Western

COVID Impacts Central Oregon’s Commercial Real Estate Market

by Jeff Shaw August 3, 2021

By Pat Kesgard, Compass Commercial Real Estate Services When COVID-19 hit Central Oregon in April 2020, commercial real estate transactions effectively came to a halt. Transactions were either delayed or canceled and virtually no new deals started. We were back to almost normal by the beginning of the third quarter of 2020. Miraculously, the fourth quarter was above the previous year’s activity. Hospitality The hospitality industry suffered tremendously through the pandemic. The labor shortage extended the challenge of operating at full capacity, and this is still impacting businesses today. Fortunately, landlord and government subsidies helped many in the industry survive. Retail Transactions in 2021 Compass completed more than 31 retail leases that totaled more than 85,000 square feet since January 1, 2021. The current retail vacancy rate is 5.86 percent with 264,077 square feet available for lease. We noted some softening in rents in 2020, and are now starting to see asking rates returning to normal. The redevelopment of older properties continues, along with new localized projects in areas outside of downtown Bend. We expect to see this trend continue for the unforeseeable future. Large retail spaces opened up when the former Sears and Shopko closed in 2020. Both buildings were eventually …

August 3, 2021

Acquisitions California Office Top Stories Western

KKR Purchases Silicon Valley Office Campus for $535M

by John Nelson August 3, 2021

SAN JOSE, CALIF. — Global private investor KKR has purchased HQ @ First, an office campus in Silicon Valley totaling 603,666 square feet. Mori Trust Co. Ltd., a real estate development firm based in Japan, sold the campus to KKR for $535 million, according to several media outlets. The LEED Gold-certified property was fully leased at the time of sale to data memory and storage manufacturer Micron Technologies and IT securities firm Zscaler. The campus is located at 110, 120, 130 Holger Way in San Jose in the heart of Silicon Valley’s “Golden Triangle,” which is home to globally renowned tech firms such as Cisco Systems, Adobe, PayPal and eBay. Steven Golubchik, Edmund Najera, Jonathan Schaefler and Darren Hollak of Newmark brokered the transaction. KKR purchased HQ @ First via its KKR Real Estate Select Trust fund and selected San Francisco-based Drawbridge Realty to manage the office campus. “HQ @ First is a marquee property with great amenities, including onsite lab facilities, and access to Silicon Valley’s immense pool of talent,” says Justin Pattner, partner and head of real estate equity in the Americas at KKR. “We believe well-located trophy assets that can deliver a dynamic work environment for innovative …

August 3, 2021

Acquisitions California Multifamily Western

IPA Arranges $74.1M Sale of The Dylan Multifamily Property in Oceanside, California

by Amy Works August 2, 2021

OCEANSIDE, CALIF. — Institutional Property Advisors (IPA), a division of Marcus & Millichap, has arranged the sale of The Dylan, a multifamily property located in Oceanside. 29th Street Capital sold the asset to 550 Los Arbolitos Owner LLC for $74.1 million, or $356,250 per unit. Built in 1973, The Dylan features 208 apartments in a mix of one-, two- and three-bedroom layouts. Community amenities include two swimming pools, two spas, a gym and a business center. Christopher Zorbas, Alexander Garcia Jr. and Tyler Martin of IPA represented the seller and procured the buyer in the deal.

August 2, 2021

Arizona Development Industrial Leasing Activity Western

Mattress Manufacturer MLILY Leases 1.3 MSF Industrial Complex Near Phoenix

by Amy Works August 2, 2021

GLENDALE, ARIZ. — MLILY, a global mattress manufacturer, has signed a lease to occupy 1.3 million square feet at Glendale 303 (G303) in Glendale. The lease fills a just-completed, 569,520-square-foot industrial building and initiates an expansion of G303 to fulfill the tenant’s larger, single-building lease requirement. Hines, with funds managed by Oaktree Capital Management, developed the Class A industrial facility. At full buildout, G303 will be the largest single-building Hines development to date in the United States. The newly completed building features 40-foot clear heights, 60-foot speed bays, abundant dock-high loading doors and highly functional footprints, as well as the ability to accommodate more than 550 cars. Additionally, the project features a basketball court amenity for employees. Construction on the G303 building expansion will begin during fourth-quarter 2021 and reach completion by fourth-quarter 2022. Graycor Construction Co. is serving as the project’s general contractor. Bill Honsaker and John Lydon of JLL’s Phoenix office represented Hines, while Payson MacWilliam and Yang Chen of Colliers International represented the tenant in the lease transaction.

August 2, 2021

Acquisitions California Multifamily Western

Mogharebi Group Brokers $18M Sale of Country Club Apartments in San Bernardino, California

by Amy Works August 2, 2021

SAN BERNARDINO, CALIF. — The Mogharebi Group has arranged the sale of Country Club Apartments, a 79-unit seniors housing community in San Bernardino. The buyer and seller were both private investment groups based in Los Angeles. The property sold for $18 million, or $228,000 per unit. “Due to the proven value-add upside, and close proximity to San Bernardino’s largest employers, the buyer pool was large,” says Otto Ozen, executive vice president of TMG. Ozen and Alex Mogharebi of TMG represented the seller in the transaction. Built in 1986, Country Club Apartments is a two-story community comprising 71,428 square feet of rentable space. The complex is situated on a 5.4-acre site. Country Club Apartments features two-bedroom floor plans with an average size of 903 square feet.

