Buoyed by a healthy economy, the Twin Cities industrial market has experienced strong demand for functional, 24- to 32-foot clear height space, with more companies expanding during the first three quarters of the year, according to Cushman & Wakefield | NorthMarq. The market posted nearly 1.3 million square feet of absorption in the first three quarters of 2014, a solid number. The overall vacancy rate for multi-tenant properties 20,000 square feet and above stood at 10.1 percent at the end of the third quarter, down from a high of 16.4 percent in 2010. The bulk/warehouse segment has posted the most leasing activity with 451,097 square feet of net absorption year-to-date, including 140,514 square feet in the third quarter, and a tight 9.2 percent vacancy rate. Office/warehouse absorption totaled 476,032 square feet year-to-date through the third quarter, and 391,676 square feet in the third quarter alone, lowering the vacancy rate in that segment to 9.6 percent. Office/showroom absorption totaled 359,687 square feet during the first three quarters of 2014, lowering the vacancy rate in that segment to 12.8 percent, the lowest since 2006 when it stood at 11.7 percent. The Northeast submarket posted 222,267 square feet of net absorption in the …
CHESTERFIELD TOWNSHIP, MICH. — Bernard Financial Group has arranged an $18.5 million CMBS loan for Aspen Creek Apartments. The apartment property includes 46 two- and three-story garden-style buildings, which are situated on 60 acres in Chesterfield Township. Dennis Bernard and Kevin Kovachevich of Bernard Financial Group originated the loan for the borrower, Aspen Creek Apartments LP.
SAINT LOUIS PARK, MINN. — Marcus & Millichap has brokered the $1.4 million sale of Hampshire Apartments, a 16-unit apartment property in Saint Louis Park. The property is located at 2407 Hampshire Ave. S. Josh Talberg, Mox Gunderson, Dan Linnell and Chris Collins of Marcus & Millichap’s Minneapolis office represented the seller, an individual/personal trust, and the buyer, a limited liability company.
BELLEVILLE, ILL. — IMPACT Strategies will oversee the construction of a new $1.1 million addition to an existing manufacturing facility in Belleville. Chelar Tool & Die Inc. is expanding its headquarters with a 12,000-square-foot addition to its existing manufacturing shop. Construction began in mid-October and is scheduled for completion in February 2015. IMPACT Strategies is building a single-story, pre-engineered metal building with equipment used for making progressive and non-progressive metal stamping dies, metal stampings, specialty precision machinery and Blanchard grinding. Fairview Heights, Ill.-based EWR Associates Inc. is providing architectural services for the project.
PERRYSBURG, OHIO — Reichle Klein Group has arranged the lease of a 30,000-square-foot retail building for Planet Fitness in Perrysburg, approximately 11 miles southwest of Toledo. The building is located within the Shoppes at South Boundary shopping center at 100 E. South Boundary St. The new fitness facility will open in the first quarter of 2015. Duke Wheeler and Kurt Pollex of Reichle Klein Group represented the tenant in the transaction.
CHICAGO — The Boulder Group has arranged the $7.1 million sale of a Gino’s East restaurant property in Chicago. The asset is located at 500 N. LaSalle St. in Chicago’s River North neighborhood. The three-story, 17,400-square-foot building is constructed of brick, wood and masonry. Gino’s East recently invested $1 million for tenant improvements to the building. The property is a relocation of the restaurant’s former flagship location in the area. There are nine years remaining on the Gino’s East lease, which expires in July 2023. Randy Blankstein and Jimmy Goodman of The Boulder Group represented the seller, Frontline Real Estate Partners. Matthew Berres of JLL represented the buyer, an affiliate of a Midwest-based real estate investment fund.
LAFAYETTE, IND. — Marcus & Millichap has brokered the $5.8 million sale of a Home Depot ground lease in Lafayette. The 133,868-square-foot, net-leased property is located at 311 Sagamore Parkway N. Home Depot has approximately 12 years of term left on its lease, which is corporately guaranteed. Craig Fuller, Scott Wiles and Erin Patton of Marcus & Millichap’s Cleveland and Columbus office represented the seller, a developer, and the buyer, a limited liability company. Josh Caruana, an Indiana broker of record, assisted in closing the transaction.
CHICAGO — J.C. Anderson Inc. has completed an office expansion and renovation in Chicago for Mosaic, a sales and marketing agency. The property is located at 750 N. Orleans St. in Chicago. J.C. Anderson completed a 4,000-square-foot expansion and renovation at its office space in the River North neighborhood. The first phase of the project included expanding the sixth floor space into the adjacent office space. The second phase of the project included renovating the existing space to create an open floor plan with collaboration spaces, an exercise room and private offices. William Burfeind of J.C. Anderson was the project executive, Jason Hawkins was the senior project manager and Jose Verduzco was the superintendent for the project. IHL provided architectural services and CRESA was the project manager. Mosaic is headquartered in Dallas with offices in Chicago and Bentonville, Ark.
CHICAGO — Reed Construction will complete a 35,500-square-foot office renovation for SVM at 3727 Ventura Drive in Arlington Heights. Founded in 1997, SVM handles the sales, marketing and distribution of gift cards for major gasoline companies. The firm is relocating its headquarters to Arlington Heights from 200 E. Howard Ave. in Des Plaines. The construction will consist of demolition, the addition of office space, a new secure vault as well as a mezzanine conference room including a steel structure suspended from existing crane rails. Reed Construction’s Bryan Krueger is the principal for the project and Dan Cohen is the project manager. Wefing Deegan Studios is providing the architectural services. The project is scheduled for completion in January 2015.
PLYMOUTH, MINN. — CPA:17 – Global, a managed non-traded REIT of W. P. Carey Inc., has acquired a 182,000 square-foot, Class A office building for $34 million. The facility is located in Plymouth and will be leased on a long-term basis to Smiths Medical beginning in February 2015. Smiths Medical is a supplier of specialist medical devices, consumables and equipment for global markets and is one of the five divisions that form Smiths Group plc, a multinational diversified engineering company. The property will serve as Smiths Medical’s headquarters as part of a broader initiative to improve productivity and collaboration and reduce costs. The facility was constructed in 1999 as part of a mixed-use development that included retail, residential and restaurant space. The building includes modern infrastructure and features large lobbies and common areas.