Tuesday, July 23, 2019

Levin Johnston Directs $13.5 Million Acquisition of Medical Surgery Center in San Jose, CA

Forest Surgery Center, 2110 Forest Avenue, San Jose, CA

BAY AREA, CA – Levin Johnston of Marcus and Millichap, one of the top multifamily brokerage teams in the U.S. specializing in wealth management through commercial real estate investments, has successfully directed the $13.5 million acquisition of Forest Surgery Center, a state-of-the-art medical office facility in San Jose, California.

Adam Levin, Executive Managing Director and Robert Johnston, Senior Managing Director of Levin Johnston represented the buyer, a private investor, in the transaction.

Adam Levin
The acquisition was part of a successful 1031 exchange through which Levin Johnston identified an opportunity for the buyer to transition from long-term ownership in a management-intensive multifamily property in Redwood City into a stable, higher-yielding medical office property, according to Johnston.

“This acquisition demonstrates our firm’s ability to go beyond a transactional mindset and serve as wealth and investment advisors for our clients,” Johnston explains.

 “By remaining attuned to the market and to our client’s needs, we were able to recognize the opportunity for the client to diversify into another asset class to reduce management responsibilities while significantly increasing cash flow.

"This trade also gives the buyer a stable asset in a superior location that is posed to perform extremely well for years to come.”
Levin explains,

“San Jose is widely recognized as ‘The Capital of Silicon Valley.’  As the market’s economic growth continues, the buyer will benefit from continued tenant demand.

"All doctors in the building signed new five- to 10-year leases at the close of escrow. Additionally, the medical office is situated in a premier location within a medical hub directly across from O’Connor Hospital, which was recently acquired by Santa Clara County.”

Robert Johnston
Forest Surgery Center is located at 2110 Forest Avenue, in close proximity to Santa Clara Valley Medical Center as well as a wide variety of recreational, retail and entertainment options.

The medical office is also in close proximity to I-880 and I-280, providing direct access to all major Bay Area destinations.

The 1031 property exchange began with the $10 million sale of a 33-unit multifamily community in Redwood City, and culminated with this new acquisition.

Levin Johnston has completed over $300 million in sales in 2019 to date, demonstrating continued health in the commercial real estate market in this region.

For more information about the firm’s $100 million in available properties, please visit www.levinjohnston.com.


Alex Caswell/Lexi Astfalk
Brower Group
(949) 438-6262

MetroGroup Realty Finance Provides Acquisition Financing for Four Triple-Net Lease Properties in Illinois and Texas

J.D. Blashaw
NEWPORT BEACH, CA  MetroGroup Realty Finance, a private commercial mortgage banking firm based in Newport Beach, California, recently provided a total of $11.75 million in financing to private investors for three separate 1031-exchange transactions involving the acquisition of four single-tenant triple-net lease assets in Illinois and Texas.

 The transactions represent a rising trend of local investors looking outside of California for this asset class, according to J.D. Blashaw, Vice President of MetroGroup Realty Finance.

“Cap rates have compressed and, consequently, yields have declined significantly in California, so we are increasingly seeing local credit tenant net lease investors seeking higher cap rates and yields on their investments,” says Blashaw.

“This search has taken them away from their backyards into other states and sometimes secondary markets, and the passive nature of triple-net leases matches well with these investors desire to own properties with little or no management obligations.”

Ivan Kustic

The credit tenant net lease market has perennially been attractive to 1031 exchange buyers seeking safe, long-term and passive investments for their capital, Blashaw says.

The firm arranged financing for the following properties:

5001 N. Big Hollow Road, Peoria, Illinois

            MetroGroup Realty Finance provided $5.8 million in permanent financing to a private investor for the acquisition of a 46,432 square-foot stand-alone retail building at 5001 N. Big Hollow Road in Peoria, Illinois, as part of a 1031 exchange transaction. The property is fully occupied by a Best Buy retail store.

The 6.25-year fixed rate recourse loan at 75% loan-to-value features a 25-year amortization and a flexible prepayment provision that expires after three years.

The financing was arranged by J.D. Blashaw and Ivan Kustic, also Vice President at MetroGroup Realty Finance.

