CINCINNATI — Gramercy Property Trust has closed on the sale of a three-building office portfolio in Cincinnati for $87 million, the equivalent of $161 per square foot. McAuley Place and Landings I & II were 96 percent occupied at the time of sale. The exit cap rate was 9 percent based on the existing net operating income. The buyer in the transaction was undisclosed.
JOLIET, ILL. — Cushman & Wakefield has negotiated the sale of a 575,000-square-foot industrial property in Joliet for $27.8 million. Molto Properties sold the asset to Midwest Warehouse, which plans on occupying 366,000 square feet of the facility. Located at 3451 S. Chicago St., the building was vacant at the time of sale. The property, which is situated on 30 acres, features 32-foot clear heights, ESFR sprinklers, T-5 lighting, ample parking and a fully fenced and secured yard. Jason West and Sean Henrick of Cushman & Wakefield represented Molto Properties in the transaction. Tim Thompson of HSA Commercial Real Estate represented Midwest Warehouse.
LANCASTER, OHIO — Institutional Property Advisors (IPA), a division of Marcus & Millichap, has brokered the sale of a 229,142-square-foot shopping center in Lancaster. River Valley Plaza sold for $15.8 million. The seller was a Columbus-based owner, and the buyer was a Canadian investment group. The property is located at 1300 River Valley Blvd. and is 97 percent occupied with 82 tenants. Target, Hobby Lobby and T.J. Maxx anchor River Valley Plaza and collectively occupy 80 percent of the center’s gross leasable area. Target has been a tenant since 1994, and Hobby Lobby recently extended its lease into 2025. T. J. Maxx just signed on for an additional five years. Subway has occupied space in the shopping center since 1990. Erin Patton, Craig Fuller and Scott Wiles represented the seller and procured the buyer.
CHICAGO — The Boulder Group has completed the sale of a single-tenant, net-leased retail property in Chicago for $9.5 million. The property, leased to LA Fitness, is located at 6107 N. Broadway St. The seller, Crossroads Development, renovated the two-story, 22,000-square-foot building in 2014. The 1031 exchange buyer in the transaction is a high-net-worth individual based on the West Coast. The property will retain its current management group and includes on-site parking. According to CoStar Group, the 5.6 percent cap rate represents the lowest cap rate ever recorded for the sale of a single-tenant LA Fitness property. The lease for LA Fitness expires in June 2029 and features 10 percent rental escalations every five years. Randy Blankstein and Jimmy Goodman of The Boulder Group represented the seller in the transaction.
PLAINFIELD, IND. — JLL has arranged a 176,000-square-foot industrial lease in Plainfield, approximately 18 miles southwest of Indianapolis. Best Choice Products will occupy space at Building One within the Plainfield Business Park. The lease for Best Choice Products will bring the 352,960-square-foot facility, located at 2370 Perry Road, to full occupancy. The building features a cross-dock configuration, 32-foot clear heights, 26 docks, one drive-in door, 60-foot loading bays, 21 trailer parking spaces and 130 auto parking spaces. Chip Barnes and Matt Dickerson of JLL represented the landlord, Clarion Partners, in the lease transaction. Steve Schwegman of JLL represented Best Choice Products.
CHANDLER, ARIZ. — NorthMarq Capital has arranged a $93 million refinancing for a 523,673-square-foot office park in Chandler. The Class A park is located at the intersection of highways 101 and 202. The property contains six office buildings within a master-planned business park that also features office, hospitality and restaurant properties. The office park is fully leased to tenants like Healthways, Infineon Technologies and Infusion Software. The loan features a 10-year term with three years interest-only payments, followed by a 30-year amortization schedule. Eric Flyckt of NorthMarq Capital’s San Diego office arranged the financing through the firm’s relationship with Citi Group. Douglas Allred Company owns the property.
SACRAMENTO, CALIF. — Newmark Realty Capital has arranged $65 million in permanent financing for a 284,000-square-foot office complex in Sacramento that serves as the headquarters for the California Highway Patrol. The facility is situated within the River District Redevelopment Area. The recently renovated property is leased to the State of California. George Mitsanas, Fritz Grim and Armen Hadjimanoukian of Newmark Realty Capital arranged the non-recourse, fixed-rate, term loan. It was placed with one of the firm’s correspondent life insurance company lenders.
VANCOUVER, WASH. — The 198-unit Meadows at Cascade Park Apartments in Vancouver has sold to a California-based firm for $35.2 million. The community is located at 13314 SE 19th St. The sale represented a price per unit of $164,141, or $163 per square foot. This is one of the three highest sales per square foot that Vancouver has experienced in the past 12 months, according to HFO Investment Real Estate, which represented the seller. A Canadian investment firm with numerous Portland/Vancouver-area holdings sold the asset. The value-add acquisition allowed the buyer to enter the Washington market.
LAS VEGAS — LogistiCenter at Cheyenne, a 381,804-square-foot distribution facility in North Las Vegas, has achieved full occupancy. The facility is located at 4025 E. Cheyenne Ave. Priority Wire & Cable leased the remaining 223,000 square feet. The supplier of wire and cable for wholesale distributors will use the space for distribution. Priority will relocate from a 180,000-square-foot distribution center in Las Vegas to the new facility this May. A joint venture between Dermody Properties and Hillwood Investment Properties developed LogistiCenter at Cheyenne. Susan Borst and Dan Doherty of Colliers International represented the JV in the lease transaction.
NEW YORK CITY — SL Green Realty Corp. (NYSE: SLG), New York City’s largest commercial property owner, has completed the sale of two properties with a total value of $508 million. The first sale is the leased fee interest in 885 Third Ave. in Manhattan, also known as “The Lipstick Building,” for a gross sales price of $453 million, or $713 per square foot. The deal was originally announced in October. A partnership between Ceruzzi Properties and Shanhai Municipal Investment USA is the buyer, according to the Commercial Observer, a New York-based publication covering commercial real estate transactions. SL Green acquired the leased fee interest in 885 Third Ave. in a joint venture in 2007 at a gross asset valuation of $317 million and fully consolidated its position in 2010 at a valuation of $352 million. As part of the transaction, SL Green will retain a preferred equity position. The sale, executed at a capitalization rate of 3.8 percent, will generate net proceeds to SL Green of approximately $45 million. The second sale is the company’s 90 percent stake in the residential condominium at 248-252 Bedford Ave., a 72-unit multifamily building in Williamsburg, Brooklyn, at a gross asset valuation of $55 …