According to GlobeSt.com, The University of Cincinnati, through its Clifton Heights Community Urban Redevelopment Corp., is funding a $68 million mixed-use development right near campus in Cincinnati, Ohio. The site is scheduled to open in the fall of 2012 and will have 87,000 square feet of retail, 150 apartments, a hotel and about 700 parking spaces.
Expanding on their current acquiring trend in 2010, Mid-America Apartment Communities Inc. purchased Times Square at Craig Ranch, a 313-unit apartment community in Dallas, Texas, for $31.25 million. The property was purchased through the development lender and was funded through Mid-America's existing credit facilities and common stock issuances. According to the Memphis Business Journal, Mid-America plans to purchase $350 million of multi-family properties in 2010.
The National Association of Realtors has stated that commercial real estate remains hard-hit by the recession which opens up many benefits towards business expansion. Vacancy rates are beginning to stabilize, such as in the Kansas City, Missouri industrial sector, but rents remain low and subleasing is staying high. According to the Kansas City Business Journal, vacancy rates are beginning to level off in some sectors, but rent discounts and moderate levels of landlord concessions are widespread.
Creekside Meadows Apartments in Tustin, California has been sold by Creekside Meadows Development LLC according to brokers from Hendricks & Partners who were the listing agents on the sale. The complex was on the market for $100 million according to a previous report and while the buyer has not been disclosed, GlobeSt.com reports show the complex on the website of apartment REIT AvalonBay as a listed property.
Irving, Texas-based Omni Hotels & Resorts has a $67.1 million bid out to acquire the luxury Amelia Island Plantation resort located 29 miles north of Jacksonville, Florida. The resort is currently in Chapter 11 bankruptcy. According to the Dallas Business Journal, Omni's bid is currently the highest submitted and completion of the sale depends on Omni gaining the approval of a Florida bankruptcy court expected later on this week.
The Edwards Cos. along with the private-equity real estate fund Kayne Anderson Real Estate Partners has successfully refinanced the mortgage loan on The Province of Louisville, a University of Louisville-student housing project in Louisville, Kentucky. The $54.4 million building was developed by Edwards Cos., a Columbus, Ohio-based owner and operator of multi-family properties, last year and contains 266 units and 858 beds. The 2009-2010 academic year saw the Province have more than 95% of the available space leased.
Chicago, Illinois-based Urban Retail Properties, LLC, via their third-party management division, has taken on two mall portfolios totaling about 3.5 million square feet. According to GlobeSt.com, the first portfolio includes three properties: Mount Berry Square Mall in Rome, Georgia; Bradley Square Mall in Cleveland, Tennessee; and Shenango Valley Mall in Hermitage, Pennsylvania. The second portfolio was awarded to Urban Retail from Midwest Mall Properties and includes two properties: Citadel Center in Colorado Springs, Colorado and the Northwest Arkansas Mall in Fayetteville, Arkansas.
The Comfort Suites in Lake George, New York recently filed for Chapter 11 bankruptcy protection in an effort to stop the foreclosure process. The hotel will remain open and operating while it reorganizes finances during the bankruptcy period. With 98-rooms and $13.4 million in assets, the hotel has amassed upwards of $11.2 million of debt.
The Seattle, Washington-based Amazon.com has chosen Phoenix, Arizona over Lewisville, Texas for a 1-million-quare-foot warehouse/distribution center building. The building will open in Phoenix in October, creating several hundreds of jobs in the process. According to the Dallas Business Journal, this appears to be the same deal that was headed into a 1.02 million-square-foot warehouse/distribution building in Lewisville.
According to the Denver Business Journal, the Goodyear-Wingfoot tire-retreading plant in Denver, Colorado has been sold for a reported $1.5 million to the current remaining tenant, a tire company. The 20,000-square-foot industrial property had a most recent asking price of $1.7 million according to LoopNet.com.