Best Buy retail store, 5001 North Big Hollow Road, Peoria, IL
4160 S. Archer Avenue, Chicago, Illinois, and 601 N. Harlem Avenue, Oak Park, Illinois

MetroGroup Realty Finance provided $3.4 million in permanent financing to a long-time private investor client for the purchase of two TCF Bank branches in the Chicago market: $1.825 million for a 2,542 square-foot property at 4160 S. Archer Avenue in Chicago, Illinois, and $1.575 million for a 2,700 square-foot property at 601 N. Harlem Avenue in Oak Park, Illinois.

Part of a 1031 exchange transaction, the properties, which are 100 percent occupied by TCF Bank, were sold by Chicago-based Clark Street Real Estate.

The loans were a combined 47% loan-to-value and feature a 10-year fixed rate and 30-year amortization. The financing was arranged by J.D. Blashaw and Ivan Kustic at MetroGroup Realty Finance.

1006 E. Interstate 2, McAllen, Texas

            MetroGroup Realty Finance also provided $2.55 million in permanent financing to a private investor for the purchase of a 10,050 square-foot medical office building at 1006 E. Interstate 2 in McAllen, Texas as part of a 1031 exchange transaction.

The property was developed in 2017 by the seller, DaVita Inc., the real estate division of the tenant, and is fully occupied by DaVita Dialysis in the sale/leaseback arrangement.

The 10-year fixed rate loan at 70% loan-to-value features a 25-year amortization and limited recourse. The loan was arranged by J.D. Blashaw and Ivan Kustic of MetroGroup Realty Finance.


Alex Caswell/Lexi Astfalk
Brower Group
(949) 438-6262

The Journey of the Humpback Whales in Mozambique

A remarkable migration to the Bazaruto Archipelago

Submitted by:

Hwee Peng Yeo
Executive Vice President
Glodow Nead Communications
San Francisco • New York • Singapore • Shanghai

Centennial Tower 21层,Temasek Avenue 3号, 新加坡邮区039190

Bazaruto Island, MOZAMBIQUE -- According  to  Fernando Costa, Activities Manager at Anantara Bazaruto Island Resort,the islands that speckle Mozambique’s coastline are a welcome vision of paradise for every guest. 

Seamlessly blending in with the natural beauty that surrounds them, Bazaruto Island is an ideal destination for marine adventurers. Equally as breath taking as the stunning ocean views offered along the 2,500km of Mozambique’s coastline are the extraordinary sights that lie just below the surface.

Falling within the protective border of the Bazaruto Archipelago, Anantara Bazaruto Island Resort is a private island resort that offers extraordinary oceanic adventures in pristine, unspoilt waters. 

Now that Mozambique’s whale-watching season is here, wildlife lovers can enjoy front row seats for the annual migration from the island resort. Every winter, pods of whales embark on their annual migration from Antarctica to Africa, one of the longest migrations in the world. They can be seen passing through the waters of Mozambique between June and December.

The whale-watching season offers an exciting opportunity to witness these majestic creatures during their migration, as well as a chance to explore the turquoise Indian Ocean waters, spot dolphins and whales, and swim with sea turtles too. 

The most common whale species spotted are humpback and southern right. The whales migrate to cold waters in high latitudes for feeding, before moving on to warmer waters for mating and giving birth.

“From vibrant coral reefs teeming with tropical fish, to some of the world’s largest populations of dolphins, whales, sharks, turtles and dugong, it is these remarkable ecosystems and the surrounding crystal-clear waters that make Anantara Bazaruto Island Resort a premier whale watching destination”, says Fernando Costa, Activities Manager at Anantara Bazaruto Island Resort.

Southern right whales are best seen close to shore in the southern part of the Mozambique Channel from June to December, close to Anantara Bazaruto. 

Between July and October, the humpback whales showcase their acrobatic skills in the waters of the Bazaruto Archipelago. These creatures can propel their upper bodies as high as ten metres above the surface. 

Their friendly and curious personalities allow them to approach whale-watching boats or spend a few minutes within close range of the boats. They often swim peacefully alongside passing boats, arch gracefully over the waves and expel air from their blowholes, thrilling guests with a truly magical experience.

