There is almost a perfect storm gathering in the multifamily markets in Kansas City. Rents are rising, vacancy is decreasing, cap rates have compressed and valuations are up for sellers. Debt capital is cheap for buyers, and there’s plenty of pent-up demand for multifamily investment. Meanwhile, developers are coming out of hiding, and some great new projects are either under construction or on the drawing board. The fundamentals of the Kansas City multifamily market continued to show strength through the first quarter of 2012. At the end of 2011, the average rent was $727 and is forecast by credible sources to grow in excess of 4 percent in 2012. Kansas City’s vacancy has decreased by 50 basis points. Overall vacancy in the marketplace stood at 5.6 percent at the end of the first quarter, according to New York-based real estate research firm Reis. Net absorption totaled about 2,800 units in 2011, the highest annual absorption since 2000, according to Reis. Net absorption in the Kansas City apartment market was 592 units in the first quarter of 2012. At the end of the 2011, Class A apartments were selling at or above $100,000 per unit at cap rates consistently below 6 …
MINNEAPOLIS — The Opus Group will develop The Station on Washington, a student residential and retail complex on the University of Minnesota's East Bank campus. The six-story building will contain 11,200 square feet of ground-level retail space and 97 residential units. Amenities will include underground parking, a fitness center and study lounge space. Opus plans to begin construction on the building later this month, and the project is slated for completion in August 2013. Elness Swenson Graham Architects is the project architect.
RANTOUL, ILL. — Easton-Bell Sports Inc. has started construction of a new 800,000-square-foot distribution and assembly center in Rantoul. The sports equipment and accessory maker plans to consolidate its current operations into one facility. The center is scheduled for completion in late 2013. The building will handle products under the company's Bell, Blackburn, Easton Cycling, Giro and Riddell brands.
FAIRFIELD, OHIO — P&R Honeymoon has purchased a 226,000-square-foot manufacturing and distribution building at 7100 Dixie Highway in Fairfield for $2.7 million. The food service packaging company plans to use the facility to manufacture packaging materials. The facility features 15,500 square feet of office space, 24 truck docks and a five-ton bridge crane. Rob Gemerchak and Jim Medbery of Binswanger represented the seller, Pella Corp., in the transaction.
SABINA, OHIO — Fenner Dulop Conveyor Systems and Services has signed a 32,200-square-foot lease at a warehouse facility at 277 Kenyon Drive in Sabina. Fenner Dunlop supplies conveyor belts to mines and rock quarries across the globe. More than 25 employees will move to the new facility. Tim Echemann of Industrial Property Brokers represented both parties in the transaction.
MILWAUKEE — Manesis Transportation, a company that specializes in equipment and large product transportation, has purchased a 20,604-square-foot industrial building at 4600 West Mitchell St. in Milwaukee. The company plans to use the facility to store equipment and products for its customers. Maximilian Yokosh of Cassidy Turley represented the buyer in the transaction. Rand Wolf of CBRE Group represented the seller, Hennes Services.
MINNEAPOLIS — Construction is under way on the site of the former Plymouth Center, a strip mall located just west of Highway 169 at 11305 State Highway 55 in Minneapolis. The Plymouth Center was demolished in July and crews have started work on The Waters of Plymouth, a 90-unit senior living community that will offer assisted living and memory care. The community is expected to open in June 2013. McDonald's is also expected to begin construction of a 2,600-square-foot restaurant on the site in April 2013. Oppidan Investment Co., which owns the site, is aiming to finalize the sale of the remaining parcel of land later this month for construction of a 48,000-square-foot medical office building.
VERNON HILLS, ILL. — Hobby Lobby has signed a 46,984-square-foot lease at the Hawthorn Village Commons shopping center at 220 Townline Road in Vernon Hills. Additional tenants include Dollar Tree, Pearle Vision and El Famous Burrito. Inland Real Estate Corp., the property owner, was self-represented by Mike Fitzgerald in the transaction. The retailer is scheduled to open later this year.
OREGON, OHIO — PREMIER Design + Build is constructing a 10,636-square-foot medical building at 333 Dustin Road in Oregon, a suburb of Toledo, Ohio. The center will be located within one mile of Mercy St. Charles Hospital and two miles of ProMedica Bay Park Hospital. The project includes the construction of medical exam rooms, physician offices and two ambulatory surgery procedure rooms. The building is expected to be complete this November.
MILWAUKEE — Central Asset Management has purchased a flex building at 5355 S. 27th St. in Milwaukee for $120,000. Steve Sewart, Dan Wroblewski and Lyle Landowski of Colliers International represented both parties in the transaction.