The northern Nevada office market remained weak in 2008 with all four quarters recording increased vacancy and negative net absorption, a continuation of a trend that began in 2007 when three out of four quarters finished with negative net absorption. Last year finished with negative 116,000 square feet of leased office space and vacancy exceeding 20 percent. Directly related to the drastic downturn in the residential real estate market, Reno’s office performance had been fueled by the national homebuilders, mortgage companies and title companies, who saw their requirements for office space drop as quickly as the demand for their products and services. The area’s office sector quickly changed from growth and high demand to nearly non-existent demand and increasing vacancy, thus leaving investors and developers scrambling for tenants. With rising vacancy and demand declining, many office property owners are willing to slash effective lease rates to secure tenants. The average asking rate for Class A properties at year-end 2008 was $22.08 per square foot, a $1.56 less than a year earlier, and Class B was down to $16.68 per square foot. During the highs of late 2006, the effective rates for class A product exceeded $27 per square foot. With …
OCEANSIDE, CALIF. — New York-based Rockefeller Group is developing an 80,000-square-foot, built-to-suit outpatient client for the U.S. Department of Veterans Affairs at Seagate Corporate Center in Oceanside. The two-story facility is located north of Oceanside Boulevard. Smith Consulting Architects is providing architectural services along with Raymond Fox & Associates, which is serving as consulting medical architects and providing interior design services. Reno Consulting is serving as general contractor for the project.
LAS VEGAS — Construction is complete for the Seven Series @ Hughes Airport Center, a mixed-use complex located at 740 Pilot Rd. in Las Vegas. The project comprises seven free-standing buildings offering a total of 100,000 square feet of office and industrial space. The park offers office buildings ranging from 2,500 to 22,000 square feet and research and development industrial buildings ranging from 2,500 to 10,500 square feet. Irvine, Calif.-based Centra Realty Corp. developed Seven Series @ Hughes Airport Center. WM Architects Nevada provided architectural services for the project.
SAN DIEGO — SBDG Investments LLC, which specializes in hospitality textile solutions, has purchased a 9,510-square-foot industrial building. The property is located at 4787 Cardin St. in the Kearny Mesa submarket of San Diego. Hanover Investment Group Limited Partnership sold the property for $1.9 million. Bryce Aberg, Brant Aberg and Sam Wasserstein of Grubb & Ellis|BRE Commercial represented the buyer; Glen Volk and Randy LaChance of Voit Commercial Brokerage represented the seller in the transaction.
OAKLAND, CALIF. — Joel Kelly of NAI BT Commercial’s Multifamily Group represented Wayne & Bette Tarr Revocable Trust in the acquisition of Staten Crest Apartments complex for approximately $1.95 million or $149,615 per unit. The 13-unit property feature nine 800-square-foot one-bedroom/one-bath units; one 950-square-foot one-bedroom/one-bath penthouse with city views and private elevator access; and three 1,050-square-foot two-bedroom/two-bath units with master suites. 373 Staten Trust sold the property, which is located at 373 Staten Ave.
LAS VEGAS — Clark Construction Group LLC has completed the construction of Greenspun Hall, a 120,000-square-foot facility located at the University of Las Vegas in Las Vegas. The $93.7 million facility will house the College of Urban Affairs. The building has received LEED Gold certification. Dallas-based HKS and New York-based Robert A.M. Stern Architects provided architectural services for the project. Additional project partners and subcontractors include KHS&S Contractors, Helix Electric, Bombard Electric, Southwest Steel Las Vegas, Desert Plumbing, Isaac Construction Company, Century Steel, U.S. Mechanical Contractors, Giroux Glass, and Frazier Masonry Corp.
COSTA MESA, CALIF. — Newport Beach, Calif.-based Burnham USA Equities Inc. and affiliate Burnham-Ward Properties has purchased out of receivership South Coast Home Furnishing Centre in Costa Mesa. Located at 3333 Hyland Rd., the 300,000-square-foot retail center sold for $35 million. Existing major tenants, include La-Z-Boy, Linder’s, C.S. Wo, Easy Life, Munro’s, Creative Leather and NW Rugs. The center, which was owned by South Coast Home Furnishing Center LLC before receivership, was offered for sale through a court-appointed receiver. Dixie Walker of Grubb & Ellis’ Newport Beach office represented the receiver in the transaction. The buyer plans to convert some of the vacant retail space for office use and home furnishings-related tenants.
AMERICAN CANYON, CALIF. — InterContinental Hotels Group (IHG) is developing Holiday Inn Express and Suites Napa Valley-American Canyon, a 101-room hotel located at 5001 Main St. in American Canyon. The hotel is the eighth Holiday Inn Express hotel in California to showcase the brand’s new sign, which is part of the $1 billion Holiday Inn brand relaunch program. The hotel features complimentary Express Start® breakfast, including Smart Roast® coffee; SimplySmart™ showers; Stay Smart™ Kohler showerheads; 100-percent cotton terry towels and SimplySmart™ bedding, including 200 thread-count sheets. The hotel is owned by BKL LLC and managed by BKL Hospitality Group, under a license agreement with a company in the IHG.
NORTH LAS VEGAS, NEV. — CORE Construction has completed the construction on the replacement of Tom Williams Elementary School in North Las Vegas. Located at 3000 E. Tonopah Ave., the project included the demolition of the existing school and construction of a new 82,100-square-foot, two-story facility. Las Vegas-based Domingo Cambeiro Corp. provided architectural services for the $21.65 million project. CORE Construction was contracted by the Clark County School District.
HONOLULU — Unite Here! Local 5 has purchased a freestanding office building, which is located at 1516 S. King St. in Honolulu. The 10,200-square-foot building is situated on 14,015 square feet of fee simple land. Shiseido sold the property for an undisclosed price. Financing was provided by First Hawaiian Bank. Ronald Ward of Colliers Monroe Friedlander represented the buyer in the transaction.