GRAND PRAIRIE, TEXAS — Lee & Associates has negotiated a 164,000-square-foot industrial lease at 927 W. Carrier Parkway in the central metroplex city of Grand Prairie. Mark Graybill and Colton Rhodes of Lee & Associates represented the landlord, LINK Industrial, in the lease negotiations. David Eseke of Cushman & Wakefield represented the tenant, Wizards of the Coast, LLC, a publisher of role-playing games that previously operated retail stores.
TUSTIN AND SAN DIEGO, CALIF. — Padma Laxmi LLC has purchased a medical office property in Tustin and an industrial facility in San Diego for a total consideration for $43.6 million. An affiliate of Cress Capital sold the medical office asset located at 2742 Dow Ave. in Tustin. Built in 1979, the two-story property features 51,588 square feet of medical office space. Doctor’s Best, a nutritional supplement company, occupies the entire building under a sublease from Orange County-based MemorialCare. Anthony DeLorenzo, Gary Stache, Bryan Johnson, Todd Tydlaska and Doug Mack of CBRE represented the seller, while Richard Schwartz of Colliers International and Jim DeRegt of Lee & Associates represented the buyer. Additionally, Padma Laxmi purchased an 85,824-square-foot industrial facility located at 10054 Old Groove Road in San Diego’s Scripps Ranch neighborhood. Manscaped, a start-up online shaving company, will occupy the property, which was vacant at the time of acquisition. Originally built in 1971, the facility was renovated in 2018. Trevor Damyan of CBRE’s downtown Los Angeles office arranged a $28.3 million, 10-year, fixed-rate loan for the acquisition of both properties on behalf of the buyer.
GOODYEAR, ARIZ. — Cushman & Wakefield has arranged the sale of Arizona Storage Center, a self-storage facility located at 18211 W. McDowell Road in Goodyear. FRC Goodyear sold the property to a private investor for an undisclosed price. The 54,976-square-foot property features 424 units, including 175 RV/boat storage spaces. The buyer plans to convert the RV/boat storage area into covered spaces. The property features 59 percent self-storage units and 41 percent RV/boat storage spaces. Paul Boyle and Rick Danis of Cushman & Wakefield’s Self Storage Advisory Group in Phoenix represented the seller in the deal.
Magnus Development Starts Construction on 192,780 SF Industrial Building in Columbia, South Carolina
COLUMBIA, S.C. — Magnus Development has started construction on Midway Logistics VI, a 192,780-square-foot industrial building in Columbia. The spec warehouse is situated within Lexington County Industrial Park, near downtown Columbia and five miles from Interstate 20. The building will feature 32-foot clear heights, trailer parking, ESFR sprinklers and motion-sensor LED lighting. Magnus plans to complete the building in second-quarter 2021. Chuck Salley, Dave Mathews, Thomas Beard and John Peebles of Colliers International will handle the leasing and marketing efforts for the property. In March of this year, Magnus delivered Midway Logistics IV, a 200,000-square-foot building. Colliers arranged a 150,000-square-foot lease to TreeHouse Foods in September. Additionally, Magnus is developing Midway Logistics V, a 180,000-square-foot facility within the same business park.
CLEARWATER, FLA. — Cedarwood Development has delivered a 585-unit US Storage Centers-branded facility in Clearwater. The self-storage property is situated at 1000 S. Myrtle Ave., 23 miles west of downtown Tampa. Westport Properties Inc. is managing the asset, which features climate-controlled units, passenger elevators, moving carts and drive-up units. The facility comprises 60,000 square feet. This is the first facility in Clearwater for both Fairlawn, Ohio-based Cedarwood Development, which is an affiliate of Cedarwood Cos., and US Storage Centers. US Storage Centers has more than 10 million square feet in its nationwide portfolio.
