Southwind Homewood Suites Sells for $6.5 Million

By Eric Smith

3583 Hacks Cross Road Memphis, TN 38125

Sale Amount: $6.5 million

Sale Date: Nov. 2, 2012

Buyer: LB-UBS 2007-C6 County Gate Road REO LLC

Seller: Erika R. Barnes, successor trustee

Details: The Homewood Suites by Hilton Southwind at 3583 Hacks Cross Road sold for $6.5 million in a successor trustee’s deed following a foreclosure.

3583 Hacks Cross Road • Memphis, TN 38125

An entity called LB-UBS 2007-C6 County Gate Road REO LLC – in care of Stamford, Conn.-based Five Mile Capital Partners – bought the property Nov. 2, although the Shelby County Register of Deeds didn’t process the deed until this week.

Erika R. Barnes of Nashville law firm Stites & Harbison PLLC served as successor trustee.

The lender appointed her as successor trustee after the hotel’s Memphis-based ownership group defaulted on a $10 million loan.

A first-run foreclosure notice that ran in The Daily News in October showed Nonconnah Suites LLC took out the loan through Lehman Brothers Bank in 2007.

Built in 2002, the 80,008-square-foot Homewood Suites is on 4.4 acres on the west side of Hacks Cross north of Winchester Road, across from FedEx Express’ World Headquarters.

The Shelby County Assessor of Property’s 2012 appraisal of the hotel is $6.3 million.

Nonconnah Suites bought the then-vacant land in 2001 for $850,000.

This successor trustee’s sale is related to a similar one for a neighboring property.

The Hampton Inn Memphis-Southwind hotel next door at 3579 Hacks Cross Road sold for $5.6 million following a foreclosure.

An entity called LB-UBS 2007-C6 Hacks Cross Road REO LLC – also in care of Stamford, Conn.-based Five Mile Capital Partners – bought the property Oct. 29 with Barnes also serving as successor trustee.

4865 Raleigh LaGrange Road

Memphis, TN 38128

Sale Amount: $5.2 million

Sale Date: Dec. 18, 2012

Buyer: Avery Park Apartments Utah LLC

Seller: U.S. Housing Partners VII LP

Loan Amount: $4.1 million

Loan Date: Dec. 18, 2012

Maturity Date: Dec. 17, 2014

Lender: Arbor Realty SR Inc.

Details: An affiliate of Salt Lake City-based Property Asset Management Inc. has paid $5.2 million for the Avery Park Apartments at 4865 Raleigh LaGrange Road in Raleigh.

The entity, Avery Park Apartments Utah LLC, bought the 231-unit complex in a Dec. 18 special warranty deed from U.S. Housing Partners VII LP.

That company acquired the property, then known as Covington Crossing Apartments, for $4.8 million in 2006 from Alliance PP LP.

Built in 1974, the Class C multifamily complex contains 203,326 square feet and sits on 15.37 acres on the south side of Raleigh LaGrange, a little west of Covington Pike. The Shelby County Assessor of Property’s 2012 appraisal is $3.5 million.

In conjunction with the purchase, Avery Park Apartments Utah filed a $4.1 million loan through Arbor Realty SR Inc. Paul Montgomery signed the trust deed as president of Property Asset Management, the manager of the buying entity.

It’s the second real estate transaction in recent weeks for the Utah company, which last month filed a $4.3 million loan on the 114-unit Village of Sycamore Ridge apartment complex, a property it bought in 2011.

6065 Poplar Ave.

Memphis, TN 38119

Permit Cost: $1.3 million

Project Cost: $1.3 million

Permit Date: Applied December 2012

Completion: Fall 2013

Owner: Highwoods Properties Inc.

Tenant: Darden Concepts Inc.

Details: Orlando, Fla.-based Darden Concepts Inc. has filed a $1.3 million permit application with the city-county Office of Construction Code Enforcement to build The Capital Grille on an outparcel of the Crescent Center in East Memphis.

An address of 6065 U.S. 72 (Poplar Avenue) is listed for the 8,946-square-foot Capital Grille, which will be built in front of the Crescent Center’s attached garage along Poplar.

Darden last month filed a $1.7 million permit for another restaurant, Seasons 52, to also be built on a Crescent Center outparcel.

That permit listed an address 6085 Poplar Ave. for Seasons 52, a 9,231-square-foot restaurant to rise at the corner of Poplar and Ridgeway Road.

Crescent Center owner Highwoods Properties Inc., which is listed on the permit, bought the landmark East Memphis office tower for $52.6 million in 2010.

The Land Use Control Board unanimously approved the additions to the property in April. Both restaurants are scheduled to open in fall 2013.