FARMINGTON, MICH. — Colliers International has brokered the sale of the Professional Pavilion in Farmington, a northern suburb of Detroit. The sales price was not disclosed. The 21,338-square-foot medical office building is located at 23133 Orchard Lake Road. The buyer, Healthcare Real Estate Services LLC, plans to do interior and exterior upgrades, including repaving the parking lot, lobby renovations and new landscaping plans. The company also plans to add an additional 14,600-square-foot building along the same road. Two tenants at the property include Beaumont Pediatrics and South Oakland Gastroenterology Associates. Gary Grochowski and Bryan Barnas of Colliers represented both the buyer and the seller, Ziegler-Michigan 5 LLC.
KANSAS CITY, MO. — Block & Co. Inc. Realtors has negotiated the sale of Two Ten Center in North Kansas City for $2.8 million. The 15,057-square-foot shopping center is located on the northeast corner of I-29 and Armour Road. The property is 90 percent leased to tenants such as Quiznos, Care ATC, Donut King and Insure One. Max DiCarlo of Block & Co. negotiated the sale on behalf of the buyer, Mariam LLC. Block & Co. will handle leasing and property management for the center.
CHICAGO — Sterling Bay has received a $181.5 million loan for the construction of 333 N. Green St., a 548,932-square-foot office tower in Chicago’s Fulton Market district. The Class A office tower will rise 19 stories, with floor plates ranging from 13,634 to 40,589 square feet. The property will feature 31,521 square feet of street-level retail space and a four-floor parking garage. Amenities will include a fitness center, conference area, tenant lounge and private rooftop. The LEED Silver-certified building is 47.2 percent preleased to GroupM and will serve as the advertising media company’s North American headquarters. The building will also serve as the regional headquarters for GroupM’s parent company, WPP. Other big-name companies that have chosen to open offices in the bustling Fulton Market district include Google, McDonald’s and Dyson. Timothy Joyce, Danny Kaufman and Christopher Knight of HFF arranged the floating-rate loan through Wells Fargo. Sterling Bay is a real estate investment and development firm with over 10 million square feet in its portfolio. The Chicago-based company currently has a pipeline of over $10 billion in development. — Kristin Hiller
JEFFERSONVILLE, IND. — TownePlace Suites Louisville North has opened at 301 W. Maple St. in Jeffersonville. The project was a joint venture between Dora Hotel Co. LLC and Arc Construction Management LLC and cost an estimated $13 million to build. TownePlace Suites, an extended-stay hotel, is part of Marriott International. The 93-suite, three-floor property features a BridgeHouse Bar & Restaurant in addition to an indoor pool, hot tub, fitness center and guest laundry services. The hotel is located eight miles from Louisville International Airport.
GREEN BAY, WIS. — Stage Equity Partners LLC has acquired St. Mary’s medical office building in Green Bay for $7.3 million. The 50,000-square-foot property is fully leased to St. Mary’s Hospital Medical Center and operates under the Prevea Health brand as well as St. Gianna Clinic. The asset is located at 1727 Shawano Ave., directly across from St. Mary’s Hospital Medical Center. Considered part of the hospital campus, the property offers heart care, physical and occupational therapy, behavioral healthcare, fertility care and other specialty services. Stage purchased the asset from its longtime physician owner with a new 10-year lease extension. MB Financial provided acquisition financing.
FRANKLIN PARK, ILL. — Freight shipping and trucking company K2 Express has signed a 91,859-square-foot industrial lease renewal and expansion at 10800-10900 Belmont Ave. in Franklin Park. The company previously occupied 67,337 square feet at the 600,000-square-foot property, which is owned by Prologis. Brian Carroll of Newmark Knight Frank (NKF) represented K2 Express in the lease transaction. Scott Gibbel of Cushman & Wakefield represented Prologis. In addition, K2 Express signed a long-term lease at a neighboring four-acre trailer yard. Carroll represented the tenant, while Steve Levitas and Bob Chodos of NKF represented the landlord, Hill Mechanical.
RACINE, WIS. — Podolsky Circle CORFAC International has arranged the $2.7 million sale of a 31,638-square-foot office building in Racine, about 30 miles south of Milwaukee. Built in 2002, the two-story property is located at 5439 Durand Ave., across from Regency Mall. Multiple tenants occupy the building, including Associated Bank, Advanced Medical Imaging, CleanSlate Medical Group of Wisconsin and Habush, Habush & Rottier. The buyer, Gateway Investment Partners, plans to upgrade the common areas, restrooms, parking lot, signage and landscaping. Alissa Adler, John Homsher and Paul Tesdal of Podolsky Circle represented the seller, Spirit Lake Acquisition II LLC.
KENOSHA, WIS. — Morgan/Harbour Construction is expanding operations and opening an office in Kenosha. This will be the third office and first outside of Illinois for the general contractor. Slated to open in May, the office is located at 6905 Green Bay Road. The new location will house both permanent staff as well as provide work stations for those traveling from other offices. Morgan/Harbour currently maintains an office in downtown Chicago and its headquarters in Willowbrook, Ill.
TOLEDO, OHIO — Toledo-based healthcare REIT Welltower Inc. (NYSE: WELL) has entered into an 80/20 joint venture with ProMedica Health System to acquire Quality Care Properties (NYSE: QCP) for nearly $2 billion in cash. The joint venture will acquire the real estate of QCP’s principal tenant, HCR ManorCare, the nation’s second-largest nursing home chain. Toledo-based HCR ManorCare filed for Chapter 11 bankruptcy in March after struggling to pay rent to QCP, which owns nearly all of the facilities in which HCR ManorCare operates. QCP won a court approval earlier this month to acquire HCR ManorCare out of bankruptcy. QCP itself is a spin-off of healthcare REIT HCP (NYSE: HCP), which created the company in 2016 specifically to remove HCR ManorCare’s 320 properties from its portfolio. As part of the transaction, ProMedica has agreed to buy the operations of HCR ManorCare, making the nonprofit healthcare organization a national U.S. healthcare provider. “This acquisition will enable ProMedica to expand their service offering beyond acute care hospitals to include home health, post-acute care and residential memory care,” says Tom DeRosa, CEO of Welltower. The HCR ManorCare chain has more than 50,000 employees providing services in 450 assisted living facilities, skilled nursing and rehabilitation …
The Cook County Board of Commissioners may have dealt manufacturing districts in South and Southwest Cook County, Illinois, their final blow. The use of property tax incentives has increased over the past several decades and has been a vital economic development tool in this manufacturing belt. The industrial corridor suffered a one-two punch during the Great Recession and is still hanging onto the ropes, trying to recover while the rest of Cook County thrives. Cook County property tax incentives reduce assessed values used to determine a property’s tax bill. Assessors normally set taxable value at 25 percent of a property’s market value, while assessing real estate qualifying for the incentive at 10 percent of market value. This yields a taxable value 60 percent lower than the asset would carry under the standard calculation. The recession gutted Cook County’s manufacturing belt. Numerous manufacturing companies either closed their doors for good or relocated to nearby Indiana, recruited with the promise of a feather-weight tax burden. The migration left a glut of vacant facilities in its wake, driving market values and the assessment base into a downward spiral. As the market and occupancy rates plummeted, local tax rates spiked, exceeding 35 percent in …