ATLANTA — AloStar has provided three loans totaling $20.5 million for the acquisition of industrial and retail assets in North Carolina and Georgia. AloStar funded a $9 million loan to ColumbusNova for the purchase of a 159,810-square-foot manufacturing facility in Mooresville, N.C. The property will be leased to a specialty beverage producer. AloStar also funded a $7.3 million loan to a joint venture for the purchase and renovation of a 272,396-square-foot industrial asset in Durham. The joint venture was between Trinity Capital Advisors and SilverCap Partners. AloStar also provided a $4.2 million loan to SunCap Opportunity Fund for the purchase of Uptown Square, a 72,277-square-foot shopping center in Fayetteville, Ga. The asset is anchored by Goodwill and Harbor Freights Tools. AloStar is headquartered in Birmingham, Ala., and its commercial office is located in Atlanta.
ACWORTH, GA. — The RADCO Cos. has purchased Stanton Place Apartments, a 240-unit, Class A multifamily community located one mile from I-75 in Acworth, for $23.3 million. Atlanta-based RADCO has renamed the asset The Landing at Acworth and plans to invest $3 million to modernize and upgrade the property. Built in 2001, The Landing at Acworth’s amenities include a standalone fitness center, swimming pool, nature trail, tennis court, dog park, playground, business center, car wash and detached garages. Units average 960 square feet and include one- and two-bedroom floor plans. RADCO financed the acquisition using a loan from First Tennessee Bank and $8.4 million in private capital. The Landing at Acworth is RADCO’s third property in northern Cobb County and its eighth transaction of the year. RADCO Residential will manage the apartment community once the transaction is finalized.
ATLANTA — Condor Hospitality Trust, a hospitality REIT based in Bethesda, Md., and Three Wall Capital have entered into a joint venture agreement to acquire Aloft Atlanta Downtown, a 254-room hotel located at 300 Spring St. N.W. in downtown Atlanta. The joint venture purchased the hotel for $43.6 million. The property includes dry cleaning services, a splash outdoor pool, fitness center, valet and self-parking and free Wi-Fi access. Aloft Atlanta Downtown is within walking distance to Centennial Olympic Park, World of Coca-Cola, the Georgia Aquarium and the Children’s Museum of Atlanta. Condor Hospitality will own 80 percent of the joint venture and Three Wall Capital will own the remaining 20 percent. The joint venture has selected Boast Hotel Management Co. LLC, an affiliate of Three Wall Capital, to manage Aloft Atlanta Downtown once the off-market transaction is finalized, which is expected to occur in the third quarter.
VIDALIA, GA. — Love Funding has secured a $74.4 million loan through HUD’s 242/223(a)(7) loan insurance program for the refinancing of Meadows Regional Medical Center, a 22-acre hospital in Vidalia. The hospital’s owners, Toombs County Hospital Authority, used the refinancing to cut the interest rate by more than half, saving more than $1.5 million a year in debt-service costs, or more than $30 million over the life of the loan. Originally constructed in 1963, the hospital was expanded in 2011 to include a 194,000-square-foot healthcare facility. Meadows Regional offers 64 private patient suites, 20 emergency treatment rooms and six surgical suites, along with a cardiovascular lab. In the past five years, HUD’s 242 program has insured financing for $2.2 billion of hospital projects across the country.
WAYCROSS, GA. — Avison Young’s Atlanta office has brokered the $6.8 million sale of The Mall at Waycross, a 380,982-square-foot regional mall located on Memorial Drive in Waycross. Built in 1973, The Mall at Waycross was 90.6 percent leased at the time of sale to tenants including JC Penney, Belk, T.J. Maxx, Hibbett Sports, Staples and Georgia Theatre Co. The single-story regional mall is the only anchored shopping mall within a 50-mile radius of Waycross. The shopping center is located on a 37-acre parcel situated between Brunswick and Jacksonville highways near downtown Waycross. Theresa Johnson of Avison Young represented the seller, Torchlight Investors, in the transaction. The buyer was RCG Ventures.
