BOULDER, COLO. — PGIM Real Estate has provided a $77 million loan to the joint venture of The John Buck Co., Kinship Capital and Element Properties for the refinancing of two newly constructed properties in Boulder. Both properties are part of the brand new S’PARK community located 30 miles northeast of Denver. The first property, Timber, features 150 luxury multifamily units and 2,000 square feet of ground-level retail. The second property, Market, features 42,000 square feet of office space and 11,000 square feet of ground-level retail. Market’s office space is fully leased to Splunk, a global technology firm. JLL advised the borrower in the transaction. PGIM Real Estate is the real estate investment and financing business of PGIM, the $1.5 trillion global investment management business of Prudential Financial Inc.
SCOTTSDALE, ARIZ. — Cushman & Wakefield has brokered the sale of a vacant corporate headquarters facility in Scottsdale for $39 million in an off-market transaction. The new owner, Dansons, will relocate from its current headquarters in central Phoenix to the two-story, 200,000-square-foot office building. Dansons, a privately held company with over 400 employees, is the maker and distributor of grills and smokers, including Pit Boss and Louisiana Grills. The building was formerly occupied by a Fortune 100 insurance company. Located at 8877 N. Gainey Center Drive, the building features multiple two-story lobby entrances, large open floor plates, mature landscaping, an onsite cafeteria and test kitchen, ample surface visitor parking, along with three levels of underground garage parking. The property provides convenient access to the Loop 101 freeway and enjoys an abundance of upscale amenities, retail services and entertainment venues in the Gainey Ranch area. Cushman & Wakefield’s Dave Carder and Scott Boardman represented Dansons in the transaction. Lee & Associates’ Fred Darche and Spencer Nast represented the private seller.
SEATTLE — Rubicon Point Partners has acquired Masin Block, a string of four interconnected buildings in downtown Seattle’s historic Pioneer Square submarket, for $24.1 million. The current buildings total approximately 89,000 square feet and were built between 1899 and 1905. The purchase was made through Rubicon First Ascent LP, a fund with $232 million of assets and the ability to acquire up to $770 million of property investment. The seller was Alexandria Real Estate. The project is equidistant from King Street Station and Pioneer Square Station, which provides commuter service to Tacoma and Amtrack Access to Portland and Vancouver. Masin Block encompasses the Stadium District, which is home to the Seattle Mariners, Seattle Sounders and Seattle Seahawks, creating opportunities for retail tenants. The location benefits from Seattle’s $722 million waterfront project, which rerouted the former viaduct to a tunnel allowing for the creation of a series of parks that will activate the waterfront area further. The developer plans an innovative transformation of Masin Block, but provided no additional details.
SAN CLEMENTE, CALIF. — Stos Partners has acquired a vacant, 4,000-square-foot retail and restaurant property in the Orange County submarket of San Clemente in an off-market transaction. The sales price was $1.9 million. Stos Partners secured a long-term lease on the entire building with The Alchemists, a restaurant group operated by Leonard Chan. The new restaurant concept, Mura, will be an upcoming dining destination that offers Japanese grilled barbecue, a tiki bar and a Japanese speakeasy bar. Prior to opening, Stos Partners plans to complete extensive interior and exterior renovations in addition to making several building upgrades, including a new roof, mechanical systems and grease traps. Coastal Commercial represented Stos Partners in the transaction.
PHOENIX — George Oliver, a Phoenix-based developer, has completed the sale of CASA, a Class A office complex in Phoenix for $56.5 million. At $312 per square foot, the sales price sets a new record for the Piestewa Peak submarket. The buyer was Macquarie Asset Management. JLL’s Benjamin Geelan and Brian Ackerman represented George Oliver in the transaction. New office amenities include co-working suites, a dog park, dedicated food truck parking and shaded outdoor dining and lounge areas. A final lease-up initiative this summer brought the building to being fully committed, notably the new Mediacom headquarters relocation from North Carolina and new offices for D.R. Horton and CrossCountry Mortgage. George Oliver purchased CASA, formerly known as Catalina Terraces, in 2018.
