INDIANAPOLIS — FM Capital has provided a $6 million bridge loan for the acquisition of a retail center in Indianapolis. The 182,056-square-foot property is comprised of two buildings and an outparcel. The asset is approximately 89 percent occupied. Tenants include Shoppers World, Dollar Tree and Dollar General. The borrower was not disclosed.
The Raleigh and overall Triangle retail markets ended 2018 in a strong position with several large sites changing hands, urban growth booming in the downtowns, numerous suburban ground-up projects in the pipeline and traditional malls undergoing major transitions. The market is poised to see retail construction activity grow with a healthy balance of supply and demand, despite national brick-and-mortar retail industry challenges. The Triangle vacancy rate ended the year with a vacancy rate below 7 percent, which represents strong improvement from the end of 2017, even with accounting for the large-scale closing and downsizings in the Triangle. Positive absorption over the past year has included re-leasing 12 Kroger stores, two Gander Mountains, five hhgregg stores and several other significant box vacancies. Fierce grocery competition and continued pressure on “in-store” sales have caused retailers, owners and developers to rethink and recreate the retail experience and development landscape. Downtown urban centers Rapid multifamily and housing gentrification in the downtowns of Raleigh and Durham continue to push mixed-use and high-street retail. With residential and employment densification occurring, Raleigh has experienced several first-time retail events in 2018. Morgan Street Food Hall and Urban Outfitters opened in the Warehouse District, Publix is under construction on …
FORT WORTH, TEXAS — HFF has brokered the sale of The Village at Camp Bowie, an 180,000-square-foot retail center in Fort Worth. Anchored by Sprouts Farmers Market, the property was 89 percent leased at the time of sale to tenants such as Verizon Wireless, Keller Williams Realty, Tuesday Morning and Orangetheory Fitness. Jim Batjer, Barry Brown, Ryan Shore and Aaron Johnson of HFF represented the seller, a joint venture between Lincoln Property Co. and Boston-based Long Wharf Capital. The buyer was brokerage and investment firm Dunhill Partners Inc.
MARLBOROUGH, MASS. — Cornerstone Realty Capital has arranged a $2.7 million acquisition loan for a 12,980-square-foot retail building in Marlborough. Located in Middlesex County, the property currently houses four tenants with Starbucks as its anchor. Spaces at the property range from 1,500 to 7,466 square feet. Cornerstone delivered a fixed-rate financing structure with a 30-year amortization schedule to the undisclosed borrower. The lender was a local community bank.
GROVELAND, FLA. — The Kroger Co. and Ocado, an online grocery retailer based in England, have selected Groveland as the second city to house the partnership’s customer fulfillment center (CFC). Kroger has committed to build 20 CFCs in partnership with Ocado. In November, the partnership announced that Monroe, Ohio will be the site of the first CFC. The Groveland center will consist of an automated warehouse facility with digital and robotic capabilities. The CFC will span 375,000 square feet at American Way near U.S. Highway 27, about 31 miles west of Orlando. The partnership is scheduled to break ground later this year and open the center in 2021.
COSTA MESA, CALIF. — Ready Capital has closed a $20.1 million loan for the acquisition, renovation and stabilization of Back Bay Center, a mixed-use retail and office property located in the Eastside submarket of Costa Mesa. The asset features 52,000 square feet of Class B retail and office space. Ready Capital National Bridge Originations Team closed the non-recourse, fixed-rate loan that features an 84-month term, 48 months of interest-only payments and flexible pre-payment options.
SEATTLE — Norris, Beggs & Simpson Financial Services (NBS Financial) has arranged $5 million in financing for Wallingford Center in Seattle. The borrower is Wallingford Center LLP. Mike Wood and Colin Ceithaml of NBS Financial secured the non-recourse, fixed-rate loan. Riversource LLC, a life company correspondent of NBS Financial, provided the capital. Originally constructed as a school, the 28,377-square-foot mixed-use asset features retail space on the first two floors and 24 apartments above. The use of the financing was not disclosed.
PRESCOTT, ARIZ. — Valencia Properties has purchased a freestanding, single-tenant property located at 901 Willow Lake Road in Prescott. A Southern California-based private investor sold the building for $4.5 million in an all-cash transaction. CVS/pharmacy occupies the 13,186-square-foot drive-thru property, which was built in 2015. The absolute triple-net leased asset is corporate guaranteed by CVS Health Corp. with 22 years remaining. Patrick Luther and Matthew Mousavi of SRS Real Estate Partners’ National Net Lease Group represented the seller, while Gulf Stream Capital Ventures represented the buyer.
ARLINGTON HEIGHTS, ILL. — SVN | Chicago Commercial has brokered the sale of The Esplanade at Arlington Heights for $4.4 million. The 18,419-square-foot retail property is located at 2920-2964 W. Euclid Ave. in Arlington Heights. Subway and Starbucks are the anchor tenants. Tim Franz and John Livaditis of SVN represented the seller, a private real estate investment group. The buyer was not disclosed.
PALMVIEW, TEXAS — Marcus & Millichap has arranged the sale of a 7,000-square-foot retail property net-leased to Advance Auto Parts in in the South Texas city of Palmview. Justin Miller and Davis Hansen of Marcus & Millichap marketed the property on behalf of the seller, a Houston-based partnership. Hank Wolfer also with Marcus & Millichap, represented the buyer, an out-of-state personal trust.
