GRAND RAPIDS, MICH. — Corrigan Worldwide Inc. has signed a 21,600-square-foot industrial lease in Grand Rapids. The company, which specializes in residential and commercial relocation services, is in the process of expanding its Grand Rapids facility. The property is located at 1120 36th St. Kevin Tamer of CORE Partners represented the tenant. John Kupier of Colliers International represented the undisclosed landlord.
MICHIGAN, INDIANA AND OHIO — Global Net Lease Inc., a real estate investment trust focused on the acquisition of net lease industrial properties, has acquired five industrial assets representing approximately 1.4 million square feet for $83 million. Three of the buildings are located in Michigan with one in Indiana and one in Ohio. The properties are leased to Contractors Steel Co., a steel service supplier. The industrial buildings included in this transaction comprise all of Contractors Steel Co.’s facilities and also house the company’s offices, central inventory and processing depot.
DETROIT — KeyBank Real Estate Capital has provided a $24 million CMBS loan for the refinancing of Port Atwater parking garage in Detroit. Built in 1989, the seven-level parking garage features 1,086 parking stalls. William Cassidy of KeyBank originated the 10-year loan, which features a 25-year amortization schedule.
Detroit’s economy is reinventing itself and slowly gaining its footing after the Great Recession and the city’s bankruptcy. Low interest rates supported record auto sales in 2016 and another strong showing last year, adding some stability to the metro area’s bellwether industry. A rejuvenated downtown and new, growing industries are invigorating the retail market. The story of retail in Detroit closely follows the overall narrative of the market — out with the old and in with the new. Because of this, well-known national retailers such as John Varvatos and Lululemon have made their way into downtown, while international retailer Zara established a presence in Troy, reiterating the market’s strengthened retail sector. Job growth is closely aligned with retail sales, and payrolls in the Motor City have been expanding, on and off, since mid-2009. At times, the snail’s pace of growth has proven frustrating for a market that bore an above- average burden due to population declines and the auto industry’s collapse. The outlook is positive, however, and total nonfarm payroll employment in metro Detroit eclipsed the 2 million mark last year for the first time since 2006. Manufacturing and professional and business services have provided the foundation for the local …
MILFORD, MICH. — Battery Solutions has signed a 94,000-square-foot industrial lease in Milford, about 40 miles northwest of Detroit. The property, located at 2950 Holtz Drive, will serve as the battery recycling company’s North American headquarters. Jim Montgomery of Signature Associates represented both the tenant and the landlord, Holtz Drive SW.
TROY, MICH. — Greystone has provided a $36.3 million HUD loan for the refinancing of Gables of Troy, a 544-unit apartment property in Troy. The property features amenities such as a pool, hot tub, tennis court, fitness center and covered parking. Cary Belovicz and Steve Van Riper of Greystone Bel Real Estate Advisors and John Marr of Greystone originated the loan on behalf of Kaftan Communities. The loan, fully amortized over 35 years, is part of HUD’s green program.
MICHIGAN — KeyBank Real Estate Capital has provided an $18.8 million CMBS loan for the refinancing of an eight-property self-storage portfolio in Michigan. Known as Berger U-Store Portfolio, the assets total 3,176 units and 431,755 square feet. Dennis Bernard and Kevin Kovachevich of Bernard Financial arranged the 10-year loan, which will be used to refinance existing debt on seven of the properties and acquire the remaining property.
HOWELL, MICH. — Capital One has provided a $13.2 million, fixed-rate HUD loan to refinance an 88-bed skilled nursing facility in Howell, approximately 50 miles northwest of Detroit. The unnamed facility has earned a five-star rating from Medicare, and was 98.9 percent occupied at the time of refinancing. The name of the facility and borrower were not disclosed. Joshua Rosen of Capital One originated the loan. The transaction enabled the borrower to replace bank debt with long-term financing and to recoup capital expenditures. “The substantial additional cash flow that this transaction frees up illustrates the benefits of HUD’s 232/223(f) program,” says Rosen. “The borrowers are benefiting from both a lower rate and an extended amortization period, which in the case of this loan is 35 years.”
AUGUSTA, MICHIGAN — CBRE|Martin has arranged the $950,000 sale of Brook Lodge, a 66,603-square-foot hotel and conference center in Augusta, about 15 miles east of Kalamazoo. Situated on 82.6 acres, the property consists of eight cottages totaling 48 guestrooms. CBRE|Martin represented the seller, Michigan State University (MSU), which acquired the property in 2000, in the transaction. The buyer was not disclosed. Prior to MSU’s acquisition of Brook Lodge, the property served as a conference center for employees of Upjohn Co., a pharmaceutical manufacturing firm that was established in Kalamazoo in the late 19th century. In the early 2000s, pharmaceutical giant Pfizer acquired Upjohn, which had previously merged with Sweden-based Pharmacia in 1995.
LYON TOWNSHIP, MICH. — Investment group CORE BKG has purchased a 30-acre site located at 54500 and 54650 Grand River Ave. in southeast Michigan’s Lyon Township. CORE BKG plans to develop Lyon Commerce Center, which will consist of three industrial buildings totaling 450,300 square feet. The buildings will be suited for distribution, high-tech and light manufacturing uses. Construction is scheduled to begin in June. CORE BKG includes principals form both CORE Partners and Burton-Katzman.