LAS VEGAS — A solar company has purchased two industrial properties located in Las Vegas for $5.6 million. The undisclosed company acquired a 17,720-square-foot asset at 3570 W. Post Road for $3.5 million, or $198 per square foot; and a 10,484-square-foot building at 3583 Birtcher Drive for $2.1 million, or $200 per square foot. Situated on a combined a 1.9 acres, the 3570 W. Post Road property features three grade-level doors, one dock door and a large fenced yard, while the building at 3583 Birtcher Drive offers two grade-level doors, solar panels and a fenced yard. Cathy Jones, Paul Miachika, Art Farmanali, Michael Hsu and Schane Cabatu of the Investment Services Group of Sun Commercial represented the undisclosed seller in the transaction.
LAS VEGAS — Waterton has acquired Vegas Towers, a multifamily property located at 1061 E. Flamingo Road in Las Vegas. Terms of the transaction, including the name of the seller and acquisition price, were not released. Built in 1974, Vegas Towers consists of two 10-story towers featuring a total of 264 one-bedroom/one-bath units and 192 two-bedroom/two-bath apartments, as well as a two-story clubhouse. Community amenities include an outdoor courtyard space with cabanas, grilling areas, pool and hot tub. Additionally, the property features laundry rooms on every floor, gathering spaces with a variety of seating options for group entertaining, workspaces for business needs and a fitness center. The buyer plans to implement a combination of renovation strategies that will include interior renovations to upgrade living rooms and bathrooms throughout the property. Select residences will receive quartz countertops, upgraded lighting and plumbing fixtures, new hardware, two-inch blinds and ceiling fans. CBRE represented the undisclosed seller in the deal.
MGM Growth Properties, Blackstone REIT to Buy MGM Grand, Mandalay Bay Casinos in Las Vegas for $4.6B
LAS VEGAS — MGM Growth Properties has agreed to form a joint venture with Blackstone Real Estate Income Trust Inc. to acquire the Las Vegas real estate assets of the MGM Grand and Mandalay Bay casinos and resorts for $4.6 billion. MGM Growth (NYSE: MGP) will own 50.1 percent of the joint venture, and Blackstone Real Estate, a non-traded REIT managed by Blackstone (NYSE: BX), will own 49.9 percent. The MGM Grand and Mandalay Bay comprise 9,743 hotel rooms combined, as well as approximately 3 million square feet of meeting space and approximately 300,000 square feet of casino space across 226 acres on the Las Vegas Strip. MGM Growth currently owns the Mandalay Bay’s real estate, and MGM Resorts International (NYSE: MGM) currently owns the MGM Grand’s real estate. At closing, which is expected to occur this quarter, MGM Resorts will enter into a long-term, triple-net master lease with the new ownership for both properties and provide a full corporate guarantee of rent payments. MGM Resorts’ initial annual rent for both venues will be $292 million. MGM Resorts will continue to manage and operate all aspects of the properties on a day-to-day basis, with the joint venture owning the properties …
LAS VEGAS — California-based Passco Cos. has completed the disposition of Silver City Plaza, a retail center situated on the northern end of the Las Vegas Strip. Regal Acquisition acquired the property for $59.2 million. Located at 3001 S. Las Vegas Blvd., Silver City Plaza features 41,583 square feet of retail space. Current tenants include Ross Dress for Less, Walgreens, Denny’s and 7-Eleven. Rob Ippolito and Frank Volk of Newmark Knight Frank represented the seller in the transaction.
LAS VEGAS — RSE Capital Partners and Interwest Capital Group have purchased EVO Apartments, a Class A apartment building located at 8760 W. Patrick Lane in Las Vegas. The acquisition price was not released. Built in 2018, the property features 376 units and a variety of amenities, including a fitness center, clubhouse, basketball court, playground, four swimming pools, a spa and covered parking. Scott Monroe of NorthMarq’s Las Vegas office secured a Freddie Mac supplemental loan for the acquisition. Carl Sims and Taylor Sims of Cushman & Wakefield’s Las Vegas office represented the undisclosed seller in the deal.
