IRVING — Newmark Knight Frank (NKF) has negotiated a 67,200-square-foot industrial lease extension at Freeport/Royal Trade Center, located at 8600 N. Royal Lane in Irving. According to commercialcafé.com, the property was built on 5.8 acres in 1997 and includes office space. John Wolf of NKF represented the tenant, Siemens Real Estate Inc., in the lease negotiations. Lee & Associates represented the landlord, Goldstar Investments.
Texas
WEATHERFORD, TEXAS —Civitas Senior Living and PremCap Senior Living have opened West Fork at Weatherford, located west of the Dallas-Fort Worth (DFW) metroplex. The 75,800-square-foot community offers 70 assisted living apartments and 19 memory care suites. The community is located near Weatherford’s historic downtown and directly adjacent to Medical City Weatherford.
ENNIS, TEXAS — Marcus & Millichap has arranged the sale of a 62,500-square-foot industrial asset occupied by Party Supplies Group in Ennis, a southern suburb of Dallas. The property was built on 2.1 acres in 1962. Adam Abushagur and Cliff Zimmerman of Marcus & Millichap represented the seller and procured the buyer in the transaction. Both parties were private investors that requested anonymity.
HOUSTON — NAI Partners has brokered the sale of a 49,100-square-foot industrial property located at 10000 W. Airport Blvd. in Houston. According to LoopNet Inc., the single-tenant property was built on 5.8 acres in 1980. Chris Caudill and Griff Bandy of NAI Partners represented the seller, SES Properties LLC, in the transaction. Tiffany Sebastian of RE/max Vintage represented the buyer, Classic Chevrolet of Sugar Land.
Charles Cronin of Axiom Capital Corp. discusses how the longest upcycle in history is impacting the lending environment. Cronin weighs in on the overall health of the commercial real estate lending industry now and what people learned from the 2007/08 financial crisis. What can people expect from the market going into 2020, especially with high prices and fierce competition in both sales and lending? Low credit spreads and rates are positive signs for commercial real estate. However, challenges related to high-end apartments and areas with very high costs of living signal the need for both discipline and flexibility as secondary and tertiary markets become more attractive. Watch the video to hear more about what Cronin sees in today’s market. This video is posted as part of REBusinessOnline’s Finance Insight series, covering MBA CREF 2020. Click here to subscribe to the Finance Insight newsletter, a four-week newsletter series, followed by video interviews from MBA CREF.
Multifamily developers in the Dallas-Fort Worth (DFW) metroplex in 2020 expect to see a slightly slower pace of rent growth brought on by record levels of new supply in recent years. This trend, paired with higher costs of adding features that distinguish properties from their competition, could lead to slightly more modest profit margins for multifamily developers. According to the latest data from CoStar Group, the average rate of multifamily rent growth in DFW between 2015 and 2019 was roughly 3.5 percent, skewed in part by a massive annual gain of 6.1 percent in 2015 and 3.9 percent in 2016. The citywide vacancy rate compressed below 7 percent in those two years, leading to an even more pronounced building boom. Since then, annual rent growth has maintained the current projection of 2 to 3 percent, with gains in the Class B space outpacing those of Class A product, a classification that captures virtually all new construction outside of purpose-built affordable housing. During the five-year period ending in 2019, nearly 110,000 new units were delivered in DFW, with annual supply growth as a percentage of total inventory topping 10 percent in some years. The new year purports to be the first …
SPRING, TEXAS — LandPark Advisors LLC has acquired a 278-unit self-storage facility formerly known as Regal Self Storage in Spring, a northern suburb of Houston. The property was built on 1.8 acres in 2005 and features 43,025 square feet of net rentable space. LandPark will renovate the facility and rebrand it as Right Move Storage Spring. The seller was not disclosed.
BEDFORD, TEXAS — HotelBrokerOne, a hospitality investment brokerage and consulting firm, has arranged the sale of the 243-room Holiday Inn DFW Airport Area West hotel in the Fort Worth suburb of Bedford. Located a few miles from the southern entrance to the airport, the hotel features a fitness center, outdoor pool, business center and a cocktail lounge. Joe Strain and Bruce Holmes of HotelBrokerOne represented the undisclosed seller in the transaction. The buyer was not disclosed.
PLANO, TEXAS — Marcus & Millichap has brokered the sale of Legacy Self Storage, a 128-unit facility in Plano. The 15,628-square-foot facility was built in 2002 and features 80 climate-controlled units and 48 non-climate-controlled units. Brandon Karr and Danny Cunningham of Marcus & Millichap represented the seller, a private family partnership, in the transaction. The duo also secured the buyer, a locally based investor.
PLANO, TEXAS — Transwestern Commercial Services (TCS) has negotiated three leases totaling 145,000 square feet at an office building located at 3033 W. President George Bush Turnpike in Plano. Nathan Durham and Duane Henley of TCS represented the landlord, Champion Partners, in all three lease negotiations. Brad Struck and Roy Reis of ESRP represented Paragon Healthcare in its 70,000-square-foot lease; Clay Vaughn and Preston Lynn of CBRE represented Australian technology firm Appen Inc. in its 50,000-square-foot lease; and a team led by Scott Hobbs of Cushman & Wakefield represented a division of Samsung in its 25,000-square-foot lease.