Slowly but surely, the missing pieces of the puzzle critical to the long-term vitality of the city of Detroit are starting to fill in, say real estate experts and business leaders. While the city is working through a painful bankruptcy to get its financial house in order, the public and private sector are moving forward with a sense of urgency to make sure that revitalization efforts in Downtown and Midtown don’t lose momentum. The success stories in the office, retail and apartment sector often come in fits and starts, but collectively they show measurable progress. A planned 3.3-mile streetcar line, known as the M-1 Rail project, is the infrastructure piece of the puzzle. Utility relocation work is underway on Woodward Avenue, the first step toward full-fledged construction of the planned light rail line that will connect 11 stops between Larned Street in Detroit’s central business district up to West Grand Boulevard in the New Center area at the north end. Funding for the $140 million streetcar project, which is expected to be complete in 2016, has come from a variety of sources including corporations, foundations, nonprofit agencies and government sources. “We’ll have more of a pedestrian connection between Downtown, Midtown …
Midwest
MINNEAPOLIS — Law firm Norton Rose Fulbright has signed an 18,505-square-foot, full-floor lease at RBC Plaza, a 40-story office tower in Minneapolis. Managed by Cushman & Wakefield/NorthMarq, RBC Plaza is a 678,045-square-foot tower located at 60 S. Sixth St. and 555 Nicollet Mall. KBS Real Estate Investment Trust III owns the building. RBC Plaza is currently undergoing renovations, which includes the conversion of two floors from retail into office space. Improvements also include the addition of a new conferencing center, full fitness facility with showers, lockers and secured bicycle storage. The improvements are slated for completion in fall 2014. Sonja Dusil of Cushman & Wakefield/NorthMarq represented KBS REIT III in the transaction. Landon Helm and Jim Bailey of Cushman & Wakefield represented Norton Rose Fulbright. The law firm is set to move into the new space in November.
EVANSTSON, ILL. — Sperry Van Ness has arranged the sale of 26 of 49 bulk condominium units in Evanston, a northern suburb of Chicago. The 26 units, which total 37,310 square feet, sold for $7.25 million. The condominium property is located at 1228 Emerson St. Jim Sears of Sperry Van Ness represented the seller, Bluewater Group. Reid Bennett also of Sperry Van Ness represented the undisclosed buyer.
CHICAGO — Marcus & Millichap has arranged the $1.9 million sale of a 49-unit apartment property in Chicago. The property is located at 4408-4414 S. Drexel Blvd. The building consists of studio, one- and two-bedroom apartment units. Greg Gonzalez of Marcus & Millichap represented the seller, a private investor as well as the buyer, a limited partnership.
TROY, MICH. — L. Mason Capitani CORFAC International has arranged the lease of a 9,760-square-foot office building in Troy for Tebis America, a software company that develops CAD/CAM systems for the automobile and aircraft industry. The property is located at 400 E. Big Beaver Road. Mason Capitani and Garry Rogers represented both the landlord and the tenant in the transaction.
ST. PAUL, MINN. — Dougherty Mortgage LLC has originated a $5.5 million loan for the refinancing of a 90-unit multifamily affordable housing property in St. Paul. Joseph’s Pointe at Upper Landing is located at 200 Wilkin St. The property was constructed in 2004 with 100 percent of the units restricted at 60 percent or below the area median income. Dougherty Mortgage arranged the 35-year term, 35-year amortization loan for Chestnut Housing LP.
AMES, IOWA — The Opus Group will develop a new student residential and retail complex directly adjacent to Iowa State University’s campus in Ames. The Foundry will feature 53 units and 144 bedrooms with 7,500 square feet of ground-level retail space. The six-story building will be the gateway to Iowa State University’s campus. Units will offer students living options of two- and four-bedrooms. Residents will have access to several amenities including a fitness center, study lounges, game room, private heated underground parking, common areas and on-site retail options. Construction on the project is scheduled to begin this month with completion slated for August 2015. Pre-leasing for the residential complex has begun. Opus Development Company LLC is the developer of the project and Opus Design Build LLC is the design-builder. Opus AE Group LLC is partnering with Minneapolis-based Elness Swenson Graham Architects Inc. on the design. Opus recently completed two luxury student housing options at the University of Minnesota and it has three others currently underway near university campuses in Madison, Wis., Milwaukee and Minneapolis.
BRIDGEVIEW, ILL. — NAI Hiffman has arranged the lease of an 117,077-square-foot industrial space in Bridgeview. Menasha Packaging will occupy space at 7800 W. 71st St. The building is adjacent to a 166,663-square-foot facility owned by ML Realty Partners. Menasha, a Wisconsin-based packaging, logistics and marketing services company, signed a lease last year at the adjacent property. Steve Connolly and Chris Gary of NAI Hiffman represented ML Realty Partners in the transaction. Patrick McCaffrey with Avison Young represented Menasha Packaging.
MANSFIELD, OHIO — Marcus & Millichap has brokered the $1.7 million sale of a Chipotle Mexican Grill restaurant in Mansfield. The 2,240-square-foot property is located at 2470 O'Possum Run Road. The asset sold based on a 5.45 percent cap rate. The property is on a long-term, absolute triple-net lease with Chipotle Corp. Erin Patton, Scott Wiles and Craig Fuller of Marcus & Millichap represented the seller, a limited liability company as well as the undisclosed buyer.
CHICAGO — Marcus & Millichap has arranged the $4 million sale of a 10,236-square-foot retail property in Chicago. James Court | Lincoln Park is located at 1315-1325 W. Diversey Parkway. The property is fully leased to three tenants, including Athletico, Jenny Craig and Lincoln Park Family Physicians. All three tenants occupy space on a net-lease basis. Sean Sharko, Austin Weisenbeck and Adrian Mendoza of Marcus & Millichap represented the seller, a developer. Mendoza, Weisenbeck and Sharko also represented the buyer, a private investor.