Guests at Anantara Bazaruto Island Resort set off in the morning on their whale watching expedition on a 36 ft GulfCraft Tourer, with a choice of two trips: a three-hour excursion or a half-day tour in search of whales and snorkelling amongst spectacular vibrant coral reefs and bountiful marine at Two Mile Reef. 

A half day tour is followed by a picnic lunch at Pansy Island. The picnic offers a tailored menu of barbeque delights and salad with beverages, served by a personal waiter and chef at a shady table on the beach.

The whale watching trips are guided by Anantara’s expert guides who are knowledgeable about marine life and Mozambique’s ocean.  Whale watching can be combined with dolphin watching, which is possible all year round. 

An excellent alternative to diving, dolphin watching gives guests the opportunity to go on an ocean safari and get up close with the dolphins in their natural element, not to mention other marine life, such as whale sharks and turtles.

The Journey of the Whales experience at Anantara Bazaruto Island Resort is available from USD 1,259 per night and includes:

  • Accommodation for two people in a Beach Villa 
  • Three-hour whale watching excursion
  • A picnic lunch at Pansy Island with a snorkelling experience
  • Complimentary non-motorised water sports
  • Daily buffet breakfast, lunch and dinner for every night stayed
  • Complimentary in-room minibar
  • One dhow cruise per stay
  • Return boat transfers between Vilanculos and Anantara Bazaruto Island Resort

Editor’s Notes submitted by:
 Hwee Peng Yeo (hweepeng@glodownead.com)

Anantara is a luxury hospitality brand for modern travellers, connecting them to genuine places, people and stories through personal experiences, and providing heartfelt hospitality in the world’s most exciting destinations. 

The collection of distinct, thoughtfully designed luxury hotels and resorts provides a window through which to journey into invigorating new territory, curating personal travel experiences.

From cosmopolitan cities to desert sands to lush islands, Anantara connects travellers to the indigenous, grounds them in authentic luxury, and hosts them with passionate expertise. 

The portfolio currently boasts over 35 stunning hotel and properties located in Thailand, the Maldives, Indonesia, Vietnam, China, Cambodia, Sri Lanka, Mozambique, Zambia, the UAE, Qatar, Oman and Portugal, with a pipeline of future properties across Asia, the Indian Ocean, Middle East, Africa and South America. 

The brand’s premier vacation ownership programme, Anantara Vacation Club, extends the opportunity to own a share in the Anantara experience with a portfolio of eight luxurious Club Resorts as well as travel privileges at partner resorts and hotels worldwide.

Follow us on Facebook: www.facebook.com/anantara; Twitter and Instagram: @anantara_hotels

Anantara is a member of Global Hotel Alliance (GHA), the world’s largest alliance of independent hotel brands.


Hwee Peng Yeo
Executive Vice President
Glodow Nead Communications
San Francisco • New York • Singapore • Shanghai
Level 21, Centennial Tower, 3 Temasek Avenue, Singapore 039190
Level 15, One Corporate Avenue, 222 Hubin Road, Shanghai China, 200021
79 Madison Ave (WeWork), 27 E 28th St, New York, NY 10016
1700 Montgomery Street, Suite 203, San Francisco, CA 94111
US:415.394.6500  Asia: 65.9768.6087  E: hweepeng@glodownead.com

Centennial Tower 21层,Temasek Avenue 3号, 新加坡邮区039190

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Marcus & Millichap Arranges $7 Million Sale of 28,917-SF South Bay Medical Arts Building in Sun City Center, FL

Krone Weidler
SUN CITY CENTER, FL,  July 23, 2019 – Marcus & Millichap (NYSE: MMI), a leading commercial real estate investment services firm with offices throughout the United States and Canada, has announced the sale of South Bay Medical Arts, a 28,917-square foot medical office property located in Sun City Center, Fla., according to Grant Fitzgerald, sales manager of the firm’s Tampa office. 

The asset sold for $7,250,000.

Krone Weidler and L.J. Tsunis, investment specialists in Marcus & Millichap’s Tampa office, had the exclusive listing to market the property on behalf of the seller, a limited liability company.  The buyer, a limited liability company, was also secured and represented by the same brokers.

