Southeast

ATLANTA — Lincoln Property Co. has topped out 765 Echo, a four-story, 300,000-square-foot office building set within the 19-acre Echo Street West project in Atlanta’s West Midtown district. Upon completion, the mid-rise structure will feature 29,000 square feet of tenant balconies that can host outdoor conferences, fitness space and social gatherings. The mass timber building will also feature floor plates with 15- to 20-foot windows that offer unobstructed, 360-degree views. The office building will be located adjacent to a 3,500-square-foot amenity center that will provide office tenants with flexible meeting space, an outdoor patio and a full bar. Echo Street West’s first phase that includes 765 Echo, 25,000 square feet of retail space, the 292-unit Vibe apartments, Guardian Works, Guardian Studios and the Westside Motor Lounge is on target to be complete by spring 2023. Future phases will bring additional office, retail, residential and hotel components to the site. The project team includes capital partner Bridge Investment Group; general contractors DPR Construction, Juneau Construction Co. and Merit Construction; architects RIOS, Nelson Architects and Dwell Design Studio; and retail leasing brokerages SRS Real Estate Partners and Revel. Lincoln Property Co. manages the entire project and handles office leasing.

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MIAMI — JLL has secured the $112 million refinancing of a 12-property industrial portfolio in South Florida’s Miami-Dade and Broward counties. Jim Cadranell, Gregory Nalbandian, Maxx Carney and Michael Lachs of JLL arranged the seven-year, fixed-rate loan through an unnamed life company on behalf of the borrower, Seagis Property Group LP, which acquired most of the properties in the portfolio in the past two years. The properties in the 895,958-square-foot portfolio include: • 255 NE 181st St. in Miami • 3075 NW 10th Ave. in Doral • 8850 NW 15th St. in Doral • 9700 NW 17th St. in Doral • 10100 NW 25th St. in Doral • 10005 NW 58th St. in Doral • 12800 NW 113th Court in Medley • 3501 Commerce Parkway in Miramar • 1919 NW 19th St. in Fort Lauderdale • 2765 SW 36th St. in Fort Lauderdale • 3400-3406 SW 26th Terrace in Fort Lauderdale • 280 NW 12th Ave. in Pompano Beach

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NASHVILLE, TENN. — CBRE has arranged an undisclosed amount of financing for construction of The Crestmoor at Green Hills, a 12-story seniors housing community in Nashville’s Green Hills neighborhood. A joint venture between Bridgewood Property Co. and Harrison Street are developing the property, which will feature 117 independent living units, 45 assisted living units and 29 memory care units. Aron Will and Tim Root of CBRE National Senior Housing arranged the five-year construction loan through a regional bank. Bridgewood’s wholly owned management company, The Aspenwood Co., will operate the community upon completion.

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SUMMERVILLE, S.C. — Blaze Capital Partners and Cross Lake Partners have sold Chamberlain Pines, a 132-unit single-family rental community in Summerville, a suburb of Charleston. The duo delivered the townhome-style property last year. The buyer and sales price were not disclosed. Chamberlain Pines features two-story townhomes averaging 1,685 square feet across three and four-bedroom rental units. All units feature attached garages, concrete backyard patios and private, fenced-in yards.

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Aaron Hargrove Walker Dunlop Affordable Housing

With transaction volume for market-rate housing beginning to ebb, affordable housing investment is poised to play a more central role in the months ahead. Several factors have broadened the allure of affordable housing as an investment vehicle in recent years. When the pandemic began taking a toll on market-rate housing performance, investors saw federal, state and even local governments enact measures to help residents at affordable communities maintain their rent payments and help ensure housing remained available for people struggling financially. We saw the interest level in Section 8 properties, for example, increase significantly during the pandemic, due chiefly to federal guarantees backing those rent streams. From a financing perspective, the strong commitment shown by Fannie Mae, Freddie Mac and the Federal Housing Administration to preserve liquidity for affordable housing has bolstered development and investment in the space. Due to the required hold periods, affordable housing investments are less affected by market cycles, so liquidity should remain strong. Now, changing economic forces promise to drive new equity to the affordable sphere and fuel further investment. The Federal Open Market Committee’s resolve to combat record inflation is exerting upward pressure on mortgage rates and, eventually, cap rates, which could discourage sellers …

