Sunday, August 17, 2008

Office Tenants Upgrade to Detroit's Top-Tier Space

DETROIT, MI — Although some areas of Detroit will maintain a healthy supply/demand balance, significant stress in the automobile industry will continue to apply pressure to office fundamentals in 2008, according to a second-quarter Office Research Report by Marcus & Millichap, the nation’s largest real estate investment services firm.

(Cadillac Tower Building, top right. First National Building, top left).

Tenants that sign new leases are anticipated to upgrade space quality and location this year due to falling rents throughout the region.

“High initial yields are projected to keep investors interested in Detroit-area assets, though limited reinvestment opportunities could impede listing, easing transaction velocity,” says Steven Chaben, regional manager of the Detroit office of Marcus & Millichap.

Following are some of the most significant aspects of the Detroit Office Research Report:

· Developers are expected to add 300,000 square feet of new office space to the Detroit market in 2008.
· Vacancy is forecast to end the year at 22.9 percent.
· Asking rents are projected to finish the year at $19.55 per square foot.
· Effective rents will end the year at $15.96 per square foot.
· The educational and health services sector has added 6,000 jobs during the past year, which has supported medical office demand.

For a copy of the complete Detroit Office Research Report, as well as reports on other markets nationwide, visit our website at http://www.marcusmillichap.com/.

Press Contact: Stacey Corso, Communications Department, (925) 953-1716

Job Growth Drives Office Absorption, Construction in Dallas-Fort Worth

DALLAS, TX— The economic and demographic outlook for Dallas/Fort Worth will support the local office sector this year, though an increase of new construction will result in higher vacancy, according to a second-quarter Office Research Report by Marcus & Millichap, the nation’s largest real estate investment services firm.

(Dallas skyline, top right photo)

Occupancy levels could rebound in 2009, however, as companies facing significantly higher rents in coastal markets consider relocating back-office positions or entire operations to the Metroplex.
“The Dallas/Fort Worth market is expected to sustain investor interest this year, given the metro’s healthy economy,” says Tim Speck, regional manager of the Dallas office of Marcus & Millichap.

(Fort Worth skyline at left.)

Following are some of the most significant aspects of the Dallas/Fort Worth Office Research Report:

· Employers are forecast to add 50,000 jobs in 2008, while office-using firms will increase payrolls by 0.6 percent, or 4,400 positions.
· Current projections call for 4.3 million square feet of new space in the Metroplex.
· Vacancy is predicted to finish the year at 20.4 percent.
· Asking rents are projected to finish 2008 at $20.15 per square foot, an increase of 3.6 percent.
· Effective rents will reach $16.98 per square foot, a gain of 3.3 percent.

For a copy of the complete Dallas/Fort Worth Office Research Report, as well as reports on other markets nationwide, visit our website at http://www.marcusmillichap.com/.

Press Contact: Stacey Corso, Communications Department, (925) 953-1716

Cuhaci & Peterson Architects awarded contract to design new prototype facility for Checkers Drive-in Restaurants


ORLANDO, FL--- Cuhaci & Peterson Architects has been awarded a contract to design a new prototype facility for Tampa-based Checkers Drive-In Restaurants, the nation’s largest chain of double drive-thru restaurants with more than 820 facilities in 29 states and the District of Columbia.

Lonnie Peterson, (top right photo) chairman of Cuhaci & Peterson, said the redesign will reflect new Checkers menu items and a new positioning strategy.

“Most Checkers Restaurants are freestanding facilities that average about 700 square feet of space,” Peterson said. “The new prototype, which will likely be adopted nationwide, positions the restaurant as an endcap facility of approximately 1,500 square feet.”

Endcap facilities, which will feature Checkers’ prized drive-through along with dine-in facilities, are located at the end of a retail strip center. Peterson said the new endcap design will provide Checkers franchise owners more flexibility to lease space in existing strip retail centers.

For more information, contact:
Lonnie Peterson, Chairman Cuhaci & Peterson Architects, 407-661-9100;
Jed Downs, President Cuhaci & Peterson Architects, 407-661-9100;
Larry Vershel or Beth Payan, Larry Vershel Communications, 407-644-4142

Tilt-Con under way on new Osceola County Joint Communication Emergency Operations Center in Kissimmee, FL

ORLANDO, FL – Orlando-based Tilt-Con Corporation is under way on the new 53,893-square-foot Osceola County Joint Communication Emergency Operations Center (top right photo) in Kissimmee, FL.

Selected by Balfour Beatty, Orlando, for its unrivaled performance and speed of execution, Tilt-Con utilizes its economical multi-story system for tilt-up concrete walls.

