DUNDEE, MICH. — Reichle Klein Group has arranged the $2.8 million sale of three office buildings in Dundee, about 60 miles southwest of Detroit. The properties total 20,500 square feet and are situated on 4.2 acres within the Helle Powell Professional Center, which is located on Helle Boulevard. Ryan Miller of Reichle Klein represented the seller, Toledo, Ohio-based State Street Venture Partners LLC. The buyer was undisclosed.
FRISCO, TEXAS — Careington International Corp., a provider of medical and dental insurance, has opened a 75,000-square-foot office at 6435 Flyers Way in Frisco. The office space includes a call center, conference rooms, training rooms, quality assurance department space, an IT room, server room break room, open office space and executive offices. Dallas-based Merriman Anderson Architects designed the project, and Buckman Partnership Ltd. developed it. Careington has operated out of Frisco since 2001, and its employee based has grown from 60 to 425 during that stretch.
BOSTON — A partnership between Los Angeles-based investment firm CIM Group and Massachusetts-based Nordblom has sold 1000 Washington St. and 321 Harrison Ave., two office towers in Boston’s South End neighborhood totaling 475,000 square feet. The partnership originally purchased the properties, in 2017 and repositioned them: 1000 Washington Street, an 11-story, 242,000-square-foot building was renovated to provide Class A office space; and 321 Harrison Avenue, a three-story parking garage, was expanded by eight floors to create an 11-story, 233,000-square-foot office building. Funds managed by Blackstone acquired the buildings, and life sciences company BioMed Realty will operate the properties.
By David Simon, SIOR, COO, NAI DiLeo-Bram Having recently surpassed the one-year mark since COVID-19 reached the United States, we can now better assess the pandemic’s impact on our local office market. Reviewing a year of data and market activity helps paint a more detailed picture of where things stand currently and may be headed. The overall direct vacancy rate for the combined counties of Essex, Middlesex, Morris, Somerset and Union New Jersey has risen 120 basis points since the start of the pandemic to 12.7 percent. Much of the space becoming vacant or available is higher-quality product; in fact the Class A direct vacancy rate has risen 180 basis points during the pandemic and is currently 17 percent. As a result, tenants looking in this segment of the market have a broad selection of high-quality office product. Sublet space has followed a similar trend to that of direct space, marking a 70 basis point increase since the start of the pandemic. More than 1.1 million square feet of Class A sublease product has become available during this period. Notwithstanding the statistics above, our firm recently completed over 28,000 square feet of office leases in Middlesex County, at 100 Metroplex …
MIAMI — Thoma Bravo, a private equity firm focused on the software sector, has signed a long-term lease at 830 Brickell, a 55-story, Class A office building in Miami’s Brickell district. The founder of Thoma Bravo, Orlando Bravo, relocated to Miami late last year, and partner Chip Virnig and other existing members of the Thoma Bravo team have already moved to the Miami region. OKO Group and Cain International are co-developing 830 Brickell, which is currently under construction and expected to be delivered in 2022. Thoma Bravo will occupy roughly 36,500 square feet on the two top floors and establish a flexible workspace to accommodate the firm’s growing employee base. Thoma Bravo expects to open its office at 830 Brickell in the fourth quarter of 2022. Thoma Bravo’s Miami-based employees have already begun working from a temporary office space. Cushman & Wakefield represented the developers in the lease negotiations, and CBRE represented Thoma Bravo.
CHICAGO — IRI, a data analytics and market research firm, has signed an 80,594-square-foot office lease at 203 N. LaSalle in Chicago’s Central Loop submarket. IRI has relocated to the property after 30 years at 150 N. Clinton St. in the West Loop. Rising 27 stories and spanning 624,724 square feet, 203 N. LaSalle is a Class A office tower. Eric Myers and Jeff Dowdell of Transwestern represented the landlord, Sumitomo Corp. of Americas, in the transaction. Meredith O’Connor, Jake Ehrenberg and Matt Carolan of JLL represented the tenant.
LEXINGTON, MASS. — Locally based developer Greatland Realty Partners has broken ground on Revolution Labs, a 180,000-square-foot life sciences project in Lexington, a northwestern suburb of Boston. Revolution Labs will feature purpose-built laboratory infrastructure, full-service onsite amenities and multi-functional outdoor spaces. SGA is the project architect, and Callahan Construction Managers is the general contractor. JLL is handling leasing for the property. The development team expects the property to be available for occupancy by the third quarter of 2022.
ELGIN, ILL. — GoldCoast Logistics Group (GCLG) has broken ground on its new $15 million headquarters at 1425 Madeline Lane in Elgin, about 35 miles northwest of Chicago. The 61,888-square-foot facility will include a 38,000-square-foot warehouse and 23,000 square feet of office space. PANCOR Construction & Development LLC is the developer, architect and general contractor. NAI Hiffman assisted GCLG in its site selection. Spurred by the rise of e-commerce, GCLG was founded in 2010 and has grown from two employees in Wood Dale to 700 employees in Elgin, Florida and Arizona. The company’s truck fleet has more than quadrupled over the past three years. The new headquarters will feature a rooftop deck, two-story atrium, four break rooms, workout areas and a half-sized basketball court. There will be 26 dormitory rooms for truck drivers who need overnight accommodations. The warehouse will feature a clear height of 30 feet and parking for 40 trucks and cars. Construction is slated for completion in December.
SACRAMENTO, CALIF. — Pac West Office Equities has completed the disposition of a two-building office park located at 1625 and 1747 N. Market in Sacramento. San Francisco-based Nome Capital Partners acquired the asset for $57.5 million. Situated on 22.9 acres, the 315,372-square-foot property was 99 percent leased to the California Department of Consumer Affairs. The acquisition also includes 4.6 acres of excess land for potential development.
BLOOMFIELD, N.J. — Cresa has negotiated the off-market sale of Broadacres Office Park, a 393,000-square-foot property located in the Northern New Jersey community of Bloomfield. Originally built in 1976 and renovated in 2001, Broadacres Office Park consists of a quartet of four-story, 98,250-square-foot buildings. Amenities include a fitness center, cafeteria and a tenant lounge. P3 Properties sold the asset to ERCT Capital Group for an undisclosed price. Dennis Gralla, James Scancarella and Jonathan Marks of Cresa brokered the deal.
