Kite Realty Group to Develop $40M Apartment Project at Glendale Town Center in Indianapolis
INDIANAPOLIS — Milhaus and Kite Realty Group Trust have unveiled plans to develop AYR, a $40 million apartment development at Glendale Town Center in Indianapolis. The developers identified underutilized land to be transformed into the 267-unit multifamily project. Milhaus and Kite will also build new bike lanes, a left turn lane and green spaces. Completion of the apartments is slated for 2021. Glendale Town Center, a shopping center dating back to 1958, is home to tenants such as Target and Lowe’s. The name AYR comes from the department store L.S. Ayres & Co., which was part of Glendale Town Center when it first opened.
INDIANAPOLIS — Marcus & Millichap has brokered the sale of a PNC Bank ground lease in Indianapolis for $1.6 million. The 4,935-square-foot building sits on 1.6 acres at 4030 S. East St. Jordan Klink and Ben Sullivan of Marcus & Millichap’s The Klink Group marketed the property on behalf of the seller, a Michigan-based limited liability company. Agents from Marcus & Millichap’s Phoenix office represented the out-of-state, 1031 exchange buyer.
TERRE HAUTE, IND. — Gladstone Commercial Corp. has acquired a 153,600-square-foot distribution facility in Terre Haute for $10.6 million. The property was constructed as a build-to-suit for Clabber Girl Corp. in 2010 and is fully leased to the tenant. Terre Haute-based Clabber Girl manufactures baking powder, baking soda and corn starch. Jeff Castell of Cushman & Wakefield represented the undisclosed seller. The building features a clear height of 32 feet, nine dock doors and one drive-in door.
By Chris Bruzas, Berkadia While the COVID-19 pandemic has had a dramatic impact on the commercial real estate industry, bright spots have emerged across the multifamily landscape. Nationally, secondary and tertiary markets demonstrate resilience and strong performance, despite challenging circumstances. One of these bright spots is Indiana. Since the start of the year, Berkadia’s investment sales and mortgage banking teams have closed more than $498 million in combined sales and financing across the state. While Indiana has long been a solid market in the Midwest, in recent years it has emerged as particularly attractive to investors for a few key reasons. Available scale The ability to acquire scale is increasingly important to investors looking to break into new markets and MSAs. Immediate scale is attractive for several reasons. For investors, acquisition at scale enhances geographic and unit diversification at the outset. It also allows investors, specifically those new to the region, to maximize business efficiencies on expenses. If a new buyer can acquire 1,000 units in proximity, they can reduce the burden of staff, construction costs and travel costs, to name a few. Additionally, it helps with leasing. If a prospective tenant tours a property that doesn’t have floor plans …
FORT WAYNE, IND. — Sturges Property Group has brokered the sale of a 4,296-square-foot office building located at 608 Union Chapel Road in Fort Wayne. The sales price was undisclosed. Neal Bowman and Phil Hagee of Sturges represented the seller, Nolan Commercial Property, as well as the buyer, Professional Emergency Physicians.
BLOOMINGTON, IND. — The Annex Group has completed the development of Union at Crescent, a 146-unit affordable housing community in Bloomington near Indiana University. The eight-acre project features one-, two- and three-bedroom floor plans. Amenities include a community and business center, exercise facility and playground. The property features both affordable housing units as well as market-rate units. The affordable units are designated for residents who earn between 50 and 70 percent of the area median income. Finance partners include T&H Investment Properties, Indiana Housing Community Development Authority, R4 Capital and R4 Capital Funding. Axis Architecture + Interiors and Smith Brehob & Associates made up the design team. Crestline Communities will manage leasing efforts.
FISHERS AND PLAINFIELD, IND. — Boston Capital is investing in the construction of two affordable multifamily properties in Indiana: the 62-unit SouthPointe Village Apartments in Fishers and the 52-unit Haven Homes in Plainfield. The investments represent Boston Capital’s second and third partnerships with Indianapolis-based RealAmerica Development. Located 14 miles northeast of Indianapolis, SouthPointe Village will feature 19 one-bedroom units and 43 two-bedroom units in a single residential building. Thirteen of the units will be set aside for persons with developmental disabilities. Units will offer open-concept floor plans, built-in kitchen appliances, free Wi-Fi and in-unit washers and dryers. Additionally, the property will include a community room, computer center, fitness center, classes and space for service providers, an indoor playground, library and access to the Nickle Plate Trail. Situated near the Indianapolis International Airport, Haven Homes will feature 16 one-bedroom units, 20 two-bedroom units and 16 three-bedroom units in two residential buildings. Thirteen units will be set aside for victims of domestic violence. Units will offer open-concept floor plans, built-in kitchen appliances, free Wi-Fi and in-unit washers and dryers. The development will include a freestanding clubhouse with a community room, computer center and fitness center with classes. Other amenities will include a …
WHITING, IND. — The City of Whiting and Calumet College of St. Joseph (CCSJ) have opened the Illiana, a residential property located at 1200 119th St. in Whiting. The development, which is a public-private partnership between the two parties, offers proximity to CCSJ, downtown Whiting shopping and restaurants, as well as Lake Michigan. The Illiana features 32 units in three floor plans. Each unit offers granite countertops, nine-foot ceilings, kitchen islands, private balconies, two bedrooms and two bathrooms. The five-story building also offers 3,600 square feet of ground-level retail space. CCSJ has master-leased 12 units for three years at The Illiana as part of an initiative to provide housing opportunities for students. Holladay Properties, a full-scale land development, design/build and fully integrated real estate company, developed the property.
INDIANAPOLIS — During its second-quarter earnings call on Monday, Simon Property Group (NYSE: SPG) said it is “capitalizing on various value-creating opportunities.” Sparc Group, a joint venture between Simon and Authentic Brands Group, made bids to acquire bankrupt retailers Brooks Brothers and Lucky Brand. Brooks Brothers has selected Sparc as the winning bidder with a $325 million offer. Since Sparc is buying the brands out of bankruptcy, it is acquiring the inventory at or below cost, according to David Simon, CEO and president. In its second quarter that ended June 30, the Indianapolis-based mall giant reported that net income fell to $254.2 million compared with $495.3 million in 2019. As of June 30, occupancy at Simon’s U.S. malls and outlet centers was 92.9 percent. Base minimum rent per square foot was $56.02, an increase of 2.8 percent year over year. Due to COVID-19, Simon closed all of its properties on March 18 and began reopening them on May 1. As of Aug. 7, some 91 percent of the tenants across Simon’s portfolio were open and operating. Simon collected approximately 51 percent of its contractual rent billed for April and May combined, 69 percent for June and 73 percent for July. …