What area is your expertise? Sacramento Valley What trends do you see presently in retail development in your area? The retail market is experiencing declining rental rates for the first time in years. Mom and Pop retailers have virtually disappeared and national credit tenants are pulling back on expansion plans, while closing underperforming stores. The strip centers in many areas have been hit the hardest. What type of retail product is doing well in your area? Urban redevelopment projects have been the bright spot in the marketplace, particularly those that have located in underserved markets and filled by quality retail tenants. What retailers are new to your area? Boudin Bakery, The Counter Burger, Chico’s, Cold Water Creek, Orvis, New Balance, Smith & Hawkin, Sur La Table, White House|Black Market, Fresh N Easy, and CVS Pharmacy. Who are the active retail developers in your area? Donohue Schriber, Panattoni Development Co., Capital and Counties Development Group, Granite Bay Ventures, The Evergreen Company, Opus West, Peter Bollinger Investment Group, and Stonehenge Property Group. Please name one or two significant retail developments in your area. What impact will these projects have on the market? Florin Towne Centre — Florin Mall Redevelopment project. NWC of …
NEW YORK CITY — Meridian Capital Group has arranged $60 million in financing for a mixed-use warehouse/office complex in the Long Island City area of Queens, New York City. The 500,000-square-foot facility is located at 33-00 Northern Blvd. and is currently leased to several city agencies and other tenants. Avi Weinstock and Seth Grossman of Meridian’s New York office arranged the loan on behalf of the undisclosed borrower. The loan was secured as a fixed-term loan with 2 years of interest only payments.
COMSTOCK TOWNSHIP, MICH. — Signature Associates has arranged a 110,000-square-foot lease within Midlink Business Park, a 340-acre industrial park located in Comstock Township. Polymer Solutions will occupy a building located at 5262 E. Cork St. The company will join a tenant roster that includes ICS, Erickson’s Flooring Supply Co., Kenco, Esco, W. Soule & Co. and Tourney Consulting Group. Signature represented Midlink Business Park in the transaction.
PHILADELPHIA — Stockton Real Estate Advisors and the Girard Estate have acquired an 85,000-square-foot light manufacturing warehouse in Philadelphia. Located at 3501 Island Ave., the facility features 19,000 square feet of office space, 15,000 square feet of conditioned manufacturing floor area, 51,000 square feet of warehouse area, 10 loading docks and a drive in bay. The property can also be expanded by another 45,000 square feet. The acquisition price was undisclosed.
What area is your expertise? I currently have listings throughout the greater Sacramento area including Elk Grove, Power Inn, South Sacramento, West Sacramento, Northgate/Natomas and Rancho Cordova. What trends do you see presently in industrial development in your area? The most prevalent trend in industrial development is not to develop on speculation. Since 1999 we have averaged at least 1.9 million square feet of product in the pipeline at any given time. The current decrease in industrial development is certainly benefiting existing landlords during this time of economic softness and is playing a major role in suppressing vacancy levels. This trend was set in motion long before the economic downturn, marking the sixth consecutive quarter in which the pipeline has shrunk. What type of industrial product is doing well in your area? Second and third generation industrial properties are doing well during this downturn in the marketplace. Investors are looking for distressed properties while users are concerned with the bottom line. The price of industrial land coupled with high construction cost has made it very difficult for newer developments to pencil. Who are the active industrial developers in your area? Cable & Kilpatrick, Massie, Harsh Investments, Jackson Properties, Buzz Oates …
NAPERVILLE, ILL. — CityGate Center, a 31-acre mixed-use project located in Naperville, has announced that a 12-story, 144-room Hotel Arista will be built in the center. Room amenities in the luxury hotel will include marble-finished baths with walk-in showers, in-room wireless Internet, 42-inch high-definition televisions, iPod docking stations and stocked mini-bars. Hotel amenities will include a spa, a salon, a fitness center, restaurants, a lounge, meeting space and ballrooms with seating for 500, and valet and covered parking. The project, which is being designed by Chicago-based Lohan Anderson, is applying for LEED certification from the U.S. Green Building Council. The grand opening is scheduled for this fall.
CHICAGO — Summit Design + Build has been selected to serve as general contractor for the construction of Halsted Pershing Business Center, a 104,000-square-foot, speculative industrial building located in Chicago’s Stockyard Industrial Park at the corner of Halsted Street and Pershing Road. The single-story structure, which is situated on 6.6 acres, will be divisible from 10,000 square feet and will be able to accommodate as many as six tenants. Features will include 30-foot clear ceiling heights, four drive-in doors and eight exterior docks. Dayton Street Partners is the owner and developer of the project, and has hired Cornerstone Architects to provide design services. Michael Senner of Colliers Bennett & Kahnweiler is serving as exclusive marketing agent. Completion is scheduled for this fall.
Stockton, Calif. –— An undisclosed buyer has purchased a Days Inn hotel, which is located at 550 W. Charter Way in Stockton, for approximately $3.1 million. The transaction includes the 70-room hotel, a 10-year, triple-net leased Quiznos Sub restaurant and a vacant office/retail space. Taylor Flynn of Marcus & Millichap’s Oakland, Calif., office represented the undisclosed seller in the transaction.
FOREST PARK, MORROW AND WOODSTOCK, GA. — Atlanta-based Bryant Commercial Real Estate has arranged three sales in Forest Park, Morrow and Woodstock, totaling $5.2 million. Atlanta-based Frontera Imports purchased a 50,000-square-foot industrial facility, located at 143 Lake Mirror Rd. in Forest Park, from U-Freight America, for $1.4 million. Michael Sutter and Rick Tumlin of Bryant Commercial represented the buyer, and the seller was represented by Britton Burdette of Marcus & Millichap’s Atlanta office. Marietta, Ga.-based JOC Acquisitions acquired a 76,500-square-foot, 10-acre facility in Morrow, from Woodstock, Ga.-based Precision Jet, for $1.8 million. Bryant Dromey and Rick Tumlin were the sole brokers. An undisclosed investor purchased a 76,500-square-foot, 10-acre facility in Morrow from Calif.-based Mariani & Seifert Family Trusts, for $2 million. The property is located at 6835 Southlake Pkwy. Buddy Hill of Grubb & Ellis’ Atlanta office and Rick Tumlin were the sole brokers.
VACAVILLE AND STOCKTON, CALIF. — The Buzz Oates Group of Companies (BOGC) has acquired the former Serta facility, a 220,800-square-foot industrial property located at 2050 Cessna Dr. in Vacaville. National Bedding Company sold the property for an undisclosed price. Additionally, BOGC has purchased the former IRIS manufacturing plant in Stockton from IRIS USA for an undisclosed price. The plant includes a 150,000-square-foot facility and 15 acres of additional land for development. Steve Moreno provided in-house representation for BOGC in the Serta acquisition, while Bob Taylor provided in-house representation for BOGC in the IRIS transaction.