GLENDALE, ARIZ. — Cresset Real Estate Partners and Clarius Partners have closed on the land acquisition for 303 Crossroads, a planned 1.7 million-square-foot logistics development in the Phoenix suburb of Glendale. The land price was not disclosed. The development will consist of two buildings to be built in two phases on land fronting Loop 303 and Northern Parkway. Building one will be 1 million square feet and is slated for completion in 2022. Building two will be 734,800 square feet and is slated for completion in 2023. The groundbreaking for the project is scheduled for this October. Both buildings will feature cross-dock configurations, a 40-foot clear height and above-market parking ratios. The buyers were represented in the transaction by CBRE.
DENVER —IG Logistics LLC has acquired the Lipan Street Industrial Park in Denver from EP Investments LLC for $21 million. The 34-acre industrial site includes outside storage, trailer parking, a fueling station and a truck maintenance facility. Freeman Expositions, an event services provider, and System Transport, a West Coast-based flatbed trucking company, recently signed long-term leases to occupy the property. Existing tenant Mesilla Valley Transportation, a New Mexico-based transportation fleet, extended its lease for 3.5 acres. All Fleet Services, a Denver-based transport company, also leased the 22,000-square-foot shop and diesel station on the property. Each transaction was completed prior to the sale but were all contingent upon IG Logistics acquiring the property. Cushman & Wakefield negotiated the leases, excluding the Mesilla deal, and was retained to handle leasing following the acquisition. Lipan Industrial Street Park is located at 6045 Lipan Street, providing access to I-25 and I-76, Colorado’s main freeways. The property currently has a 14,000-square-foot freestanding office building available for lease and an additional 11-acre parcel to be used for trailer parking or as a potential industrial build-to-suit. IG Logistics is the industrial platform for Imperium Capital.
LAKE FOREST, CALIF. — Hanley Investment Group has arranged the sale of a single-tenant, net-leased retail property occupied by Michaels in Orange County. The Michaels store is located in Foothill Ranch Towne Centre in Foothill Ranch, a suburb of Lake Forest. Hanley represented the sellers, two separate family trusts based in Nevada and Southern California. Lee & Associates represented the buyer, a private investor based in Orange County. The sales price was $4.85 million. The 25,000-square-foot building was constructed in 1994 and is a junior anchor at Foothill Ranch Towne Center. Michaels’ neighboring tenants include Target, Walmart Supercenter and Hobby Lobby. The retail space is located at the intersection of Portola Parkway and Bake Parkway, with an average of 40,100 passing cars per day.
THORNTON, COLO. — The Opus Group has broken ground on two speculative industrial buildings in Thornton, 10 miles north of Denver. The buildings, totaling 282,108 square feet, are the second phase of North Washington Commerce Center. The multi-tenant park offers a variety of sizes, clear heights and loading options. The 163,686-square-foot building will offer 35 dock positions, 270 parking stalls, 15 trailer parking spots and four drive-in doors. The 118,422-square-foot building will offer 28 dock positions, 196 parking stalls and four drive-in doors. Opus is the design-builder, architect and project developer. Both buildings are slated for completion in January 2022.
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Walker & Dunlop: Excess Capital Makes for Competitive Lending Environment
The third quarter of 2020 was the beginning of a significant rebound for capital markets in commercial real estate. After banks and other lenders slowed their activity during the pandemic, lenders and equity investors regained their momentum — particularly in multifamily and industrial — a trend that has continued through the third quarter of 2021. It’s a good time to be a borrower, explains Mark Strauss, managing director of capital markets, and Rob Quarton, senior director of capital markets, with Walker & Dunlop’s Irvine, California, office. Vigorous Lending Markets Currently, Quarton explains, “Banks are really competitive. Debt funds are also aggressive — their funding mechanisms, like collateralized loan obligations (CLOs), have come back strong. Further, insurance companies are under allocated to real estate, which increases their annual volume targets and desire to win more business. Consumers have been purchasing more life insurance policies and insurance in general post pandemic, which provides dry powder for insurance companies to invest. In general, lending markets are very robust today, with ample options for lenders up and down the capital stack.” “Lenders have yearly production quotas, and I don’t think any of them hit their quotas last year,” adds Strauss. “This caused an overhang of …