CHANDLER, ARIZ. — Winlee Development has completed the disposition of the last component of Chandler Viridian Primegate for $12.8 million. The sale, which included both of the recently completed Thirsty Lion and Charles Schwab flagship buildings, consummates the phased sale of the four-building project for a total of $20.8 million, or approximately $870 per square foot. All of the buildings featured single-tenant leases. The other components are the Panera building, which sold for $4.3 million, and The Sicilian Butcher restaurant, which sold for $3.7 million. Winless Development, the commercial real estate division of Phoenix-based Winfield Lee Investments, developed Primegate. Jamie Meddress and Chris Lind of Marcus & Millichap helped broker all of the project’s transactions. Primegate is the restaurant and retail portion of Chandler Viridian, a 25-acre, $250 million, mixed-use project located at the entrance of Chandler Fashion Center in Chandler. A consortium that includes Hines, Winlee Development, Alliance Residential and Concord Hospitality is developing the larger Chandler Viridian project. The development features office, residential, hospitality, restaurant and retail space, as well as wellness trails, fountains and a dog park. The Primegate development team includes Alliance Bank, Berry Riddell, Sacks Tierney, Wespac Construction, Reigle & Associates and Larson Engineering. CBRE’s …
DENVER — CBRE has arranged the acquisition of Garfield Park, a multifamily property located at 1300 and 1325 Garfield St. in Denver’s Congress Park neighborhood. Elterra Investments purchased the asset from an undisclosed seller for $18.9 million. Robert Bratley of CBRE’s Denver office represented the buyer in the deal. The 51,730-square-foot property features 78 apartments, a leasing office, fitness center, courtyard, storage areas, laundry room and abundant parking. Prior to the sale, the seller completed updates to several units, as well as common areas. Additionally, Cornerstone Apartment Services, the buyer’s property manager, took over management while the community was under contract and filled several vacancies prior to closing the sale. At the time of sale, the property was 93 percent leased.
LOS ANGELES — Verity Health System has sold the 381-bed St. Vincent Medical Center in Los Angeles for $135 million. The hospital is currently operating on a temporary lease with the State of California as a surge facility for treating COVID-19 patients. The buyer, surgeon and medical researcher Dr. Patrick Soon-Shiong, will continue to honor the lease with the state, while also using several buildings as facilities for COVID-19 research. Soon-Shiong is the principal officer of the Chan Soon-Shiong Family Foundation, a California-based private grantmaking organization. “Verity Health is proud of its partnership with the State of California and is confident that Dr. Soon-Shiong and his team will continue to enhance the collaboration with the state and local government to address COVID-19,” says Rich Adcock, CEO of Verity Health. Verity Health System filed for bankruptcy in summer 2018. The U.S. Bankruptcy Court for the Central District of California in Los Angeles recently approved the sale of the nonprofit’s assets, including St. Francis Medical Center in Lynwood to Prime Healthcare. Located at 213 W. 3rd St. in the Westlake neighborhood of Los Angeles, the Daughters of Charity of Saint Vincent de Paul originally opened the hospital in 1856. The property closed …
Many real estate investors seeking tax deferral in a 1031 exchange, as well as owners contemplating a sale of an investment property in the near future and intending to perform a 1031 exchange, have been anxiously awaiting guidance from the IRS on the impact of the COVID-19 pandemic on the time deadlines in an exchange. On April 9, 2020 the IRS issued Notice 2020-23, which extended many deadlines for real estate investors affected by the COVID-19 outbreak, including Section 1031 exchange time deadlines. This notice provides that any person performing a time-sensitive action listed in either § 301.7508A-1(c)(1)(iv) of the Procedure and Administrative Regulations or Revenue Procedure 2018-58, 2018-50 IRB 990 (Dec. 10, 2018), which is due to be performed on or after April 1 and before July 15, 2020, is an “affected taxpayer.” This includes the 45-day identification and 180-day exchange period deadlines in both deferred and safe-harbor reverse 1031 exchanges. Therefore, pursuant to Notice 2020-23, if the end of an investor’s 45-day identification period or 180-day exchange period in a deferred exchange — or the parallel periods in reverse exchanges under Revenue Procedure 2000-37 — falls between April 1 and July 15, the applicable period is automatically extended …
Closing deals in the current environment — or even getting them to progress — has been challenging for the past few weeks. Municipalities are struggling to keep up with volume, and online notarization is present in some states but not others. Western Real Estate Business recently spoke with John Lotardo, senior vice president and director of operations for Commonwealth National Title Insurance Co. based in Arizona. Lotardo, also known as the Titleman, spoke to WREB about how commercial real estate transactions are closing and moving forward during the COVID-19 pandemic. WREB: What is your “new normal”? How are you managing business day-to-day? Lotardo: My company has mandated that the majority of our teams work remotely. The majority of my time is remote as well. Being the operations director, I have to manage my employees, including our title and settlement employees, wherever they may be. As a national commercial office based in Arizona, we have always been forward-thinking with technology. Our transition to a mix of folks in the office together with a remote workforce, while it has been challenging at times as for many other businesses, it wasn’t as difficult as it could have been. We had the proper hardware, …
PHOENIX — A partnership between Leon Endres and Nick Conzemius, along with Ron Cuttler as project manager, is developing Senderos at South Mountain, a multifamily property located at 9700 S. Central Ave. in Phoenix at the base of South Mountain. Slated to open in May, the 156,888-square-foot community will feature 10 buildings offering a total of 96 units in a mix of one-, two- and three-bedroom layouts with decks/patios for each unit. Apartments will feature personal electric car-charging stations in each attached garage; smart technology including thermostats, keyless door locks and light switches; and gourmet kitchens. Community amenities will include a swimming pool, spa, fire pit, fitness center/yoga studio, package lockers, clubhouse with Wi-Fi access, barbecue grills, pet wash stations, backyard pet runs and ample green space. MEB Management Services will manage the property.
