Category: News

St. John Properties announces new office project north of Austin

Posted on by Mia Goulart

St. John Properties, Inc. plans to break ground early next spring on a 120,000-square-foot project in Leander that will become the suburban community’s first Class-A office building and the first commercial component of the 116-acre urban, mixed-use Northline development 30 miles from Austin.

The four-story building is designed to earn LEED certification and will offer high-quality finishes, floor-to-ceiling windows, as well as 15,500 square feet of ground floor retail and restaurant space. The floorplates will be able to accommodate tenants that are diverse in size and services. Located at 1157 Main St., the project is scheduled to be completed in the first half of 2025. Perennially listed among the fastest growing cities in the nation, Leander has experienced tremendous residential growth over the last decade, fueling demand for commercial space among retailers and other businesses.

Founded in 1971, St. John Properties is one of the nation’s largest and most successful privately held commercial real estate firms with assets of more than $5 billion across 11 states. The Baltimore-based developer opened a Texas regional office in Austin in 2022.

St. John Properties specializes in multi-tenant buildings designed to serve tenants small to large such as law firms, tech companies and business consultants. Suites offered in the new Northline building will start at 2,000 square feet.

The company frequently builds in suburban areas to be near the residences of business owners, and the Northline project will match the company’s approach to construct office buildings in a walkable, mixed use suburban development.

The start of construction on the new office building will mark a major milestone for Northline, Leander’s new downtown district is slated to include more than five million square feet of office, retail, residential, hotel and civic space as well as a signature park.

Residents will begin moving into Northline’s first apartments and townhomes later this year.

The project also serves as a breakthrough for Leander, which has prioritized attracting more employers and retailers to the community in order to diversify its tax base and provide more employment opportunities to residents closer to home.

Private investment firm picks up Sugar Land office building

Posted on by Mia Goulart

JLL Capital Markets has closed the sale of 77 Sugar Creek, a 143,410-square-foot, Class-A office building in Sugar Land, Texas.

JLL, in conjunction with online commercial real estate auction platform RI Marketplace, represented the seller, CWCapital. InLight Capital purchased the asset for an undisclosed amount.

77 Sugar Creek is positioned on a 6.13-acre site about 20 miles SW of Houston’s CBD. Located directly off of Highway 59 near its intersection with Highway 90, the office building has convenient access to the entire Houston metropolitan area. As one of Houston’s most desired residential suburbs, Sugar Land also features an abundant amenity base of nearby hotels, restaurants and retailers.

Renovated in 2018, 77 Sugar Creek has six stories of office space featuring floor-to-ceiling windows and high-quality common areas. The property is currently 66.3% leased as of August 2023.

The JLL Capital Markets Investment Sales and Advisory team representing the seller was led by Senior Director Rick Goings and Senior Managing Directors Marty Hogan and Will Sledge.

San Antonio retail center changes hands to Property Commerce

Posted on by Mia Goulart

JLL Capital Markets has closed the sale of Terrell Plaza, a 107,884-square-foot retail center located in San Antonio, Texas.

JLL represented the seller, SITE Centers Corp., and Property Commerce Dividend Fund acquired the asset.

Shadow anchored by Target, Terrel Plaza was built in 1986 and renovated in 2012. The shopping center is 96% occupied with an exceptional lineup of national retailers, including Ross Dress for Less, Dollar Tree, Five Below, Popshelf, Sherwin Williams and Sports Clips, as well as a Whataburger and Valero as outparcels. Terrell Plaza is ideally located on Austin Hwy near some of the city’s most affluent neighborhoods, including Alamo Heights, Olmos Park, Terrel Hills and Oak Park – Northwood.

The demographics surrounding Terrell Plaza are outstanding. Within a three-mile radius is a population of approximately 90,128, an average household income of $110,716 and a consumer spending power of almost $10 billion. Nearby economic drivers include The Pearl Brewery and Fort Sam Houston. Additionally, the property is easily accessible to I-410, I-35 and Austin Highway.