TAMPA, FLA. — JLL has arranged the $31.8 million sale of Breckenridge Park, a 15-building industrial campus in eastern Tampa. The asset comprises 334,000 square feet and is situated at 5402-5460 Breckenridge Parkway, nine miles east of downtown Tampa. The buildings were developed between 1982 and 1998. Bret Felberg, Jeff Morris, John Dunphy and Peter Cecora of JLL represented the seller, MLG/PF Breckenridge Investment LLC, which is affiliated with MLG Capital. A joint venture partnership between The Arden Group and Avistone purchased the asset. Jillian Mariutti, Brian Gaswirth, Michael DiCosimo and Drew Jennewein, also with JLL, arranged a $26.3 million acquisition loan through BlackRock on behalf of the buyer. The joint venture will use a portion of the proceeds to implement a capital improvement plan.
By Taylor Williams As commercial property types go, self-storage is considered one of the toughest to sink in times of economic hardship. As Texas and the United States enter the eighth full month of the COVID-19 pandemic, this quality is beginning to show through. Natural disasters like floods and hurricanes tend to be windfalls for the asset class, as displacement from homes and damage to commercial properties raise short-term demand for self-storage. A pandemic does not have quite the same effect on the property type, especially when residential landlords in the United States are legally barred from evicting tenants. But for the major self-storage markets of Texas, COVID-19 has generated some positive results. COVID’s impact on self-storage is somewhat similar to Hurricane Harvey’s impact on the Houston multifamily market in 2017, which was also overbuilt and saw an overnight boost in occupancy as a result of the storm cutting into supply. In essence, COVID-19 has served as a mechanism to bring supply-demand balances closer to equilibrium. Because prior to the pandemic, the development pipelines in the major cities of Texas were peaking, creating oversupplied markets that were defined by sluggish rent growth, concessions and high levels of competitions for new …
DALLAS — The Dallas-Fort Worth (DFW) industrial market posted a vacancy rate of 6.5 percent to close the third quarter while seeing its 11-year streak of positive quarterly absorption remain intact, according to a new report from Newmark Knight Frank (NKF). Though overall vacancy is up 30 basis points from a year ago, the metroplex absorbed approximately 3.6 million square feet of space in the most recent quarter, down just 7 percent from that period in 2019. This activity indicates that industrial users are still attracted to the market’s exceptional job and population growth despite the recession-inducing COVID-19 pandemic. While third-quarter net absorption was also down from the second quarter of this year, industrial users and owners transacted more leases (604) in that period, up from 486 deals during the previous quarter. Among the largest deals inked in the third quarter were Uline’s 1.1 million-square-foot lease in Las Colinas, Amazon’s 1 million-square-foot lease in southeast Dallas and HelloFresh’s 375,000-square-foot lease, also in Las Colinas. Year-to-date, the market has already absorbed more than 17 million square feet of industrial space. The report pegged the amount of industrial product under construction at roughly 28.3 million square feet, but with vacancy up 300 …
DECATUR, GA. — Dermody Properties will develop LogistiCenter at Miller Road, a 154,440-square-foot industrial property in Decatur. Dermody expects to break ground by the end of this year and to deliver the asset in the third quarter of 2021. The facility will be divisible by 77,220 square feet and will offer build-to-suit office space, 35 dock-high doors, 32-foot clear heights, 145 car parking spaces, 23 trailer spaces and ESFR sprinklers. Dermody recently closed on the 11-acre plot, which is situated at 2800 Miller Road, 14 miles east of downtown Atlanta and one mile from Interstate 20. Austin Brannen and Matt Bentley of NAI Brannen Goddard will be the leasing brokers for the project. Jacob & Hefner Associates is engineering the site plans, and Ware Malcomb is the architect for the shell design.
WASHINGTON, MO. — Contegra Construction Co. has completed building a new headquarters and manufacturing facility for Melton Machine & Control Co. in Washington, about 50 miles west of St. Louis. The 367,000-square-foot project more than doubles the size of the company’s existing 154,000-square-foot operations. The development includes a 74,000-square-foot corporate office, training and conference space, and is designed to improve collaboration and support with nearby subsidiary Computech Manufacturing Co. The headquarters is situated on 42 acres within Heidmann Industrial Park. Joining Contegra on the project team were Gray Design Group, 21 Design Group, Case Structural Engineering, RJP Electric, Wiegmann Associates, Heggemann Plumbing, Bi-State Fire Protection and Washington Engineering & Architecture. Melton designs and builds automated welding systems for a variety of industries. The company employs 132 workers and plans to add another 20 employees at the new facility.