NORCROSS, GA. — Gramercy Property Trust Inc., a publicly traded REIT, has purchased two industrial buildings totaling 222,100 square feet in Norcross, a suburb of Atlanta in Gwinnett County. The properties were acquired all-cash for a purchase price of $12.5 million and have a weighted average remaining lease term of 8.9 years. One of the warehouses spans 142,100 square feet and is leased to a producer, servicer and supplier of diesel and gasoline engines. The second warehouse, comprising 80,000 square feet, is leased to the country’s largest distributor of tools, equipment and machinery to the stone fabrication industry.
FRANKLIN, TENN. — An affiliate of Next Realty LLC has acquired a 64,000-square-foot, two-tenant retail property at 1735 Galleria Blvd. in Franklin, roughly 15 miles south of Nashville. The property is situated within the 350,000-square-foot Cool Springs Crossing shopping center, which is located adjacent to the 1.1 million-square-foot Cool Springs Galleria mall. H.H. Gregg occupies 29,596 square feet at the property, and JumpStreet, an indoor trampoline park, occupies 34,404 square feet at the former Whole Foods Market location.
DEERFIELD BEACH, FLA. — Fairlead Capital Partners and equity partner Bridge Investment Group Partners have acquired a four-story, 172,357-square-foot office building located at 800 Fairway Drive in Deerfield Beach, a city in Broward County. Fairlead purchased the asset for an undisclosed price through its second investment fund, Mandalay-FCRE SV II. Built in 1987, the office building was 78 percent leased at the time of sale. The property features a fitness center, café, secured parking deck and walking paths. Fairlead plans to upgrade the property’s building systems, improve tenant amenities and renovate common areas and restrooms. In addition to the office building and parking deck, the acquisition includes a two-acre parcel of land adjacent to the building that Fairlead will use to expand parking for tenants. CBRE represented the seller, American General Life Insurance Co., in the transaction. The buyers have retained Stiles Realty for on-site property management and engineering services. Travis Herring, Deanna Lobinsky and Katherine Ridgeway of Cushman & Wakefield’s South Florida office will market 800 Fairway Drive to prospective tenants.
CHICAGO — Power Construction Co. LLC, along with Ascend Real Estate Group and Intercontinental Real Estate Corp. has broken ground on Niche 905 in Chicago. The 18-story, 202-unit luxury apartment tower will be located at 905 N. Orleans St. Designed by Fitzgerald Associates Architects, the building is expected to obtain LEED certification and will include one-, two- and three-bedroom units. The tower will also include 1,750 square feet of ground-level retail, parking for more than 150 vehicles and storage for 110 bikes, as well as views of Lake Michigan and the downtown skyline. Niche 905 will be located near the Chicago Transit Authority’s Brown, Purple and Red lines. Amenities at Niche 905 include a rooftop pool, spa and sundeck; grilling stations and a fire pit; outdoor bar; community garden; a fitness center with yoga studio; private party room with kitchen; business center; conference room; coffee bar; pet washing station and bike storage and workshop. Unit amenities include quartz countertops, glass tile backsplashes, under-cabinet lighting, plank flooring, 9-foot ceilings, private balconies and washers and dryers. Ascend Real Estate Group and Intercontinental Real Estate Corp. make up the development venture.
PALATINE, ILL. — Faris Lee Investments has brokered the $7.1 million sale of an 11,800-square-foot retail property. The Shops at Deer Grove is fully occupied and located on 1.5 acres in Palatine, approximately 30 miles northwest of Chicago. Tenants in the center include Starbucks Coffee, Menchie’s Frozen Yogurt, Pie Five Pizza, AT&T, Jersey Mike’s Subs and Chipotle Mexican Grill. Matthew Mousavi and Patrick Luther of Faris Lee Investments represented both parties in the transaction. The seller was an Illinois-based private developer and the buyer was a Wisconsin-based private investor.
WAUSAU, WIS. — The Morgan Partners has broken ground on a 45,000-square-foot Dick’s Sporting Goods and a 4,500-square-foot Red Robin in Wausau. The retail buildings will be situated on 5.2 acres. Neighboring tenants include Walmart, PetSmart, Michaels, Best Buy and Starbucks Coffee. Grant Schwab of The Morgan Partners represented the development team. Jon Reese of Great Street Realty Partners and Dan Cohen of Mid-America Real Estate-Wisconsin represented Dick’s Sporting Goods and Red Robin. Both businesses are slated to open in early 2016.
CHICAGO — Marcus & Millichap has arranged the sale of a 6,012-square-foot mixed-use property in Chicago. The building, located at 2058 W. Roscoe St., sold for $1.7 million. Kyle Stengle of Marcus & Millichap marketed the property on behalf of the seller and secured and represented the buyer. Both parties in the transaction were undisclosed and were limited liability companies. The property includes one commercial tenant on the ground floor and five apartment units on the second and third floors.
EAGAN, SHAKOPEE AND MINNEAPOLIS, MINN. — Mid-America Real Estate-Minnesota has arranged three retail leases. In the first transaction, New Bohemia signed a lease for 4,209 square feet at Eagan Towne Centre in Eagan. Cub Foods, Big Lots and Dollar Tree anchor the 153,781-square-foot center. Andrea Christenson and Blaine Beety of Cushman & Wakefield represented the tenants in the transaction, and Mid-America represented the landlord. In the second deal, Title Boxing Club will occupy 3,495 square feet at a retail property in Minneapolis. The 4,736-square-foot center is shadow-anchored by Walgreens, Midas, Enterprise and Kowalski’s. Ian Halker of Colliers International represented the tenant in the transaction and Mid-America represented the landlord. In the third transaction, Starbucks Coffee signed a 2,025-square-foot lese at Southbridge Crossing in Shakopee. The landlord was self-represented, and Mid-America represented the tenant in the transaction.
This year is shaping up to be very exciting and productive for the Richmond retail market. The Richmond retail market has started at a brisk pace for the first half of 2015, similar to the end of 2014 as it absorbed 111,889 square feet. The vacancy rate has continued to decline over the past 12 months as well. The overall retail vacancy rate in Richmond tightened to 6.6 percent, a 50 basis point improvement over last year. The main drivers of retail activity throughout the Richmond MSA continue to be grocery stores, fitness centers and restaurants. Early this year we saw the commencement of construction at two Wegmans-anchored developments in Richmond, one in Short Pump and another in Midlothian. The Midlothian Wegmans will anchor the new Stonehenge Village and is on pace to open in early 2016. The Short Pump Wegmans will join Cabela’s in the new West Broad Marketplace, a 400,000-square-foot development on the western edge of Short Pump. There has also been solid activity in the market from several other grocers, including Walmart Neighborhood Market and Aldi. Each of these concepts has opened four new stores in the market. Another grocer poised to enter the market is LIDL, …
TEMPE, ARIZ. — Tesla Motors has agreed to lease a 42,281-square-foot facility in Tempe. The free-standing building is located at 2077 E. University Drive. This is Tesla’s second Phoenix Valley location, in addition to its retail showroom at Scottsdale Fashion Square. Wentworth Property Co. recently purchased the property for $3.6 million. Andy Markham of Cushman & Wakefield represented the buyer in the transaction. Dave Johnson and Jerry Marrell of Lee & Associates represented the seller, Essex-Scot LLC, a window manufacturer that previously occupied the facility until it outgrew the space.