The property features a weighted average tenure of 8.7 years and a weighted average remaining lease term of 5.6 years. Terrell Plaza presented the buyer with an opportunity for rent growth as there is very little vacant retail supply in the area.  According to CoStar and JLL Research, the Austin Highway / Broadway corridor is comprised of 1.8 million square feet of retail and is currently 97.2% leased. The corridor has remained strong over the last ten years with the low point for occupancy hit 96.6% in Q1 2021.

The JLL Retail Capital Markets team was led by Senior Managing Directors Ryan West and Chris Gerard, Senior Director John Indelli, Associate Whitney Snell and Analysts Ryan Olive and Clay Anderson.

Colliers closes $16.5 million Fannie Mae loan for The Chandler in Grand Prairie

Posted on by Mia Goulart

The Colliers Dallas debt and structured finance team of Robert Siddall, William Givens, Shawn Givens, and Ken Higgins closed a $16.5 million Fannie Mae loan for the acquisition financing of The Chandler in Grand Prairie, Texas, with their long-term client David Lilley and Reap Capital LLC. 

The market-rate property features 164 units. The loan was arranged through Colliers Mortgage and carries a five-year term and 35-year amortization.

Partners Real Estate arranges 12,082-square-foot office lease with Guntermann & Drunck in Houston

Posted on by Mia Goulart

Partners Real Estate, one of the largest independent commercial real estate firms in Texas, recently arranged a 12,082-square-foot office lease with Guntermann & Drunck located at 4540 Kendrick Plaza Drive in Houston.

Guntermann & Drunck is the leading KVM manufacturer for control room applications & is regarded as one of the foremost manufacturers of digital and analog KVM solutions.

Partners’ John Zivley represented the tenant in the transaction. The landlord, EastGroup Properties, LP, was represented by Logan S. Greer, SIOR with Insite Realty Partners L.P.

Newmark announces sale and financing of value-add multifamily asset in Austin

Posted on by Mia Goulart

Newmark announces it has completed the sale and financing of Villas Tech Ridge, a 350-unit value-add multifamily asset in Pflugerville, Texas, within North Austin’s growing Silicon Hills neighborhood and tech corridor. The property was 93% occupied at the time of sale and traded for an undisclosed price.

Newmark Multifamily Capital Markets Vice Chairman Patton Jones and Managing Director Andrew Dickson represented the seller, an institutional client of New York Life Real Estate Investors. The buyer was Pegasus Real Estate, a private commercial real estate investment firm. Vice Chairman Colin Cross of Newmark’s Debt, Equity and Structured Finance team helped secure the acquisition financing on behalf of the buyer.

Villas Tech Ridge offers new ownership the opportunity to increase value-add potential via unit interior and amenity upgrades. Built in 2009, the garden-style property features a mix of one-, two- and three-bedroom floorplans with an average unit size of 976 square feet. Unit interiors offer fully-equipped kitchens, oversized walk-in closets and full-size washer and dryer sets. Community amenities include a pool with loungers and cabanas, a resident clubhouse, a state-of-the-art fitness center, controlled access gates and a fenced dog run.

Located at 13838 The Lakes Boulevard, Villas Tech Ridge is surrounded by major employment, entertainment and recreation. The property is just down the street from Parmer Austin, a 300-acre technology and research park with tenants including General Motors Co., Meta, 3M and Apple, and just over three miles from The Domain, home to employers such as Amazon, Indeed and Vrbo, as well as Austin FC’s new Q2 stadium. The property offers convenient access to major thoroughfares IH-30, MoPac and HWY 183.

According to Newmark research, multifamily demand across the U.S. projects to advance even further in 2023, reaching the highest levels since the third quarter of 2021 and well above the long-term average. New supply will also significantly increase, with nearly 550,000 units expected to be delivered in 2023 and an all-time high of nearly 588,000 in 2024.