L.J. Tsunis
“Due to the location of the asset, stable in-place leases, and strong cash flow, we were able to generate multiple-offers for this property and achieve significant proceeds for the seller” said Tsunis.

 “The buyer was a regional medical office investment company looking to add to their portfolio in Florida,” added Tsunis.

South Bay Medical Arts is located at 4051 Upper Creek Drive in Sun City Center, Fla.  The property is strategically located adjacent to the 138-Bed South Bay Hospital, an HCA hospital. 

The property enjoyed 100% occupancy at the time of sale and was leased from a variety of local, regional and national healthcare tenants, including SimonMed Imaging, Florida Cancer Specialists, and Bioreference Laboratories among others.

South Bay Medical Arts, 4051 Upper Creek Drive
Sun City Center, FL
 “The seller spent the past several years making physical improvements to the property and securing long-term leases from several tenants. With new signage, upgrades to the common areas and increased occupancy, the seller was able to stabilize the property and add tremendous value.” added Tsunis.

Survey data for the latest year available shows that 27,597 patients visited the hospital's emergency room. The hospital had a total of 8,023 admissions and it's physicians performed 2,566 inpatient and 2,258 outpatient surgeries.

Grant Fitzgerald

 In 2014, South Bay Hospital began a $33 million capital project that includes the addition of a new patient tower and catheterization lab, plus renovations of existing patient care areas to provide new flooring and new finishes for an updated, modern design. 

The project was completed in December of 2016 and the hospital expects to increase staff about 10 percent from the current total of 475 full and part-time employees as a result. 

South Bay Medical Arts building is less than a mile from Interstate 75 and adjacent to the Homewood Residence, a three-story assisted living facility. 


 Grant Fitzgerald
Sales Manager, Tampa
(813) 387-4700

Pollack Shores Expands Footprint to North Charlotte Suburbs with Acquisition of The Bryce North Charlotte Apartments

The Bryce North Charlotte apartments, formerly known as Bexely Creekside, a 494-unit luxury apartment community at 101 Double Creek Crossing Drive in the University City neighborhood

ATLANTA, GA – Multifamily developer and investment firm Pollack Shores Real Estate Group is expanding its footprint in metro Charlotte after announcing the acquisition of The Bryce North Charlotte apartments, formerly known as Bexely Creekside, a 494-unit luxury apartment community.

Located at 4101 Double Creek Crossing Drive in the University City neighborhood, the purchase of The Bryce marks Pollack Shores’ official return to Charlotte’s northern suburbs 2.5 years after selling Thornberry in the University City submarket.

Steven Shores
The firm plans a $6.6 million capital improvement project that will incorporate upgraded amenities, offering a competitively priced alternative to new multifamily product that recently delivered in the submarket.

 Enhancements to The Bryce will include the conversion of the existing volleyball court into a greenspace that will host an outdoor beer garden and grilling area.

Other outdoor amenities at the 480,591-square-foot community include a 3-hole golf course, a tennis court, resort-style pool and several walking trails.

The clubhouse will undergo a significant renovation, including expansion of the gym and updates with modern furniture and equipment.

“The Bryce presents a rare value-add opportunity allowing us to continue to invest in Charlotte and its’ surrounding neighborhoods,” said Steven Shores, President and CEO of Pollack Shores.

Andrew Wittgen
 “We will fill an existing void for renovated communities that appeal to Class A renters seeking hotel-quality amenities and experiences at a competitive price point.

"Metro Charlotte and the north suburbs continue to be a key focal point for Pollack Shores, and we look forward to growing our presence in the area in the coming years.”

The project is poised to benefit from an influx of new jobs and residents nearby. University Research Park and Innovation Park are both within a 10-minute drive of the property, part of an employment node that includes 23 Fortune 500 companies and 11 million square feet of office space.

UNC-Charlotte, home of 30,000 students and more than 4,000 employees, is also a short drive away.

The Bryce Apartments Charlotte, front view
Project plans also call for new stainless steel appliances, granite countertops and hard surface flooring for all residential units. One-, two- and three-bedroom residences are available for rent.

