JLL Capital Markets closes $58 million sale of a Whole Foods-anchored retail center along Connecticut’s Gold Coast

Grace Braverman

 

 MORRISTOWN, NJ, May 2, 2022 – JLL Capital Markets announced today that it has closed the nearly $58 million sale of King’s Crossing, an approximately 82,000-square-foot, Class A destination shopping center anchored by Whole Foods Market in affluent Fairfield Township, Connecticut.

 

JLL marketed the property on behalf of an institutional seller. TA Realty acquired the asset.

Jose Cruz

Developed in 2011, King’s Crossing is 97 percent leased to a superior mix of needs-based tenants, including Whole Foods, CVS Pharmacy, Petco, Five Guys, Sleep Number and Chipotle.

 

A shadow-anchored Home Depot provides additional traffic to the center.

 

Positioned on 10.5 acres at 330-350 Grasmere Ave., King’s Crossing is in Fairfield Township, a highly sought-after community 50 miles from New York City.

 

The center is less than a mile from both Route 1 and Interstate 95, providing easy connectivity, and in Connecticut’s Gold Coast, an affluent coastal area of the state.

 Kevin O’Hearn

The growing area is also home to a wealthy customer base with average household incomes exceeding $183,000.

 

The JLL Capital Markets team representing the seller was led by Jose Cruz, Kevin O’Hearn, Danny Finkle, Michael Oliver, Steve Simonelli, Andrew Scandalios and Grace Braverman.

 

“We’re thrilled to have worked with notable institutional firms such as the seller and TA Realty on the sale of this prestigious asset,” O’Hearn said.

Danny Finkle

“With Whole Foods as it’s anchor and a national tenant roster, King’s Crossing is a premier retail property in this region. 

"We had a tremendous response from investors and expect the buyer to do very well with it.”

 

JLL Capital Markets is a full-service global provider of capital solutions for real estate investors and occupiers.

 

The firm's in-depth local market and global investor knowledge delivers the best-in-class solutions for clients — whether investment sales and advisory, debt advisory, equity advisory or a recapitalization.

Michael Oliver

The firm has more than 3,000 Capital Markets specialists worldwide with offices in nearly 50 countries.

For more news, videos and research resources on JLL, please visit our newsroom.

 

About TA Realty

 

TA Realty is among the largest and most experienced providers of real estate investment management services to U.S. and non-U.S. institutional investors.

 

Since its inception in 1982, TA Realty has managed $36 billion of real estate assets through value-add and core strategies and customized separate/advisory accounts.

Steve Simonelli

TA Realty’s investment philosophy focuses on creating diversified real estate portfolios that aim to generate strong cash flow, receive intensive asset management, and seek to achieve long-term value creation.

 

 For four decades, TA Realty has maintained this philosophy through multiple real estate and economic cycles, a strength recognized by pension funds, endowments, foundations and high-net-worth individuals. 

 

About JLL

JLL (NYSE: JLL) is a leading professional services firm that specializes in real estate and investment management. 

Andrew Scandalios

JLL shapes the future of real estate for a better world by using the most advanced technology to create rewarding opportunities, amazing spaces and sustainable real estate solutions for our clients, our people and our communities. 

JLL is a Fortune 500 company with annual revenue of $19.4 billion in 2021, operations in over 80 countries and a global workforce more than 98,000 as of December 31, 2021. 

JLL is the brand name, and a registered trademark, of Jones Lang LaSalle Incorporated. 

 

CONTACT:

Kimberly Steele

PR, Capital Markets,

Agency Leasing

and Valuation Advisory 

JLL

T +1 713 852 3420

M +1 832 244 9994

JLL.com

 

tarealty.com. 

 

 

JLL secures long-term, build-to-suit lease with FedEx Ground at Triangle Innovation Point in New Hill, NC

Matt Winters 

 RALEIGH, NC – JLL has secured an approximately 340,000-square-foot lease agreement with FedEx Ground at TIP West within Triangle Innovation Point – a 2,200-acre life sciences and advanced manufacturing and industrial park in New Hill, North Carolina, a submarket outside of Raleigh.

 

 JLL Executive Vice President Matt Winters and Vice President Al Williams handle marketing and leasing for the park on behalf of ownership, a joint venture between Samet Corporation, Lee-Moore Capital and a Denver-based family office. 

 

FedEx Ground, a provider of low-cost, day-definite shipping services, will fully occupy Building One at TIP West within Triangle Innovation Point.

Al Williams 

Currently under construction, Building One at TIP West is part of the first phase of development at Triangle Innovation Point and will deliver by the end of the year. FedEx Ground is set to occupy the space in early 2023. 

 This lease comes on the heels of an announcement from Governor Roy Cooper and VinFast Global CEO Le Thi Thu Thuy that VinFast Automotive has selected North Carolina for its electric vehicle manufacturing plans.

 

 The Vietnam-based company will invest up to $2 billion into Phase 1 at Triangle Innovation Point. Greg Lubar and Matt Jackson from JLL’s Washington, D.C., office represented VinFast in its nationwide search. 

