Commercial Real Estate Briefs

By Business Observer Staff
| 6:00 p.m. February 15, 2008
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Charlotte–Lee–Collier

by Sean Roth | Real Estate Editor

LEE-COLLIER

Island Development

buys Venetian Towers land

BUYER: Bad Boy Properties LLC (principal: Robert Lee Jr.),

SELLER: Judith Brink

PROPERTY: 1407 Cape Coral Parkway E., Cape Coral

PRICE: $1.3 million

PREVIOUS PRICE: $250,000, April 1993

LAW FIRM ON DEED: Law Office of Thomas E. Shipp Jr. and Associates, Cape Coral

PLANS, DESCRIPTION: The Cape Coral development firm Island Development LLC purchased the 4,000-square-foot True Value Hardware of Cape Coral building for $1.3 million. The purchase price equates to $198.47 a square foot for the 0.15-acre parcel.

"This was the last piece of the puzzle," says Robbie Lee Jr., co-owner of Island Development LLC. "We bought the whole block there. It's going to be the future development, Venetian Towers."

The planned 300,000-square-foot mixed-used (office, retail and residential) Venetian Towers project is designed to run from a Wendy's fast food restaurant at 1427 Cape Coral Parkway E. west to June's Hallmark Shop, 1339 Cape Coral Parkway E.

However, don't look for construction on the six-story development to start in the near future, according to Lee.

"We're waiting for the economy to come back," he says. "I've heard it's going to be three to five years. That will give us time to firm up the development." Until, then, the True Value Hardware and many of the other tenants will continue to operate.

Meanwhile, Lee and his partner, Michael DiFede, plan to start construction in the next 18 months on the 600,000-square-foot mixed-use Village Square. The 15-story development will replace a city block centered around Wet Willy's Car Wash at 877 Cape Coral Parkway E.

"We're planning to start that now because it's going to take three years to build," Lee says.

Bradford & Co. Design Group Inc. in Cape Coral designed both of the mixed-used developments.

Island Development LLC's purchase entity Bad Boy Properties LLC mortgaged the True Value Hardware property to former owner Judith Brink for $983,000.

Centerco Properties

buys Naples Goodyear

BUYER: CCB III LLC, St. Louis

SELLER: RSB Naples LLC

PROPERTY: 14275 Collier Blvd., Naples

PRICE: $3.17 million

PREVIOUS PRICE: $785,000,

LAW FIRM ON DEED: Hill Ward Henderson, Tampa

PLANS, DESCRIPTION: A subsidiary entity of the St. Louis-based real estate investment and management firm Centerco Properties LLC purchased a Goodyear Tire center in Naples for $3.17 million. The 6,800-square-foot building sits on about an acre. Arthur Loomstein, CEO for Centerco Properties, describes the purchase as an investment and says that Goodyear will remain in the building under a triple net lease.

"Goodyear is there for a long term," he says. "As best as I can tell it's still growing."

Loomstein says he's considering a similar investment in Estero.

The limited liability company CCB III LLC mortgaged the building to Merrill Lynch Commercial Finance Corp. for $2.24 million.

Truck & Van Works

relocates north on Metro

BUYER: Truck & Van Works Inc. (principals: Cynthia and Brad Mesmer), Fort Myers

SELLER: 11351 Metro Parkway LLC

PROPERTY: 11351 Metro Parkway, Fort Myers

PRICE: $1.7 million

PREVIOUS PRICE: $337,800, November 2006

LAW FIRM ON DEED: Law Office of Joseph M. Madden Jr. LLC, Fort Myers,

PLANS, DESCRIPTION: Fort Myers van- and truck-accessory retailer, customization and installation company Truck & Van Works Inc. purchased a 10,000-square-foot warehouse building north of Metro Plantation Road for $1.7 million.

Truck & Van Works plans to relocate from a leased location at 12451 Metro Parkway, according to the seller's agent Bob White of Bob White Inc.

"The building also features 3,500-square-feet of showroom and office space," White says. "It was formerly occupied by Brinker Brown (Fastener & Supply Inc., a specialty tool and fastener distributor). The building is really well suited for them. They have showroom and shop space to install the accessories."

