Friday, March 1, 2019

HFF closes sale of 3208 Red River Street in Austin, TX

Cathy Nabours

AUSTIN, TX –– HFF announces that it has closed the sale of 3208 Red River Street, a three-story office and R&D building totaling 20,762 square feet in Austin, Texas. 

HFF marketed the property on behalf of the seller, Drawbridge Realty.   A private real estate trust purchased the asset.

Walter Saad

The property is in the Central Austin Office submarket just north of downtown Austin and adjacent to St. David’s Medical Center, which is the third-largest private employer in the Austin area. 

Drew Fuller
 Additionally, the property is positioned one block from Interstate 35 and has exceptional accessibility to Austin’s most heavily traveled thoroughfares, including U.S. Routes 183 and 290, State Highway 71 and Airport and Lamar Boulevards. 
The HFF investment advisory team representing the seller included managing directors Walter Saad and Cathy Nabours and director Drew Fuller.  Avison Young represented the buyer in the transaction.

Drawbridge Realty is a private real estate trust headquartered in San Francisco, California, with asset management, property management, development, acquisition and leasing expertise.  

HFF and its affiliates operate out of 26 offices and are a leading provider of commercial real estate and capital markets services to the global commercial real estate industry. 

3208 Red River Street, Austin, TX

 HFF, together with its affiliates, offers clients a fully integrated capital markets platform, including debt placement, investment advisory, equity placement, funds marketing, M&A and corporate advisory, loan sales and loan servicing.  

HFF, HFF Real Estate Limited, HFF Securities L.P. and HFF Securities Limited are owned by HFF, Inc. (NYSE: HF).  For more information, please or follow HFF on Twitter @HFF.


TX Lic. #415184
HFF Managing Director
(512) 532-1900

HFF Managing Director
(512) 532-1900

HFF Director, Public Relations
(617) 848-1572

RECI Finds Commercial Real Estate Markets Fundamentally Sound

John Oharenko
Chicago, IL,  March 1, 2019 - The Chicago-based Real Estate Capital Institute states that with inflation seemingly under control
and economic conditions and the best job growth of the past half-century,
global bonds yields are treading in very shallow waters. 

 Mortgage rates
also benefit from trading in a narrow, again defying ongoing forecasts of
rising rates.  As long as long-term rates stay low due to decreasing
manufacturing production and tepid consumer spending, Fed rate hike threats
seem distant.

As is the case for nearly a decade, commercial real estate markets are
fundamentally sound.  Markets are in balance, but downside risks are
surfacing even as the economy offers another year of solid performance with
the following concerns hover over realty capital markets:

The "R" Word:  Yes, "recession" is mentioned often, but still no signs of
serious concern.  Pundits stopped using the baseball-inning analogy years
ago, as many see the markets in record overtime mode, well beyond the
traditional nine-inning game.  Like baseball, the markets don't succumb to
the clock.  

Will this year prove to be another solid inning?

Yield Curve:  Last month the yield curve stayed in a tight range of 20 basis
points for the five and ten-year treasuries - a similar pattern dating back
to last fall.  A flattening yield curve usually signals worries about a
moderating economy.  The insatiable global demand for 'safe' yields keeps
long-term treasuries very competitively priced.  

Concerns about slower
growth are less pronounced in the current yield curve, but conditions could
change if job growth, inflation, international trade or other unforeseeable
variable(s) change the equation.

Product:  Investors and lenders are truly concerned about maintaining
production volume levels comparable to 2016 to 2018 - record years for many

While funds are readily available, the lack of quality product for
acquisition or financing poses significant issues for reaching reasonable
investment goals.  Many believe the low-hanging-fruit deals are long gone. 

"Capital flow is steady and readily available, with little reason to expand
because of a shortage of deal flow," advises John Oharenko, director of The
Real Estate Capital Institute(r).
The Real Estate Capital Institute(r) is a volunteer-based research
organization that tracks realty rates data for debt and equity yields for
the domestic market. 
The  Real Estate Capital Institute(r)
Chicago, Illinois USA 60624
Contact: John Oharenko, Executive Director /  <>

Passco Cos. Acquires 306-Unit, Class A+ Multifamily Asset in Rapidly Growing Lexington, KY for $62.4 Million

Colin Gillis
Lexington, KY (March 1, 2019)  Passco Companies, a privately-held California-based real estate company that specializes in the investment, acquisition, development, and management of commercial properties throughout the U.S., has acquired The Henry at Fritz Farm, a 306-unit, Class A+ multifamily community in the high-growth market of Lexington, Kentucky, for $62.4 million from the Dobbins Group of Birmingham, Alabama, according to Colin Gillis, Vice President of Acquisitions at Passco.

Rendering of The Henry at Fritz Farm, Lexington, KY
The apartment community is integrated into one of the Southeast’s leading entertainment and retail districts, The Summit at Fritz Farm.

