KANSAS CITY, MO. — Walker & Dunlop Inc. has provided a $9.2 million Freddie Mac loan for the refinancing of Santa Fe Village in Kansas City. Built in 1965, the multifamily property includes 215 units. Jeff Schmidt and Tim Cotter of Walker & Dunlop originated the 10-year loan, which features a 30-year amortization schedule. The borrower, Alexander Forrest Investments LLC, completed extensive renovations at the property in 2007 and 2008.
The Jacksonville and North Florida retail markets are seeing an increase and influx in new investment activity. Analysts are watching the volume, vacancy rate and new construction, and all signs point to a seller’s market, but compared with other Florida cities, the cap rate and the opportunities are still attractive to retail investors. What sets Jacksonville apart from other cities in Florida and across the country is the area’s strong employment growth and the amount of developable land still available. The rate of employment in Jacksonville is growing at double the national average. In addition, the city continues to attract back-office facilities for major banks and for Amazon, and its seaport is busier than ever. Housing also continues to boom in areas like Northern St. Johns County. According to third-quarter 2017 analyst reports, Jacksonville’s retail vacancy rate went down slightly from 4.6 percent in the previous quarter to 4.5 percent, or 93.5 million total square feet. Absorption totaled 710,101 square feet through the first three quarters of 2017, with about 590,000 square feet ready for occupancy or delivered, and 700,109 square feet under construction. Retail Tenant Shift Nationally, we saw stalled volume of sales during the downturn along with declining …
PHILADELPHIA — A joint venture between Chicago-based investment firm Harrison Street Real Estate Capital LLC and Pennsylvania-based REIT Brandywine Realty Trust (NYSE: BDN) has sold Evo at Cira Centre South, an 850-bed student housing property in Philadelphia. The sales price was roughly $197 million, according to The Philadelphia Inquirer. The buyer was not disclosed. Built in 2014 and located in the University City area, the 33-story Evo at Cira Centre South is the tallest purpose-built student housing tower in the country. It provides residences for students attending both the University of Pennsylvania and Drexel University. The property offers a mix of one-, two-, three- and four-bedroom units. Communal amenities include a two-story fitness center, two-story study lounges, a business and print center, as well as a rooftop pool and lounge. Following this transaction, Harrison Street’s student housing portfolio totals more than 73,000 beds across the U.S. and Europe. The stock price of Brandywine, which owned a 50 percent interest in the asset, closed at $17.88 per share on Friday, Jan. 26, up from $16.22 per share a year ago. — Taylor Williams
SANTA ROSA AND NOVATO, CALIF. — Cushman & Wakefield has arranged the sales of two shopping centers in Northern California for a combined value of $47 million. Dan Wald and Don LeBuhn of Cushman & Wakefield arranged the sale of a 49,990-square-foot shopping center in Santa Rosa on behalf of the seller, SPI Holdings. T.J. Maxx and Staples anchor the center. Terry Daly of Cushman & Wakefield arranged acquisition financing for the property on behalf of the buyer, a private capital partnership, who acquired the asset through a 1031 exchange. In the second transaction, Wald and LeBuhn arranged the sale of Pacheco Plaza Shopping Center, a 66,619-square-foot retail center in Novato, on behalf of the seller and original developer. The buyer was not disclosed. Nugget Market anchors Pacheco Plaza Shopping Center, which was 92 percent leased at the time of sale to Chase Bank and 20 other retail and restaurant tenants.
FRISCO, TEXAS — Stream Realty Partners and Boston-based Cabot Properties have broken ground on a 160,000-square-foot industrial property within Frisco Park 25, a 216-acre business park located in the northern Dallas metro of Frisco. The Class A property will serve as the new corporate headquarters for PowerSecure Lighting, a manufacturer of LED lighting products. The company will occupy 75,000 square feet at the property as the anchor tenant. Completion of the project, which is being built on a 10-acre site that Cabot acquired from the Frisco Economic Development Corp., is slated for this summer.
WHITTIER, CALIF. — CBRE has arranged the $40 million sale of Friendly Hills Marketplace, an 89,826-square-foot shopping center in Whittier, located 20 miles southeast of Los Angeles. Philip Voorhees, Kirk Brummer, James Tyrrell, Megan Wood, Preston Fetrow and Jim Leary of CBRE arranged the transaction on behalf of the seller and property developer, Oppidan Inc. Golden Capital Whittier LLC acquired the asset. Bruce Francis and Shaun Moothart of CBRE arranged acquisition financing on behalf of the buyer. Constructed in 2017, Friendly Hills Marketplace is fully leased to tenants including Orchard Supply Hardware, HomeGoods, ULTA Beauty and Sketchers.
ALBANY AND FOLSOM, CALIF. — ValueRock Realty Partners has purchased two retail properties in Albany and Folsom. The company acquired University Village at 1075-1095 Monroe St. in Albany for $19.2 million and Sprouts Farmers Market at 90 S.E. Bidwell St. in Folsom for $9.2 million. Twin Cities-based Oppidan sold the properties. University Village is occupied by Sprouts Farmers Market, Pet Food Express, Starbucks Coffee, Banfield Pet Hospital and The Habit Burger. Located in Folsom, the Sprouts Farmers Market was recently converted into a Sprouts from an Orchard Supply Hardware.
AUSTIN, TEXAS — Mason Joseph Co. Inc., a San Antonio-based multifamily lender, has closed a $38.4 million loan for the construction and permanent financing of Commons at Goodnight Apartments, a 304-unit multifamily community being built in Austin. The financing was secured through HUD’s 221(d)(4) program, which provides construction-to-permanent financing for the development of market-rate and affordable housing properties. The loan, which was secured on behalf of a public-private partnership between the Austin Affordable Housing Corp. and Louisville-based developer LDG Multifamily LLC, features a fixed interest rate for the 24-month construction period and subsequent 40-year term. The borrowers are also using equity from Boston Financial Investment Management LP in the form of Low-Income Housing Tax Credits to develop Commons at Goodnight. A joint venture between Louisville-based Xpert Design & Construction LLC and Indiana-based Weber Group Inc. will serve as general contractor on the project.
LAKE FOREST, CALIF. — Baker Ranch Investment LLC acquired Baker Ranch Center, a retail center located at 20491 Alton Parkway in Lake Forest, for $4.8 million. The 6,000-square-foot property is 100 percent triple-net leased to four tenants, including Tenko Sushi & Teriyaki, Ameci Pizza, Sage Nail Lounge and Sheesh Lebanese Kitchen. Patrick Toomey, Thomas Chichester, Joseph Chichester and Matt Brooks of Faris Lee represented the seller, Shea/Baker Ranch, while John Carpenter from The 949 Group represented the buyer in the deal.
CALABASAS, CALIF. — Marcus & Millichap has hired Scott Holmes as senior vice president and national director of its retail division. The industry veteran will be responsible for directing the firm’s retail business strategy nationwide. Most recently, Holmes served as senior vice president at Cole Real Estate Investments Inc., where he was responsible for leading the company’s shopping center acquisitions team, overseeing national investment activities and sourcing acquisitions nationally. Holmes has held leadership roles at AEW Capital Management LP and American Realty Advisors. Over the course of his career, he has closed more than $6 billion in commercial real estate transactions.
