VOL. 123 | NO. 128 | Tuesday, July 1, 2008
Real Estate Recap
ProLogis to Begin Rehab On Hickory Hill Warehouse
5700 Challenge Drive
Memphis, TN 38115
Permit Amount: $1.1 Million
Project Cost: N/A
Permit Date: Applied June 2008
Completion: End of 2008
Contractor: The Conlan Co.
Details: Denver-based ProLogis has filed a permit application to rebuild the foundation of its warehouse at 5700 Challenge Drive. The building, in the Memphis Distribution Center near Raines and Hickory Hill roads, was damaged in the Feb. 5 storms that ripped through the industrial section of Southeast Memphis.
Numerous warehouses and distribution centers had walls and roofs torn off during the storms, which included several tornados. Nearly five months later, ProLogis applied for the permit through the city-county Department of Construction Code Enforcement listing Atlanta-based The Conlan Co. as contractor.
The 427,500-square-foot warehouse sits on 19.5 acres in the Hickory Hill North neighborhood and was built in 1995. Its 2008 appraisal is $12.1 million, according to the Shelby County Assessor of Property. Renovation is slated to begin soon with completion set for the end of the year, said ProLogis spokeswoman Mo Sheahan.
The 5700 Challenge Drive property was the only ProLogis building “that needed to be repaired to this extent,” Sheahan said, adding that tenants in the building were moved to other properties following the storm.
Currently, the company does not have tenants lined up for the warehouse being renovated. “Once that space is available, it will be up for lease,” Sheahan said.
Six lots in Rivercrest Subdivision
Loan Amount: $1.1 Million
Loan Date: June 19, 2008
Maturity Date: Sept. 1, 2008
Borrower: Vintage Homes LLC
Lender: Commercial Bank and Trust
Details: Vintage Homes LLC has filed a construction loan to build homes on six lots in Section D-2 of the Rivercrest Subdivision Planned Development in Bartlett. The section is a 13.77-acre, 35-lot tract northeast of Old Brownsville Road and Austin Peay Highway. Vintage Homes has built a variety of homes in Rivercrest, priced from about $189,000 to $211,000. Vintage Homes has eight Rivercrest homes under construction, all of them presales. Of the next six lots, two are presale and four are speculative, said company owner Charles Morgan. The new homes will be about 4,000 square feet and priced starting in the $200,000s, part of Vintage Homes’ new plan of building larger homes at lower prices. That business model has been successful in the stable suburb of Bartlett during the soft housing market, Morgan said. “Bartlett has done extremely well in the midst of all this,” he said. “Out of about 10 communities, this has been our leader. The desirability factor has been tremendous simply from the standpoint of Bartlett being chosen as one of the top 100 communities in the country.” Vintage Homes is the only remaining builder in Rivercrest. The company has ownership of about 75 lots in Rivercrest and the adjoining subdivision of Rockyford.
1733 Metro Plex Loop
Memphis, TN 38116
Loan Amount: $5.8 Million
Loan Date: June 20, 2008
Maturity Date: N/A
Borrower: Henry Hutton LLC
Lender: Toyota Motor Credit Corp.
Details: Henry Hutton LLC has taken out a construction loan to build a new Chuck Hutton Toyota dealership at 1733 Metro Plex Loop in Whitehaven’s Southbrook Office Park. The company also filed a $936,000 trust deed on the property; both loans were made through Toyota Motor Credit Corp. Henry Hutton is president of Chuck Hutton Toyota, Chuck Hutton Chevrolet and Chuck Hutton Dodge/Chrysler/Jeep dealerships. The site of the new Toyota dealership is bounded by Interstate 55 to the east, Millbranch Road to the west and Shelby Drive to the south. Riverbrook and Lakebrook drives run through the acreage, whose combined appraisal is $462,600, according to the Shelby County Assessor of Property. A 38,422-square-foot Toyota dealership will anchor a larger retail development on the property called the “I-55/Shelby Metroplex.”
2615 Frayser Blvd., 2516 Poplar Ave.
And 5285 Pleasant View Road
Sale Amount: $1.8 Million
Sale Date: June 12, 2008
Buyer: Parkway Properties LLC
Seller: Jeffrey L. Tyler and Carolyn J. Tyler
Loan Amount: $1.6 million
Loan Date: June 12, 2008
Maturity Date: June 12, 2023
Lender: Regions Bank
Details: Parkway Properties LLC, whose principal is Walter Mathis of Mathis Tire & Auto Service, bought three Direct Tire Distributors tire stores. Mathis had been operating those stores as Direct Tire Distributors for a couple of years. He now owns and operates eight Mathis Tire & Auto Service locations and the three Direct Tire Distributors, according to the companies’ Web site. The Shelby County Assessor of Property’s 2008 appraisals are as follows: 2615 Frayser Blvd. – $294,100; 5285 Pleasant View Road – $744,300; and 2516 Poplar Ave. – $398,400. The Frayser Boulevard property was built in 1973 and is 9,138 square feet; the Pleasant View Road property was built in 1988 and is 27,000 square feet; and the Poplar Avenue property was built in 1920 and is 11,874 square feet. Parkway Properties LLC is not affiliated with Jackson, Miss.-based Parkway Properties Inc., a real estate investment trust (REIT) whose portfolio includes such office buildings as the Morgan Keegan Tower and Toyota Center.