MRP Realty and Rockpoint Group have finished off a deal to purchase Tishman Speyer's Plaza East project located at 14291 and 14295 Park Meadow Drive in Chantilly, Virginia. The two 123,400-square-feet office buildings fetched a price of $30 million according to the Washington Business Journal. The properties were put up for auction in a July substitute trustees sale.
California based Hanley Investment Group has been selected to market three Southern California-based shopping centers owned by DSB Properties Inc. totaling more than 507,000 square feet with an aggregate price tag of $112 M. According to GlobeSt.com, the three centers are Moorpark Marketplace in Moorpark, Gateway Village in Chino Hills, and Tesoro Village in Valencia.
Verandas at Sam Ridley, a gated apartment community in Smyrna, Tennessee, have been bought by Memphis-based Mid-America Apartment Communities for $32 million. According to the Nashville Business Journal the complex has 366 units, averaging out the purchase price at $95,238 per unit. This number is quite alarming due to the fact that recent transactions, though for older complexes, sold around the $20,000 to $30,000 per-unit range.
Palm Beach Gardens-based Ram Realty and New York-based Square Mile Capital Management have formed a joint-venture to acquire non-performing loans totaling approximately $150 million. According to GlobeSt.com, the collateral for the loans includes 39 shopping centers in major and secondary markets in Florida, Tennessee, Georgia and the Carolinas. The notes were acquired at a significant discount to par.
The Georgia resort Sea Island Co. has fallen casualty to the real estate crash this week when it filed for Chapter 11 bankruptcy, citing 1,000+ creditors that are owed up to $1 billion. According to the Atlanta Business Chronicle, the bankruptcy coincides with an agreement to sell its assets to New York-based Avenue Capital Corp. and Los Angeles-based Oaktree Capital for $197.5 million.
A private investor group from California has recently acquired the 162,000-square-foot former Macy's building at Six Flags Mall in Arlington, Texas. According to GlobeSt.com, the same firm is in talks to purchase the in-line portion of the mall along with the former JCPenney's which totals over 363,000-square-feet. Local sources estimate the purchase of the former Macy's building to be around $2.2 million.
According to the South Florida Business Journal, a sizeable piece of Shoma Development Corp.'s Park Square at Doral mixed-use project is targeted for foreclosure. The lawsuit filed by Wells Fargo Bank concerns part of the retail and residential components of the 51.4-acre project. The lawsuit does not target the office component of Park Square.
About 10,000 businesses all across the state of Michigan could be in line for an increase in property and business taxes, according to the website mlive.com. The effort, that is meant to ensure that only industrial companies receive special exemptions created in 2007 to encourage manufacturers to expand, could raise an additional $15 million to $20 million a year in education funding.
National Retail Properties Inc., a REIT that owns 1,000+ properties in 43 states, is expecting their acquisitions to pick up significantly during the second half of the year after a slower than expected first half. According to GlobeSt.com, the high expectations of a promising second half should allow the REIT to reach their yearly acquisition goal of $170 million. So far this year the REIT has invested $38.6 million in 10 properties.
The Colorado Division of Housing reports that Denver's apartment market had a strong showing in Q2, with a decrease in vacancy rate and an increase in rental rate. The vacancy rate dropped significantly year over year from 9% to 6.1%. A main reason to attribute the positive numbers is the lack of new apartment construction. In the second quarter, according to the Denver Business Journal, only 96 new units were added to the metro-Denver apartment inventory.
Coastal property values from Texas to Florida are being severely impacted by the oil spill in the Gulf of Mexico. Losses stemming from lack of tourists coming to commercial properties are beginning to mount. Cancellations rose sharply after the spill and subsequent bookings have slowed considerably.
Lane4 Property Group just issued a quarterly report that shows vacancies at Kansas City, Missouri-area shopping centers stayed above 12% in the second quarter of 2010. The vacancy rate of 12.1% is up slightly from last year's 11.9%. According to the Kansas City Business Journal the reasons for the steadying vacancy rates are weaker retailers going away leaving the stronger to survive and landlord willingness to work with their current tenants.