PASADENA, TEXAS — Dunavant Distribution Group LLC, a logistics and supply chain operator, has signed a 137,280-square-foot industrial lease at Bay Area Business Park in the eastern Houston suburb of Pasadena. John Nicholson of Colliers International represented Dunavant, which now occupies just under 1 million square feet in Bay Area Business Park, in the lease negotiations. Justin Robinson and Jeff Pate of Stream Realty Partners represented the landlord, PEPF Red Bluff.
John Randall of Grandbridge Real Estate Capital talks about the capital available in the commercial real estate market. The risk-adjusted returns available in CML [capital market line] debt capital markets is superior to that offered by alternative investment classes, he says. “Until we see any meaningful steepener on the curve or significant disruption, there’s really no end in sight to the liquidity in both debt and equity flowing into commercial real estate.” This breeds fierce competition, but there has not been any meaningful slippage in risk terms or how lenders are underwriting assets. As far as the multifamily sector goes, Randall sees no end to the growing demand from renters. “As a country, we are underhoused to the tune of 3 million to 4 million units… and we’re running at an annual deficit in excess of 350,000 units,” he notes. Watch the interview to hear Randall’s insights on multifamily, as well as Grandbridge’s plans following the merger of BB&T with SunTrust to form Truist. (Grandbridge is a subsidiary of BB&T, now Truist.) 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 …
IRVING, TEXAS — Invesco Real Estate and Perot Development Co. have begun construction on Phase I of DFW Park 161, an industrial project near DFW International Airport in Irving that will eventually offer 2.4 million square feet of space across 196 acres. Phase I will feature three logistics buildings totaling more than 1 million square feet that will be developed on a speculative basis. Phase II will involve a build-to-suit facility for an e-commerce user that will span more than 1.4 million square feet. The Phase I buildings are expected to be available for occupancy by early 2021. Halff Associates is the project architect and civil engineer, and Peinado Construction is the general contractor. First United Bank provided construction financing for the project, and Cushman & Wakefield is handling leasing.
AMARILLO, TEXAS — JLL has negotiated the sale of Westgate Mall, a 511,566-square-foot enclosed regional mall in Amarillo. The property was built on 93.7 acres in 1982 and has since been renovated multiple times, most recently in 2017. Westgate Mall was roughly 80 percent leased at the time of sale to tenants such as Dillard’s, Beall’s and Premiere Cinema, Shoe Dept. Encore and Forever 21. Dave Monahan, Cameron Pittman, Akhil Patel, Claudia Steeb and Barry Brown of JLL represented the undisclosed seller in the transaction. A partnership between Mason Asset Management, Namdar Realty Group and CH Capital Group purchased the asset for an undisclosed price. The partnership also purchased the 663,978-square-foot South Park Mall in San Antonio as part of the same deal.
HOUSTON — Locally based investment and development firm MetroNational has broken ground on a 190,000-square-foot office project within a four-acre mixed-use development in Uptown Houston. Designed by Kirksey Architects, the Class A building will offer 21,000 square feet of leasable space per floor and will include 4,500 square feet of ground-floor retail and restaurant space. An expected completion date has not yet been determined.
ARLINGTON, TEXAS — Locally based investment firm 180 Multifamily Properties has purchased Rio on the Parkway, a 305-unit community in Arlington. According to Apartments.com, the property was built on 9.5 acres in 1972 and features studio, one- and two-bedroom units. Amenities include a pool, playground and onsite laundry facilities. The buyer, which acquired the asset from an entity doing business as Rio on the Parkway 2017 LLC, will renovate and rebrand the property as The Mirage.
DALLAS — Global architecture firm PDR is expanding its presence in Texas with the opening of a regional office at 2001 Ross Ave. in downtown Dallas. Since its founding in 1977, the Houston-based firm has worked on projects in Dallas for major companies like ExxonMobil, Texas Instruments and USAA. Partner and principal Marc Bellamy will lead the Dallas office along with senior associates Justin Dezendorf and Jenny Segsworth.
SAN ANTONIO — JLL has negotiated the sale of South Park Mall, a 663,978-square-foot enclosed regional mall in south San Antonio. Built on 48.5 acres in 1968, the property has been renovated several times, most recently in 2018. South Park Mall was 95 percent leased at the time of sale to tenants including anchors JC Penney, Dick’s Sporting Goods and Beall’s, as well as Old Navy, Ulta Beauty and The Vitamin Shoppe. Dave Monahan, Cameron Pittman, Akhil Patel, Claudia Steeb and Barry Brown of JLL represented the undisclosed seller in the transaction. A partnership between Mason Asset Management, Namdar Realty Group and CH Capital Group purchased the asset.
HOUSTON — Boston-based TA Realty has acquired East Belt Business Park, a 350,000-square-foot industrial development situated on 23.7 acres in southeast Houston. The property consists of two rear-load and two cross-dock buildings that include 20- to 24-foot clear heights, 114 dock-high doors, 120- to 180-foot truck court depths and 510 parking spaces. Trent Agnew, Rusty Tamlyn, Charlie Strauss and Tom Weber of JLL represented the seller, a fund advised by Morgan Stanley Real Estate Investing, in the transaction.
HOUSTON — NorthMarq has arranged a $28.5 million loan for the refinancing of Champions Forest Plaza, an 187,000-square-foot retail center in Houston. Originally built in the 1960s, the property was 92 percent leased at the time of the loan closing to tenants such as The Container Store, Gap, Ann Taylor, Starbucks and Jos. A. Bank. Matthew Franke, Ray Driver and Michael Borden of NorthMarq arranged the 15-year, fixed-rate loan with a 25-year amortization schedule through OneAmerica, an Indianapolis-based life insurance company. The borrower was Smithco, a locally based developer.