What area is your expertise? Seattle, Washington What trends do you see presently in office development in your area? There are currently 13 office projects of 100,000 square feet or larger under construction in the Greater Seattle Office Market comprising approximately 3.7 million square feet. Who are the active office developers in your area? Daniels Development Company, Vulcan Real Estate, Schnitzer West, Touchstone, Opus Northwest and Martin Selig Real Estate. Please name one or two significant office developments in your area. What impact will these projects have on the market? 818 Stewart Building — Developed by Schnitzer West is due for delivery third quarter 2008. This is the first new Class A construction to be completed in the Courthouse district area of Seattle’s Central Business District (CBD). Fifth & Columbia — Developed by Daniels Development, it will become a key part of Seattle’s established financial district when it is completed in late 2010. Where is the majority of development taking place? Why is this area doing well? Much of the new construction in Seattle is occurring in the North CBD and South Lake Union areas. The North CBD houses the new federal courthouse and South Lake Union will be home …
AVON, COLO. — Dallas-based JMJ Holdings has completed the development of The Gates Residences, which is located at the entry to Beaver Creek Resort in Avon. The property features 49 luxury condominiums and various upscale amenities, including private drivers, an on-site concierge, ski valet, heated indoor pool and outdoor therapy pools, steam rooms and daily continental breakfast. Additionally, the property offers a private lounge with a fully equipped bar, library and meeting room, a state-of-the-art fitness facility, underground parking and an outdoor gathering deck, which overlooks Beaver Creek. The Gates Residences offers two-, three- and four-bedroom residences and penthouses ranging in price from $975,000 to $2.435 million. CFC Construction served as general contractor. Western Seasons Management Company is providing on-site management for the property.
PIERCE COUNTY, WASH. — IKEA has opened its 646,000-square-foot distribution center in Pierce County. Located within Frederickson Industrial Area, the facility is the first phase of a project that will eventually expand to more than 1 million square feet. The center will primarily serve IKEA stores in the northwest region, including four in western Canada and three in the United States (Renton, Wash., Portland, Ore. and Draper, Utah). When fully utilized, the center will employ approximately 125 employees and provide tax revenue for local governments and schools.
PHOENIX — Macerich, in partnership with DMB, has unveiled plans to develop Palisene, a retail center in northeast Phoenix. Located at the Scottsdale Road intersection, the 1 million-square-foot center will feature a retractable roof. Dillard’s has signed on to be one of four anchors of the project, which is slated for completion in 2011-2012.
PORTLAND, ORE. — Commercial Defeasance LLC has recently facilitated a $63 million defeasance transaction for ScanlanKemperBard Companies, a Portland-based private equity firm. The defeasance enabled ScanlanKemperBard to sell three of its Portland properties: The Mohawk Building, Jackson Tower and American Bank Building. LaeRoc Partners Inc. acquired the properties for an undisclosed price.
HENDERSON, NEV. — CORE Construction—Nevada has completed the construction of Nevada State College’s first permanent facility. Located at 1021 E. Paradise Hills Dr., the two-story, 42,000-square-foot building features laboratories and multiple classrooms. Originally planned as the school’s liberal arts building, the facility will now serve as a general education and student services building. CORE was contracted by Nevada State Public Works Board to construct the $13.3 million project. Carpenter Sellers Architects was the architect of record for the project.
SAN DIEGO — Wereldhave USA has purchased DiamondView Tower for $161 million. Located in downtown San Diego, the 15-story, 305,255-square-foot office tower features an elaborate penthouse suite, 12 floors of Class A office space and two levels of high-end amenities. Kraig Kristofferson and Stacy Meronoff of CB Richard Ellis represented the buyer; Eastdil Secured represented the seller, a partnership between Cisterra Partners and The Prudential, in the transaction.
TORRANCE, CALIF. — Thompson National Properties LLC served as an intermediary and facilitator on behalf of TA Associates Realty and Storm Properties in the disposition and acquisition of a 13-property industrial portfolio. Located primarily in Torrance, the portfolio comprises 545,000 square feet. TA Associates acquired the portfolio for $52 million. Kevin Shannon of CB Richard Ellis introduced TA Associates to Thompson National Properties.
ORANGE COUNTY, CALIF. — Orange County-based Innovative Property Partners LLC et al. has acquired a 15-property portfolio in a $24 million sale-leaseback transaction. The properties, which are located in Arizona, California and Nevada, are entirely occupied by Del Taco. Del Taco Corp. executed 20-year absolute NNN leases with the buyer and will continue to operate the properties. Richard Walter and Dennis Vaccaro of Irvine, Calif.-based Faris Lee Investments represented the buyer; Del Taco Corp. was represented in-house.
DENVER AND SALT LAKE CITY — Cornerstone Real Estate Advisers LLC, on behalf of the Cornerstone Hotel Income & Equity Fund II LP, has acquired a three-hotel portfolio for an undisclosed price. The portfolio consists of the 189-room Hotel Monaco Denver, the 225-room Hotel Monaco Salt Lake City and the 192-room Hotel Monaco Chicago. Alan Tantleff, Tom Fisher, John Strauss represented the seller, PREI® (Prudential Real Estate Investors), in the transaction. Ben Singer and Jeff Davis, also of Jones Lang LaSalle, arranged financing for the acquisition.