“This was the ideal location to re-enter the market, and we’re thrilled to add The Bryce to our fast-growing portfolio in the Carolinas,” said Andrew Wittgen, Managing Director of Asset Management at Pollack Shores.

 “We anticipate significant leasing momentum through strategic renovations that will deliver an exceptional experience for residents, and are eager to get started.”

 For more information about Pollack Shores, please visit pollackshores.com/.

 For more information about Matrix Residential, please visit matrixresidential.com/.


Nick Banaszak
The Wilbert Group
256-457-5384 (C)

Ariston Project Moves Forward with Pollack Shores as Master Site Developer

Julio Jones
ATLANTA,GA – Multifamily developer and investment firm Pollack Shores Real Estate Group announced it is proceeding with plans for Ariston, a 16-acre, mixed-use destination featuring Class A apartments, dining, shopping, hotel and unique, walkable community gathering space along the Ivy Creek Greenway near the Mall of Georgia in Buford.

Jon Guven
Ariston Group LLC, the project owner and sponsor - led by principal investors Jon Guven, manager, and Julio Jones, Atlanta Falcons star wide receiver– is being advised by Atlanta-based real estate development consulting and advisory firm, Ra Co Real Estate Advisors, LLC.  

“We’re excited to partner with Pollack Shores, Peachtree Hotel Group and Stream Realty in an effort to start to bring our vision to life,” Guven said.

“Ariston reflects our commitment to creating a pedestrian-friendly community that will encompass luxury apartment living, brand-name hospitality, dining and entertainment immediately adjacent to the dominant retail node in Gwinnett County.”

Groundbreaking for the multi-million-dollar project is slated for July 2019. The property is strategically located at the intersection of Mall of Georgia Boulevard and Woodward Crossing. Plans call for 285 Class A luxury apartments, dining and retail space, as well as a 110 room Hilton Garden Inn.

 Mitul Patel
“Ariston will breathe new life into Gwinnett County, providing something for locals and visitors, alike,” said Mitul Patel, managing partner and COO, Peachtree Hotel Group. 

 “In addition to elite dining and residential options, the mixed-use development is ideally suited for an upscale hotel such as the soon-to-break-ground Hilton Garden Inn.”

The project will offer a variety of street-level experiences that resonate with the market. Residents, guests and visitors will be encouraged to interact in a sophisticated setting.

 In addition, the project will provide a pedestrian connection to the existing Ivy Creek Greenway, a 3.6-mile-long walking and biking trail that runs through a wooded nature preserve along the scenic waters of Ivy Creek.

The residential component of Ariston will consist of 171 one-bedroom apartments, 104 two-bedroom apartments and 10 three-bedroom apartments.

Steven Shores
The first apartments are scheduled to deliver in May 2020. Each unit will feature granite countertops, stainless steel appliances, a mixture of luxury vinyl-plank flooring and carpet flooring and spacious walk-in closets.

Residential amenities will include a resort-style pool with outdoor lounge area, a state-of-the-art fitness center and a dog park.

Ariston selected Pollack Shores as the multi-family developer, as well as the master site developer in 2018 after reviewing the firm’s track record in major mixed-use projects such as The Battery Atlanta, where it successfully developed three award-winning apartment communities in conjunction with the Atlanta Braves.

Matrix Residential managed the lease-up and will be involved intimately in Ariston’s multi-family strategy.

“Our team has experience in delivering walkable, unique mixed-use communities,” said Steven Shores, president and CEO of Pollack Shores.

 “The collaborative partnership with Ariston Group, Ra Co Real Estate Advisors, Peachtree Hotel Group and Stream Realty has been incredibly rewarding, and we look forward to opening this Gwinnett County destination soon.”   

Nick Masino
A recent report from the Atlanta Regional Commission found that Gwinnett County’s population is growing at a faster rate than metro Atlanta as a whole. More than 600 international businesses are located in the county.

“We look forward to Ariston becoming a community destination that attracts new jobs and investment dollars to Gwinnett County,” said Nick Masino, President and CEO of Gwinnett Chamber of Commerce.

“Pollack Shores has a reputation for delivering best-in-class development to strong suburban locations like Gwinnett, and we are eager to see this development come to life.”


Nick Banaszak
The Wilbert Group
256-457-5384 (C)