VOL. 122 | NO. 37 | Tuesday, February 27, 2007
Airport Business Park
North of Democrat Road
Sale Amount: $13.8 million
Sale Date: Feb. 21, 2007
Buyer: Airport Business Park Office Investment LLC (63.39 percent interest) and Memphis Office Investment LLC (36.61 percent)
Seller: Memphis Airport Inc.
Loan Amount: $14.2 million
Loan Date: Feb. 12, 2007
Maturity Date: n/a
Lender: CBRE Realty Finance Holdings IV LLC
Details: The eight-building Airport Business Park on about 25 acres north of Democrat Road east of Airport Business Park Road and west of Lamb Place. The buildings have addresses on Democrat and Business Park. The sellers are affiliated with LaSalle Investment Management Inc. and the buyers with Charlotte, N.C.-based Allegiance Realty Corp.
Allegiance typically invests in institutionally owned assets, such as this one owned by LaSalle, said Brett McDonough, director of acquisitions. McDonough said the buildings, which total about 260,000 square feet, are roughly 60 percent leased. Though all the space is built out as offices, he said the company could accommodate a tenant with industrial needs.
Allegiance is planning some capital improvements, including landscaping, fencing and security gates, along with minor interior renovations, he added, and then plans to manage and re-lease the property.
This is the company's first foray into the Memphis area. Allegiance owns Nashville Auto Diesel College Dormitory and Oaks Office Complex in Nashville, and sold a Holiday Inn Express hotel there earlier this month.
As for investing in the Memphis area, McDonough said the company looks at regional and demographic information.
"The Southeast is just a high-growth corridor," he said. "So that's kind of how we first identified it, and then we look for secondary, tertiary markets - 1 million to a 1.5 million MSAs (metropolitan statistical areas). So this park especially, what kind of drew us to it was its strategic location at the airport, right across from the FedEx superhub."
Allegiance was founded about 14 years ago and has been based in Charlotte for seven years, McDonough said. The real estate investment company's focus is on office investments, but they also invest in select hotel, multifamily and assisted living properties.
20 lots in
Sale Amount: $1.7 million
Sale Date: Feb. 8, 2007
Buyer: Albertine Co. LLC
Seller: Wynstone Mill LLC
Loan Amount: $2.4 million
Loan Date: Feb. 8, 2007
Maturity Date: Feb. 8, 2008
Lender: AmSouth Bank
Details: 20 lots in phase 43 of Schilling Farms Planned Development, also known as Wynstone Mill in Collierville. South of Winchester Road west of Schilling Farms Middle School, Wynstone Mill was approved in January for 80 lots on 26 acres.
Second floor of
8040 Wolf River Blvd.
Permit Amount: $1.3 million
Project Cost: $1.3 million (second floor only)
Permit Date: Applied in February 2007
Completion Date: July 2007
Owner: Landstone Medical Properties
Architect: The Crump Firm Inc.
Contractor: Collins and Arnold
Details: Interior buildout of the second floor space at 8040 Wolf River Blvd. The space will house The Medical Group, said Greg McGaw, principal in Landstone Medical Properties. The building is one of three Landstone has built on the north side of Wolf River Boulevard in Germantown's busy Wolf River corridor. The others are at 8000 and 8060 Wolf River Blvd. McGaw said one 7,000-square-foot shell space is available in the 8000 building, adding it was one of the few open medical spaces in the corridor. Landstone is planning an 80,000-square-foot building in the Wolf River area, but not adjacent to the company's trio of buildings, McGaw said. He said the company is not yet ready to reveal more details on that project.
155 Wisconsin Ave.
Memphis, TN 38106
Sale Amount: $600,000
Sale Date: Jan. 26, 2007
Buyer: DeHart Business Park LLC
Seller: Independent Stave Co. Inc.
Loan Amount: $1.2 million
Loan Date: Jan. 31, 2007
Maturity Date: Feb. 1, 2012
Lender: Renasant Bank
Details: 12.5 acres on the southwest corner of Wisconsin Avenue and Kansas Street. The site contains a 151,000-square-foot, one-story industrial or manufacturing facility built in 1928, according to the Shelby County Assessor, who in 2006 appraised the parcel at $773,600. Thomas DeHart signed as chief manager of DeHart Business Park LLC. DeHart, affiliated with the Memphis-based DeHart Group, could not be reached for comment.
Source: The Daily News Online (www.memphisdailynews.com) and Chandler Reports (www.chandlerreports.com).