Crichton College Sale Closes To California Entrepreneur

Tuesday, January 5, 2010, Vol. 125, No. 2

255 N. Highland St.
Memphis, TN 38111
Sale Amount: $5.3 Million

Sale Date: Dec. 1, 2009
Buyer: SignificantPsychology LLC
Seller: Crichton College
Loan Amounts: $4.3 million and $1.1 million
Loan Dates: Dec. 1, 2009
Maturity Dates: N/A
Lenders: SunTrust Bank and Crichton College

Details: Less than a year after entering into a definitive agreement to form a strategic alliance with SignificantPsychology LLC, the board of directors at Crichton College has formally sold the Christian liberal arts college to the California company for $5.3 million.

The new ownership saved Crichton, established in 1941, from closing its doors. In January 2009 the school was on the verge of shutting down because of the economy. That’s when SignificantPsychology founder and chairman Michael Clifford stepped forward to purchase the East Memphis college.

Clifford and Crichton announced in February they had entered into the definite agreement for the alliance. Clifford is an “education entrepreneur” who has acquired other Christian post-secondary institutions around the nation.

Crichton director of public affairs Christy McFarland said while the real estate transaction has closed, a few regulatory approvals through the state department of education need to be finalized. The school’s accreditation agency, the Southern Association of Colleges and Schools (SACS), approved the purchase during the summer.

The college’s 6.7-acre campus sits on the west side of North Highland Street between Sam Cooper Boulevard and Walnut Grove Road. The Shelby County Assessor of Property’s 2009 appraisal was $1.6 million, but the school is exempt from property taxes.

SignificantPsychology is related to Solana Beach, Calif.-based SignificantFederation.

Four Lots in Oak Grove PD
Collierville, TN 38017
Sale Amount: $328,000

Sale Date: Dec. 10, 2009
Buyer: Woodgrove Homes LLC
Seller: Hearthstone Investments LLC
Loan Amount: $1.3 million
Loan Date: Dec. 10, 2009
Maturity Date: May 5, 2011
Lender: BancorpSouth Bank

Details: Woodgrove Homes LLC, whose principals are longtime homebuilders Barry Watson and John Worley, have bought four lots in the Oak Grove Woodgrove Planned Development in Collierville and filed a $1.3 million construction loan through BancorpSouth Bank to start homes there.

The company bought the lots from developer Hearthstone Investments LLC for $328,000. The sale of the lots and the construction loan occurred Dec. 10.

Oak Grove’s Woodgrove section, which is considered phase four of the Oak Grove PD, calls for 56 lots on 36.5 acres. The community sits on the north side of East Shelby Drive, just west of South Byhalia Road in Collierville.

Watson said the company is anticipating some “pent-up demand” after the first of the year for that area of the county.

The plan is to bring quality, affordable homes to the neighborhood that won’t negatively impact existing values. Woodgrove’s homes will start at the mid- to upper $300,000s and be sized around 3,500 to 4,000 square feet and up, which are about average for Collierville.

Watson said the company will bring some speculative homes to the neighborhood, but otherwise it will look to build based on presales, allowing buyers to choose floor plans and finishes. The company has a model open in Oak Grove’s Woodgrove section.

Woodgrove Homes has enlisted John Green & Co. Realtors to sell the homes.

384 Distribution Parkway
Collierville, TN 38017
Sale Amount: $385,000

Sale Date: Dec. 16, 2009
Buyer: Mid-South Subway Restaurants LLC
Seller: McAlister Enterprises Inc.
Loan Amount: $385,000
Loan Date: Dec. 16, 2009
Maturity Date: N/A
Lender: Patriot Bank

Details: McAlister Enterprises Inc. has sold a 6,000-square-foot warehouse at 384 Distribution Parkway in Collierville to Mid-South Subway Restaurants LLC for $385,000. The sale closed Dec. 16 and was recorded by the Shelby County Register of Deeds last week.

Built in 1992, the building is zoned industrial and sits on 0.46 acres in the Sycamore Commercial Center (phase two), along the east side of Distribution Parkway near its intersection with U.S. 72. The Shelby County Assessor of Property’s 2009 appraisal is $419,900.

David McAlister signed the warranty deed as president of McAlister Enterprises. The buyer filed a $385,000 loan through Patriot Bank in conjunction with the purchase. Anwar Ali Aman and Amin A. Mulji signed the trust deed as chief manager and secretary, respectively, of Mid-South Subway Restaurants.

54.1 Acres
Unincorporated Shelby County, TN 38125
Sale Amount: $934,000

Sale Date: Dec. 21, 2009
Buyer: Barnett Industries Inc.
Seller: Stateline Properties LLC

Details: Barnett Industries Inc. of Placida, Fla., paid $934,000 for 54.1 acres in unincorporated Southeast Shelby County from Stateline Properties LLC. The sale closed Dec. 21 and appeared to be an internal transfer between related entities, with both of them listing the same address.

Zoned for farm and agricultural use, the vacant land sits along the Tennessee-Mississippi state line. The Shelby County Assessor of Property’s 2009 appraisal is the same as the sale price, $934,000.

William C. Barnett Jr. signed the warranty deed as chief manager and sole member of Stateline Properties as well as individually. No loan was associated with the sale.