ELIZABETH AND ROSELLE, N.J. — Locally based financial intermediary Cronheim Mortgage has arranged $13.1 million in financing for two shopping centers totaling roughly 99,500 square feet in Northern New Jersey. Color Plaza, a 49,309-square-foot asset in Elizabeth, was approximately 95 percent leased to 12 tenants at the time of the loan closing. Roselle Commons was built in 2004 and is fully leased to 18 tenants, including Pep Boys, Green Grocer, Quest Diagnostics, GNC and T-Mobile. Andrew Stewart, Dev Morris and Allison Villamagna of Cronheim Mortgage originated the financing on behalf of the borrower, New Jersey-based Color Management. The direct lender was not disclosed.
NEWTON, MASS. — Newmark has brokered the sale of a 28,244-square-foot office complex located at 70 Wells Ave. in the western Boston suburb of Newton. The sales price was roughly $4 million. Robert Griffin, Joseph Alvarado, George Demoulas and Casey Valente of Newmark represented the seller, Wingate Cos., in the transaction. The team also procured the buyer, Legacy Real Estate Ventures.
NEW YORK CITY — Spanish fashion and fragrance retailer Puig has signed a 25,200-square-foot, long-term office headquarters lease at 45 Rockefeller Plaza in Midtown Manhattan. The company is relocating and expanding from a 12,762-square-foot space at 183 Madison Ave. to the 32nd floor of the 40-story building, which was originally constructed in 1935. Tishman Speyer owns 45 Rockefeller Plaza.
MINNEAPOLIS — CBRE has arranged the $225 million sale of the office component of RBC Gateway Tower, a newly constructed mixed-use development located at 250 Nicollet Mall in Minneapolis. The portion acquired by San Francisco-based Spear Street Capital includes 525,000 square feet of office space, a ground-floor office lobby and 296 below-grade parking spaces. Ryan Watts, Tom Holtz, Brandon McMenomy, Steven Ward, Greg Greene and Harrison Wagenseil of CBRE represented the seller, United Properties, in the transaction. The office portion of the property was 99 percent leased at the time of sale to six tenants including RBC Capital Markets, United Properties and Pohlad Cos. The 1.2 million-square-foot tower also includes the 222-room Four Seasons Hotel Minneapolis — Minnesota’s first five-star hotel, according to CBRE — and 34 luxury Four Seasons Private Residences on the uppermost floors. Three restaurants are also on-site, including a full-service restaurant and bar, Mara, and Socca Café. “RBC Gateway Tower is a crown jewel in the Gateway District, with unmatched location and amenities,” says Watts of CBRE. “Premier properties like this offer exceptional workspaces that cater to the needs of modern employees, making them highly desirable as companies adapt to new workplace trends.” Minneapolis-based United Properties …
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Lee & Associates’ Second-Quarter 2023 Economic Review by Sector
Lee & Associates’ newly released 2023 Q2 North America Market Report outlines industrial, office, retail and multifamily outlooks trends in the United States. This sector-based review of commercial real estate trends for the second quarter of the year examines the difficulties facing each property type and where opportunities in the landscape may be emerging. Troubles with absorption dogged each sector, with the exception of retail, throughout the first half of 2023. Scheduled deliveries for industrial, office and multifamily indicate this trend will continue throughout much of the United States for the foreseeable future. Lee & Associates has made the full market report available here (with further breakdowns of factors like vacancy rates, market rents, inventory square footage and cap rates by city). The summaries from each sector below provide high-level considerations of the overall outlook and challenges in the market. Industrial Overview: Industrial Growth on Track for Least Gain in Years In a reversal from the ballooning logistics capacities required during the pandemic, demand for industrial space has slowed across North America. After continuously rebuilding inventories from the fall of 2021 through the third quarter of last year, many retailers and wholesalers are taking a breather, pausing further inventory accumulation out of caution over …
LANTANA, FLA. — Miami-based Integra Investments has purchased Lantana Village Square, a 165,000-square-foot shopping center located at 1001 S. Dixie Highway in Lantana, a town in South Florida’s Palm Beach County. The buyer plans to raze the center’s vacant K-Mart department store and develop workforce housing that is affordable for Lantana renters. The overall development is situated on a 19-acre site within one mile of South Palm Beach. Lantana Village Square’s existing retailers such as Winn-Dixie, Subway and H&R Block will remain, which will create a mixed-use community once the workforce housing component is complete. Integra is utilizing the State of Florida’s Live Local Act to help fund the development. Integra acquired Lantana Village Square from Saglo Development for $14.9 million. Bradesco Bank provided acquisition financing.
WASHINGTON, D.C. — Altus Realty plans to convert an 11-story office building located at 1010 Vermont Ave. NW into Mint House Downtown Washington, D.C. Set to open in early 2025, the property will encompass 85 apartment-style flexible rental units that Mint House will operate. The spaces will be designed for guests who need accommodations ranging from two days to two months. The rooms will range from studios to two-bedroom units that will include a kitchen with a stove and dishwasher, as well as washers/dryers and work spaces. Amenities will include an onsite fitness facility, meeting space and a café. Altus Realty plans to begin repositioning the former office building this fall. The property is situated near a Metro station, McPherson Square Park, The White House and DuPont Circle. This will be the first location in downtown D.C. for Mint House, which operates 25 flexible rental destinations in 16 states. Mint House recently opened locations in Dallas; Birmingham, Ala., and St. Petersburg, Fla.
NORTH CHARLESTON, S.C. — Redline Property Partners has completed renovations at Port 26, an 85,000-square-foot creative office/flex building located at 2155 Eagle Drive in North Charleston. The firm purchased the former industrial facility in December 2021. Building renovations included transforming the building’s exterior, common areas and restrooms; redesigning entrances and lobbies; and creating tenant lounges, outdoor patios and a dog park. Redline also fully upgraded most of the building’s systems. Situated along I-26, Port 26 will soon be home to its first tenant, RXO, a transportation and logistics provider. Nick Tanana and Brady Dashiell of Cushman & Wakefield provide leasing services for Port 26 on behalf of Redline.
GREENVILLE AND TAYLORS, S.C. — Matthews Real Estate Investment Services has brokered the sale of a portfolio of Heroes Car Wash locations in Upstate South Carolina’s Greenville County. The properties are located at 1405 Woodruff Road and 3107 N. Pleasantburg Drive in Greenville and 6050 Wade Hampton Blvd. and 2900 Wade Hampton Blvd. in Taylors. The sale includes both the car wash facilities and the underlying real estate. Jagr Larson, Tyler Spain, Ethan Miller and Simon Assaf of Matthews represented the seller, a North Carolina-based investor that is looking to exit the Greenville market. The buyer, PassiveInvesting.com, acquired the portfolio with plans to continue its expansion in the express car wash business. The sales price was not disclosed, but Matthews disclosed it was 99 percent of the list price.
CHARLOTTE, N.C. — Trinity Partners has arranged the sale of a 58,064-square-foot office building located at 6201 Fairview Road in Charlotte’s SouthPark office submarket. An affiliate of Charlotte-based Big V Property Group purchased the office building from an affiliate of The Daniels Co., an investment firm based in Bluefield, W.Va. Roger Cobb of Selwyn Property Group represented the buyer in the transaction. Dunn Mileham, David Morris and Eric Jennings of Trinity Partners represented the seller. The sales price was not disclosed. The office building was 59 percent leased at the time to sale, and Big V plans to relocate its Charlotte office to the fourth floor.