The project consists of a 2-story building, chiller yard and command vehicle shelter. Ranked as Florida’s largest tilt-up concrete constructor by Engineering News-Record magazine, Tilt-Con’s scope of work includes foundations, slab-on-grade and tilt-up concrete wall panels, and is slated for completion in October 2008. The project was designed by Architects Design Group, Inc., Winter Park, FL.


Contact: Kenneth H. Cristol, 407-774-2515

HFF arranges $13.67M financing for Class A office development in Summit, NJ


FLORHAM PARK, NJ – The New Jersey office of HFF (Holliday Fenoglio Fowler, L.P.) has arranged $13.67 million in financing for the development of Claremont Corporate Center, (top right photo) a 42,200-square-foot office development in Summit, Union County, New Jersey.

HFF senior managing director Jon Mikula (top left photo) and director John Taylor worked exclusively on behalf of the borrower, Claremont Corporate Center, LLC to secure construction and permanent financing for the development.

A speculative project scheduled for 2009 delivery, Claremont Corporate Center was designed as a landmark asset, blending the historic 100-year old Risk Mansion with a new state-of-the-art office building featuring a two-story atrium lobby with a glass curtain wall and 20-foot stone fa├žade.

Offering one of the best parking ratios in the area, the property will have a 99-space underground executive parking garage (with direct elevator access to office space) in addition to 40 surface spaces.

Claremont Corporate Center is located within two blocks of the Summit Train Station at 535 Springfield Avenue close to the junction of Interstate 78 and Route 24, approximately 22 miles west of Manhattan and within 10 miles of Newark’s Liberty International Airport.

“Given the asset’s unparalleled combination of quality, location and amenities, this project is likely to attract some of the more discerning and demanding tenants in the New York Metro market,” said Mikula. “Claremont Corporate Center will be downtown Summit’s first true Class A office building.”

“The property’s proximity to the train station provides many executives living in Summit the first real opportunity to relocate their offices from Manhattan,” said added Taylor. “More information is available at http://www.claremontcorporate.com/.”

CONTACTS:

Jon Mikula, HFF Senior Managing Director, 973 549 2000, jmikula@hfflp.com
Laurie Fish McDowell, HFF Associate Director, Marketing, 617 338 0990, lmcdowell@hfflp.com

The Goodman Company Reports Retail Leasing Agreements at Landstown Commons Totaling 5,600 SF


WEST PALM BEACH, FL --- The Goodman Company, which is developing the 509,192 square foot Landstown Commons (top right photo) at Princess Anne and Dam Neck Rds. in Virginia Beach, reported it recently closed on retail leases in the power center that total more than 5,600 square feet of space.

Robert Saffran, SCLS, senior vice president of leasing at The Goodman Company, said recent leases include 4,000 square feet for Hallmark and 1,600 square feet for Zoots, a retail brand of U.S. Dry Cleaning.

The Goodman Company also completed a ground lease agreement with Fulton Bank and is currently negotiating a separate ground lease with a restaurant chain.

Recent tenant openings at Landstown Commons include Books A Million, AT&T, Hair Cuttery, Panchero’s Mexican Grill, Finn McCool’s Fish House and Tavern, FedEx Kinko’s and T-Mobile.

Saffran said Landstown Commons is now 85 percent leased. A Walgreen’s Drug Store facility---the last major construction at Landstown Commons---will open in November.

For more information, please contact
John Dowd, Senior VP of Development, The Goodman Company, 561-833-3777
Robert Saffran, Senior VP of Leasing, The Goodman Company, 561-833-3777
Susan Ross, Senior Leasing Manager, The Goodman Company, 561-833-3777
Larry Vershel or Beth Payan, Larry Vershel Communications, 407-644-4142

Marcus and Millichap sells 144 Unit Multi-Family property in St. Petersburg, FL

ST. PETERSBURG, , FL – Marcus & Millichap Real Estate Investment Services, the nation’s largest real estate investment services firm, has announced the sale of Gateway Apartments, (top right photo) a 144 unit Multi-Family property located in St. Petersburg, Florida, according to Steven M. Ekovich, First Vice President/Regional Manager of the firm’s Tampa office.

The asset commanded a sales price of $8,570,000. Michael Regan had the exclusive listing to market the property on behalf of the seller, Benjamin Mallah. The buyer, Abraham Grohman, was secured and also represented by Michael Regan, an investment specialist in Marcus & Millichap’s Tampa office.

Gateway is located at 2000 N. Gandy Boulevard. in St. Petersburg, Florida. “The sale of this asset is indicative of what we are seeing in the market place, which is a high demand for ‘B’ quality assets," states Regan.