Officials with Truck & Van Works did not return phone calls prior to publication.

White co-listed the building with Allan Fox of Comm Properties Management LLC. Tom Daugherty of Daugherty and Carr represented the buyer.

Truck & Van Works mortgaged the building to Busey Bank for two mortgages totaling $1.58 million.

Etc...

• The Fort Myers division of Orlando-based Tri-City Electrical Contractors Inc. has started on $2.7-million worth of work on a new 89,394-square-foot Immokalee Career Center in Naples through a contract with Kraft Construction. The project consists of two one-story buildings, a three-story classroom building and a new chiller plant building. Completion is scheduled for October 2008.

• Atos-Origin North America leased 13,965 square feet of space at 3434 Hancock Bridge Parkway in North Fort Myers from Cheyney Enterprises. Atos Origin is an international information technology services company. Enn Luthringer of CB Richard Ellis, Fort Myers-Naples brokered the transaction.

• Naples-based construction company Boran Craig Barber Engel Construction Co. Inc. has opened a new division dedicated to commercial and residential interior finishing and remodeling. Interiors by BCBE will specialize in small and large projects - from pools and pavers to whole-home renovations.

"With the downshift in new-home construction, many people are opting to stay in their homes and remodel rather than sell," says division vice president Jon Lawrence. "We have always been a full-service contractor but have made the decision to promote the interior finishing aspect of our business through this new division."

Interiors by BCBE will offer a full range of services: from painting and trim work to cabinetry and garage additions.

• Fort Myers-based Stevens Construction Inc. has started renovating the four-story King's Crown assisted-living facility at Shell Point Retirement Community. Stevens Construction Inc. is remodeling the facility's existing recreational and common areas and expanding the ground floor to include additional recreational space and administrative offices. Construction on the 24,000-square-foot project is being completed in multiple phases to allow King's Crown to remain operational during the renovation. Construction is scheduled for completion in early 2009.

Christopher Lee Architects designed the new space.

• Prism Microwave, LLC leased a 5,057-square-foot industrial building at 3527 Plover Ave., unit B from CAO Enterprises LLC. Christine Gonnering Martin of Investment Properties Corporation handled the transaction.

• Gerardo Santiago DDS purchased a 3,686-square-foot commercial condominium at 3021 Airport Road N., Naples for $1.16 million. Investment Properties Corp of Naples and Denise Da Silveira of Gates, D'Alessandro & Woodyard handled the transaction.

• AXA Network LLC leased 3,184 square feet of office space in Daniels Galleria East on Marketplace Road, Fort Myers from Larson Allen LLP. Thomas E. Woodyard of Gates D'Alessandro & Woodyard negotiated the transaction.

• Nova Southeastern University leased 60,305 square feet of office space at 3650 Colonial Court, Fort Myers, from Colonial Interstate Investments LLC. Jim Garinger and Jim Tamblyn of Colliers Arnold represented the landlord.

• My Angles' Attic leased 3,150 square feet of retail space in Mission Square at 1585 Pine Ridge Road, Naples from WTJ Properties LLC. Jason Chang of Colliers Arnold negotiated the transaction.

• Florida Home Health Services leased a 2,520-square-foot office in International Center at 6829 Porto Fino Circle, Fort Myers from Michael Crowther.

SARASOTA-MANATEE

Hubbard brothers bowling for land

BUYER: Hubbard Entertainment LLC,

SELLER: SMR North 70 LLC

PROPERTY: unit 1, Lakewood Centre North 1, Lakewood Ranch

PRICE: $1.33 million

LAW FIRM ON DEED: Grimes Goebel Grimes Hawkins Gladfelter & Galvano PL, Bradenton

PLANS, DESCRIPTION: Dick and Tom Hubbard, of Hubbard Entertainment LLC, closed on six acres on the northeast corner of Center Ice Parkway and Lakewood Ranch Boulevard in Lakewood Ranch for $1.33 million.

The brothers plan to develop a $7.5-million, 52,000-square-foot entertainment center with 40 lanes of bowling, a restaurant and game room with billiards and video games.