 

Gov. Roy Cooper

“Triangle Innovation Point provides a rare opportunity for future tenants to leverage unmatched speed to market in one of the fastest-growing regions in the country, and tenants will also have a competitive advantage by tapping into the Triangle’s highly educated talent pool,” said JLL’s Winters.

“Our team is thrilled to work with Samet Corporation and its partners on this high-profile project that speaks to the continued growth of the Raleigh Metro.”

 

Formerly known as the Moncure Megasite, Triangle Innovation Point is well positioned to be the next marquee distribution, manufacturing and life sciences complex in The Triangle.

Brian Hall

The multiphase site can be subdivided for specific users as needed, with lot sizes ranging from 10 to 1,000 acres, and building layouts from 35,000 square feet up to one million square feet. 

 Triangle Innovation Point is located 30 minutes from Research Triangle Park and Raleigh-Durham International Airport.

 

 The site can be easily accessed by multiple existing highway interchanges, with NC 540 located 13 miles away and I-40 and I-440 less than 25 miles away.

 

Triangle Innovation Point is also in close proximity to dual-rail access from CSX and Norfolk Southern, making the site ideal for distribution. Located just southwest of Raleigh,

Le Thi Thu Thuy 

Triangle Innovation Point boasts immediate access to a labor force of 1.5 million, with over 20 colleges and universities within 60 miles of the site. 

Greg Lubar

“Our team has worked diligently to bring this development to life, prioritizing flexibility that can accommodate a variety of users and represent the diversity of industries found within the market,” said Brian Hall, president of real estate for Samet.

“We’re thrilled to welcome FedEx Ground to the park, and believe this lease reflects our confidence that demand will remain strong throughout all phases of this project. We look forward to many future successes at Triangle Innovation Point.” 

Matt Jackson 

According to JLL’s Q4 Industrial Insight, industrial tenants signed leases totaling 122 million square feet, and vacancy dropped below the 4% threshold for the first time in history.

 The overall construction pipeline remains strong with 467 million square feet currently under construction.

Additionally, rental rates have risen by 11.3% since Q4 2020, and JLL’s experts predict that demand will continue to outpace supply through 2022. 

 

CONTACT:

 

Raechel Blitchington 

rblitchington@thewilbertgroup.com

 The Wilbert Group

Sarah Schmidt | Account Coordinator

sschmidt@thewilbertgroup.com

678-372-9383

 www.sametcorp.com

jll.com.

Capital Real Estate Market Investors See Major Benchmark Rates Climbing Higher

 

John Oharenko

Chicago, IL, May 1, 2002 -- April represented one of the most volatile months in the stock markets, with drops of 1000 points in a single day, reports The Real Estate Capital Institute®.

 Under such conditions, major benchmark rates continued climbing throughout the month as investors absorbed more negative news about inflation.  

The 5-year and 10-year notes rose about 60 basis points.  The 5-year note also maintained an inverted yield curve over the 10-year note, although by a narrower margin.  

That said, many economists fear a recession should Fed rates approach 5% to stifle inflation. 

 

Lenders still maintain loan underwriting discipline, despite the abundance of capital.  Pricing varies, but 4% to 5% falls within the most common fixed-rate debt range. 

 Floating rate pricing starts at 250 basis points over select indices, increasing to 500 basis points for more entrepreneurial ventures. 

 

Debt yields range 7% to 10%+ restricting higher leverage debt, even with aggressive equity pricing.  Loan-to-value stays within the 75% or less range.  

However, up to 85% is available under pref equity programs.  Debt Service Coverage Ratios (DSCR) start at 110% for projects with provable cash flow increases, but 120% remains the standard.  

Amortization schedules apply as underwriting restrictions, typically with 30-year terms.  Yet, lenders favor interest-only structures to stay competitive.

                                                           

John Oharenko, director of The Real Estate Capital Institute®, notes, "Inflation takes center stage with investors based on ongoing expectations of higher rates."

CONTACT:

 John Oharenko 

john.oharenko@reci.com

Executive Director

director@reci.com / www.reci.com

 

^The   Real Estate Capital Institute^®

JLL’s Hotels & Hospitality Group closes $121 million sale of Wyndham Grand Orlando Resort Bonnet Creek to Tishman Realty and Cross Lake Partners

 

Wyndham Grand Orlando Resort Bonnet Creek,
 a 400-key, upscale resort bordering
Walt Disney World® in Orlando, FL

ORLANDO, FL – JLL’s Hotels & Hospitality Group has closed the $121 million sale of Wyndham Grand Orlando Resort Bonnet Creek, a 400-key, upscale resort, bordering Walt Disney World® in Orlando, Florida.

 JLL marketed the property on behalf of the seller, Wyndham Hotels & Resorts (NYSE: WH). A joint venture between Tishman Realty and Cross Lake Partners acquired the asset.

 The JLL Hotels & Hospitality team working on behalf of the seller was led by Managing Director Andrew Dickey and Senior Vice President Christopher Exler.

