Lamplight Plans Distressed Hotel Conversion

FORT WAYNE, IN-Toronto, OH-based Lamplight Communities has purchased the 14-story Fort Wayne Hotel and Conference Center here. The company reportedly plans to spend about $4 million on the acquisition and cost to convert the former 208-room Holiday Inn into a senior housing complex.

Paramount Lodging Advisors arranged the sale of the property at 300 E. Washington, representing the owner, BRT Realty Trust. The trust is a New York-based lender that foreclosed on the property in 2009 following the owner’s loan default.

The hotel had a significant presence in downtown Fort Wayne for over 40 years. Originally flagged as a Sheraton, the hotel operated as a Holiday Inn for many years until it was sold in 2007. New ownership made some improvements to the property between 2007 and 2008, but the renovations were not fully completed and as a result, the owner was unsuccessful in converting the hotel to Choice Hotels’ Clarion brand. The hotel’s operating performance was seriously impacted by the economic recession combined with the lack of a flag or brand reservation system.

“To say the least, this was a very challenging situation that called for creative thinking,” says Walker Geyer with Paramount. “The longer term challenges this asset faced in the soft Fort Wayne hotel market was a concern, but we recognized the building’s potential for alternative uses. The city should be pleased that the property will have a positive use.”

LAPORTE, IN-The Ross Group recently started construction on a 41,000-square-foot addition to MonoSol LLC's 2-year-old manufacturing facility. MonoSol will more than double the size of its operations--from 39,000 square feet to 80,000 square feet. Ross, a Portage, IN-based construction firm, built the original facility, which is on a 16-acre-site at 1609 Genesis Dr., in 2008. "We originally designed this building to offer the flexibility for growth," said Ross Pangere, president of the Ross Group. "The fact that we're doubling the size in only two years is a strong statement about the future for sustainable product manufacturing." MonoSol is a producer of specialty water-soluble films which are used in a variety of consumer product applications. The expansion should be completed by July.

INDIANAPOLIS-Signature Associates has negotiated the sale of 226,000 square feet of industrial space located at 1890 Riverfork Dr. in Huntington, IN; 233,000 square feet of industrial space at 14123 Roth Road in Grabill, IN and 432,000 square feet of industrial space located at 501 Northridge Dr. in Shelbyville, IN. Brad Viergever and Steve Gordon represented the seller, Meridian Automotive Systems. The purchaser was Escalade Avenue LLC.

OWENSVILLE, IN-Cambridge Realty Capital Cos. reports closing on a $4.3 million FHA-insured HUD Lean mortgage loan for Transcendent Healthcare of Owensville, a 68-bed skilled care nursing home here. Cambridge Chairman Jeffrey A Davis said the fully-amortized, 27-year term loan was arranged for the property’s owner, an Indiana LLC. GLEN ELLYN, IL-Regency Centers has leased retail space at Baker Hill Center to Bikram Yoga. The yoga studio has leased 3,600 square feet of retail space and is slated to open for business in September. Baker Hill Center is at Roosevelt Road and Baker Hill Drive. The 135,355-square-foot shopping center is anchored by a 72,397-square-foot Dominick’s alongside national retailers such as American Mattress and Cardinal Fitness.

CHICAGO-The Missner Group was selected as the general contractor for the renovation and expansion of a 32,000-square-foot existing retail location for CompUSA/Systemax at 2500 N. Elston Ave. The renovation of the existing building will include development of a new showroom, offices and applicable support facilities. In addition a complete overhaul of all mechanical and electrical systems will be completed as well as a redesign of the exterior of the building to reflect the CompUSA image and corporate identity. The project is scheduled for completion May of 2010.

NAPERVILLE, IL-Oakbrook Terrace, IL-based Mid-America Asset Management Inc. recently negotiated the sale of a 41,331-square-foot building at Centre to Rockledge Furniture LLC, doing business as Ashley Furniture for an undisclosed amount. The furniture store plans to open in summer 2010. Bill Argall of Great Street Realty Partners represented the buyer. The building is in the Centre at Naperville, just south of the southeast corner of Route 59 and 75th street. The center features Staples and Lowes, which shadow anchor the building that was purchased.

