HOUSTON — NAI Partners has secured a 91,200-square-foot industrial lease at 9010 W. Little York Road in northwest Houston on behalf of Favorite Brands, a distributor of alcoholic beverages. John Ferruzzo and Nick Peterson of NAI Partners represented Favorite Brands in the lease negotiations. Matteson Hamilton of Stream Realty Partners represented the landlord, KTR Hou IV LP.
NORTH CHARLESTON, S.C. — LRC Properties has acquired Leeds Park, a 1.1 million-square-foot industrial complex located at 4500 Leeds Ave. in North Charleston, for $42 million. Dexter Rumsey, Shep Benjamin and Andie Edmonds of NAI Charleston arranged the transaction on behalf of LRC Properties. Amherst Capital Management provided debt financing for the acquisition and future renovations. The seller was not disclosed. Leeds Park is located on 72 acres off Interstate 526, near the Port of Charleston, Charleston International Airport and Boeing’s manufacturing facility. The center offers office, manufacturing and flex space and features a water treatment plant, air compressors, large electrical capacity, conditioned space and more than 1,200 parking spaces. At the time of sale, the property was 75 percent leased to tenants including MAHLE, American Axle & Manufacturing, Cumming, the Charleston Chamber of Commerce and Limestone College. LRC plans to invest approximately $15 million in infrastructure and aesthetic improvements, including a new façade on part of the building, added amenities and a new entrance, signage and landscaping. In addition, LRC will renovate roughly 40,000 to 50,000 square feet of office space to Class A standards and another 150,000 square feet of industrial space to create needed flex/industrial space. Interior …
In the greater Fort Worth commercial real estate market, there was a scarcity of industrial speculative development until 2007-2008. A number of submarkets saw projects go vertical at this time, including Alliance, North Fort Worth and South Fort Worth. The results were mixed. While there were some successes, a number of developers found themselves at the mercy of unfortunate timing. Deal velocity slowed, leaving well-positioned buildings competing for the same tenants. This resulted in unanticipated, extended vacancy time frames and generous tenant concessions. Fast forward to 2017 — 10 years after the last cycle — and we are in the midst of an even more ambitious round of speculative development. Although many would say we are in the late innings of this real estate upswing, the number of new starts under construction or announced across Fort Worth paints a different picture. Is the continued construction justified, or is this another example of developers falling in love with the market fundamentals and not paying enough attention to market-specific deal velocity? According to the U.S. Census Bureau, Fort Worth’s population has grown 60 percent since 2000, making it the 16th-largest city in the country and the fastest-growing among the 20 largest cities …
MONTVILLE, N.J. — Natixis has originated a $40 million floating-rate loan to a joint venture between Camber Real Estate Partners, Advance Realty and an institutional investor for the acquisition of 19 Chapin Road, an industrial campus located in Montville. The four-building campus features 529,110 square feet of light industrial space. Current tenants include Pitney Bowes, Doosan, Trane and Samsung. The loan includes an initial funding of $35 million plus an additional $5 million that is earmarked for future leasing and capital improvement work. Greg Nalbandian of HFF arranged the financing for the borrower.
COLLEGEVILLE, PA. — HFF has arranged $32.9 million in financing for Global Data Center, a purpose-built, Tier III+ data center facility located at 1000 Black Rock Road in Collegeville. The borrower, GI Partners, will use the financing to acquire the property. Kevin MacKenzie, Ryan Ade, Jamie Kline and Christian Tober of HFF arranged the three-year, floating-rate loan through Wells Fargo Bank for the borrower. Completed in 2009, the 203,702-square-foot facility features an available power load of 4.6 MW and the capacity to be expanded to 7 MW with additional capital investment.
MADISON, WIS. — Reich Brothers Holdings LLC and Rabin Worldwide have partnered to redevelop the former Oscar Mayer plant in Madison. The partnership will sell the equipment within the facility at a live and online public auction onsite on Dec. 6-8. Oscar Mayer, a producer of hot dogs, bacon and cold cuts, had occupied the property since 1919, with the site serving as its headquarters from 1957 to 2016. Kraft Heinz announced the closure in 2015 and officially ceased production this summer. The campus features 1.7 million square feet on a 72-acre site. The plan is to redevelop the campus, including repurposing several existing buildings, with a balanced mix of light manufacturing, warehouse, distribution and office space.
ROSEVILLE, MINN. — Meritex is developing two 144,000-square-foot industrial buildings in Roseville, 10 miles northeast of St. Paul. Highcrest II and III will replace the former 360,000-square-foot Minnesota Technology Exchange building upon its demolition this month. The property is located at 2470 Highcrest Road. Meritex developed the building currently on the site in 1964, and owned and managed the property for four decades. The company sold the building in 2004, and then repurchased the asset in 2016. Completion of Highcrest II and III is slated for fall 2018. David Stokes, Todd Hanson, Jason Sell, Chris Weirens and Ian Thompson of Cushman & Wakefield will market the property for lease.
FORT WORTH, TEXAS — Bob Moore Construction Inc. has completed a 641,226-square-foot facility for TTI Inc., a Fort Worth-based distribution firm. The facility, which will serve as the company’s main office headquarters and distribution center, is located within Mercantile Center, an industrial park situated along Meacham Boulevard on the city’s north side. Bob Moore Construction broke ground on the property, which features a tilt-wall configuration and 38 loading docks, in June 2016.
HOUSTON — Stream Realty Partners has broken ground on Northwest Logistics Center, a 411,442-square-foot distribution center situated on 26 acres off North Eldridge Parkway just south of State Highway 290 in northwest Houston. Scheduled to deliver in June 2018, the cross-dock facility will feature 32-foot clear heights, an ESFR sprinkler system and additional outdoor/trailer storage space. The property is designed to accommodate users with footprints ranging from 75,000 square feet to the building’s full capacity.
GARLAND, TEXAS — JLL has arranged a 164,419-square-foot industrial lease at 3502 Regency Crest Drive in the Dallas metro of Garland on behalf of Zobele Group, an Italian product development and manufacturing firm. The company is expected to move in during the second quarter of 2018. Terry Darrow and Chris Stout of JLL represented Zobele Group in the lease negotiations. Ryan Wolcott of Stream Realty Partners represented the landlord, Stag Texas Holdings.