"Gateway Apartments was acquired by the seller from an entity that had planned on converting to condos. At the time of purchase, the property was only 60 percent occupied.


The seller placed a substantial amount of equity in the property and was able to stabilize the asset through improvements and aggressive management/marketing. The buyer was attracted to the property due to its high return, its location within the Gateway Business district and the future potential of the area."

Press Contact: Steven M. Ekovich, First Vice President/Regional Manager, Tampa, FL
(813) 387-4700

Stirling Sotheby's International Realty Seeking Bankers, Marketing Pros, Home Builders to Market Luxury Homes and Commercial Properties


ORLANDO, FL--- Stirling Sotheby’s International Realty wants area bankers, sales and marketing pros, home builders and real estate developers to consider a new career marketing luxury homes, communities and commercial properties.

“We are recruiting new sales professionals whose career experience lies in line with the real estate industry,” said Roger Soderstrom, owner and founder of Stirling Sotheby’s International Realty.

Soderstrom said his strategy is driven by economics and the real estate cycle.

“Luxury homes and commercial properties are still selling well despite the market slowdown,” Soderstrom said.

“On top of that, the housing industry is on the verge of recovery, and we anticipate that pent-up demand will result in a big surge in sales over the next 12 months,” Soderstrom explained.

Corporate layoffs and slowdowns in some professional service sectors mean many qualified career-minded professionals may be looking for new challenges, Soderstrom said.

“We have established one of the most extensive and successful career training programs in the real estate industry and we have graduated many highly successful sales professionals who had little or no previous experience in real estate sales.” (Right photo, The Plaza office, retail, condo complex, downtown Orlando)

Stirling Sotheby’s International Realty (www.StirlingSIR.com) markets Central Florida luxury homes, unique properties and communities locally, nationally and internationally through its world marketing center, the Global Gallery (www.GlobalGalleryUSA.com) and real estate galleries at Lake Mary/Heathrow, Winter Park, Downtown Orlando, Windermere/Dr. Phillips. Clermont and the firm’s Commercial Group, Soderstrom said.

For more information, contact

Roger Soderstrom, Owner/Founder, Stirling Sotheby’s International Realty 407-588-1260; rsoderstrom@stirlingSIR.com;

Larry Vershel or Beth Payan, Larry Vershel Communications 407-644-4142

Harkins Realty Brokers 2 Central Florida Deals Valued at $1.24M

Harkins Realty, Inc. brokers sale of prime commercial building in Woodland Lakes Office Plaza in Orlando (top right photo)

ORLANDO, FL – Harkins Realty, Inc., the commercial brokerage, leasing and property management division of Orlando-based Harkins Companies, brokered the sale of a $660,000 prime commercial building in the Woodland Lakes Office Plaza located at 10800 Dylan Loren Circle, Orlando, according to Harkins Realty managing director Mark Harkins.

Harkins Realty represented the buyer, Dylan Loren Circle, LLC, and the seller, Harkins Family Partnership, LLC, in the transaction. Harkins added that the property will become a medical office. For more information, visit http://www.harkinscompanies.com/
Harkins Realty, Inc. brokers sale of three acres of prime commercial land in Eustis, in Lake County, FL
ORLANDO, FL – Harkins Realty, Inc., the commercial brokerage, leasing and property management division of Orlando-based Harkins Companies, brokered the sale of three acres of prime commercial land for $580,000 to ANP-1 LLC at State Road 44 and Highway 19 in Eustis, in Lake County, FL, according to Harkins Realty managing director Mark Harkins.

Harkins Realty represented the buyer as well as the seller, Harkins Construction Corporation. For more information, visit http://www.harkinscompanies.com/

Contact: Kenneth H. Cristol 407-774-2515

Tri-City Electrical Contractors, Inc. completes Marbella Pointe/Marbella Cove Apartments in Orlando, FL

ORLANDO, FL – The Residential and Multi-family Division of Tri-City Electrical Contractors, Inc. completed $1.2 million of work at Marbella Pointe/Marbella Cove Apartments, (top left photo) a new multimillion-dollar, 244-unit rental community in Orlando, FL, under its contract with CPG Construction, Winter Park, FL.

Florida’s leader in electrical contracting, communications and service, Tri-City reported 2007 revenues totaling $160 million. With nearly 1,200 employees statewide, the Orlando-based electrical contractor and service provider also operates divisional offices in Fort Myers, Ocala/Gainesville and Tampa, as well as satellite offices in Santa Rosa Beach and Sarasota.

Contact: Kenneth H. Cristol 407-774-2515