Transactions Report Week Ending 03.29.19
Baceline Investments Adds Four Properties to Core Income Portfolio
Baceline Investments, LLC, a Denver-based boutique private equity real estate investment and management company with neighborhood shopping center holdings throughout the Central United States, has announced the addition of four properties to its core income portfolio. The properties include Quarry Center in Louisville, Ky. (acquisition price of $3.6 million including 16,454 square feet); Dakota Plaza in Austin, Texas ($4.2M; 21,700 SF); Maybrook Plaza in Maywood, Ill. ($1.6M, 9,176 SF); and Sequoia Center in Milwaukee ($3.6M, 35,327 SF).
With the acquisitions, the portfolio represents more than 40 properties across America’s Heartland region and an asset value of nearly $225 million. What is now Baceline’s largest and most diverse portfolio, it includes more than 1.7 million square feet of leasable space and approximately 450 tenants. Baceline launched the portfolio with the acquisition of the first property in June 2016.
“The success of this neighborhood shopping center portfolio can be attributed to our commitment to Baceline’s strategic and proven approach,” said Todd Laurie, Baceline partner and EVP of investments. “We focus on identifying strong, vibrant communities that are located near income-producing neighborhood shopping centers that are resistant to recession, and unaffected by e-commerce.”
Lever Energy Capital Funds Revival of Historic Blackstone Hotel
Lever Energy Capital, a Denver-based Commercial Property Assessed Clean Energy (C-PACE) financier, announced the closing of $4.6MM in C-PACE financing to revive the century-old Blackstone Hotel in the burgeoning Blackstone District of Omaha, Nebraska. Originated in partnership with PACE Sage Capital, the project marks Lever’s first commercial real estate financing in Nebraska. Two prominent Omaha based development firms, Clarity Development Company and GreenSlate Development, realized the value of low-cost C-PACE financing in putting together a total capital stack of $70M to redevelop the Blackstone Hotel.
“We are thrilled to partner with Clarity Development Company and GreenSlate Development to this bring this noteworthy hotel project to the city of Omaha,” noted Lever Energy Capital President, Mark Boyer. “This is a great example of how commercial real estate developers can leverage C-PACE alongside traditional debt, equity, TIF, and tax credit financing to improve project economics and transform older buildings into more accretive and efficient assets. We look forward to financing more real estate in Nebraska.”
Clarity and GreenSlate aim to maintain the Blackstone Hotel’s historical charm while converting the 110,000-square-foot building and 46,000-square-foot addition into a 205-room hotel featuring multiple restaurants, cocktail lounge, conference center, ballrooms, pool, and fitness center. The improved Blackstone Hotel will open in the Spring of 2020.
“Lever’s C-PACE program was an integral part of our capital stack because of the long-term nature and fixed cost of the financing,” said Tom McLeay, president of Clarity Development. “We routinely work with various forms of complex financing, but C-PACE is a straightforward tool for commercial real estate developers to employ.”
Woodman Apartments Sell for $3.050M
Josh Newell, Principal with the Newell Team at Pinnacle Real Estate Advisors, LLC is pleased to announce the sale 5351-5361 Everett Street in Arvada. The 20-unit apartment building was built in 1961 and sold on March 25th with a contract price of $3,050,000; $152,500 per unit and $185.21 per square foot.
NorthMarq’s Denver Office Secures $3.34M Construction Loan for Kiddie Academy in Lone Tree
Brian Fisher, vice president of NorthMarq’s Denver-based regional office, arranged the $3.34 million construction loan for Kiddie Academy Lone Tree, a 11,000-square-foot single-tenant daycare facility located at 10346 Park Meadows Drive in Lone Tree, Colorado. The transaction was structured with a 3-year term with 2-years of interest-only followed by a 25-year amortization schedule. NorthMarq arranged financing for the borrower through its relationship with a credit union.
“NorthMarq arranged a construction loan for an experienced retail developer for a single-tenant daycare facility in the desirable Denver suburb of Lone Tree,” said Fisher. “The three year loan is interest-only for the first two years and freely repayable at any time.”
Denver Multifamily Property Receives Cash Offer
Nexus Commercial Realty, LLC, has closed on the sale of 2800 Monroe Street, a 3,326-square-foot multifamily property for the sale price of $1,120,000. Sean Holamon of Nexus represented the Seller, Jcc Lending Inc. The seller had plans to condo the property but was willing to walk away for the right price. Nexus marketed the property and presented the seller with a cash offer from a 1031 exchange buyer.
The property includes 4 units, three 2 bedrooms and one 5 bed with detached covered parking.
2800 Monroe is conveniently located close to the intersection of 26th and Monroe Street, a couple of blocks north of City Park.
The seller plans to spend his time on other projects now.
NavPoint Real Estate Group Executes Lease Transactions Across Metro Denver:
Wellstar Corporation leased 4,100 square feet of office space at 1235 W 124th Ave Suite 104, in Westminster, for three years. Jason Mayer of NavPoint Real Estate Group represented the tenant. This lease was executed in March.
Vartega Inc. leased 9,984 square feet of industrial space at 15000 W 44th Ave Unit F, in Golden, for five years. Matt Kulbe and Brent Ham of NavPoint Real Estate Group represented the tenant. This lease was executed in March.
NAI Shames Makovsky Announces Office Leases
NAI Shames Makovsky announced the lease of 3,200 square feet at 2945 and 2995 Larimer Street, Ste 301, Denver. NAI Shames Makovsky’s Ana Sandomire and Kiley Crews represented the Landlord, LCP 30th, LLC. The Tenant was Brinkman Construction.
5,763 square feet at 1401 Zuni Street, Ste 106, Denver. NAI Shames Makovsky’s Dorit Fischer and Hayden Hirschfeld represented the Landlord, 1401 Zuni Investments, LLC. The Tenant was Counseling 180.
1,487 square feet at 1402-1498 Larimer Street, Ste 1424-200, Denver. NAI Shames Makovsky’s Ana Sandomire and Kiley Crews represented the Landlord, Larimer Square Associates, Ltd.