OKLAHOMA CITY — Locally based developer Gardner Tanenbaum Holdings (GTH) is underway on construction of a 156,000-square-foot industrial facility in Oklahoma City for Corken Inc., a provider of pumps and compressors. Situated within the 104-acre Britton Road Commerce Park, the property offers convenient access to Interstate 35. Corken will utilize the facility, which is expected to be complete in late 2019, for manufacturing and office uses. Metropolitan Capital Advisors arranged debt for the project through Centennial Bank.
ELGIN, OKLA. — Marcus & Millichap has brokered the sale of Kensington Rental Estates, a 26-unit multifamily community in Elgin, located southwest of Oklahoma City. Derek Wilson of Marcus & Millichap represented the seller and buyer, both of which were private investors, in the transaction. The property was built in 2013 and offers two- and three-bedroom units.
TULSA, OKLA. — Dallas-based Metropolitan Capital Advisors (MCA), which also has an office in Denver, has arranged $10.7 million in construction financing for the renovation of Reunion Center, a 95,000-square-foot historic office building in downtown Tulsa. The borrower, Oklahoma-based Rose Rock Development Partners, plans to convert the 10-story building into a 79-unit residential property with 10,000 square feet of ground-floor retail space. The new community will offer a pool, outdoor grilling area and a rooftop terrace. Brandon Wilhite of MCA arranged the loan though CrossFirst Bank on behalf of Rose Rock, which will also receive $4.3 million in federal and state historic tax credits for the project.
TULSA, OKLA. — JLL has arranged a $48.6 million acquisition loan for a portfolio of nine office buildings totaling more than 1 million square feet in Tulsa’s southern submarkets. Adam Schwartz, Aaron Appel, Keith Kurland, Jonathan Schwartz, Matt Collins and Sean Bastian of JLL placed the loan through Citigroup Inc. on behalf of the borrower, Group RMC, a New York-based office investment firm.
DENISON, TEXAS — N3 Real Estate has acquired three pieces of land in the North Texas city of Denison for the development of a retail strip center that will offer between 5,000 and 8,000 square feet of space. The site is located near Gateway Village, a mixed-use destination owned by Covenant Development that features residences and multiple retail and restaurant uses, including a HeyDay entertainment center. N3 is also developing a 7,250-square-foot strip center in Lawton, Okla., that will be anchored by a Tropical Smoothie.
CHICKASHA, OKLA. — Arbor Realty Trust Inc. (NYSE: ABR) has provided a $1.7 million Freddie Mac loan for the refinancing of Winding Creek Apartments, a 50-unit multifamily asset in Chickasha, a southwestern suburb of Oklahoma City. The property was built in 1974 on eight acres. Eric Regenbogen of Arbor Realty originated the loan through Freddie Mac’s Small Balance Loan program on behalf of the undisclosed borrower.
OKLAHOMA CITY — CBRE has negotiated the sale of a 21,000-square-foot industrial property located at 2740 Global Parkway in Oklahoma City. The property is situated just off Interstate 40 on the southeast side of the city. Randy Lacey and Austin Lacey of CBRE represented the buyer, BGI Investments LLC, in the transaction. The representative of the seller was, Genprop Operators LLC, was not disclosed.
OKLAHOMA CITY — CBRE has negotiated the sale of a Flamingo Apartments, a 32-unit multifamily complex in Oklahoma City. Formerly known as University Manor, the property was built in 1961 and renovated in 2017. CBRE represented the seller, an affiliate of Oklahoma City-based boutique real estate development and design company, Nostalgia Shoppe. The buyer, Flamingo Holdings LLC, acquired he asset through a Freddie Mac Small Balance Loan.
From a manufacturing perspective, Oklahoma City has historically been considered a “tertiary market” when stacked against South Central and Midwest power players such as Dallas-Fort Worth (DFW), Houston, Kansas City, San Antonio, Austin and Denver. As large manufacturing users consider multiple markets in the Central United States, Oklahoma City is often included in the initial list but typically fails to make the short list for various reasons. However, as labor costs rise, Oklahoma City may find itself being pushed to the front of the line. Past Misses Oklahoma City’s industrial market totals approximately 108 million square feet, making it a smaller market than DFW, Houston, Kansas City, San Antonio, Austin or Denver. Primarily driven by the oil & gas, aerospace and consumer goods industries, this market’s fundamentals tend to move in lockstep with oil & gas commodity prices. The city has tried to diversify the economy over the past decade and bring in non-oil & gas users. But there is still room for improvement. The metro has seen its share of growth; however, overall industrial construction still pales in comparison to larger markets. Growing Appeal The industrial booms seen in DFW, Houston, Kansas City, San Antonio, Austin and Denver over …
As expected and much anticipated, the global rise in oil prices has given the petroleum industry a significant boost and spurred Oklahoma City’s economic recovery. The resurgence, demonstrated in part by a three-year-high in hiring this year, is drawing out-of-state multifamily investors and bringing greater interest from companies looking to relocate or expand. In mid-October, FedEx more than doubled its warehouse space with the opening of a new 270,000-square-foot distribution facility in north Oklahoma City. The expansion came in response to the increase in outbound e-commerce volume, another indication that the local economy has turned a corner. Most of the new jobs created in Oklahoma City through September 2018 were professional and business positions. The sector grew by 4.4 percent year-over-year, easily the widest margin of any employment sector. Overall, the total number of jobs filled during that same period was 13,500, an increase of 2.1 percent. For the complete year, employers anticipate adding about 14,000 new positions. The rebound in hiring has led to the unemployment rate dropping to 3.2 percent, nearly its lowest level in a decade. Supply-Demand Balance The city’s economic recovery is particularly well-timed for multifamily investors, as it coincides with a reduction in the metro’s …