FRONTENAC, MO. — The Desco Group has completed the development of a 36,000-square-foot office building in Frontenac, about 15 miles west of St. Louis. HDA Architects designed the Class A property, which features an all-brick exterior. The three-story building will include retail space on its first floor. The project is part of a larger $80 million mixed-use development.
WESTFIELD, IND. — Hanley Investment Group Real Estate Advisors has brokered the sale of a Burger King ground lease in suburban Indianapolis for $2.4 million. The newly constructed, 3,245-square-foot building is located at 819 East State Road 32 in the northern suburb of Westfield. The property sits on 1.3 acres and is part of the larger Monon Crossing retail development. Burger King is scheduled to open this month. Franchisee Carrols Restaurant Group will operate the restaurant. Dylan Mallory of Hanley represented the seller and developer, Midland Atlantic Properties. Ryan Chakroff of Marcus & Millichap represented the buyer, a Denver-based private investor. The sales price represents a cap rate of 5 percent, the lowest cap rate for a single-tenant Burger King in the state of Indiana, according to Hanley.
DAYTON, OHIO — Marcus & Millichap has arranged the sale of Needmore Road Self Storage, a 61,750-square-foot self-storage facility in Dayton. The sales price was undisclosed. Jeffrey Herrmann and Sean Delaney of Marcus & Millichap marketed the property on behalf of the seller, a limited liability company. The team also secured and represented the buyer, a limited liability company.
As a multifamily investment sales brokerage firm, Greysteel has transacted close to 2,000 units in El Paso over the last 12 months. To say the El Paso multifamily market has been hot would be an understatement. But with a sudden pandemic causing economic chaos, jobs are at risk and multifamily owners are facing ever-increasing pressure. First, let’s talk about how El Paso has recently performed. Demand for multifamily product in El Paso has been particularly strong lately, and we’ve been able to bring new in-state and out-of-state investors into the market at cap rates never before seen in El Paso. Many of these investors are surprised to learn that El Paso is the sixth-largest metropolitan area in Texas and the 18th-largest city in the country. As cap rates on multifamily properties have compressed across the United States, El Paso has offered a safe haven for higher yields that can be elusive in major markets with high levels of competition. El Paso also has a diverse public/private sector that barely felt the pain of the 2008 recession — cumulative job losses totaled less than 3 percent of the total employment base. Job growth has expanded steadily, and employment was approximately 13 …
An abundance of capital continues to flow into Northern New Jersey’s multifamily market, with most investors completing 2019 as net buyers and major institutions looking to remain active in 2020. Over the past decade, domestic and foreign investors alike have diversified into the multifamily space in Northern New Jersey and nationwide. The result has been a highly competitive playing field with limited opportunities. And with more capital in the market than opportunities to place it, many larger funds are now looking to make portfolio acquisitions in order to divest large amounts of capital at once. Brian Whitmer, Cushman & Wakefield Excluding portfolio deals, transaction volume for multifamily investment in Northern New Jersey reached $1.6 billion in 2019, marking a 38 percent year-over-year increase, with 4,846 units sold across 27 transactions. This rise in deal volume can be attributed largely to the “Mack-Cali Effect.” The locally based REIT made two major 2019 purchases in Jersey City — SoHo Lofts ($264 million) and Liberty Towers ($409 million) — that accounted for 41 percent of the year’s individual transaction volume. Buyer Patterns While larger institutions and REITs like Mack-Cali are active in Northern New Jersey, private investors still dominate the regional market. This …
LYNWOOD, CALIF. — Prime Healthcare, a private healthcare system based in Ontario, Calif., has agreed to acquire St. Francis Medical Center, a 384-bed hospital in the Los Angeles County suburb of Lynwood. The U.S. Bankruptcy Court for the Central District of California in Los Angeles recently approved Prime Healthcare’s purchase agreement with the seller, Verity Health System, a California-based healthcare system that filed for bankruptcy in summer 2018. As part of the agreement, Prime Healthcare will purchase St. Francis Medical Center for more than $350 million, which includes a $200 million base price and a $15 million in payroll and benefits for staff. The firm will also invest $47 million to make technological and system upgrades, as well as finalize employee agreements with the hospital’s current staff. The remaining balance of the purchase price was not specifically categorized. Prime Healthcare has agreed to honor the Attorney General and Bankruptcy Court conditions recently issued for this sale to preserve the hospital, trauma care, service lines, charity commitments and community benefit programs. “Our agreement with Verity reflects our decades-long mission of saving, improving and investing in community hospitals,” said Dr. Sunny Bhatia, Prime Healthcare’s Region 1 CEO and corporate chief medical officer. …
LOUISVILLE, KY. — Molto Properties has broken ground on a 324,012-square-foot industrial building within Renaissance South Business Park in Louisville. The new speculative building will be situated on 22.4 acres and will feature 36-foot clear heights, ESFR sprinklers, LED lighting, 2,760 square feet of speculative office space, 234 car parking spaces, 98 trailer park spaces, a loading area with 42 dock-high doors and four drive-in doors. Molto expects to deliver the facility by December. Kevin Grove and Doug Butcher with CBRE will be leading the leasing/selling efforts of this project. Paul Hemmer Co. is serving as the general contractor. Louisville Renaissance Zone Corp. is the main developer of Renaissance South Business Park, a 680-acre business park situated two miles from Louisville Muhammad Ali International Airport.
ATLANTA — The State of Georgia has signed a contract with Pacific Architects and Engineers (PAE) to build a 200-bed, alternate care facility at Georgia World Congress Center (GWCC) in downtown Atlanta for coronavirus (COVID-19) patients, Georgia Gov. Brian Kemp announced Sunday. Starting immediately, the Georgia National Guard, Georgia Emergency Management and Homeland Security Agency, Department of Community Health, Department of Public Health and contractors will begin to prepare GWCC to house and treat patients with mild to moderate illness levels excluding ventilator support. Nearby Grady Memorial Hospital will lend additional support to the center. As of Monday, April 13, there have been 10,726 confirmed cases in Georgia and 1,422 in Fulton County, according to Johns Hopkins University (JHU). HealthData.org projects the peak date for COVID-19 cases in the state will be Sunday, April 26.
WINSTON-SALEM, N.C. — Cushman & Wakefield has arranged the sale of Consolidated Center, a four-building, 174,000-square-foot office campus in Winston-Salem. The property is situated on 9.5 acres at 3334 Healy Drive, five miles west of downtown Winston-Salem. The asset was 91 percent leased at the time of sale to tenants including Lowes Foods and Novant Health. David Finger and Sara Owen of Cushman & Wakefield represented the seller, Dallas-based Macfarlan Capital Partners, in the transaction. Greensboro, N.C.-based Deep River Partners acquired the property for an undisclosed amount.
NEW YORK CITY — Office leasing in Manhattan has slowed amid the global COVID-19 pandemic, according to a first-quarter 2020 office leasing report by Toronto-based brokerage firm Avison Young. According to the report, Manhattan saw approximately 7 million square feet of new leasing activity in the first quarter of the year, down from 8.4 million year-over-year. The firm reported that leasing volume was down more than 39 percent by the end of March, compared to March 2019. Additionally, eight office construction projects larger than 150,000 square feet have been halted as nonessential construction, and completion dates for those projects have been pushed back indefinitely. Several of those projects, including SL Green’s 1.6 million-square-foot One Vanderbilt in Midtown, have sizable prelease commitments from tenants including TD Bank and law firm Greenberg Traurig.
