Elm Street Buys Shelton Building

The deal is the second sales transaction between the two firms. In 2005 Elm Street Partners acquired 60 Dodge Ave., a 117,000-sf office/flex building in North Haven for approximately $8 million. Winstanley had owned the property for seven years.

The 8 Progress Dr. office building totals 63,500 sf and is 85% leased to the New England Technical Institute and Noresco LLC. CB Richard Ellis' Sean Cahill and Michael Dillon arranged the transaction on behalf of the seller. Elm Street officials say the firm plans to retain CBRE to complete the lease-up of the property. There is currently 10,000 sf of space available for lease.

Financing was arranged directly by Elm Street principal Anthony Giordano. The 12-year, fixed rate loan with a 30-year amortization schedule was placed through Steven Cisek of Morgan Stanley Capital Inc. of New York City.

Elm Street principal Harry Traub says the strength of the Shelton office market, combined with the quality of the building's tenancy, attracted the firm. New England Technical Institute, the building's largest tenant, has a lease that runs through 2017.

The transaction was the fourth in the past 12 months and the 10th since the firm was founded in 2002. Elm Street holdings include four properties it acquired with partner Wexford Capital of Greenwich. Those include 33 Platt Rd. in Shelton, which is net leased to the overhaul and repair operations of Sikorsky Aircraft; a 55,000-sf warehouse building in Port Chester, NY; a vacant Krispy Kreme retail building in Newington that the firm recently leased to Citibank; and an 80-acre property in Pawling, NY where Elm Street plans to build a 400,000-sf shopping center and some housing. Wexford Capital is a $5-billion private equity fund.