VENTURA, CALIF. — Hagelis Group has arranged the sale of a freestanding retail property located within Ventura’s retail corridor. A private investor from Santa Barbara acquired the property. The sale price was not disclosed, but the property was listed at $2.4 million. Rob Devericks and Bill Hagelis of Hagelis Group represented the undisclosed seller, while Kris Roth of Hayes Group represented the buyer in the transaction.
RICHMOND, VA. — Apple Hospitality REIT Inc. (NYSE: APLE) has agreed to acquire Apple REIT Ten Inc. for $1.3 billion. The merger will create one of the largest select-service hospitality REITs in the industry with a combined 234 hotels and 30,017 rooms. The hotels are located in 94 MSAs across 33 states. The company, which will retain the Apple Hospitality REIT name and ticker symbol, will have an enterprise value of approximately $5.7 billion, according to the companies. Apple Ten, a non-traded REIT, was built and is managed by the same team that currently manages the publicly traded Apple Hospitality REIT. The $1.3 billion transaction value is comprised of $94 million in cash, roughly 49.1 million Apple Hospitality common shares issued to Apple Ten shareholders, and the assumption of approximately $239 million in debt. The merger agreement provides Apple Ten with a 45-day window to solicit alternative proposals from third parties. The termination fee for Apple Ten is $5 million if the company decides to pull out of the agreement within the 45-day window. Following that grace period, Apple Ten will have to pay $25 million to negate the merger with Apple Hospitality. The grace period ends on May 28. …
The commercial real estate market in West Michigan was quite active in 2015 across all property sectors, including one massive data center deal that is expected to spur billions of dollars in investment. Both new development and transactions involving existing facilities drove deal volume in 2015. Consequently, vacancy rates dropped while leasing rates generally rose. We expect a high level of commercial real estate activity this year as well. A lack of inventory for existing product will continue to drive new development in 2016. Industrial Strength The industrial market, in particular, has experienced a shortage of quality product to satisfy the demands of distribution companies from across the area. The greater Grand Rapids industrial market consists of approximately 115 million square feet. At the end of 2015, the vacancy rate was 4.1 percent. This marks a significant improvement compared with the depths of the Great Recession when the vacancy rate approached 10 percent. For the first time in years, we are seeing speculative development across all sizes of industrial properties. Lease rates for these speculative buildings are significantly higher than what we have experienced in the recent past due to the relatively high cost of construction. The good news for …
COLLEGE STATION, TEXAS — Haven Campus Communities has acquired The Tradition at Northgate, a 795-bed student housing community located across the street from the Texas A&M campus in College Station. ARA Newmark’s Student Housing Group, led by Ryan Lang, brokered the transaction. Haven plans to implement a renovation project that will be delivered in time for the fall 2017 semester. Renovated units will be furnished with fully equipped kitchens, large flat screen televisions, washers and dryers and trundle beds with pillow top mattresses. The apartments will also feature upgraded private bedrooms and bathrooms with bed to bath parity. Community amenities will include a large central courtyard with an indoor/outdoor lounge leading out to a resort-style pool, covered grills, hammocks and fire pits and a 24-hour fitness center. The clubhouse will feature a cyber-lounge with charging stations, a study room with smart TVs, a coffee bar, pool tables and shuffleboard. The property will also feature a new 1,360-square-foot computer lab when renovations are complete.
AUSTIN, TEXAS — Vesper Holdings has announced the launch of its in-house student housing management company Campus Life & Style (CLS) to manage its rapidly growing portfolio of off-campus apartment communities. Based in Austin, the CLS team will be led by COO Jim Sholders, who most recently served as senior vice president at American Campus Communities. To lead the new company’s design side, Vesper has tapped top New York interior designer Jon Call.
AUSTIN, TEXAS — Austin-based developer Johnson Trube & Associates is developing Skyloft, a Class A student housing property one block from the University of Texas at Austin campus. Located at 507 W. 23rd St., the project will total 22 floors, with four below-grade parking levels and 18 residential levels. Skyloft will house 212 units with a mix of one- to four-bedroom units totaling 677 beds. The project will feature a rooftop pool and fitness center, 24-hour study lounges, media room and underground parking. A recent vote by the Austin City Council green-lighted the move of the historic Dabney-Horne home currently on the site, which is allowing the Johnson Trube development to move forward. The development will offer a percentage of its units as affordable housing. Johnson Trube & Associates plans to break ground in August with an opening scheduled for late July/early August 2018. Project team members include architectural firms Mark Hart Architecture and STG Design and general contractor JE Dunn Construction.
SAN ANTONIO — Somervell Commercial Realty has begun construction on GM Financial Servicing Center in San Antonio. The 100,000-square-foot, two-story facility is located on 13.8 acres in the Westover area at the intersection of North Ellison Drive and Westover Link. Somervell plans to complete the building in one year, after which the building will host 500 employees. The project received tax abatements from Bexar County and the city of San Antonio, as well as a $2.5 million grant from the Texas Enterprise Fund. The facility’s exterior walls will display a stone pattern created by reveals and at least two colors. Tinted green glass curtain walls will be located at two-story entry atriums on the north and south sides of the property.
SAN ANTONIO — Marcus & Millichap has arranged the sale of AT&T Distribution Center, a 131,755-square-foot industrial property located in San Antonio. Joshua Murphy of Marcus & Millichap’s San Antonio office marketed the property on behalf of the seller, a private investor. Jon Danklefs of Marcus & Millichap’s San Antonio office secured and represented the buyer, an individual/personal trust. AT&T Distribution Center is located at 827-829 AT&T Center Parkway. Built in 1975 on five acres, the property is adjacent to the AT&T Center in the northeast San Antonio industrial submarket.
NEW YORK CITY — Meridian Capital Group has arranged $28 million in permanent financing for a multi-tenant medical office property located 902 Quentin Road in Brooklyn. The five-year loan, provided by Bethpage Federal Credit Union, features a fixed rate of 4.25 percent and the ability to prepay at any time without a penalty. The eight-story, 72,300-square-foot property is currently occupied by New York University and Touro College. Shaya Ackerman and Shaya Sonnenschein of Meridian Capital arranged the financing.
NEW YORK CITY — InterContinental Hotels Group (IHG) has opened Holiday Inn Brooklyn Nevins Station at 300 Schermerhorn St. in downtown Brooklyn. The 81,000-square-foot hotel was developed by K.K. and Sanjeev Mehta. Designed by Gene Kaufman Architect, the 15-story property features 246 guest rooms, including a 400-square-foot Presidential Suite and a 250-square-foot Junior Suite. On-site amenities include entertainment and meeting facilities; a 1,200-square-foot outdoor terrace; 4,000 square feet of dining, bar and lounge options; an indoor pool; and fitness center.