DECATUR, ALA. — Trillium Capital Resources has arranged a $6.5 million Freddie Mac loan for the refinancing of Summer Key Apartments, a 188-unit multifamily community in Decatur. Trillium arranged the 10-year, non-recourse loan with a fixed interest rate 198 basis points over the 10-year Treasury yield. The loan features a 70 percent loan-to-value ratio.
The Birmingham retail market had an explosive 2016. Several large projects were announced or completed, while traditional indicators of market health also showed promising signs of growth. TopGolf will soon be coming to the Uptown District, while Regions Field, home of the Birmingham Barons minor league baseball team, continues to attract surrounding development. Breweries remain a mainstay in Birmingham’s social scene, and they have demonstrated a capability to revive entire neighborhoods. As the natural beauty of Alabama becomes more important to residents and newcomers, the Red Rock Trail System’s green space bicycle system, which encompasses over 200 miles of green space trails and over 600 miles of street-based paths connecting all corners of the Birmingham area, will continue to grow in importance and recognition. By the fourth quarter of 2016, retail vacancy had decreased to 5.4 percent, down from 6.1 percent at the beginning of 2016, while market rents for major submarkets held steady around $12.37 per square foot. Downtown Birmingham, which hasn’t been viewed as a major retail area for decades, is the site of resurgent interest and accompanying capital. Some of the revitalization is occurring due to a renewed interest in public greenspaces, such as the recently developed …
HUNTSVILLE, ALA. — The Hollingsworth Cos. has broken ground on a 252,000-square-foot industrial facility within SouthPoint Industrial Park in Huntsville. The property will be SouthPoint’s fifth building, and Hollingsworth plans to commence construction on a sixth this summer. Situated along Interstates 65 and 565, the new property will feature 32-foot clear heights and 14 loading docks. Hollingsworth has completed a few industrial projects in the Southeast recently, including a 264,763-square-foot asset in Cookeville, Tenn.; a 183,618-square-foot expansion in Prince George, Va.; and a 127,950-square-foot manufacturing facility in Andersonville, Tenn.
HUNTSVILLE, ALA. — Dallas-based Venture Commercial Real Estate has arranged a 20,000-square-foot lease for Northern Tool + Equipment in Huntsville. The new store will be located at 7262 Governors West along Interstate 565. Clay Mote of Venture Commercial is the master broker for Northern Tool in all markets across the U.S. and represented the tenant in lease negotiations. Kathy Dennis of The Shopping Center Group’s Birmingham office represented the landlord, Sen LLC.
MOBILE, ALA. — Hutton Co. has sold McGowin Park, an approximately 375,000-square-foot, open-air shopping center located at 3075 Government Blvd. in Mobile. Cole Credit Property Trust IV Inc. purchased the asset for $77.8 million. Completed in 2016, McGowin Park’s tenant roster includes Dick’s Sporting Goods, Field & Stream, HomeGoods, Ross Dress for Less, Hobby Lobby, Best Buy, Old Navy, Petco, Ashley Furniture HomeStore and Dollar Tree. The center is shadow-anchored by Costco and Regal Cinemas and features additional development opportunities with three outparcel pads and two restaurant pads. Richard Reid and Jim Hamilton of HFF represented Hutton Co. in the transaction. Kevin MacKenzie and Mark Sixour of HFF arranged a $42.8 million, seven-year, fixed-rate acquisition loan through a life insurance company on behalf of Cole Credit Property Trust IV.
BIRMINGHAM, ALA. — Financial Federal Bank’s Memphis office has arranged $31.8 million in acquisition financing for two multifamily communities in suburban Birmingham. The financing includes a $13.5 million loan for Mountain Lodge Apartments, a 254-unit community built in 1973, and a $18.3 million loan for Madison at Shoal Run Apartments, a 276-unit property built in 1986. Both communities were more than 90 percent occupied at the time of closing. Rick Wood and Jon Van Hoozer of Financial Federal arranged the 10-year, fixed-rate loans, which both feature four years of interest-only payments and 30-year amortization schedules. Financial Federal arranged the financing through an agency lender’s green program, which allowed for the financing of energy- and water-saving improvements.
MISSISSSAUGA, ONTARIO — R&R Real Estate Investment Trust (R&R REIT) has agreed to acquire a portfolio of nine extended stay hotels in the Southeast and Midwest totaling 1,020 rooms for an aggregate purchase price of $35 million. The properties are currently owned and operated by entities controlled by R&R REIT’s Majid Mangalji and Michael Klingher. Five of the hotels operate under the HomeTowne Studios brand, and the remaining four operate under the HomeTowne Suites brand. The properties are located in Kentucky, Georgia, Mississippi, Arkansas, Louisiana, Alabama, Illinois and South Carolina. Blake, Cassels & Graydon LLP and Greenberg Traurig LLP acted as legal counsel to the REIT, and Raymond James Ltd. acted as financial advisor to the special committee charged with approving the portfolio acquisition. Following the closing of the acquisition, the REIT’s portfolio will comprise 10 hotels located in nine states.
BIRMINGHAM, ALA. — Capital One Multifamily has arranged a $27.1 million Fannie Mae loan for 4700 Colonnade, a 215-unit apartment community located in Birmingham. Built in May 2016, 4700 Colonnade was 97 percent occupied at closing. Chad Thomas Hagwood of Capital One Multifamily originated the 10-year, fixed-rate loan with two years of interest-only payments followed by a 30-year amortization schedule. The borrower, an affiliate of Kore LLC, is using the financing to retire construction debt and return proceeds.
LOXLEY AND BIRMINGHAM, ALA. — Grandbridge Real Estate Capital has arranged three loans totaling $37.4 million for industrial facilities in Alabama. The financing includes a $13.1 million loan for I-10 Business Park, a 977,520-square-foot industrial/bulk warehouse complex in the Mobile suburb of Loxley; a $12.8 million loan for Oxmoor South, a 528,428-square-foot warehouse in Birmingham; and a $11.5 million loan for a 515,000-square-foot distribution center in Birmingham. William Silsbee of Grandbridge arranged all three loans through unnamed life insurance companies.
BIRMINGHAM, ALA. — Cushman & Wakefield has arranged the sale of Fix Play Lofts and Goodall-Brown Lofts, two mixed-use buildings located in downtown Birmingham’s central business district. Highland purchased both assets from affiliates of Sloss Real Estate for a combined $9.4 million. Together, the properties total 59 multifamily units and 20,577 square feet of ground-floor retail space. Jimmy Adams of Cushman & Wakefield represented the sellers in the transaction.