 Andrew Dickey

“We’re thrilled with the result for our client, having delivered on a key strategic objective for them while transitioning a phenomenal piece of real estate to an excellent steward in Tishman,” said Exler.

 “With Disney World breaking all-time revenue records and the overall leisure thesis within hotel real estate, we expect the Orlando market to increasingly come into focus for investors.”

Wyndham Grand Resort Orlando Bonnet Creek features 50,000 square feet of flexible event space, including three ballrooms, it shares six pools and two lazy rivers with the neighboring timeshare complex, has a spa with six private treatment rooms, a jogging trail, fitness center and a shuttle service to Walt Disney World.

Additionally, the resort offers six food and beverage venues, including Deep Blu Seafood Grille & Sushi, Back Bay Bar & Grill, Tesoro Cove Family Fare and Bar 1521.

Christopher Exler

Situated on 7.3 acres in Bonnet Creek, a private development of four hotels bordered by Walt Disney World® on three sides, the resort is within two miles of Disney’s Hollywood Studios, Epcot and the entertainment and retail emporium at Disney Springs.

 JLL’s Hotels & Hospitality Group has completed more transactions than any other hotels and hospitality real estate advisor over the last five years, totaling $83 billion worldwide.

The group’s 350-strong global team in over 20 countries also closed more than 7,350 advisory, valuation and asset management assignments.

Our hotel valuation, brokerage, asset management and consultancy services have helped more hotel investors, owners and operators achieve high returns on their assets than any other real estate advisor in the world.

 For more news, videos and research resources on JLL, please visit our newsroom.

CONTACT:

 

Cierra Lacasse

PR, Capital Markets

JLL

T +1 602 648 8701

M +1 408 318 8021

JLL.com

www.crosslakepartners.com.

 

Flagship Neiman Marcus Store on Chicago's Magnificent Mile Sold to Silvestri Investments

Amy Sands 

 

 CHICAGO, IL – JLL Capital Markets has closed the sale of and arranged acquisition financing for the 195,500-square-foot flagship Neiman Marcus building located on Chicago’s famed Magnificent Mile.

 

Financial details of the deal were not disclosed.

SOLD: the 195,500-square-foot flagship
 Neiman Marcus building located 
at 737 North Michigan Avenue
on Chicago’s Magnificent Mile

JLL represented the seller and procured the buyer, Silvestri Investments Inc. Silvestri, a privately held, family-owned real estate investment firm, acquired the asset in a 1031 exchange.

 

Additionally, working on behalf of the new owner, JLL arranged the seven-year acquisition loan.

 

Neiman Marcus, a luxury department store chain, has operated its flagship Chicago operation at this location since the four-story building was constructed in 1983.

Clinton Mitchell

It is positioned on 1.22 acres at 737 N. Michigan Ave. and, with more than 200 feet, has the largest single-tenant continuous frontage on Michigan Avenue.

 

 It is located along the Magnificent Mile, Chicago’s premier commercial district that spans 13 blocks, at the corner of Superior Street. The district welcomes more than 30 million annual visitors to its high-street retail and upscale restaurants and hotels.

 

The JLL Retail Capital Markets Investment Sales Advisory team representing the seller was led by Managing Directors Amy Sands and Clinton Mitchell, Senior Managing Director Alex Sharrin and Director Michael Nieder.

 

“Neiman Marcus is one of only eight trades on Michigan Avenue within the last decade and was highly sought after by both domestic and international capital due to the rare flagship offering on one of the world’s most renowned and proven high-street corridors,” Sands said.

 Alex Sharrin 

“There is no defined geography, asset class or transaction size for the ever-elusive 1031 investor,” Sharrin added.

 

“Investors turn to this tax strategy to preserve equity and defer gains. 

"The iconic Neiman Marcus building in the heart of Chicago’s famed Michigan Avenue underscores the preservation of capital, with long-term upside in the real estate.”

 

The JLL Capital Markets Debt Advisory team representing the new owner was led by Senior Director Christopher Knight.

 

Michael Nieder

In the wake of significant changes to consumer habits, this transaction demonstrates the market’s understanding of the resiliency of brick-and-mortar retail,” Knight added. 

“This is particularly evident when exceptional real estate and top operators like Neiman Marcus combine.”

JLL Capital Markets is a full-service global provider of capital solutions for real estate investors and occupiers.

 

 The firm's in-depth local market and global investor knowledge delivers the best-in-class solutions for clients — whether investment sales and advisory, debt advisory, equity advisory or a recapitalization.

Christopher Knight

The firm has more than 3,000 Capital Markets specialists worldwide with offices in nearly 50 countries.

 

For more news, videos and research resources on JLL, please visit our newsroom.

 

 

About Silvestri Investments

Silvestri Investments is a privately held, family-owned real estate investment firm with offices in Canada, Florida and Texas.

 

CONTACT:

 

 Kimberly Steele

PR, Capital Markets,

 Agency Leasing and

 Valuation Advisory 

JLL

T +1 713 852 3420

M +1 832 244 9994

JLL.com