ONTARIO, CALIF. — Uline, a distributor of shipping, industrial and packaging materials, has signed a lease to occupy 1.2 million square feet of industrial space at Ontario Ranch Logistics Center in Ontario. Newport Beach, Calif.-based REDA and Clarion Partners, co-landlords and co-developers, are building the 124-acre multi-phase industrial property. The family-owned business will consolidate several of its locations throughout the Inland Empire into the new facility. Speculative construction of Building 2, which will house Uline, was initiated in January. Vertical construction is slated to begin in July with completion set for September 2021. Dave Desper and Joey Sugar of CBRE represented Uline in the lease transaction. Construction of the first phase of Ontario Ranch Logistics Center started in January 2019 and featured a 1.2 million-square-foot facility, which sanitary products manufacturer Kimberly-Clark now occupies. The next phase of speculative development at the campus is a 115,000-square-foot building, which is slated for delivery in early 2021. Upon completion, the entire logistics campus will encompass 2.6 million square feet of industrial space in six buildings. Ontario Ranch Logistics Center features state-of-the-art buildings that include ESFR sprinkler systems, 32-foot to 40-foot minimum clear heights, LED warehouse lighting and concrete truck courts greater than 180 …
LOS ANGELES — Marcus & Millichap has arranged the sale of a retail property located on North Tampa Avenue in Los Angeles’ Reseda neighborhood. A partnership acquired the asset for $9.3 million. The 13,000-square-foot property is net-leased to Yogurtland and Walgreens. At the time of sale, Walgreens had vacated the premises, but the retailer still has a lease in place through 2034. Brandon Michaels and Lior Regenstreif of Marcus & Millichap represented the undisclosed seller and buyer in the deal.
LAWNDALE, CALIF. — NAI Capital has directed the sale of a retail property located at 16711-16725 Hawthorne Blvd. in Lawndale. The asset sold for $2.9 million, or $252 per square foot. The names of the seller and buyer were not released. Built in 1955, the 11,700-square-foot asset was renovated in 2002 with contemporary architectural features. The building features two restrooms, HVAC, high ceilings, 34 parking spaces, a fenced and gated parking lot, two double doors and approximately 800 amps of electric power. At the time of sale, the property was owner occupied. Sheri Messerlian of NAI Capital’s Retail Services Group represented both parties in the transaction.
PARK CITY, UTAH — CBRE Capital Markets’ Debt & Structured Finance has provided $19.3 million in construction and permanent financing for the development of Lincoln Station, a mixed-use community in Kimball Junction area of Park City. Mollie Means of CBRE’s Debt & Structured Finance team in Seattle partnered with Doug Birrell, Bruce Francis, Bob Ybarra, Dana Summers and Shaun Moothart, also of CBRE Debt & Structured Finance, to originate the loan through CBRE’s FHA lending platform on behalf of the borrower, Lincoln Station. The loan is funded through the HUD Section 221(d)4 new construction mortgage insurance program, providing an interest-only construction period of 20 months with a 40-year, non-recourse, fully amortizing permanent loan. Lincoln Station will feature 68 apartments spread across four three-story residential buildings, eight three-story townhomes and one two-story commercial/office building. The non-residential building will contain three office suites with approximately 4,686 square feet of rentable space and 164 square feet reserved for the leasing office. The property’s 76 units will consist of a mix of one- and two-bedroom apartments and three-bedroom townhomes. A total of 52 units will be designated for residents earning 50 percent to 120 percent of the area median income. The remaining units will …