VOL. 131 | NO. 3 | Tuesday, January 05, 2016
Memphis Real Estate Recap
Mall of Memphis Property Bought by Trucking Company
By Kate Simone
Mall of Memphis Site
Sale Amount: $3.9 million
Sale Date: Dec. 29, 2015
Buyer: TAG Real Estate Holdings LLC
Seller: Memphis Industrial Properties LLC (Johnson Development Associates Inc.)
Loan Amount: $23 million
Loan Date: Dec. 29, 2015
Lender: Mercedes-Benz Financial Services USA LLC
Details: The 113-acre former Mall of Memphis property has a new owner. TAG Real Estate Holdings, an affiliate of Memphis-based TAG Truck Enterprises LLC, paid $3.9 million, or $34,513 an acre, to buy the property from Johnson Development Associates Inc., acting as Memphis Industrial Properties LLC.
In conjunction with the sale, TAG filed a $23 million mortgage with Mercedes-Benz Financial Services USA LLC.
The future of the land at American Way and Perkins Road has been under question since the mall was demolished in 2004. Johnson Development bought the land from Memphis Mall Holdings LLC for $2.7 million in April 2012.
Last year, Huntington Industrial Partners and Johnson Development announced plans for a $112.7 million speculative industrial park on the site, contingent upon a 15-year tax break from the Memphis-Shelby County Economic Development Growth Engine.
The EDGE board denied the payment-in-lieu-of-taxes request at a Sept. 16 meeting, despite the developers’ threats to sell the land to a trucking company if they didn’t receive the tax break.
The new owner, TAG Truck Enterprises LLC, formed in 2007 when business partners Tommy Earl and Gary Dodson bought four truck centers and a body shop from Barloworld Truck Center Inc.
Today, TAG operates truck centers in Tennessee, Arkansas, Mississippi, Missouri and Kentucky.
5050 Poplar Ave.
Memphis, TN 38157
Sale Amount: $19.2 million
Sale Date: Dec. 30, 2015
Buyer: White Station Building LLC (In-Rel Properties)
Seller: Rosemont White Station Operating LLC (Rosemont Realty LLC)
Loan Amount: $14.6 million
Loan Date: Dec. 30, 2015
Maturity Date: Dec. 30, 2020
Lender: Branch Banking & Trust Co.
Details: The iBank Tower, located at 5050 Poplar Ave., has sold for $19.2 million, and for the first time, the same owner controls both the iBank Tower and the nearby Clark Tower at 5100 Poplar Ave.
Florida-based In-Rel Properties plans to unite the 18-acre office campus with increased connections to the greater East Memphis area.
The 360,496-square-foot building, which is on the north side of Poplar east of South Mendenhall Road, is anchored by Independent Bank, the second-largest community bank based in Memphis.
Other prominent tenants include the State of Tennessee and Methodist-Le Bonheur Healthcare.
On Dec. 30, In-Rel Properties, acting as White Station Building LLC, bought the 24-story office tower formerly known as White Station Tower from Rosemont White Station Operating LLC. The seller is an affiliate of Santa Fe-based Gemini-Rosemont Realty LLC, the product of a merger between Rosemont Realty LLC and Gemini Investments (Holdings) Limited.
Johnny Lamberson and Terry Radford, both of CB Richard Ellis Memphis, represented the seller in the transaction.
In conjunction with the Dec. 30 warranty deed, In-Rel filed a five-year, $14.6 million mortgage with Branch Banking & Trust Co.
In-Rel will spend up to $1 million in improvements to the iBank Tower in addition to the nearly $7 million it has committed to Clark Tower improvements.
To find out what’s next for the property, read the full story in The Daily News’ Dec. 31 edition.
1779 Kirby Parkway
1789 Kirby Parkway
Memphis, TN 38138
Sale Amount: $5.3 million
Sale Date: Dec. 28, 2015
Buyer: Orleans Place Retail Center LLC
Seller: Cohen Orleans Place LLC
Loan Amount: $3.5 million
Loan Date: Dec. 28, 2015
Lender: First Capital Bank
Details: An East Memphis retail center has sold for $5.3 million to an out-of-town group.
Orleans Place Retail Center LLC purchased the property at 1779 Kirby Parkway and 1789 Kirby Parkway from Cohen Orleans Place LLC in a Dec. 28 warranty deed.
The Orleans Place shopping center totals 99,259 square feet across 2.3 acres on the west side of Kirby Parkway north of Poplar Ave. The multileveled property includes tenants One & Only BBQ and The UPS Store.
In conjunction with the sale, Orleans Place Retail Center filed a $3.5 million construction loan with First Capital Bank.
Adir Levitas, CEO of Israel investment firm Faropoint Investments, signed as trustee on the loan.
6420 Poplar Ave.
Memphis, TN 38119
Permit Amount: $609,753
Application Date: December 2015
Owner/Tenant: International Paper
Contractor: Grinder, Taber & Grinder
Details: International Paper is undergoing renovations on Tower III of its East Memphis headquarters. Contractor Grinder, Taber & Grinder has applied to the city-county Office of Construction Code Enforcement for a $609,753 building permit for renovation to 6420 Poplar Ave. International Paper is listed as owner and tenant of the building.
Built in 2001, the Class A tower has 394,765 square feet, according to the Shelby County Assessor of Property, and is appraised at $30.7 million this year.