EAGAN AND PRIOR LAKE, MINN. — KeyBank Real Estate Capital has secured $31.7 million in Fannie Mae loans for two seniors housing communities. The properties included Keystone Communities of Eagan, which includes 129 units; and Keystone Communities of Prior Lake, which includes 107 units. Charlie Shoop of KeyBank secured financing for the borrower, Toronto, Ontario-based BayBridge Seniors Housing, in conjunction with local operator and joint venture partner Keystone Communities. The financing allowed BayBridge to refinance existing debt at low long-term, fixed interest rates and provided additional growth capital for the sponsor.
CHICAGO — Interra Realty has arranged the $2.5 million sale of a renovated 12-unit mixed-use property in Chicago. The property is located at 3023 W. Diversey Blvd. in the Logan Square neighborhood. Upgrades at the building include stainless steel appliances, granite countertops, oak floors and modern cabinetry. The building includes eight two-bedroom, two three-bedroom units, and two commercial spaces occupied by an art studio and a farm-to-table restaurant. Brad Feldman of Interra Realty represented both the undisclosed buyer and seller.
HOUSTON — Tanglewood Property Group has acquired 2000 Bering Drive in Houston. The 192,000-square-foot office building is located in the Tanglewood area just west of the Galleria. The property is 97 percent leased. This is Tanglewood’s second office building acquisition in 2014, the company purchased 5300 W. Sam Houston Pkwy. N., earlier this year. Henry Hagendorf and Cliff Rudolph represented Tanglewood in the acquisition. Houston-based Tanglewood Property Group owns and manages more than 1.4 million square feet of commercial office space, mostly in the uptown Galleria submarket of Houston.
FRISCO, TEXAS — Dallas-based Venture Commercial Real Estate represented Fitness International LLC in lease negotiations for a new LA Fitness club in Frisco. A new 38,000-square-foot LA Fitness gym will be built in the Frisco Market Center, which is located at the northwest corner of Main Street and the Dallas North Tollway. Other tenants in the mixed-use development include Main Event Entertainment, Elite Care, Pei Wei Asian Diner, Pie Five Pizza Co. and Mooyah Burgers, Fries and Shakes. John Zikos and Jonathan Cooper of Venture represented LA Fitness in negotiations. Walt Brown Jr. and Tim Dollander of Diversified Partners brokered the lease on behalf of LA Fitness. Darrell Hernandez of United Commercial Realty represented the landlord, Dallas-based Hermansen Land Development Inc.
AUSTIN — Velocis has arranged the sale of Springdale Shopping Center in Austin. Tampa-based Forge Real Estate Partners III LP purchased the 163,677-square-foot retail center. Velocis purchased Springdale Shopping Center in 2012 and invested in a new roof, pylon signage updates and parking lot repairs. H-E-B anchors the center, which is located off of Highway 183. Other tenants include Fashion Outlet, Carousel Pediatrics, Family Dollar and O’Reilly Auto Parts. CBRE’s Chris Cozby, Chris Gerard and Kevin Holland brokered the sale on behalf of Velocis.
BETHESDA, MD. — LaSalle Hotel Properties has sold 7.6 million shares of common stock to Barclays, Deutsche Bank Securities and Morgan Stanley for $40.30 per share. LaSalle will use the net proceeds from this underwritten public offering to fund three hotel acquisitions out West. Though the properties were not named, LaSalle noted the hotels were located in San Francisco, Los Angeles and Portland, Ore. They will be purchased for a total of about $500 million. The company will also use some of the proceeds to reduce the amount of its outstanding $750-million senior unsecured credit facility, as well as for general corporate purposes. Barclays, Deutsche Bank Securities and Morgan Stanley are acting as the offering’s underwriters. LaSalle has also granted the underwriters an option to purchase up to 1.14 million additional shares. Bethesda, Md.-based LaSalle Hotel Properties is a multi-operator REIT that owns 44 hotels. The portfolio contains a total of 11,100 guest rooms in upscale, full-service hotels throughout 13 markets in nine states and the District of Columbia. LaSalle specializes in the ownership, redevelopment and repositioning of upscale, full-service hotels in urban, resort and convention markets.
SAN JOSE, CALIF. – Vitamin Shoppe will open a 3,000-square-foot store at the Westgate Center in San Jose tomorrow, Dec. 13. The shop will be located at the corner of Saratoga Avenue and West Campbell Avenue. It will occupy a former gas station. The corner site will soon include the Veggie Grill, Verizon Wireless, as well as additional tenants that will be announced shortly. Construction on the corner is slated for completion early next year. Notable tenants at Westgate Center include Target, Nike Factory Store, Walmart Neighborhood Market, Old Navy, Gap Factory Store, Burlington Coat Factory, Nordstrom Rack, Michaels, Any Mountain, J. Crew Factory and Ross Dress for Less. Federal Realty Trust owns both the Westgate Center and the gas station site that is being redeveloped. Westgate was represented by SRS Real Estate Partners.
NEW YORK CITY — RKF has brokered the sale of a retail property, located at 197-205 Smith St. in Brooklyn’s Cobble Hill neighborhood. The 20,000-square-foot property sold for $18.5 million. The property offers 10,000 square feet on the ground floor and a 10,000-square-foot basement. Included in the sale are air rights for 10,000 buildable square feet that allows for future expansion. Brian Segall and Ernie Getz of RKF represented the seller, John Dee Corp., and the buyer, a partnership between Jackson Group, Aurora Capital and ACHS Management, in the transaction.
BLOOMFIELD, N.J. — Marcus & Millichap has brokered the sale of Jeanette Apartments, an apartment building located in Bloomfield. The 34-unit building sold for $1.75 million. Located at 268-272 Bloomfield Ave., the building consists of 34 sponsor-held apartments in a garden-style condo complex with parking for 50 cars. The building offers a mix of one-, two- and three-bedroom units, as well as a small office space. Nat Gambuzza, Kevin Taub and John Veniero of Marcus & Millichap’s New Jersey office represented both parties in the transaction.
STOCKBRIDGE, GA. — Phillips Edison Grocery Center REIT II Inc. has purchased Spivey Junction, an 81,475-square-foot grocery-anchored shopping center in Stockbridge, a southern suburb of Atlanta, for approximately $11.7 million. The property’s tenant roster includes Kroger, Kroger Fuel Center, Great Clips, Workout Anytime, Domino’s Pizza, Subway, Goodwill and Miracle Ear. The seller was MK EP Spivey LLC, a Delaware-based limited liability company. As of Dec. 9, Phillps Edison Grocery Center REIT II owned and managed 17 grocery-anchored shopping centers totaling 1.9 million square feet.