The Atlanta retail market continues to be robust, with vacancy tightening in key submarkets and rents trending upward. Overall vacancy fell slightly from 7.1 percent during the fourth quarter of 2015 to 7 percent in the first quarter of 2016, according to CoStar. However, the decline is greater in hot submarkets such as Buckhead and Central Perimeter that boasted vacancy rates as low as 2.8 percent and 3.2 percent, respectively, in the first quarter. Demand Up, Supply Tightens There is still a disconnect between supply and demand, especially in strong trade areas, and many retailers that wish to enter or expand in the market are finding it difficult to do so. Rents are escalating by 10 percent to 15 percent because of the increased competition for space and the high cost to build new developments is attributable to escalating land costs. During the first quarter, 21 buildings totaling 300,174 square feet were delivered, according to CoStar, and at the end of the first quarter, 1.73 million square feet of retail space was under development. As Atlanta can deliver more of the space that’s under construction and open up availability, rent is expected to continue to climb. Health and Fitness Food …
ATLANTA — Brand Properties plans to develop Northside Midtown Medical, a 12-story, 170,000-square-foot medical office building in Midtown Atlanta. Located at 1130 W. Peachtree St. near 13th Street, the Class A building will be anchored by Northside Hospital, which will operate the Northside Imaging Center, primary care offices, cardiology services and an urgent care outfit at the property. Brand Properties plans to deliver Northside Midtown Medical in mid-2018. Northside is a healthcare delivery system with three not-for-profit hospitals in Atlanta, Cherokee County and Forsyth County and more than 150 outpatient services across Georgia.
DULUTH, GA. — Ten-X, formerly Auction.com, has teamed up with Hale Retail Group to market and sale Gwinnett Prado Shopping Center, a 361,715-square-foot, supermarket-anchored shopping center in Duluth. A subsidiary of Insignia LLC purchased the asset for $17 million using the Ten-X Commercial platform. Built in 1988, the shopping center is situated on 32 acres at 2250 and 2300 Pleasant Hill Road in metro Atlanta’s Gwinnett County. Gwinnett Prado is anchored by a 102,000-square-foot Great Wall supermarket. Other tenants include Office Max and T-Mobile. Philip Kates, Adam Sklaver and Dean Lewis of Ten-X, along with Sam Hale of Hale Retail Group, marketed and sold the shopping center on behalf of the seller, an individual investor. Gwinnett Prado marks the third-largest transaction on the Ten-X platform since its launch in 2009 as Auction.com.
ATLANTA — The Atlanta Housing Authority’s Board of Commissioners has selected Hunt Development Group and Atlanta-based Oakwood Development Group to redevelop the Herndon Homes site in Atlanta. The $150 million master plan calls for a mixed-use, mixed-income development that features 700 multifamily units of varying housing types, as well as retail and community spaces and a new fitness center. The site is located on 12 acres along Northside Drive, about one mile north of Mercedes-Benz Stadium, the future home of the Atlanta Falcons and Atlanta United FC. The development team has selected Moss to serve as the construction manager for the project.
ATLANTA — Columbia Ventures LLC plans to break ground this week on Spoke, a transit-oriented, mixed-use development situated at the Edgewood/Candler Park MARTA station in Atlanta’s Edgewood neighborhood. Demolition has begun on the site, which is currently a parking lot on La France Street. Spoke is the first of several MARTA station activation projects to break ground under the leadership of MARTA CEO Keith Parker. Upon completion in 2018, Phase I of Spoke will feature a 224-unit luxury apartment building, neighborhood park, local restaurant and a headquarters and performing arts center for Moving in the Spirit, a local youth development organization. Perkins + Will designed the Moving in the Spirit building. Future phases will include additional housing and commercial uses. Chip Sykes of HFF arranged construction financing through Mutual Bank of Omaha on behalf of Columbia Ventures.