Chris Black and Caleb Marten of KeyBank Real Estate Capital’s Commercial Mortgage Group arranged acquisition financing on behalf of Passco Companies.

Mike Kemether
Dobbins Group, developer of The Henry at Fritz Farm, engaged the Cushman & Wakefield/Commercial Kentucky team of Mike Kemether and Craig Collins to market The Henry.

“We are delighted to work with Passco once again and bring them an opportunity to add this exceptional asset to its portfolio. Colin and the team have demonstrated the utmost professionalism and integrity, making this a smooth process and close for all parties involved,” says Kemether.

 “Henry at Fritz Farm is truly one of the most unique multifamily treasures in the entire Southeast.

Craig Collins
"Embedded within Summit at Fritz Farm, quite possibly the best example of successful mixed-use development integration anywhere, Henry residents have immediate access to over 70 street-level shops, including more than 20 dining options, outside their front doors. 

"I would stack this lineup up against any gateway city mixed use deal in the country.”

Collins adds: “Henry at Fritz Farm has raised the bar with regard to apartment living in my state of Kentucky, with incredible amenities both within the apartment complex and with the surrounding Summit at Fritz Farm.”

Chris Black
Developed by Bayer Properties of Birmingham, Alabama, this highly-walkable, mixed-use, master planned community features over 280,000 square feet of Class A+ retail with a mix of local, regional and national tenants, including notable anchors Whole Foods, William Sonoma, Pottery Barn, lululemon and Anthropologie. 

Rendering of The Summit at Fritz Farm, Lexington, KY
The Summit is also home to twenty restaurants including J Alexanders, The Barn: a nationally-recognized local-fare food hall, and the state of Kentucky’s only Shake Shack.

 The Summit is rounded out by a high-end office component and a soon-to-be-open 120-room upscale Origin Hotel, the boutique’s third location in the United States.

Characterized by affluence, a highly educated talent pool, and an abundance of high-paying employment opportunities, the Lexington market has demonstrated tremendous growth in recent years, including a population increase of nearly 25 percent from since 2010, notes Gillis.

Caleb Marten
“Lexington is a very wealthy, established community that continues to grow and create numerous new high-paying jobs, and that is certainly reflected in the absorption rate and the on-site demographics at The Henry,” explains Gillis.

“The property has one of the most affluent tenant bases of any community in any market in which we have ever acquired, and perhaps the lowest rent-to-income ratio in our portfolio.

"We have enjoyed tremendous success in recent years employing the strategy of identifying unique, irreplaceable assets with exceptional demographics and little-to-no competition in the secondary markets of the Southeast.

Rendering of planned Origin Hotel, Lexington, KY
"We find that that properties as unique as The Henry with a top-tier resident profile often perform exceptionally better than their primary-market peers”

Completed in 2017, The Henry features a mix of one-bedroom, two-bedroom, and three-bedroom flats with modern design elements including open-concept floorplans, 9-foot ceilings, plank flooring, oversized patios or balconies, and oversized windows.


Elisabeth Manville / Lexi Astfalk
Brower Group
(949) 955-7940 or follow @CushWake on Twitter.

HFF closes sale of 178,000-SF Class A office building in East Hanover, NJ

Eagle Rock Executive Office IV, 120 Eagle Rock Avenue
East Hanover, NJ

Kevin O'Hearn
FLORHAM PARK, NJ  –- Holliday Fenoglio Fowler, L.P. (HFF) announces the sale of Eagle Rock Executive Office IV, a 178,000-square-foot, Class A office building in East Hanover, New Jersey.

HFF represented the seller, Boxer Property, in the transaction.  Ramapo, New York-based Northeast Capital Group purchased the asset.

Eagle Rock Executive Office IV is located at 120 Eagle Rock Avenue just off Interstate 280 in Northern New Jersey’s Essex County.  

Situated within a three-building office park, the three-story building is approximately 79 percent leased to notable tenants, including Prudential Insurance Company of America, Kessler Foundation and GFK.  

Jose Cruz
Recent renovations at the property include upgraded interior finishes and the addition of a “Tenant Center”, which features a new cafeteria, conference rooms, tenant lounge and fitness center.  

The property also features co-working space in approximately nine percent of the space, which has served as an incubator for tenants growing into larger units.

The HFF investment advisory team representing the seller included senior managing directors Kevin O’Hearn and Jose Cruz and senior directors Stephen Simonelli and Michael Oliver.

“We’re thrilled to have assisted Boxer Property with the successful execution of their business plan,” O’Hearn stated.  

Stephen Simonelli

“Since we sold the property to them several years ago, they have made significant capital improvements, which resulted in an increase in occupancy, including several noteworthy tenants.  