"We're considering adding a beach volleyball court," Tom Hubbard says. "We're still waiting for final state plan approval from Manatee County, which we should have in the next two to three weeks. We should have the building permits to start in six weeks to two months after that."

Sarasota-based Frederick Derr & Co. Inc. will be the general contractor for the development.

The Hubbard family is well known for its bowling interests in the Sarasota-Manatee region and still owns and operates Sarasota Lanes at the southwest corner of Fruitville Road and Lime Avenue.

Sarasota area hotelier

buys U.S. 41 vacant lot

BUYER: VEDA Hospitality LLC (principal: Pravin Gadhia), St. Petersburg

SELLER: Bluewater Development of Sarasota LLC

PROPERTY: 5350 N. Tamiami Trail, Sarasota

PRICE: $1.05 million

PREVIOUS PRICE: $1.47 million, May 2005

LAW FIRM ON DEED: Norton Hammersley Lopez & Skokos PA, Sarasota

PLANS, DESCRIPTION: Sarasota hotelier Pravin Gadhia purchased a 1.5 acres near the southeast corner of U.S. 41 and University Parkway for $1.05 million or $17 a square foot. The lot, zoned neighborhood transition, was the former home of the New College book store. It has been owned by Corvus International since 2005 and had at one time been proposed as the site for the developer's new corporate headquarters.

Gadhia says he hasn't decided exactly what to do with the site, but he thinks that it likely won't be a hotel.

"There are so many hotels out there [along U.S. 41]," he says. "The hotel market is really down right now. The reason I bought it is location, location, location."

Gadhia owns the 80-room Holiday Inn Express in Venice and a La Quinta Inn and Suites on Kings Highway in Port Charlotte that is scheduled to open in March.

Stan Rutstein with Re/Max Alliance handled the transaction.

Gadhia's limited liability company VEDA Hospitality LLC mortgaged the lot to Central Bank for $1.1 million.

Sarasota developers

plan Alta Mer II

BUYER: AM II Inc. (principals: Michael Adams and E.W. "Ted" Morton Jr.), Sarasota

SELLER: Robert and Susan Jamieson

PROPERTY: 280 Golden Gate Point, Sarasota

PRICE: $5.1 million

PREVIOUS PRICE: $465,000, January 1990

LAW FIRM ON DEED: McCarter & English LLC, Boston

PLANS, DESCRIPTION: Sarasota developer/architect Michael Adams and Ted Morton, founder of the Sarasota grocery mainstay Morton's Market, purchased the two-story Candace Marie Apartment on half an acre on Golden Gate Point for $5.1 million.

The partners plan to demolish the apartment building, which is adjacent to the seven-story Alta Mer condominium, and replace it with a 10-story, nine-unit condominium, called Alta Mer II. Adams developed the six-unit Alta Mer in 1996.

"The first one was very successful," Adams says. "Many of the original buyers still live out there. [Alta Mer II] will feature a ground level garage deck with two-car garages for each unit. The market [for condominiums] is already improving."

Units are being marketed by Morton Realty for $2.8 million to $3.5 million and will range in size from 4,400 to more than 6,000 square feet.

Adams expects demolition to start in the second quarter. Tichenor Group Architects designed the building.

The developers mortgaged the property to Branch Banking and Trust Co. for $4 million and took out a second mortgage with the apartment's former owners, Robert and Susan Jamieson, for $2.5 million.

Etc...

• The Manatee Chamber of Commerce and United Way of Manatee County plans to start construction Feb. 8 on a 9,000-square-foot building at 4215 Concept Court in Lakewood Ranch.

• Pierce Contracting Inc. has started foundation and infrastructure work on Citrus Square, a new mixed-use community on Orange Avenue in downtown Sarasota. The development will feature ground-level retail and restaurants, outdoor cafes, green spaces, an open plaza and two levels of condominiums. The condominium units are being priced from the mid-$200s to the $500s. Sarasotans George Birkhold and Pierce Contracting President Mark Pierce are developing the project. Jonathan Parks Architect designed the development, and Michael Saunders & Co. is the exclusive sales agency. The first phase of development of the project is scheduled for completion later this year.