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The Louisville office market is taking diverse paths forward following the pandemic. The suburban Class A market is thriving with new construction, rental rate growth and resiliency in the face of downsizing tenants and negative absorption. A flight to quality among tenants has benefited local developers such as NTS Development, which has been constructing first-class, next-generation buildings at ShelbyHurst Office Campus since 2012. NTS recently completed its fifth speculative office building at the project, 425 North Whittington, a four-story, 130,000-square-foot building that is 60 percent leased with strong leasing activity. The flight to quality is driving tenants to choose higher-quality buildings with more expensive rental rates to help attract and retain talent and cater to a hybrid workforce. Traditional downtown occupiers are also considering the suburbs for the first time to create a workplace that draws employees back to the office. Suburban vacancy rates have increased since the end of 2019, with the Class A rate increasing by 490 basis points to 13.5 percent and the Class B vacancy rate increasing by 440 basis points to 15.2 percent as of second-quarter 2022. The average asking rental rate for Class A suburban space rose during this period despite increased vacancy rates. …

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OPELIKA, ALA. — Reich Brothers, a national industrial real estate investment firm, has purchased a 1.6 million-square-foot distribution center in Opelika, a city along I-85 and near Auburn, Ala. The seller and sales price were not disclosed. The facility is the largest multi-tenant distribution center in the Auburn-Opelika market, with 96 dock positions, more than 10 leased suites and standalone buildings ranging from 50,000 to 400,000 square feet. The rail-served property services both the Kia and Hyundai automotive hubs in western Georgia and eastern Alabama, according to Reich Brothers.

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ATLANTA — Barings plans to convert approximately 45,000 square feet of vacant office space at 3445 Peachtree in Atlanta’s Buckhead district to speculative suites. Spread across five spaces within the 14-story, 287,000-square-foot office building, these suites will range in size from 3,000 square feet to a full 23,000-square-foot floor. Furniture will be provided within some of these spaces and each spec suite will include exposed ceiling duct work and floor plans that invite collaboration. New tenants will also have access to several Class A amenities available to all 3445 Peachtree tenants. No construction timeline was disclosed. According to research from CBRE, metro Atlanta currently has 500,000 square feet of spec suites under construction, which represents about 28 percent of the market’s existing inventory of spec suite space (1.8 million square feet).

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TAMPA, FLA. — CBRE has arranged the $14.5 million sale of Tampa Oaks II, a 104,080-square-foot office building located at 12906 Tampa Oaks Blvd. in Tampa. Dale Peterson, Joe Chick, Kristen McFarland Hagen, Courtney Snell and Nick Sharpe of CBRE represented the seller, TerraCap Management, in the transaction. Marc Magliarditi and Travis Landes of CBRE’s Las Vegas office represented the unnamed buyer. Constructed in 2008 by Opus South Corp., Tampa Oaks II’s major tenants include Liberty Mutual Insurance Co., Fieldstone A&E and Home Encounter LLC.

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DECATUR, GA. — Northmarq has secured the sale of Avana Druid Hills, a 228-unit apartment community located at 3471 N. Druid Hills Road in Decatur, a suburb of Atlanta. Jason Nettles, Megan Thompson and Peter Chacon of Northmarq represented both the buyer, Atlanta-based RangeWater Real Estate, and the seller, Charleston-based Greystar, in the transaction. The sales price was not disclosed. Greystar had previously invested $1.2 million for exterior upkeep at Avana Druid Hills, including new roofing, balcony repair, retaining wall replacement and an LED lighting package. Built in 1985, the pet-friendly, garden-style property features a saltwater pool, outdoor lounge with a fire pit, fitness studio, clubhouse, grill, picnic area, tennis court, business center, onsite storage, coffee bar and a car care facility.

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