DETROIT — Blue Cross Blue Shield of Michigan (BCBSM) is leasing 435,245 square feet of space in Towers 500 and 600 of GM Renaissance Center in downtown Detroit. The company will move approximately 3,000 employees from its current Southfield, Mich., campus to the new space. The move will reduce BCBSM’s real estate footprint by more than 400,000 square feet, and increase the company’s downtown Detroit workforce to approximately 6,000. BCBSM will retain its current Detroit offices located at 500 and 600 E. Lafayette Blvd. and 441 E. Jefferson Ave. — creating a campus that extends from the Detroit riverfront to Lafayette Boulevard. Terms of the lease were not disclosed.
Midwest
OMAHA, NEB. — Chicago-based Omaha Headquarters Venture DST has acquired Farnam Tech Center, an office property located at 10826 and 10842 Farnam Dr. in Omaha. Ameritas Life Insurance Corp. sold the property for $18 million. The two-building center offers 118,612 square feet of office space and a 383-stall parking garage. Built in 1986, the fully occupied buildings are anchored by TD Ameritrade, which leases 70 percent of the asset. Mark Seger of CB Richard Ellis|Mega represented the buyer; Richard Meginnis and Tom Graf of NAI FMA Realty represented the seller in the transaction.
CHICAGO — Jones Lang LaSalle, on behalf of Tishman Hotel & Realty, has secured a $158.5 million in senior debt financing form Goldman Sachs Real Estate Mezzanine Partners for the refinancing of Sheraton Chicago Hotel & Towers. The 1,209-room, full-service convention hotel is located along the Chicago River in downtown Chicago. The property features 20,000 square feet of flexible meeting space, an executive conference center, six distinct food and beverage outlets, an indoor swimming pool, a health club, a club-level lounge, a business center, a gift shop and a 420-space underground parking garage. Tishman Hotel & Realty built and developed the hotel in 1992 and has owned the property since its construction.
MADISON, WIS. — US Oil Co. has leased 121,000 square feet of warehouse/distribution space in Madison. Located at 4722 Helgesen Dr., the upgraded and renovated high-bay warehouse is situated in close proximity to the Beltline Highway and interstates 90 and 94. Chase Brieman of CB Richard Ellis represented the lessor, True North Investments, in the transaction. Terms of the transaction were not disclosed.
PORTAGE AND GRAND HAVEN, MICH. — Love Funding has secured $6.72 million in financing for a multifamily property and a senior-housing community in Michigan. Mickey Rist and Bruce Gerhart of Love Funding closed a $4.02 refinance loan for Briarwood Apartments, a 168-unit multifamily community located in Portage. The complex features an outdoor swimming pool, covered parking, and private balconies and patios. Love Funding secured the loan, which carries 33-year amortization schedule and a 4.68 percent interest rate, through the FHA 223(f) program. Gerhart also secured a $2.7 million refinance loan for Pinewood Place, a 125-unit senior-housing facility located in Grand Haven. The five-floor community features one- and two-bedroom apartments. Amenities include a state-of-the-art fitness center, a game room, a library with free wireless Internet and walking trails. The loan, which was arranged through the FHA 207/223(f) loan program, carries a 4.72 percent interest rate with a 35-year amortization schedule. The borrowers were not disclosed.
CHICAGO — Essex Realty Group has completed the disposition and acquisition of a 54-unit multifamily courtyard building, which is located at 5235 W. Lake in Chicago’s Austin neighborhood. The property consists of 25 studios, 18 one-bedroom units, six two-bedroom units and five retail storefronts. Jim Darrow and Doug Imber of Essex represented the undisclosed buyer, which acquired the property for approximately $200,000.
EDEN PRAIRIE, MINN. — RJM Construction has commenced construction on a new Bobby & Steve’s Auto World in Eden Prairie. The 19,000-square-foot building will be located at 8100 Flying Cloud Drive, which is adjacent to Eden Prairie Shopping Center. The new store, named Randy’s Bobby & Steve’s Auto World, is scheduled to open in January 2011. The $4.2 million property will feature a car wash, seven service bays, a convenience store and food service with an outdoor dining plaza, as well as plans for a car museum.
SOUTH SHORE AND BELMONT CRAGIN, ILL. — Jeffrey Baasch of Sperry Van Ness’ Chicago office has closed two bank-owned, mixed-use property sales in the Chicago area. The assets are a 28-unit building located at 7847-53 S. Essex Ave. in South Shore and a four-unit building located at 6323-25 W. Belmont in Belmont Cragin. Additional terms of the transactions were not released.
DETROIT — Fuji Property LLC has purchased 9,945 square feet of industrial space at 1515-1527 Division St. in Detroit. C and M Young LTD sold the property for an undisclosed price. Fuji Property is affiliated with Fuji Japanese Buffet in Madison Heights, Mich., and plans to use the building for warehouse space. Robert Frank of Friedman Real Estate Group represented the seller in the transaction. The sales price was not disclosed.
LINCOLN, NEB. — Omaha-based Venture DST has acquired Farnam Tech Center, an office property located at 10826 and 10842 Farnam Dr. in Lincoln. Ameritas Life Insurance Corp. sold the property for $18 million. The two-building center offers 118,612 square feet of office space and a 383-stall parking garage. Built in 1986, the fully occupied buildings are anchored by TD Ameritrade, which leases 70 percent of the asset. Mark Seger of CB Richard Ellis|Mega represented the buyer; Richard Meginnis and Tom Graf of NAI FMA represented the seller in the transaction.