• Fawley Bryant Architects Inc. recently received The Architectural Showcase First Place Award for its prototype middle school design from the Florida Educational Facilities Planners Association at the 2008 Winter Conference on Amelia Island. FEFPA is a statewide organization of school planners and educators who judged the design. FBA's prototype middle school design was originally developed and built for the Collier County School District and is currently being contemplated for use by other Florida school districts.

• Rick and Chris Stephens, agents with Keller Williams Realty of Greater Manatee, recently purchased Heather Hills Estates Mobile Home Park in Bradenton. The age-restricted mobile home park is located at 4925 Third St. W. and features 342 homes. Prices in the community range form $45,000 to $88,000. The 10,000-square-foot clubhouse features an auditorium, library and billiards.

• Sallin Properties USA Inc. purchased the net leased Firestone store at 2121 Stickney Point Road, Sarasota from William Meeks, trustee of the Bryant Meeks Trust Estate. Rico Boeras represented the purchaser, and Carl Wise represented the listing. Both brokers are at Preferred Commercial, Inc.

• OE Racing, LLC purchased a 27,500-square-foot industrial building at 1916 72nd Drive E., Sarasota from J-MAC of Florid, LLC, an Ohio limited liability company. Lisa Anthony, Wagner Realty, was the listing broker, and Carl Wise, Preferred Commercial Inc. was the selling broker.

TAMPA BAY

Developers Diversified

sells Bloomingdale Hill

BUYER: Bloomingdale Hills LLC, Roswell, Ga.

SELLER: DDR Southeast Bloomingdale LLC

PROPERTY: 10863 Bloomingdale Ave., Riverview

PRICE: $6.35 million

PREVIOUS PRICE: $5.02 million, June 2006

LAW FIRM ON DEED: Stanley Esrey & Buckley LLP, Atlanta

PLANS, DESCRIPTION: Mimms Enterprises, a Roswell, Ga.-based commercial real estate development firm, purchased the 78,686-square-foot Bloomingdale Hills Shopping Center on the southwest side of the intersection of Bloomingdale Avenue and Providence Road for $6.35 million.

The investment was unusual for Mimms Enterprises, which typically develops or redevelops its properties. But Brad Shoemaker, director of marketing for Mimms, says the value of the property led them to consider it.

"It's a good, stabilized, cash-flowing asset for us in a great location with a lot of rooftops," Shoemaker says. "This should be a good, long-term hold for us. A lot of our real estate the last 20 years has been in Atlanta or north Georgia. Our goal the last couple of years has been to expand."

The property was previously owned by the Oak Brook, Ill.-based Inland Real Estate Trust Inc., who passed it to Developers Diversified as part of DDR's acquisition of the Inland REIT.

"DDR has a certain criteria for its properties," Shoemaker says. "This property obviously didn't fit their needs so they put it up for sale. We bought a shopping center from them up in Georgia so we already had a relationship." The purchase equated to a 7% capitalization rate, according to Shoemaker.

At the time of the sale, the shopping center had a single 900-square-foot vacancy, but since then an existing tenant The Pizza Pie has agreed to take over the vacant space.

Albertson's, which anchors the center with a 61,286 square feet store, owns it's own building under a land lease with Mimms Enterprises. In addition, the center houses a 6,000-square-foot suite for Tampa Children's Hospital, a 1,500-square-foot Dollar Party, 2,400-square-foot Dental Health Group, 2,100-square-foot The Pizza Pie, 1,200-square-foot Cutie Beauty Salon, 1,200-square-foot Great Clips, 1,000-square-foot Shanghai Chinese Restaurant, 1,000-square-foot Signature Cleaners and 1,000-square-foot Sun Nail & Spa.

Mimms Enterprises mortgaged the center to First Cherokee State Bank for $4.76 million.

New York company

buys Colony Crossings

BUYER: Tampa Realty Associates LLC (principal: Myron Vogel), Old Westbury, N.Y.