"Additionally, we’re happy to have closed another property with Northeast Capital and help them expand their portfolio into the office sector.”

HFF and Holliday GP Corp. are licensed New Jersey real estate brokers.

Boxer Property is celebrating 23 years as an innovative commercial real estate investment and management.  Boxer specializes in maximizing the value of under-performing properties through aggressive leasing and hands-on management.  

Founded in 1992, Boxer Property is a private firm based in Houston with more than 18 million square feet of commercial real estate nationwide.  For more information, visit

Michael Oliver
Northeast Capital Group (NECG) is a private equity investment group based in Ramapo, New York and led by CEO Joel Kiss who founded the firm in 2008.  

NECG actively buys and operates stable and value-add commercial real estate with an emphasis on well-located anchored shopping centers and office buildings in primary and secondary markets around the country. 

 NECG seeks to invest in properties which are fundamentally strong with superb market position/location, property access and national/credit tenancy, and have significant value-add opportunities. 

For further information, please visit


NJ Lic. #8743725
HFF Senior Managing Director
(973) 549-2000

HFF Public Relations Specialist
(713) 852-3403

NAI Realvest Negotiates $870,000 Sale of 5,000-SF Office Building in Maitland, FL

Mayling Chung

Maitland, FL and Orlando , FL --- NAI Realvest recently closed on the $870,000 sale of a 5,150 square foot office building in the Keewin Lexington Office Park at 159 Lookout Place in Maitland.  

Jeff Bloom, CCIM, negotiated the transaction representing the seller, Maitland Law Center, Inc.    

Jeff Bloom

 Buyer, Lim Law P.A., is an immigration law firm with two offices – one in Kissimmee and another in Orlando that relocated from Mt. Vernon Street to the Maitland building. 

 Mayling Chung of Charles Rutenberg Realty, LLC represented the law firm in the transaction.    

NAI Realvest, serving all of Central Florida, is a fully integrated commercial real estate operating company specializing in brokerage, development, investment, leasing and management, consulting and research services in the U.S. and worldwide.

 NAI Global is an international commercial real estate network with over 400 offices spanning the globe. 

Keewin Lexington Office Park, Maitland, FL
 Since 1978, clients have built businesses on the power of NAI Global’s expanding network.  Extensive services include multi-site acquisitions and dispositions, sublease, tenant


Jeff Bloom, CCIM, Vice President, NAI Realvest, 

Patrick Mahoney, President & CEO, NAI Realvest, 

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

HFF announces $7.7 million sale of LA Fitness-anchored retail center in Tampa, FL

LA Fitness in Northwest Plaza, 5717 Gunn Highway,
Citrus Park area,Tampa, FL
Brad Peterson
ORLANDO, FL – – Holliday Fenoglio Fowler, L.P. (HFF) announces the $7.7 million sale of Northwest Plaza, a 46,904-square-foot retail center anchored by an LA Fitness in Tampa, Florida.

The HFF team marketed the property on behalf of the seller, a subsidiary of Cole Corporate Income Trust IV, Inc.  ACRE Investment Company, LLC purchased the center.

In addition to LA Fitness, the 94.2-percent-leased Northwest Plaza is home to DNC Supplements, LaLa Nails & Salon, JJ Smoothy and a Chase Bank ATM. 

A non-owned Walgreens, Burger King and Shell Station are also at the property. 

Situated on 5.2 acres at 5717 Gunn Highway in Tampa’s Citrus Park area, the center is proximate to Veterans Expressway, the most heavily traveled north-south road through the county, and in Citrus Park’s dominant retail corridor, which includes the 1.14 million-square-foot Westfield Citrus Park Town Center and the Citrus Park Mall, a tremendous regional draw in northwestern Tampa. 

More than 99,000 residents with an average annual income of $83,870 live within a three-mile radius of Northwest Plaza.

The HFF investment advisory team representing the seller included senior managing director Brad Peterson, senior director Whitaker Leonhardt and director Michael Brewster.

“Northwest Plaza is ideally situated at an intersection with more than 55,000 vehicles per day passing by the property and is directly across the street from a recently redeveloped Publix-anchored shopping center,” Leonhardt said. 

Michael Brewster
“This offering presented a unique opportunity to add another fitness-anchored property to the buyer’s portfolio.”

“HFF continues to be very active in the Tampa Bay region and just recently hit the market with a single-tenant Panera Bread ground lease in Lakewood Ranch,” Peterson added. 

 “This is the second time we have sold Northwest Plaza, and, in the last 18 months, we have closed on the sale of The Groves in Lakeland, Merchants Square in Zephyrhills and Wawa in Carrollwood.”


FL Lic. #BK3162030
HFF Senior Managing Director
(407) 745-3900

FL Lic. #SL3221137
HFF Senior Director
(407) 745-3900

HFF Public Relations Specialist
(713) 852-3403