BRANSON, MO. — American Street Capital (ASC) has arranged a $3 million CMBS loan for the refinancing of a self-storage portfolio in Branson. The portfolio includes five facilities and 694 units spanning 127,449 square feet. The portfolio was over 95 percent occupied at the time of the loan closing. Igor Zhizhin of ASC arranged the 10-year loan, which features a 30-year amortization schedule.
NEW YORK AND CHICAGO — Brookfield Property Partners (NASDAQ: BPY) has agreed to acquire all remaining shares of GGP Inc. (NYSE: GGP), a Chicago-based mall owner. BPY, a global real estate company based in New York City, and its affiliates already hold a 34 percent stake in GGP. The deal struck between the two parties is for GGP shareholders to receive $23.50 per share in cash, a total cash consideration of $9.25 billion. Alternately, shareholders may elect to receive stock in either BPY or a new REIT that BPY plans to list on one of the major U.S. exchanges. “This is a compelling transaction that enables GGP shareholders to receive premium value for their shares and gives them the ability to participate in the long-term upside of their investment,” says Brian Kingston, CEO of BPY. The newly agreed-upon deal comprises a cash-to-equity ratio of 61/39, which is more cash-centric than BPY’s original 50/50 cash-to-equity offer to acquire the remainder of GGP last November. Shares in the new REIT will be equivalent to that of a BPY unit. BPY’s parent company, Brookfield Asset Management (NYSE: BAM), has guaranteed the exchange of the shares between the two stocks (totaling 254 million units) …
CHICAGO — HFF has arranged a $159.2 million recapitalization of an 11-property industrial portfolio totaling 2.8 million square feet in Georgia, Illinois, Michigan, Minnesota, Ohio, Pennsylvania and Texas. HFF represented the seller, a joint venture between Brennan Investment Group, Arch Street Capital Advisors LLC and Gatehouse Financial Group Limited, as well as the buyer, a new joint venture between Brennan Investment Group and Sidra Capital. Goldman Sachs provided a 10-year loan on behalf of the new owner. The fully leased portfolio, known as USIPA, is triple-net leased to nine tenants and features single-tenant buildings ranging from 90,000 to 578,000 square feet. Clear heights range from 17 feet to 34 feet. Claudio Sgobba, Christopher Carroll, Robin Stolberg, Kurt Sarbaugh, Matthew Schoenfeldt and Jules Sherwood of HFF made up the debt and equity placement team.
WHITE BEAR LAKE AND LAKE ELMO, MINN. — US Storage Centers, in partnership with Harrison Street Real Estate Capital LLC, has acquired two self-storage facilities in Minnesota for an undisclosed price. Both properties, which feature climate-controlled units, will be rebranded as US Storage Centers. One of the facilities, a 922-unit, 83,264-square-foot property, is located in White Bear Lake, about 20 miles northeast of Minneapolis. The other is a 790-unit facility with 69,038 square feet of self-storage space in Lake Elmo, about 24 miles east of Minneapolis. US Storage Centers currently manages approximately 8 million square feet of self-storage space nationwide.
TROY, MICH. — Henry Ford Health System has signed a 276,250-square-foot office lease in Troy. The health system will occupy the space at 1414 E. Maple Road. John Boyd and Grant Bruce of Signature Associates represented the landlord, Sure Holdings LLC, in the lease transaction.
WEST CHICAGO, ILL. — Newmark Knight Frank (NKF) has negotiated a 125,000-square-foot industrial lease renewal on behalf of Leslie’s Poolmart Inc. in West Chicago, about 38 miles west of the Windy City. The property is located at 320 Industrial Drive. Phoenix-based Leslie’s, which sells swimming pool and spa supplies, will use the space for warehousing products. Jerry Jacobs of NKF represented Leslie’s in the lease transaction. Adam Marshall and Mark Deady of NKF served as local advisors. David Prell of CBRE represented the landlord, Colony NorthStar Inc.
CHICAGO — Jameson Commercial has brokered the $6.8 million sale of a retail building in Chicago’s Elston corridor. The 81,700-square-foot property is situated on 1.5 acres at 2525 N. Elston Ave. Artsupply.com and Johnstone Supply are two of the property’s tenants. Jose Colon represented the buyer in the sale. Both the buyer and seller were investment groups based in the Chicago area.
MINNEAPOLIS — City Club Apartments (CCA) has broken ground on its newest community in the central business district of Minneapolis. The 17-story property will feature 307 apartments and penthouses. CCA is also preserving the adjacent 1907 Handicraft Building and converting the historic Guild Assembly Hall, which will be a 3,500-square-foot, two-story restaurant and bar, entertainment and event space with a year-round outdoor patio. A 17th-floor Sky Club will feature a gourmet kitchen, big screen TVs and fireplace. A Sky Park will include an outdoor pool, spa and movie theater. Completion is slated for summer 2019. Frana Cos. is the general contractor and BKV Group and Damon Farber are the project architects. Union Labor Life Insurance Co. provided construction financing. The majority of the apartments are considered affordable for those earning between $45,000 and $65,000 per year.
SOUTHFIELD, MICH. — 601W Cos., the owner of the 2.2 million-square-foot Southfield Town Center, is nearing completion of a $56 million renovation to the office complex. Property manager Transwestern is overseeing the renovations. Improvements include updates to the walkway that connects the buildings, complete renovations to the front lobby and entranceway and upgrades to the parking structures. A new entrance to the 3000 building has also been added. Expanded tenant amenities include the addition of multiple green spaces, collaborative areas, a new conference center and Starbucks coffee bar. 601W Cos. purchased Southfield Town Center for $177.5 million in 2014. The five-building property was originally completed in 1989.
COUNCIL BLUFFS, IOWA — NexCore Group, a national healthcare real estate developer, has begun construction of the new CHI Health Valley View Clinic in Council Bluffs near Omaha, Neb. The 37,800-square-foot clinic will replace an existing 9,000-square-foot facility, therefore quadrupling the size. The CHI Health Valley View Clinic will provide a variety of healthcare services under one roof, including primary care, behavioral health, women’s services, radiology, ultrasound, pharmacy and physical therapy providers. The property will feature 54 exam rooms and is slated to open in May 2019. The clinic is expected to provide a $10.4 million annual economic benefit to the area, according to NexCore. Darland Construction Co. is the general contractor and Leo A Daly is the architect.