LAS VEGAS — Marcus & Millichap has brokered the sale of Town & Country I & II, two apartment communities located in Las Vegas. An undisclosed buyer acquired the assets for $26 million. The name of the seller was not released. Michael Shaffner and Michael LaBar of Marcus & Millichap’s Las Vegas office represented the buyer in the deal. Located at 4311 Boulder Highway, Town & Country I features 143 units, while Town & Country II, located at 5390 Boulder Highway, offers 205 units. The Town & Country Manor brand caters to the weekly/monthly tenant profile on the Boulder strip corridor and offers fully furnished one-bedroom suites, full kitchens with microwaves and walk-in closets.
From 2009 through 2015, Las Vegas renters were afforded the luxury of renting many of the high-rise condominiums around the Strip and Downtown Las Vegas. This was due to the massive amount of short sales and foreclosures during that time. There were about 7,876 condo units completed between 2006 and 2009. Shortly after the crash, these developments shifted to luxury rentals. During 2011, we tracked 785 condos that were rented with an average of $1.31 per square foot, or $1,838 per month. During that same time, we tracked sales prices of these high condos at an average of $154 per square foot, or $239,411 per unit. We also tracked 904 sales during 2011 that typically involved investors putting their inventory back into the “shadow inventory.” Fast forward to 2015, and resales of this same inventory were trading at an average of $238 per square foot. Rents of this inventory were at $1.45 per square foot, or $2,000 per month. The higher-end buildings like Mandarin Oriental (now Waldorf Astoria) were at $2.70 per square foot. The trend continues to today as sales prices continue to rise. Rents continue to go up and no new for-sale inventory is being delivered. Most of …
There are no guarantees in commercial real estate. For commercial real estate owners, developers and investors, however, betting on the continued strength of the Las Vegas marketplace has been as close to a sure thing as it gets in recent years. The Vegas commercial market is as strong as it’s ever been as we head into 2020. Delivery on new projects is up 800,000 square feet over 2018. About 1.2 million square feet of retail space will have been added to the market by year’s end, while retail rental rates are up 4.6 percent in 2019. What’s really exciting isn’t just the top-line numbers, but the evolving nature of a market that is becoming more diverse. Las Vegas is preserving its gaming and entertainment dynamism while introducing more robust retail and mixed-use elements that expand well beyond the iconic Strip. Consequently, Vegas market performance isn’t just strong, it’s sustainable. A market overview reveals some of those reasons for optimism, as well as a deeper understanding of what’s driving that commercial real estate evolution. It never hurts to be the entertainment capital of the world, and there’s no doubt that gaming, hospitality and entertainment remain the foundation of the city’s appeal. …
LAS VEGAS — JLL has negotiated the sale of an office building situated on 4.5 acres at 1551 Hillshire Drive in Las Vegas. A private capital investor acquired the property from Las Vegas-based Moonwater Capital for $18.3 million. Shift4, a payment processing and technology company, occupies the single-tenant, 66,780-square-foot property on a triple-net lease basis. Completed in 1993, the office building recently underwent a complete renovation between 2018 and 2019. The property serves as a mission-critical location for the tenant, which merged with Lighthouse Network in 2018 and expanded its Las Vegas presence. Tivon Moffitt, Peter Bauman and Bret Davis of JLL Capital Markets represented the seller in the deal.
SPARKS, NEV. — San Diego-based MG Properties Group has acquired Marina Village Apartments in Sparks. San Diego-based Sunroad Multifamily sold the apartment community for an undisclosed price. Fannie Mae provided acquisition financing, which Brian Eisendrath and Cameron Chalfant of CBRE arranged. Built in 2005, Marina Village features 240 apartments and proximity to Interstate 80 with convenient access to the Tahoe-Reno Industrial Park. Additionally, the property is located adjacent to The Sparks Marina Park, a 77-acre lake and recreation center. MG Properties plans to invest capital to upgrade the community’s common areas and unit interiors.