The real estate environment in the Greater Portland region has been incredibly strong this year. On top of the favorable vacancy rates in the industrial, retail, and multifamily sectors, the office market vacancy in the region continues to dwindle, following the trend we’ve seen over the last five years. In a state with a geographic footprint that could nearly fit the rest of New England, the bulk of office inventory is concentrated in the southern region. Specifically, the supply is in the Greater Portland area, which comprises seven cities and towns. This region features just over 10.5 million square feet of Class A and Class B office space, with an additional 1.25 million square feet of medical space. Of that, 40 percent is located in downtown Portland. Portland is in the midst of a renaissance of sorts. Demand and desirability to live and work here, especially downtown, has grown significantly in recent years. We’ve become a “foodie” destination with a surge of new high-end restaurants and hotels. This coupled with beautiful water views and a unique way of life has attracted a younger demographic. Baby boomers and empty nesters are also relocating to this area from the suburbs. The movement …
The retail sector in Southern Maine’s commercial real estate market remained strong through year-end 2015 with all signs indicating continued improvement through 2016. While the national average retail vacancy rate increased to 12.6 percent in 2015, the retail vacancy dropped to 3.6 percent in Greater Portland, according to Malone Commercial Brokers’ annual retail survey. Greater Portland is a major market in Southern Maine consisting of 6.46 million square feet of retail space. 2015 marked the sixth consecutive year of declining vacancy rates in the market since its 10-year high of 10.8 percent in 2009. Meanwhile, the national retail vacancy rate rose in 2015 over year prior, marking the first vacancy increase in five years and nearly matching the 2011 national vacancy rate of 12.9 percent. Heading into the third quarter of 2016, Southern Maine’s retail sector remains extremely healthy. Short-term forecasts for Portland predict continued absorption of existing space, new retail construction, and strong market competition. Significant Developments and Redevelopments Thompson’s Point, Portland — Represented by Drew Sigfridson of CBRE / The Boulos Company, this 29-acre redevelopment offers up to 220,000 square feet of retail, office, hospitality, and recreational space off of Interstate 295. Final renovations of the 34,000-square-foot Brick …
PORTLAND, MAINE — The University of Maine has selected Harriman and The Cecil Group, a newly merged architectural firm, to master plan facilities across the seven state campuses in Fort Kent, Presque Isle, Orono, Machias, Augusta, Farmington and Southern Maine, among other locations and sites. The comprehensive suite of documents, which will be created, will guide the future development and management of the university system’s physical campuses. Harriman and The Cecil Group will perform master planning and facilities planning across the university system in a unified effort with all campuses. As part of Maine’s One University Initiative, the planning activities at each individual campus will develop a site-specific identity that integrates with the system as a whole. The university system intends for the master plan to build community engagement, provide opportunity for input and for constituents to have an awareness, understanding and stake in the outcome. Additionally, the comprehensive and long-range plans will be tied to strategic direction and planning of each campus, as well as responsive to current requirements and future development needs. Harriman and The Cecil Group are collaborating with Goody Clancy and Rickes Associates on master planning, campus planning and in-depth facility programming.
SOUTH PORTLAND, MAINE — CBRE/New England and CBRE – The Boulos Company have arranged the sale of Liberty Commons and Redbank Village, two adjacent multifamily properties in South Portland. Jones Street Investment Partners acquired the 620-unit portfolio for $87.5 million. Delivered in 2006, Liberty Commons features 40 one-bedroom units, four two-bedroom/one-bath units, four two-bedroom/one-and-half-bath units and 72 two-bedroom/two-bath units with the average size of 1,075 square feet. Built in 1945, Redbank Village features 48 one-bedroom units, 302 two-bedroom/one-bath units and 150 three-bedroom/one-bath units with an average size of 752 square feet. The communities share a free clubhouse amenity center, which is also home to Roots and Fruits Daycare and Preschool. Simon Butler and Biria St. John of CBRE/NE, along with Joe Porta of CBRE – The Boulos Company, represented the undisclosed seller in the transaction.
FREEPORT AND WATERVILLE, MAINE — GL Rogers & Co., through Pendleton Point LLC, has purchased the Hampton Inn Freeport and the Hampton Waterville, two hotels totaling 158 rooms in Freeport and Waterville. The Vickery Company sold the assets for $16.9 million. Located at 194 Lower Main St. in Freeport, Hampton Inn Freeport features 77 guest rooms, 312 square feet of function space, a business center, fitness room and indoor pool. Located at 425 Kennedy Memorial Drive in Waterville, Hampton Inn Waterville features 81 guest rooms, a fitness room, indoor pool and business center, as well as 1,850 square feet of function space. The buyer has retained Maine Course Hospitality Group to manage both hotel properties. Denny Meikleham and Alan Suzuki of HFF represented the seller in the transaction.
BRUNSWICK, MAINE — Katz Properties has acquired Cook’s Corner Shopping Center, a 302,000-square-foot shopping center in Brunswick, for $13.2 million. Situated on 32.5 acres, the property is occupied by a diverse tenant mix including Sears, Regal Cinema, Big Lots, TJ Maxx, Staples, Dollar Tree, Applebee’s, Dunkin’ Donuts and Five Guys Burgers & Fries. At the time of sale, the property was 84 percent occupied. Acquisition financing was provided by Blue Hills Bank of Massachusetts and arranged by Tim Breda and Peter Kenn of Goedecke & Co. Geoffrey Millerd and Justin Smith of Newmark Grubb Knight Frank represented the undisclosed seller in the transaction.
PORTLAND AND SCARBOROUGH, MAINE — CBRE/New England and CBRE – The Boulos Company has arranged the sale of the Casco Bay Portfolio, a three-property multifamily portfolio located in Portland and Scarborough. An affiliate of Chestnut Realty Management acquired the assets from an affiliate of Resource Real Estate for $50.2 million. The 309-unit portfolio includes the 115-unit Tamarlane Apartments in Portland; the 104-unit Foxcroft Apartments in Scarborough; and the 90-townhome Coach Lantern Apartments in Scarborough. Simon Butler and Biria St. John of CBRE/NE, along with Joe Porta of CBRE – The Boulos Company, represented the seller and procured the buyer in the transaction.
PORTLAND, MAINE — Colliers International has brokered the sale of an industrial property located at 264 Freestone Drive in Portland. Freestone Avenue LLC acquired the facility from Essentra Packaging US Inc. for $1.2 million. Situated on 6.3 acres, the 107,639-square-foot property was formerly the Clondalkin Pharma & Healthcare facility. Biff Zoephel of Colliers International brokered the transaction.
PORTLAND, MAINE — Sperry Van Ness International Corp. has added a franchise office in Portland. Led by Erik Urbanek, Sperry Van Ness/The Urbanek Group will focus on providing comprehensive brokerage and development services for commercial properties in Northern New England and beyond. Urbanek brings more than 10 years of sales and leasing experience throughout the Maine commercial real estate market to Sperry Van Ness.
PORTLAND AND AUBURN, MAINE — CBRE | The Boulos Company has arranged two transactions in Maine. In the first transaction, Wayne Enterprises LLC has acquired a retail and office investment property at 622-624 Congress St. in Portland. The 21,112-square-foot property is currently occupied by United States Postal Service and Mercy Hospital. The seller was Stone Coast Properties LLC. Joe Porta of CBRE | The Boulos Company arranged the transaction. In the second transaction, CEVA Logistics signed a lease for 47,000 square feet of industrial space at 55 Logistics Dr. in Auburn from Gendron & Gendron Inc. Craig Young and Chris Paszyc of CBRE | The Boulos Company arranged the transaction. The sales prices of the transactions were not released.