CHICAGO — Frontline Real Estate Partners LLC, Carr Realty Advisors LLC and Stillwater Advisory Group Inc. have formed a new joint venture known as Frontline Real Estate Partners- Shopping Mall and Lifestyle Division. The venture will provide its clients with receivership, property and asset management, and leasing and disposition services for malls and lifestyle centers. “We have all seen the downturn of malls in recent years, with low occupancy levels and retailers going into bankruptcy. The pandemic expedited that even more,” says Matthew Tarshis, principal of Frontline. “We felt the urgency to form this new joint venture to provide real estate solutions for the distressed portion of this niche asset class.” Tarshis is joined by Joey Carr of Carr Realty and Chris Facas of Stillwater. All three real estate firms are based in Chicago.
BROOKLYN CENTER AND BROOKLYN PARK, MINN. — Marcus & Millichap has negotiated the sale of two multifamily properties in suburban Minneapolis for $12.6 million. Built in the late 1960s, West Broadway Apartments in Brooklyn Park includes 59 units. Monthly rents range from $850 to $1,673. Sterling Square Apartments in Brooklyn Center features 54 units across four buildings. Units average 820 square feet and monthly rents range from $860 to $1,665. Abe Roberts of Marcus & Millichap marketed the properties on behalf of the seller and procured the buyer, a national investor.
Ralph Cram, president and manager of Envoy Net Lease Partners LLC, is responsible for providing strategy, marketing and investment advice on all aspects of net lease property investments. He believes 2021 will be a banner year for net lease, and that Envoy is particularly well suited when it comes to providing “one-stop shopping” for developers. Finance Insight: How is Envoy is different from a “normal” commercial real estate finance provider? Cram: Envoy’s focus is construction and bridge loan lending on single-tenant, net-lease properties in most commercial real estate segments such as retail, restaurant, medical and industrial properties. What differentiates us from most lenders is that first and foremost, Envoy can lend up to 100 percent of the total project costs. A developer receives all the project’s capital from one source without having to take on outside investors and time-consuming joint-venture (JV) and related agreements. Envoy’s “one-stop shopping” allows developers to concentrate on what they do best and provides the entirety of financing and other capital considerations for a given project. Second, the only thing we do is lend on net-lease properties, so we are experts. We don’t do an apartment loan one day and a PPP loan the next. We don’t leave, enter and then re-exit the net-lease market and …
DUBUQUE, IOWA — Alston Construction and Ware Malcomb have completed a new customer service center for Medline Industries Inc. in Dubuque. The 130,000-square-foot call center features more than 1,000 workstations. The project also features an outside patio as well as a 5,200-square-foot multipurpose room with a basketball court and fitness center. Medline, a manufacturer and distributor of healthcare supplies, has added more than 100 new jobs at the Dubuque facility. Alston served as general contractor and Ware Malcomb provided architecture and interior design services for the project.
MINNEAPOLIS — Blu Dot is expanding its headquarters in the Northeast Minneapolis Arts District to 60,000 square feet. Blu Dot, a furniture designer and retailer, will expand its onsite retail store and add creative office space for its employees. The company’s headquarters are located at the 20-acre Crown-Arts Center, which is owned by Chicago-based R2 Cos. Today, Blu Dot owns and operates 10 stores across the U.S. and three internationally.
URBANDALE, IOWA — Developer TWG is underway on construction of Lillis Lofts, a $10 million affordable housing project in Urbandale. TWG is developing the project with Dreamcatcher Inc., a Des Moines-based nonprofit that helps build housing for low-income individuals and those with disabilities. Located at 6313 Douglas Ave. near the Merle Hay Mall, the three-story Lillis Lofts is slated for completion this fall. It is the first affordable housing project in the area in more than two decades, according to TWG. The 43 units at Lillis Lofts will be designated for renters who earn between 30 and 60 percent of the area median income. Amenities will include a community room, fitness center and free internet connectivity. ID8 Architects designed the community. Polk County Housing Trust Fund contributed funds for the project.
EAST PEORIA, ILL. — Slumberland Furniture will open a new store at the former Gordmans space at The Levee District in East Peoria. The regional furniture retailer will occupy 50,221 square feet and will become an anchor tenant at the development. Slumberland offers a large selection of mattresses, bedding, living room furniture, recliners, tables, bedroom furniture, home entertainment and desks. Owned and managed by Cullinan Properties Ltd., The Levee District spans more than 86 acres with 650,000 square feet of retail and restaurant space, as well as office, hotel and civic components.
WHEELING, ILL. — Marcus & Millichap has negotiated the sale of Creekside Plaza in Wheeling for $2 million. The 31,460-square-foot retail center is located at 200-300 McHenry Road. Some of the tenants include a beauty salon, dry cleaners and dentist office. Adrian Mendoza, Austin Weisenbeck and Sean Sharko of Marcus & Millichap marketed the property on behalf of the seller, a limited liability company. The team also secured and represented the buyer, a Chicago-based 1031 exchange investor.
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Morgan Properties, Olayan America Acquire 14,414-Unit Apartment Portfolio Across Midwest, Southeast for $1.7B
KING OF PRUSSIA, PA. — Morgan Properties and Olayan America have acquired a portfolio of 48 apartment communities totaling 14,414 units in 11 states for $1.7 billion. STAR Real Estate Ventures, a joint venture between El-Ad National Properties LLC and Yellowstone Portfolio Trust, was the seller. The portfolio, named the North Star Portfolio, consists of Class B assets in Florida, Texas, Georgia, North Carolina, South Carolina, Louisiana, Michigan, Illinois, Indiana, Ohio and Maryland. On average, the communities total 300 units each and date to 1985. “While most of our competitors remain defensive and on the sidelines, Morgan Properties continues to play offense. North Star was right in our wheelhouse given the barriers to entry and we pounced on the opportunity to secure it,” says Jonathan Morgan, president of Morgan Properties. “The North Star investment speaks to the strength of our partnership with Morgan Properties and our continued confidence in the multifamily sector,” says Erik Horvat, managing director and head of real estate at Olayan America. The buyers plan to invest an additional $100 million for enhancements and amenity upgrades at the properties. With the North Star acquisition, Morgan and Olayan entered five new states, including Florida, Texas, Georgia, Louisiana and …
DETROIT — Rich & Associates has completed the design for Ford Motor Co.’s new Bagley Parking Hub in Detroit. Rich led the design team for the parking garage structure and is providing ongoing parking engineering consultation throughout the construction process. Construction of the so-called mobility hub is scheduled to begin soon with completion slated for 2022. Situated in Detroit’s Corktown neighborhood, the Bagley Parking Hub will offer space for e-bikes and scooters in addition to 1,250 cars. The structure will feature electric vehicle charging stations, automated payment technologies and exterior artwork as well as public plazas and green space. The Bagley Parking Hub will be part of the 30-acre mobility innovation district being built by Ford Motor Co. around Michigan Central Station. Rich worked with Rossetti, Strategic Energy Solutions and Giffels Webster. Rich is a firm dedicated solely to parking design, planning and management.