VOL. 130 | NO. 130 | Tuesday, July 7, 2015
Memphis Real Estate Recap
Ikea Seeks $16 Million Permit For First Memphis Store
Daily News & Chandler Reports staff
Future Ikea Store
On 42 Acres In Cordova
Permit Cost: $16 million
Application Date: July 2015
Details: Ikea is moving forward with its massive retail store in Cordova.
The Swedish furniture retailer has applied for a $16 million building permit for its 269,000-square-foot store on a 42-acre site near Interstate 40 and Germantown Parkway.
Earlier this year, Ikea said it planned to close on the purchase of the site this summer, break ground in the fall and open for business in 2016.
In a December announcement at City Hall, Ikea announced it would build its first store in Tennessee in Memphis. The next month, the city-county Economic Development Growth Engine awarded Ikea an 11-year tax break for the project, which is expected to employ 175 people. The PILOT could save the company around $9.5 million over 11 years while producing a local tax benefit of around $15.6 million over the same period.
The Memphis store will feature nearly 10,000 exclusively designed items, 50 room settings, three model home interiors, a supervised children’s play area, and a 300-seat restaurant that would serve Swedish specialties. Ikea has estimated that up a third of the store's visitors would come from outside the Memphis area.
1433 Union Ave.
Memphis, TN 38104
Loan Amount: $2.4 million
Loan Date: June 26, 2015
Maturity Date: June 26, 2040
Borrowers: Union Group LLC, Liang Lin and Xiao Dan Chen
Lender: Bank of Bartlett
Details: The owners of the Nineteenth Century Club in Midtown have secured a $2.35 million construction loan to begin transforming the historic home at 1433 Union Ave. in Midtown into a restaurant.
Union Group LLC, Liang Lin and Xiao Dan Chen secured the construction loan from Bank of Bartlett, according to a June 26 deed of trust.
According to a story in The Commercial Appeal, the Lins hope the French and Japanese restaurant “will become a destination for Memphis and beyond, promising a magnificent meal” in a preserved landmark.
The 15,813-square-foot house was built in 1907 by Memphis lumber magnate Rowland Jones Darne, according to Memphis Heritage Inc. The Nineteenth Century Club, a philanthropic women’s organization, purchased the property in 1926 and held onto it for more than 80 years before growing maintenance costs prompted the club to put it on the market in 2012.
The current owners won it through a competitive bidding process in January 2013, submitting a $550,000 bid for the three-story wood-frame home. A few months later, they sought a demolition permit, spurring a legal battle over the future of the property.
By August 2014, the owners announced they would not demolish the property and instead would build a restaurant inside the mansion.
Future Hampton Inn
At Germantown and Neshoba
Permit Cost: $8.6 million
Permit Application Date: June 2015
Owner: McNeill Commercial Real Estate
Contractor: Pride Construction LLC
Details: McNeill Commercial Real Estate is launching a 108-room Hampton Inn & Suites in Germantown, part of a much larger mixed-use project under development in the Memphis suburb.
Germantown-Neshoba Hotel Partners LLC, an affiliate of McNeill, has applied for an $8.6 million building permit through the city-county Office of Construction Code Enforcement for the four-story hotel that is part of the $150 million Thornwood community at the northeast corner of Germantown and Neshoba Roads.
Pride Construction LLC is listed as the general contractor.
Thornwood will include 282 luxury apartment units and around 70,000 square feet of retail space situated around the Germantown and Neshoba intersection, including a 5,000-square-foot space for Rolex dealer Bob Richards Jewelers. The Hampton Inn & Suites is planned for the northeastern part of the site.
In addition to the mix of uses, the Thornwood plan adheres to New Urbanism principles, such as buildings situated close to the street and wide sidewalks.
7642 Old Poplar Pike
Germantown, TN 38138
Sale Amount: $600,000
Sale Date: June 19, 2015
Buyer: Justin K. Thomas
Seller: Alanna Brice Shappley
Loan Amount: $510,000
Loan Date: June 19, 2015
Maturity Date: June 19, 2025
Lender: First State Bank
Details: The Thomas Family Law Firm PLC is on the move.
Justin Thomas of Thomas Family Law recently purchased the historic Whitlow Home at 7642 Old Poplar Pike near Germantown High School.
Thomas, who said he had been looking for a space with “old-school character and charm,” found just what he was looking for at the Whitlow Home.
Originally built in the 1840s by Dr. and Mrs. Cornelius Thompson, the historic building has served as a schoolhouse, Civil War refuge and an antique store before becoming a law office.
Thomas said that after making some aesthetic improvements, such as painting the exterior of the building white with black shutters, and making it office-ready, he expects to open in mid-August.
“I’ve been looking for several years for a building that had character and charm and this had both,” said Justin Thomas.
Rosemarie Fair represented the seller while Chris Garland represented Thomas.
4361 Shelby Air Drive
Memphis, TN 38118
Sale Amount: $725,000
Sale Date: June 19, 2015
Buyer: Progression Realty LLC
Seller: Business Property Lending Inc.
Loan Amount: $1.1 million
Loan Date: June 19, 2015
Lender: Magna Bank
Details: An industrial warehouse in Southeast Memphis has traded hands and will soon get a makeover.
Progression Realty LLC acquired the 69,000-square-foot warehouse at 4361 Shelby Air Drive from Business Property Lending Inc., an affiliate of EverBank, for $725,000.
The building will undergo a full renovation and be available for lease.
Elliot Embry of NAI Saig Co. represented the buyer, Progression Realty. Hank Martin, also of NAI Saig, represented the seller, EverBank.