The Raleigh/Durham retail market consists of approximately 41 million square feet and serves a population of about 1.75 million people. Raleigh, Durham and Chapel Hill comprise the “Research Triangle” metropolitan region, which is continuously ranked among the best areas in the nation to live and work. The retail market has an overall low vacancy rate and remains relatively healthy despite the lingering recession. A period of remarkable growth has slowed and only a handful of new developments opened in 2011. These include Park West Village, a 373,748 square feet power center located in Morrisville at Highway 54 and Cary Parkway, and the 57,511-square-foot Market at Colonnade, a shopping center anchored by Whole Foods and located on Six Forks Road in north Raleigh. Another notable project is the renovation of the 200,000-square-foot Waverly Place in Cary. Few new development opportunities are expected in the near future and positive absorption of vacancy for anchor and shop space has been encouraging, as centers have continued to strengthen albeit at lower rental rates. Job growth drivers are simply not there to support the rapid retail growth the area experienced prior to the recession. Trends in the marketplace include expansion of discount chains such as …
ATLANTA — Atlanta-based IDI has plans to begin construction on the 650,000-square-foot Building A, a speculative industrial property located at Riverside Business Center in Atlanta. The building will be built to LEED certification. Completion is slated for the third quarter of 2012. When complete, Riverside Business Center will include 1.2 million square feet of warehouse and industrial space. In addition, there are two commercial sites on the property totaling 20 acres, which will be used for retail and commercial uses.
CASSELBERRY AND PORT ORANGE, FLA. — A joint venture between GoldOller Real Estate and a New York-based private investment firm has purchased a two-property multifamily portfolio totaling 632 units for $37.9 million. The properties include the 336-unit Reflections Apartments, located at 100 Reflections Cir. in Casselberry, and the 296-unit Ocean Oaks Apartments, located at 1645 Dunlawton Ave. in Port Orange. Jay Ballard, Ken Delvillar and Lindsey Pfaender of Cushman & Wakefield's Orlando, Fla., office represented Denver-based Apartment Investment and Management Co., the seller, in the transaction. The buyer has plans to complete capital improvements, including upgraded fitness centers, redesigned clubhouses and the addition of a business center.
MORGANTON, N.C. — Mount Pleasant, S.C.-based WRS has broken ground on a 450,000-square-foot power center, located on the former site of the Henredon manufacturing facility at 400 Henredon Dr. in Morganton. A 177,000-square-foot Walmart, T.J. Maxx, Ross Dress For Less and PetSmart will anchor the center, which is 75 percent pre-leased. Phase I is slated for completion in the summer of 2013. WRS will manage development and leasing/sale activities on behalf of the owner, Morganton Retail Investment.
WASHINGTON, D.C. — Washington, D.C.-based Rock Creek Property Group has purchased a 28,366-square-foot building, located at 1100 16th St. NW in Washington, D.C., at a foreclosure auction from Tysons Corner, Va.-based Cardinal Bank for $4.72 million. The company plans to gut the building and convert the project into a first-class office headquarters. Rock Creek has retained Washington, D.C.-based OTJ Architects as the base-building architect and planner. Construction is slated to begin in the first half of 2012 with completion slated for later in the year.
ELIZABETHTOWN, KY. — Love Funding has closed an $8.15 million construction-to-permanent loan for the 100-unit Tunnel Hill Apartments, located on Tunnel Hill Road in Elizabethtown. Tammy Tate of Love Funding's Knoxville, Tenn., office arranged the 40-year permanent loan with a low fixed-interest rate for the duration of construction through the FHA's 221(d) loan insurance program.
ATLANTA AND BIRMINGHAM, ALA. — Birmingham-based Daniel Corp. has started development of three multifamily properties with a combined total cost of more than $200 million. In Atlanta, the firm has broken ground on 77 12th Street, an $82 million, 23-story mixed-use tower located in the 12th & Midtown project. The development will include 330 luxury apartment units and 20,000 square feet of street-level retail. Also in Atlanta, Daniel Corp. has been contracted to buy the 80-unit The Rocca: Piazza at Paces, a multifamily property located at 3280 Northside Pkwy. NW. The company plans to expand the property by an additional 200 units. Construction is slated to begin this summer. In Birmingham, the firm has broken ground on the $35 million, 250-unit Ashby at Ross Bridge, located in the Ross Bridge master-planned community.
NEWPORT BEACH, CALIF. — Newport Beach-based Griffin-American Healthcare REIT II has purchased 10 skilled nursing facilities and one medical office building for $174.3 million. The properties are located in Georgia, Tennessee, Louisiana, Alabama and Texas. The 10 nursing facilities add 1,364 beds to the Griffin-American Healthcare REIT II's skilled nursing facility portfolio and are leased through 2027 by affiliates of Wellington Healthcare Services, the seller of the properties. Matt Ryan and Michael Hoagberg of Houlihan Lokey's Chicago office represented the seller in the transaction. The 60,000-square-foot SIerra Providence East Medical Plaza I, located in El Paso, Texas, was acquired from PHT Investment Holdings. Chris Bodnar of CBRE's Denver office represented the seller.
GREENSBORO, N.C. — Raleigh, N.C.-based Church Street Partners has purchased the 240-unit Hunt's View, an apartment complex located at 3901 Battleground Ave. in Greensboro. Amenities include a pool, spa, billiard's room, exercise facilities and a picnic area. The property is currently 90 percent occupied. Sean Wood, Blake Oakland and Dean Smith of ARA's Charlotte, N.C., office represented the undisclosed seller in the transaction.
ODENTON, MD. — The ground lease for a 4,000-square-foot, single tenant, net-leased M&T Bank property, located at Annapolis Road and Blair Drive in Odenton, has sold for $4.02 million. Michael Shover, Tom Gorman and Matthew Gorman of Marcus & Millichap's Philadelphia office represented the seller, a Baltimore-based developer, in the transaction. The all-cash buyer is based in Manhattan.