MILWAUKEE-SilverLeaf Financial, headquartered in Salt Lake City, has recently purchased a $17.4 Million face value asset. The note is collateralized by a 317,051-square-foot retail office complex known as the Tannery Office Park located here. The collateral property, comprised of six buildings on a 10-acre land parcel, was originally constructed over a 23-year period from 1890-1913. This historical complex underwent significant renovation in 1993. The property is currently occupied by 20 tenants.

MILWAUKEE-David Woida, VP and managing director of NorthMarq Capital’s Milwaukee Regional office, arranged first mortgage financing of $13.1 million for the East Side Portfolio. The portfolio is comprised of a total of 14 brick walk-up multifamily buildings ranging from 16-82 units for a total of 495 units located in various locations on Milwaukee’s East Side. Financing was based on a 10-year term with a 30-year amortization schedule and was arranged for the borrower by NorthMarq through its relationship with a correspondent bank. The transaction consisted of $13.111 million in permanent loans spread over 13 individual loans.

HUBER HEIGHTS, OH-Industrial Property Brokers/CORFAC International has completed a 9,600 square foot distribution facility lease on behalf of CEV Delivery Services at 8203 Expansion Way. The tenant will occupy 9,600 square foot of the distribution facility, which is owned by Kauffman 4 Dayton. An additional 20,000 square feet is still available. CEV signed a 2-year lease for space and moved into the premises at the beginning of this month. Tim Echemann represented the tenant and the landlord in the lease negotiations. “The Huber Heights location will be the Midwest central distribution point. When the cargo comes in it will be redistributed out of this facility,” said Will Deorsey CEO and Founder of CEV Delivery Services. The company also has plans to open locations in Lavonia, MI; Canton, OH; Chicago and one in Indiana by early June of this year.

ST. PAUL, MN-Locally-based Paster Enterprises announced that eight new tenants, including three from the recently closed Brookdale Shopping Center (Brookdale), have been secured at the company’s projects throughout the Twin Cities area. New tenants include Essence Hair and Wigs, Kumon Learning Center, the Clubhouse, Wear It Again and Geneva Furniture. Stitchline Alterations, K-Fashion and Pener’s Man of Fashion have also relocated to the center from Brookdale.

MINNEAPOLIS-Inland Real Estate Corporation announced the opening of two new tenants, Planet Fitness and Panera Bread, to its local portfolio. Planet Fitness, a 15,530-square-foot franchise personal fitness center, recently opened in the Park Square shopping center in Brooklyn Park, MN. With the opening of Planet Fitness, the retail stores at the 137,109-square-foot center are 100 percent leased occupied. Also, Panera Bread recently opened at Park Place Plaza in St. Louis Park, MN. Construction on the 4,000-square-foot expansion to the shopping center was completed early this year.

STERLING HEIGHTS, MI-Centro Properties Group has agreed to a 15,990-square-foot lease with Planet Fitness at the shopping center at the southeast corner of 18 Mile and Ryan Road. Centro Properties Group is the owner of 18 Mile & Ryan Center and was represented by Brian Mychajluk.

FARMINGTON HILLS, MI-Ramco-Gershenson Properties Trust has commenced an underwritten public offering to sell six million newly-issued common shares of beneficial interest. The joint book-running managers for this offering are Bank of America, Merrill Lynch and J.P. Morgan Securities Inc. The company plans to grant the underwriters a 30-day option to purchase up to an additional 900,000 common shares of beneficial interest to cover over-allotments, if any. The trust intends to use the net proceeds from the offering to prepay the $33 million principal payment of its secured term loan facility, to pay off two mortgages in aggregate of $15.9 million and to reduce outstanding borrowings under its secured revolving credit facility.