Property Type

Central-Circle-Logistics-Park-McKinney

By Ben Wallace, SIOR, vice president, Colliers Over the past decade, “suburban industrial” buildings have become more critical than ever. A suburban industrial building can be defined as one that is located within the suburbs of a major metroplex and designed for small- to medium-size users with above-average allotments of office/showroom space to accommodate service and light distribution uses. The typical building and infrastructure designs naturally limit heavy truck traffic and achieve higher rental rates, deterring heavy distribution and manufacturing users from locating there.   With macro-level shifts in how people shop for and acquire goods and services, the need for suburban industrial buildings that are located near consumers has become increasingly important. Most cities have done an excellent job of regulating and altering development standards for these assets to meet this need while being careful to avoid creating rundown industrial areas in their communities. These cities have achieved this goal by elevating development standards to feature clean concrete exterior façades as well as the screening of dock loading areas and attractive glass entrances. The reason that many of these items are important is that the vast majority of these suburban industrial developments are not appropriately zoned when developers come to …

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The U.S. economic picture is an opaque one for lenders and borrowers alike as inflationary pressures persist and the massive swings in interest rates are still working their way through the economy. At its May meeting, the Federal Open Markets Committee (FOMC) raised the federal funds rate for a 10th consecutive time to a target range of 5 to 5.25 percent. The fed funds rate is the interest rate that U.S. banks charge each other to lend funds overnight. This time a year ago, the short-term benchmark rate was at a range of 0.75 percent to 1 percent. Raising the feds fund rate is the primary way that the Federal Reserve combats inflation, which was at a 3 percent annual rate in June, according to the Bureau of Labor Statistics’ Consumer Price Index (CPI). The CPI is at its lowest level in more than two years, which is generally viewed as a positive sign for economic stability, though the June figure is 100 basis points more than the Fed’s target inflation goal of 2 percent. Jason Scott, managing director and head of conventional loan production at Regions Bank, estimates that it can take six to eight months for each interest …

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CEDAR HILL, TEXAS — Pratt Industries, a Georgia-based provider of recycled paper and packaging products, has opened a $253 million manufacturing facility in Cedar Hill, a southern suburb of Dallas. About 375 people will eventually work at the 1.1 million-square-foot facility, which will be known as the Cedar Hill Corrugating & Innovation Center. With the opening of this facility, Pratt now employs about 11,500 people across 71 factories in 25 states.

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7901-Metropolis-Drive-Austin

AUSTIN, TEXAS — CBRE has arranged the $142 million sale of a 272,636-square-foot outpatient facility in Austin that is fully leased to the U.S. Department of Veterans Affairs. The two-story building was originally constructed in 2013. Services offered at the clinic include physical therapy, mental health counseling, radiation treatments, prosthetic replacements, cardiology and neurology. Will Pike, Lee Asher, Brian Pfohl, Cyrus Felfeli and Jordan Selbiger of CBRE represented the seller, Health Care Property Advisors, in the transaction. The buyer was not disclosed.

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Cardinal-Road-Self-Storage

WAXAHACHIE, TEXAS — A joint venture between two locally based firms, 2GR Equity and Connell Realty Services Inc., has completed construction of Cardinal Self Storage, a 570-unit facility located in the southern Dallas suburb of Waxahachie. Dallas-based Lone Star Self Storage will operate the 76,000-square-foot facility, which is located at the corner of State Highway 77 and Cardinal Road. Merriman Anderson Architects designed the project, and Simmons Bank provided construction financing.

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WINTER GARDEN, FLA. — JLL has arranged a $145 million loan for the refinancing of a four-property hotel portfolio in the Orlando suburb of Winter Garden totaling nearly 1,000 rooms. Gregg Shapiro and Barnett Wu of JLL arranged the financing through Aareal Capital Corp. on behalf of the borrower, Doradus Partners, and its management affiliate, Yedla Hotels. The hotels in the portfolio includes: the 223-room Residence Inn by Marriott (2111 Flagler Ave.); the 273-room Fairfield Inn & Suites by Marriott (631 Flagler Ave.); the 272-room Home2 Suites by Hilton (341 Flagler Ave.); and the 229-room Homewood Suites by Hilton (411 Flagler Ave.). The hotels, which were delivered between January 2021 and January 2022, are situated near the western gate of Walt Disney World Resort.

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HIGH POINT, N.C. — The Keith Corp. and IDM Ventures have formed a joint venture to develop South Point Commerce Center, a 185-acre industrial park in High Point, a city in North Carolina’s Triad region. The eight buildings will be build-to-suits ranging from 73,500 to 342,000 square feet. All of the buildings will feature rear-load configurations and offer auto and truck parking. Also, the site provides the option to combine two parcels to create a larger, cross-dock building spanning more than 600,000 square feet. South Point Commerce Center will be situated one mile from the I-85 business loop and near I-74, I-73 and I-40. Keith Corp. and IDM have tapped Spencer Yorke, Al Williams and Jay Hill of JLL to market and lease the park.

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BOCA RATON, FLA. — CP Group, an office real estate owner-operator based in Boca Raton, plans to complete 340,000 square feet of its “worCPlaces” flexible office suites this year. Launched in 2021, worCPlaces includes three different types of spaces: Cowork Places, a scalable coworking office space for small and growing teams; Flex Places, individual suites with shared amenities that are ideal for high-growth companies; and Spec Places, traditional move-in-ready, pre-built office suites. All worCPlaces suites offer flexible lease terms between two and 10 years, and tenants can access personalized company branding on their suite entrances, as well as hybrid meeting spaces, flexible workstations, dedicated break and copy/storage space, internet access and printing. CP Group’s properties that will soon house worCPlaces include Paces West, Bank of America Plaza and 5600 Glenridge in Atlanta, as well as Two Town Center and Boca Raton Innovation Campus in Boca Raton.

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BRANDON, FLA. — ZOM Living has sold Azalea Apartments, a 289-unit luxury multifamily community that the developer is currently building in Brandon, for $85.8 million. Simon Banke and Jesse Wright of JLL arranged an undisclosed amount of acquisition financing on behalf of the buyer, Trilogy Real Estate Group. Azalea Apartments is located on a 13-acre site in Brandon’s East Tampa neighborhood and will feature one-, two- and three-bedroom units ranging in size from 700 to 1,400 square feet. Amenities will include a resort-style pool deck with cabanas, relaxation area with hammocks and a fire pit, event lawn, pool pavilion, gaming area with a pool table and corn hole, fenced dog park and pet salon, personal workstations, meeting rooms and a fitness center with a spinning studio and an outdoor yoga lawn. ZOM Living is managing the project through completion.

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MIAMI GARDENS, FLA. — Marcus & Millichap has brokered the $10.1 million sale of Shoppes of Ives Dairy, a 24,517-square-foot retail strip center located at 19801 N.W. 2nd Ave. in Miami Gardens. Kirk Olson and Drew Kristol of Marcus & Millichap’s Miami office represented the seller in the transaction. The buyer and seller are both private investment firms that have requested anonymity. Shoppes of Ives Dairy’s tenant roster includes Wells Fargo, Smoothie King, The UPS Store, Subway, T-Mobile, Foot Locker and local restaurants and service retailers.

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