August 2, 2021

Acquisitions Arizona Office Western

CBRE Negotiates Sale of 25,350 SF Office Building in Tucson

by Amy Works August 2, 2021

TUCSON, ARIZ. — CBRE has arranged the sale of an office building located at 222 E. Fifth St. in Tucson. 222 Building LLC sold the property to 222 Tucson LP for $8.9 million. Bryce Horner of CBRE represented the seller in the transaction. Originally constructed in 1952 and redeveloped in 2014, the three-story property features 25,350 square feet of Class A office space. Mister Car Wash (NYSE: MCW), which went public in June, utilizes the property as its corporate headquarters.

August 2, 2021

Acquisitions Arizona Multifamily Western

Cushman & Wakefield|PICOR Arranges Sale of 24-Unit Vida Nueva Apartments in Tucson

by Amy Works August 2, 2021

TUCSON, ARIZ. — Cushman & Wakefield|PICOR has brokered the sale of Vida Nueva Apartments, a multifamily property in Tucson. Equilibrium Villas Vida Blue LLC acquired the asset from Seajak Properties for $1.2 million. Located at 3525 N. Stone Ave., the 28,228-square-foot property features 24 apartments. Allan Mendelsberg and Conrad Martinez of Cushman & Wakefield|PICOR represented both parties in the transaction.

August 2, 2021

Loans Multifamily Top Stories Washington Western

Cushman & Wakefield Arranges $113M Construction Loan for Skyglass Tower Multifamily Project in Seattle

by Taylor Williams August 2, 2021

SEATTLE — Cushman & Wakefield has arranged a $113 million construction loan for Skyglass Tower, a 29-story multifamily project located at 222 Dexter Ave. N. in Seattle’s South Lake Union submarket. The total project cost is $196 million, according to the borrower and developer, Gemdale USA Corp. The location puts the building within close proximity of several of Seattle’s largest employers, including tech giants Amazon, Google and Facebook. South Lake Union is also located in the heart of the city’s life sciences hub, according to Cushman & Wakefield. Skyglass Tower will consist of 338 apartments in various floor plans, 2,260 square feet of ground-floor retail space and 128 underground parking spaces. The building will also feature an expansive amenity package and unobstructed water views. Hewitt Architects is designing the project, with completion slated for October 2023. Insurance giant AIG provided the loan to Gemdale, a national development firm based in the Los Angeles area. Dave Karson, Chris Moyer and Keith Padien of Cushman & Wakefield arranged the debt. “Seattle is benefiting greatly from regional job creation, and South Lake Union is still a prime location for new developments,” says Karson. “Strong developers like Gemdale are getting great attention from debt …

August 2, 2021

Acquisitions Colorado Multifamily Western

Carmel Partners Divests of 403-Unit The Henry Multifamily Complex in Denver

by Amy Works July 30, 2021

DENVER — Carmel Partners has arranged the sale of The Henry, an apartment community located at 201 Mississippi Ave. in Denver’s Platt Park neighborhood. Terms of the transaction were not released. Carmel Partners was the developer, builder and owner of The Henry, which opened in October 2018. Situated on four acres, the community features 403 apartments, a courtyard with resort-style pool and spa, alfresco dining areas, co-working space, a fitness center, yoga studio and a 3,400-square-foot bicycle repair and locker space. At the time of sale, The Henry was 96 percent occupied.

July 30, 2021

Acquisitions California Colorado Industrial Self-Storage Washington Western

CBRE Global Investors Buys Four Self-Storage Facilities in Colorado, California, Washington Totaling 3,746 Units

by Amy Works July 30, 2021

BOULDER, COLO.; VISTA, CALIF.; AND BOTHELL AND LAKE STEVENS, WASH. — A fund sponsored by CBRE Global Investors has purchased four self-storage properties totaling 3,746 units and 296,286 square feet. Terms of the transaction were not released. The acquired assets, which were all delivered in 2020, are: The 69,115-square-foot StorQuest Boulder, located at 4790 Pearl St. in Boulder, featuring 772 climate-controlled units. The 74,416-square-foot StorQuest Vista, located at 943 S. Melrose Drive in Vista, with 899 climate-controlled units. The 74,805-square-foot StorQuest Bothell, located at 21008 Bothell Everett Highway in Bothell, offering 1,155 climate-controlled units. The 77,950-square-foot StorQuest Lake Stevens, located at 1113 WA-204 in Lake Stevens, with 920 climate-controlled units. With these acquisitions, the fund now owns 19 self-storage assets, totaling 13,650 units, across the United States.

July 30, 2021

Newer Posts

Older Posts