CHICAGO — Northmarq has brokered the sale of a retail property occupied by Whole Foods Market in Chicago for $18.1 million. The 41,148-square-foot store is situated on the first floor of a condominium development at 6020 N. Cicero Ave. within the Sauganash neighborhood. The property was built in 2007. Isaiah Harf of Northmarq represented the seller, a private investor based in Maryland. The buyer was a California-based family trust.
APPLE VALLEY, MINN. — Colliers Mortgage has provided a $13.4 million HUD 223(f) loan for the refinancing of Boulder Ridge in Apple Valley, a southern suburb of Minneapolis. The 112-unit multifamily property provides naturally occurring affordable housing (NOAH) and is managed by CommonBond Housing. The loan features a 35-year term and a 35-year amortization schedule. CB Boulder Ridge LLC was the borrower.
ELYRIA, OHIO — Matthews Real Estate Investment Services has arranged the $9 million sale of a 256,595-square-foot industrial building in Elyria, a southwest suburb of Cleveland. The property sits on 15.5 acres at 860 Garden St. Matt Kovesdy and Jonah Yullish of Matthews represented the seller, a local partnership that purchased the property in the early 2000s as a value-add opportunity. The buyer, Dura-Line, is also a tenant at the facility. Dura-Line elected to purchase due to the building’s importance to its operations, according to Matthews. The transaction closed at $500,000 above the listing price.
HODGKINS, ILL. — Brown Commercial Group has negotiated two new leases totaling 131,605 square feet at 7335 Santa Fe Drive in Hodgkins, a southwest suburb of Chicago. Pioneer Service Inc. leased 61,355 square feet and M&M Quality Grinding Inc. leased 70,250 square feet. The distribution building is being renovated into a fully operational manufacturing facility with individual spaces for the two businesses. Completion is slated for mid-2023. Mike Antonelli of Brown Commercial Group represented the tenants. Adam Stokes of NAI Hiffman represented the landlord, UBS Realty Investors. Pioneer Service manufactures precision machining parts, while M&M produces metal bar stock.
By David Hodge, NAI Greywolf The demand for commercial industrial real estate was exceedingly strong in the Milwaukee market leading up to the onset of COVID-19. The economy and labor markets were also strong and incentives for onshoring spurred on this growth. Post-pandemic commercial industrial product continues its upward trend. The catalyst for this, however, is international supply chain disruptions. The reaction to this unfortunate circumstance is the accumulation of higher inventories of raw material and finished goods. The resulting impact is high demand, especially for warehouses, in an extremely low vacancy rate environment. Demand beating inventory According to Catylist, in the second quarter of 2022, the Milwaukee market’s vacancy rates were 3.3 percent for all commercial industrial products. This is largely due to the continued lack of available inventory. High demand in part has spurred increases in rental rates to approximately $5.98 per square foot triple net. While this is good news for landlords who look to capitalize, it presents challenges for tenants who are expanding their operations. The other factor driving rental rates is the rapid increase in interest rates. The upcoming election may also affect the rates in the later part of the fourth quarter of …
INDIANAPOLIS — CBRE has arranged the sale of The Coil, a 151-unit apartment complex in Indianapolis. The sales price was undisclosed. Built in 2017, the property is situated within the Broad Ripple Village entertainment district. Floor plans average 887 square feet. Steve LaMotte Jr. and Dane Wilson of CBRE represented the seller, Promus Realty Properties. The Connor Group was the buyer.
CLEVELAND — The NRP Group has opened 5115 at The Rising, an affordable housing community in Cleveland’s Broadway-Slavic Village. The project consists of 78 apartment units and 10 townhome units, all of which are affordable residences that will be reserved for low- to moderate-income renters. Supported by the Ohio Housing Finance Agency’s Housing Tax Credit program, the community currently has a waitlist of potential residents and has received more than 2,200 inquiries. Additional funding came from KeyBank, Ohio Capital Corp. for Housing, City of Cleveland and Third Federal Foundation. University Settlement, which provides community, family, youth and senior programs, is relocating its offices to the building, occupying 20,000 square feet on the first floor. Another 5,000 square feet of commercial space will serve as a food pantry and a Cuyahoga Community College Access Center.
ST. PETERS, MO. — Reaction Auto Parts Inc. has signed a 265,393-square-foot industrial lease at Premier 370 Business Park in St. Peters, a western suburb of St. Louis. The company will occupy space at the final building within the industrial park, which is slated for completion before the end of the year and will span 366,916 square feet. To date, the development is home to 4.2 million square feet and tenants such as Reckitt Benckiser, Best Buy, Grove Collaborative and Amazon. In 2021, Panattoni Development purchased the last two lots available from Duke Realty and developed a 423,000-square-foot building earlier this year as well as the final building. Geoff Orf and Chad Burkemper of Colliers and Matt Hrubes of CBRE represented Panattoni.
EAST CHICAGO, IND. — Merchants Capital has provided a $15.5 million HUD 221(d)(4) loan for the construction of Lakeshore Manor in East Chicago. Designed to replace the former John B. Nicosia senior building, the development will consist of two four-story buildings that will house 206 units. The residences will be reserved for seniors age 62 and older who earn up to 60 percent of the area median income. Merchants also structured a $13.5 million equity bridge loan through its parent company, Merchants Bank of Indiana. Cinnaire, the property’s equity investor, provided a $21.7 million low-income housing tax credit investment (LIHTC) for the project. Total development costs are estimated at $51 million. DTM Real Estate is the developer. Completion is slated for February 2024.
GODFREY, ILL. — IMPACT Strategies has begun construction of the new BJC Outpatient Center in Godfrey, about 30 miles north of St. Louis. The 20,000-square-foot outpatient clinic marks IMPACT’s eighth project for BJC HealthCare. St. Louis-based SCOUT Capital Group is the developer and Archimages Architects is the project architect. Midwest BankCentre provided funding. Completion is slated for summer 2023.
