WOODSTOCK, GA. — CH Realty IV/Woodstock, an affiliate of Dallas-based Crow Holdings, has borrowed a $27.37 million loan for the 498-unit Alta Woods Apartments in Woodstock. The complex, which is spread across 19 buildings, features two pools, a fitness center, a putting green and two tennis courts. Freddie Mac financed the 7-year loan. Michael Riccio and Christine Kubas of CB Richard Ellis’ office in Hartford, Conn., and Robert LaChapelle of the firm’s Atlanta office arranged the loan.
KALAMAZOO, MICH. — InterContinental Hotels Group (IHG) has opened its 250th Candlewood Suites hotel. Located in Kalamazoo, the 95-suite hotel features an expanded lobby area with multiple seating areas and a 42-inch flat-screen television; complimentary high-speed Internet access; free local phone calls; free on-site guest laundry; and a 24-hour fitness center. Comstock Hospitality owns and manages the hotel, which is located at 3443 Retail Place Dr., under a license agreement with a company in IHG.
NEW YORK CITY — ABS Partners has purchased three New York City parking garages for $10.5 million. The freestanding properties include a 78-space garage located at 550 W. 174th St., a 171-space garage located at 528 W. 162nd St. and a 176-space garage located at 284 Audubon Ave. The first two garages are situated near Columbia Presbyterian Hospital and the last garage is situated near Yeshiva University. Steve Hornstock, Gregg Schenker and Earle Altman provided in-house representation for ABS. The undisclosed seller was represented by Howard Greenberg of Ace Capital Ventures and Anne DeMarzo of DeMarzo Realty Co.
NEW YORK CITY AND BEACHWOOD, OHIO — The war of words has begun between New York City-based investment manager Coventry Real Estate Advisors and Beachwood-based REIT Developers Diversified Realty (DDR). In a press release issued Tuesday, Coventry claims that it has filed a $500 million lawsuit against DDR for fraud, malfeasance, mismanagement, violation of fiduciary and contractual obligations, and self-dealing. Coventry says the suit is related to 12 real estate projects across the country in which DDR co-invested and agreed to provide management, leasing and development services. In the statement, Coventry says DDR failed to properly manage the properties, misrepresented assets it sold to Coventry and purposefully inflated fees and escalated costs to justify even greater fees, among other things. “The effect of DDR's purposeful actions have made many of the properties commercially untenable,” Coventry's release reads. The company claims that it has since terminated its leasing and management contracts with DDR. The allegations go even further, claiming DDR “significantly impaired the values of Coventry's investments, while enhancing the value of DDR's stock price, placing itself in a position to acquire at distressed prices some of the same properties DDR recommended that Coventry acquire and which [sic] it promised to …
The capital market crash of 2007 and the global recession still cast a pall over Sacramento’s industrial landscape. Landlords are paying close attention to the State of California, the city’s biggest tenant, and its desire to extend leases where landlords will reduce rent (by up to 30 percent in some cases). There are no speculative developments of any significance underway in Sacramento and only a few are under development in the San Joaquin markets closer to the Bay Area, where greater population densities create some optimism. To date, the standout deal in Sacramento has been Buzz Oates Real Estate’s inking of Nestle Waters North America to a 215,000-square-foot deal on existing space at Younger Creek Drive in the Florin Fruitridge Industrial Park; the firm’s two-line bottling plant slated to open early next year. Sacramento’s traditional strength in securing large distribution commitments has recently been diverted south and west to Stockton, Tracy, Lathrop, Cordelia and as far south as Patterson. Dealmakers point to the availability of large tracts of land and closer proximity to bigger markets like the Bay Area and Southern California as key drivers. Right now, a geographic difference of 50 miles in one direction or the other is …
NEW YORK CITY — Insurance and investment holding company C.V. Starr & Co. has signed a long-term lease for 141,000 square feet of office space at 399 Park Ave. in New York City. The company plans to use the space as its new world headquarters. It already occupies a full floor of the building but will now occupy three full floors, relocating employees from other New York-area offices to the new space. John Picco, David Stockel, August DiRenzo and Andrew Behymer of Cushman & Wakefield represented C.V. Starr in lease negotiations. The landlord, Boston Properties, was represented in-house by Andrew Levin and by CB Richard Ellis' Peter Turchin, John Powers and Greg Rothkin.
CHICAGO — Steven D Construction has purchased a 2.82-acre industrial land site located at 2000 W. 43rd St. within Stockyards Industrial Park in Chicago. The company plans to redevelop the existing office buildings and use the land for equipment storage. Michael Nelson and Mark Nelson of Paine/Wetzel • ONCOR International represented the seller, Mike Kibler, in the transaction. The acquisition price was not disclosed.
FOREST HILL, TEXAS — SCM Real Estate has completed the acquisition of 3217 California Pkwy., a single-story, 21,875-square-foot bank branch building located in Forect Hills. SCM's Theron Bryant represented the local buyer, Texas Stockyards Llano. Bryan Graham of CB Richard Ellis represented the out-of-state seller, BREOF BNK2 Texas LP. Subsequently, Bryant represented the new owner in the sale of a 10,600-square-foot condo interest in the property to the City of Forest Hill. The City plans to construct a new city hall that will contain a larger council chamber, additional offices and drive-thru lanes for water department customers. The city's police and fire departments are considering space at the new facility as well. Chase Bank will remain a tenant at the building, occupying 11,275 square feet.
SPARTANBURG, S.C. — Phillips Feed has purchased a 100,000-square-foot warehouse from an undisclosed buyer for $2.7 million. The property is located on Blackstock Road in Spartanburg. Brian Young of Greenville-based Grubb & Ellis|The Furman Co. represented the buyer. Coldwell Banker Commercial Caine’s Sammy Dubose represented the seller.
Overall, the Austin office market is facing many of the challenges that other major metropolitan areas are confronting. However, the Austin market has relatively strong employment fundamentals and continues to attract office-using employers and skilled employees. The office market should rebound earlier and stronger than the national bounceback once positive absorption returns, with the South, Southeast and CBD submarkets leading the way. Austin currently boasts the strongest employment market of any major metropolitan area in the country, though significant weakening in the office sector is projected due to overbuilding. The amount of vacant space increased by more than 1 million square feet in 2008, an addition of 14 percent to existing inventory. These additions shifted the leverage in lease negotiations to tenants, resulting in lower rents and elevated concessions; this was particularly true in the Northwest and Round Rock/Georgetown/Cedar Park submarkets, which experienced the greatest increases in inventory. As a result, asking rents are forecast to fall to $24.66 per square foot, and effective rents are projected to end 2009 at $20.72 per square foot, annual declines of 6.2 percent and 7.1 percent, respectively. Office investment sales have slowed as financing constraints hamper the market. The median sales price, however, …