CHICAGO—Principals from the Chicago offices of Colliers International have helped form a new partnership that recently closed on a huge commercial real estate purchase of industrial assets near Grand Rapids, MI, and South Bend, IN. Called Crosslake Partners, which also includes another Chicago-based real estate investment firm, the group bought seven properties with a total of 1,522,500-square-feet from CenterPoint Properties for $29,276,000. KeyBank provided the acquisition and lease-up financing.
The properties are currently 75% occupied and have 23 tenants including Wacker Neushof, Tubelight and PIPP Mobile Storage. The portfolio includes:
- 3056 Walker Ridge Dr., Walker, MI 335,125-square-feet
- 1269 E. Mt. Garfield Rd., Norton Shores, MI 275,000-square-feet
- 1100 Hynes Ave., Grand Rapids, MI 215,050-square-feet
- 2966 Wilson Dr., Walker, MI 200,188-square-feet
- 1827 Bendix Dr., South Bend, IN 199,730-square-feet
- 900 Hynes Ave., Grand Rapids, MI 190,429-square-feet
- 3111 Wilson Dr., Walker, MI 107,000-square-feet
“After purchasing a single asset in Grand Rapids back in December 2012, we felt a continued investment in this market was well-justifies,” says William M. Fausone, president of Colliers’ Chicago office and principal in BKGR Industrial Holdings. “Grand Rapids is an extremely healthy market and has experienced significant growth due to its high concentration of furniture and manufacturing industries.”
The Grand Rapids industrial market has 112,282,721-square-feet and a vacancy rate of only 7.1%, according to Colliers. Data from the 2013 Colliers International North America Industrial Highlights report show the local market had positive absorption in the first quarter and should have similar results during the rest of the year.
Colliers’ Grand Rapids office will provide leasing and management for the Michigan portion of the portfolio, with John Kuiper and Steve Marcusse leading the marketing effort. Newmark Grubb Cressy Everett and Tony Davey will do the same for the South Bend property.