ALGONQUIN, IL-Bernard Haddigan, formerly an SVP and managing director with Marcus & Millichap, recently completed the first purchase of his new firm, Atlanta-based Haddigan Capital, with a small acquisition of a ground lease under a KFC here. However, there’s more to follow, he tells GlobeSt.com.
Haddigan says he paid about $905,000 for the ground lease to the restaurant at the intersection of Randall and Stonegate roads. While he says he paid an 8.05% cap rate and got a good deal on property on a major intersection in the Chicago suburbs, Haddigan says the deal was mostly done to keep his name out in the ether until he can open up a new firm sometime this year. “It’s something I’ve been working on the past six months,” he says.
He retired from a long-time stint at Marcus & Millichap abruptly in July 2010, when Alan Pontius was promoted to national director of commercial leased investment properties of Marcus & Millichap Real Estate Investment Services. Haddigan continues to run webinar programs for the International Council of Shopping Centers, and even worked with his former employer on the KFC deal. “I am definitely looking to acquire more properties,” he says. His new firm will also be based in Atlanta, Haddigan says.
BELLEVILLE, IL-Marcus & Millichap Real Estate Investment Services, the nation’s largest real estate investment services firm, has announced the sale of Arby’s Ground Lease; a 3,300-square-foot, single tenant net leased property on 5790 Belleville Crossing St. The asset commanded a sales price of $780,000 and a capitalization rate of 7.5%. Judson Kauffman and Glen Kunofsky, investment specialists in Marcus & Millichap’s Manhattan office, had the exclusive listing to market the property on behalf of the seller, a developer. The tenant, an Arby’s franchise exercised their right of first refusal and John Przybyla assisted in closing this transaction. The property sits at an outpost to a Home Depot/Target anchored shopping center and was built to sell.
SCHAUMBURG, MI-CB Richard Ellis is pleased to announce several new tenants at Woodfield Corners Office Center, 1300 E. Woodfield Rd. in Schaumburg. The new leases bring occupancy in the office building to 85%. The new leases include: Lennar Homes signed a new lease for 5,544 square feet that Terry Mostrom and John Azulay with Studley negotiated on behalf of the tenant, Royal United signed a lease for 3,862 square feet that Dave Ven Horst of Tenant Advisors represented the tenant in the transaction, and the law firm of McCarty Winkler signed a new lease for 1,962 square feet that Dan Bessey of CB Richard Ellis negotiated on behalf of the tenant.
AURORA, IL-James Hoopes and Erik Kunz with NorthMarq Capital arranged first mortgage financing of $12.2 million for Excel I, a 650,000-square-foot industrial building at 2580 Prospect Ct. here. Financing was based on a 10-year term and a 25-year amortization and was arranged for the borrower by NorthMarq through its correspondent relationship with Aviva Life and Annuity Co.
CHICAGO-Newcastle Limited has acquired 227 East Ontario, a 15,500-square-foot commercial property with parking in Chicago’s Streeterville neighborhood, for $5.9 million. The all-cash deal closed in less than 40 days and is Newcastle’s third acquisition in the past 60 days. The transaction required the assemblage of land under the building from two separate ownership entities. Newcastle purchased the property on behalf of the firm’s $500 million Chicago real estate investment platform. The two-story building was recently occupied by the U.S. Post Service, which vacated the building earlier this month. Newcastle plans to add 885 square feet of space to the property and redevelop the building as a retail property. Paul Bryant and David Stensby with Mid America Real Estate represented the sellers in the transaction. Newcastle has retained Mid America to market the property.
CHICAGO-Essex Realty Group Inc. handled the sale of a vintage 74-unit apartment building in the Rogers Park neighborhood, just one block from Lake Michigan. The property, 7665 N. Sheridan Rd., consists of 13 studio, 48 one-bedroom and 13 two-bedroom units. Doug Imber of was the broker for the transaction. The sale price was approximately $4.4 million.
CHICAGO-McShane Construction Co. was recently selected to complete an expansion assignment on behalf of Ogletree, Deakins, Nash, Smoak & Stewart P.C. The new legal services suite will add approximately 6,000 square feet to the firm’s existing space and will include 18 private offices, three conference rooms, six soft offices and one breakroom. McShane recently completed the firm’s Class A, 20,300-square-foot office space build-out when the prestigious law firm relocated its Chicago office from 20 S. Clark St., Suite 2500, to the office suite at 155 N. Wacker Dr., Suite 4300. Ogletree Deakins is one of the nation’s largest labor and employment law firms, employing more than 500 attorneys throughout its 40 U.S. offices. The 45-story high-rise located at 155 North Wacker is a glass and curtainwall office building located in Chicago’s Loop that was designed by the architectural firm of Goettsch Partners Inc.
