FREMONT, CALIF. — Marcus & Millichap has arranged the sale of two buildings with a combined size of 7,200 square feet in the Bay Area city of Fremont. A private investor sold the medical office assets to an undisclosed buyer for $3.7 million. Western Dental occupies the assets, located at 3055 Mowry Ave. and 38780 Paseo Padre Parkway, on a net-lease basis. Yuri Sergunin, J.J. Taughinbaugh and Eric Carrillo of Marcus & Millichap’s Palo Alto office represented the seller in the deal.
CONSHOHOCKEN, PA. — Morgan Properties, a development and investment firm based in metro Philadelphia, has acquired a portfolio of 11 multifamily properties totaling 3,434 units in Pennsylvania. Morgan purchased the properties from their original developer, DePaul Management Co. The price was not disclosed. Matt Stefanski and Zachary Pierce of Berkadia brokered the transaction. The portfolio consists of: The new ownership plans to invest more than $80 million in capital improvements to the portfolio. Renovations will feature upgrades to units’ kitchens and bathrooms, as well as the installation of in-unit washers and dryers. Morgan will update lighting, landscaping, roofing and parking areas at all properties and install high-efficiency heating systems. Amenity and common area enhancements will also be undertaken throughout the portfolio. These initiatives will include fitness center upgrades and expansions; construction of exterior dog parks and pet wash stations; and additions of new amenities like Amazon package hubs, playgrounds, pickleball courts and outdoor grilling and dining stations. “The DePaul acquisition directly supports our strategic goal of acquiring large multifamily portfolios with high barriers to entry where our market concentration will enable us to achieve operational efficiencies and capitalize on economies of scale,” says Jonathan Morgan, president of Morgan Properties. — …
By Charlie Adams and Walker Adams of NAI Brannen Goddard Industrial real estate in Atlanta is in limbo as of the second quarter of 2024. Certain submarkets in Atlanta have been overbuilt and tenant demand with historically active users (third-party logistics, wholesale, e-commerce, etc.) has decreased in comparison to what was seen over the last four years. As a result of the space grab during COVID-19, many logistics tenants are sitting on excess inventory within their buildings. Consumer demand has cooled, increased interest rates have dampened the economy as a whole and rents have risen 14.5 percent year-over-year, according to CBRE’s most recent report. The impact of these headwinds for traditional industrial (warehouse and distribution) real estate is positive. Developers haven’t had the fundamentals allowing overbuilding to a point of hyper-supply. Industrial construction starts have been few and far between over the past 12 months, and we believe this lack of new supply will keep Atlanta’s fundamentals healthy through this limbo we’re currently experiencing. With 4 million square feet of net absorption in first-quarter 2024 and 15.9 million square feet under construction, we should see 2025 vacancy in line with current vacancy, assuming absorption continues at a similar pace. Therefore, …
SAN MARCOS, TEXAS — BWE has arranged an undisclosed amount of acquisition financing for The Junction, a 488-bed student housing property located near Texas State University in San Marcos. The community offers a mix of two-, three- and four-bedroom units. Amenities include a pool and a fitness center. The borrower, Campus Realty Advisors, will use a portion of the proceeds to fund capital improvements, including the addition of a new clubhouse, leasing center, study areas and community gathering space. Renovations will also include refreshed exterior paint, upgraded HVAC systems and water heater replacement, new property fencing and updates to the community’s security system, signage and landscaping. Chris Carroll and Max Miller of BWE arranged the financing through Byline Bank.
FRISCO, TEXAS — The Bays, in partnership with golf equipment and apparel manufacturer TaylorMade, will open The Bays at Frisco, an 18-acre golf resort that will be located on the northern outskirts of Dallas. The site is located near the PGA of America’s headquarters campus and Omni Hotel. The property will consist of a four-story, 100,000-square-foot golf lab and suites facility, restaurant and bar and a 19-room boutique hotel. The facility will also offer a custom club-fitting experience in which guests can watch their clubs being crafted onsite, as well as a 25,000-square-foot putting green, 12,000-square-foot private membership club and dedicated space for corporate events. Hotel suites will also have their own private hitting bays, and the hotel will offer a rooftop pool. The opening is scheduled for late 2025.
OUSTON — Braun Enterprises has completed the redevelopment of 53 West, a mixed-use property in the city’s Uptown neighborhood that consists of 168,000 square feet of office space and 32,000 square feet of retail space on a four-acre site. The redevelopment began in 2019 and included renovating and painting the exterior façades, remodeling the office interiors and enhancing ground-level storefronts. Braun also upgraded the property’s walkable pathways, lighting, landscaping and outdoor seating areas. Interior enhancements include upgraded common areas, restrooms, lobbies and atriums. Lastly, the development team converted one of the two office towers connected by the ground-floor retail space into Urban Office, a proprietary flexible workspace concept with private offices and shared amenities. An 11-vendor food hall opened at 53 West earlier this year as part of the repositioning, and two additional retail concepts are expected to open later this year.
SELMA, TEXAS — KW Automotive has signed a 74,880-square-foot industrial lease at 9388 Corporate Drive in Selma, a northeastern suburb of San Antonio. John Colglazier, Lindsey Tucker, Kyle Kennan and David Oldham of Partners Real Estate represented the landlord, a partnership between Atlanta-based developer Ackerman & Co. and Baltisse US Inc., in the lease negotiations. Webb Sellers and Drew Allen of SRS Real Estate Partners represented the tenant.
HOUSTON — Locally based brokerage firm Oxford Partners has negotiated a 22,127-square-foot office lease in Houston’s Energy Corridor. According to LoopNet Inc., the 17-story, 455,142-square-foot building at 580 Westlake Park Blvd. was built in 1982 and renovated in 2021. Ryan Hartsell of Oxford Partners represented the tenant, shipbuilder Hanwha Ocean, in the lease negotiations. Matt Asvestas, Grant Schiro and Ryan Barbles of Stream Realty Partners represented the landlord, Younan Properties.
CAMBRDIGE, MASS. — Locally based investment and development firm The Davis Cos. has completed a 161,616-square-foot life sciences facility in Cambridge. The facility at 101 Smith Place is one of four buildings within The Quad, a life sciences campus that is home to tenants such as Ginko Bioworks, Civetta Therapeutics, Invaio Sciences, Hyperion and Samsung Electronics. The facility features high-efficiency HVAC systems, surface and below-grade parking, a fitness center and indoor bike storage space. Davis developed 101 Smith Place in partnership with Invesco Real Estate. CBRE is marketing the property for lease.
AVON, CONN. — New Jersey-based Cronheim Mortgage has arranged a $24 million permanent loan for Avon Marketplace, a 78,687-square-foot shopping center located on the western outskirts of Hartford. The center was built on 17.3 acres in 1994 and is home to tenants such as ULTA Beauty, Athleta, LensCrafters, GAP Factory, New Balance, Starbucks and Verizon Wireless. Dev Morris, Andrew Stewart and Allison Villamagna of Cronheim arranged the loan, which carried two years of interest-only payments and a 25-year amortization schedule. The borrower and direct lender were not disclosed.