CAROL STREAM, IL-TOBI International Corp. is pleased to announce that Mas Ishida, principal of the firm has completed the sale of a 223,160 square foot industrial building at 795 Kimberly Dr. here on behalf of the buyer, NTA Precision Axle Corp. The buyer is a North American joint venture between NTN Corporation, Takano Kogyo Co., Ltd. and Asahi Forge Corporation. The new company, established in December, will carry out the integrated production of forging, turning and heat-treatment as the pre-processes of manufacturing third generation hub bearings for automobiles. NTA purchased the building as a new location for the company. Situated on 13 acres, substantial renovations are planned for the property and the company plans to start production in June. Ishida represented the buyer in the transaction. The seller, Emerick Capital Investments Inc., was not represented.
EVANSTON, IL-Cambridge Realty Capital Cos. reports closing on a $7.4 million FHA-insured HUD LEAN loan for Ebenezer Primm Towers, a 107-unit senior independent living apartment community. The fully-amortized, 40-year term loan was arranged for the property’s owner, an Illinois corporation. The interest rate was not disclosed.
ADA, OH-Dynarex, a manufacturer of disposable medical products, recently acquired a 50,000-square-foot distribution center here. This firm’s dynamic growth in the past seven years drove the need to add a new distribution center to its portfolio of properties, according to Tim Echemann with Industrial Property Brokers, who represented the firm in the purchase. “Dynarex had been looking for a distribution center in Ohio for over a year and narrowed its search to Ada because of the availability of a high value distribution center at a reasonable cost. In addition, the close proximately to Interstate 75 was an important factor.” The facility was originally constructed by the city in 1999 to attract new business to the community. Since its inception, the building has housed Amazon Environmental. Echemann also represented the seller and said one key factor was the seller was willing to get realistic with the current market and price the building to sell.
ST. LOUIS-Panattoni Development Co. Inc., based in Sacramento, CA, recently negotiated a 95,000-square-foot lease with Executive Express, a parcel delivery company. The building is at 5485 Brown Ave. The 148,000-square-foot facility features 35 dock doors and 25 trailer spots. The lease is a reflection of the firm’s expansion to a modern distribution facility. Executive Express will be using the space for general warehouse and logistics purposes. Gary Parker, Dan Merlo and Dan Dokovic of Principal Commercial Real Estate Co. represented Panattoni in the transaction.
COLUMBIA, MO-Grubb & Ellis Healthcare REIT II Inc. has acquired Columbia Long-Term Acute Care Hospital, a single-story, 31,000-square-foot, Class A single-tenant medical facility in Columbia, midway between Kansas City and St. Louis. Located at 604 North Old Hwy., the property is less than one mile from Boone Hospital Center, a 394-bed full service medical facility, and approximately three miles from University of Missouri Women’s and Children’s Hospital, a 189-bed general acute care medical center. Built in 2009, the property is leased by Landmark Holdings of Missouri LLC, which signed a long-term lease through January 2026. The Columbia facility is the fourth and final piece of a $42 million, four-property portfolio of regional long-term acute care hospitals acquired by Grubb & Ellis Healthcare REIT II. Similar facilities in Cape Girardeau and Joplin, as well as one in Athens, GA, were acquired by the REIT in 2010. Creative Health Capital LLC represented the seller, White Oaks Real Estate Investments LLC, an unaffiliated third party, in the transaction. The Grubb & Ellis REIT financed the acquisition using cash proceeds received from its offering and $11 million in borrowings under its line of credit with Bank of America N.A.
TROY, MI-L. Mason Capitani Corfac International arranged the sale of a 7,072-square-foot building at 966 Livernois. The purchaser, O’Brien Construction, will occupy the facility. Currently headquartered in Pontiac, MI, they will make several improvements to the property and relocate their offices by this summer. Jason Capitani and Joe DePonio represented O’Brien in this transaction.
SOUTH BEND, IN-Adam Klingher, director of the Johnson Capital’s Midwest Multifamily Lending Group, has secured the financing for two apartment buildings in northern Indiana through FHA’s 223 (f) program. One of the properties is in Nappanee and the other in Plymouth. These locations are just south of South Bend, IN and about two hours from Chicago. The Plymouth property is a two-story garden apartment complex containing 60 units within eight buildings. The property was constructed in 1973 and contains 24 one bedroom units, 20 two-bedroom units and six three- bedroom units. The Nappanee property was built in 1974 and contains 48 units located in six buildings. The property has 24 one-bedroom and 24 Two-bedroom units. The borrower on both properties is a local investor who has owned the properties for a number of years.
ST. PAUL, MN-The Boulder Group has completed the sale of a single tenant net leased Walgreens property here for $5.9 million. The 14,490-square-foot building that sits on a 1.18 acre parcel is 100% leased on a long term basis to Walgreens. Randy Blankstein and Jimmy Goodman represented the 1031 exchange buyer, a private family trust based in California. Walgreen’s properties in major metropolitan areas continue to be in high demand for 1031 exchange investors, Blankstein said.