SELLER: Colony Crossing SDM LLC

PROPERTY: 10005 W. Hillsborough Ave. and vacant residential land in the Elliott and Harrison subdivision, Tampa

PREVIOUS PRICE: $15.6 million, January 2006

LAW FIRM ON DEED: Richard Gilkey Law Firm, Clearwater

PLANS, DESCRIPTION: An Old Westbury, N.Y. company headed by Myron Vogel of Boca Raton purchased the 117,176-square-foot Colony Crossings retail center for $17.54 million. The Publix-anchored center, which sits on 14 acres, was built in 1989.

As of the real estate research firm CoStar Group's latest review, the center was 94% occupied and had 6,500 square feet vacant. As marketing circular says the center houses a 42,112-square-foot Publix Supermarket, 10,000-square-foot Shapes Family Fitness, 9,520-squarte-foot Harrington Benefit Services, 4,000-square-foot Dollar Tree, 3,466-square-foot Beef O'Brady's and other smaller tenants.

The Review was unable to contact Vogel for comment.

TA Associates acquires

Grand Regency Center

BUYER: Realty Associates Fund VIII LP (TA Associates Realty), Boston

SELLER: Glenborough Grand Regency LLC

PROPERTY: 524 Grand Regency Blvd., Brandon

PRICE: $8.53 million

PREVIOUS PRICE: $5.4 million, December 1997

LAW FIRM ON DEED: Stutzman Bromberg Esserman & Plifka Professional Corp., Dallas

PLANS, DESCRIPTION: A fund managed by Boston-based TA Associates purchased the 48,600-square-foot Grand Regency Business Center in Brandon for $8.53 million. Communications/telephony company Avaya Inc. leases the entire building.

TA Associates funds have been on a buying binge recently in the Gulf Coast. In the third quarter, a TA Associates Fund purchased the 252-unit 210 Watermark apartment complex in Bradenton for $14 million. Last year, the company also purchased the 63,660-square-foot Punta Gorda Crossings Shopping Center for $10.75 million.

In the Tampa market, it has acquired a 410,000-square-foot warehouse/distribution building in Tampa East Industrial Park, the 96,491-square-foot, class-B President's Plaza II office building and the 352-unit Bermuda Lake Apartments in Brandon. In 2006, the private equity firm purchased the four office-building Gateway Office Park in Sarasota for $55 million.

Etc...

• Bradenton-based Trident Building Systems Inc. has contracted with Bradely Construction of Clearwater to manufacture, deliver and erect a new high/dry rack boat storage facility for a marina facility in Dunedin. The complex, called Marker 1, will provide high/dry housing for more than 300 boats up to 40 feet in length along with an 80,000-square-foot, resort style boat facility.

• Crescent Resources soon will top off the eight-story Corporate Center Four at International Plaza on Boy Scout Boulevard and Lois Avenue in Tampa ahead of schedule. The 247,000-square-foot office facility - the Westshore District's first LEED-certified office building - is scheduled to open in the fall.

• St. Petersburg-based green building consulting firm REAL Building, reports its model home in St. Petersburg has been LEED-certified GOLD by the U.S. Green Building Council - making it the only GOLD-rated home in Florida and one of only 19 in the United States. The home was part of the USGBC's Leadership in Energy and Environmental Design for Homes pilot program.

Located at 216 84th Ave. N.E. in St. Petersburg, the house was designed by REAL Building to reduce energy consumption, conserve water usage, create an efficient structure, and improve health and safety. REAL Building also specified every material used in the home to showcase the best "green" products, materials, and systems available today.

• Dr. Robert Orta purchased a 5,000-square-foot office building at 801 Dr. Martin Luther King Jr. Blvd., Tampa from Dr. Tony Castro for $905,000. Jim Allen of Colliers Arnold represented the seller.

• Pinellas Federal Credit Union purchased 36,000 square feet of land at 3100 Fifth Ave. N., St. Petersburg from 3100 5th Avenue Trust for $700,000. Carol Warren of Colliers Arnold represented the buyer.

• Wachovia leased a 1.5-acre retail outparcel in Highland City Town Center at U.S. 98 South and Clubhouse Road, Highland City from Highland City Town Center LLC. Hal Colbert of Colliers Arnold represented the tenant.

• AeroMed leased 26,400 square feet of industrial warehouse space in St. Petersburg Industrial Park at 1551 102nd Ave. N., St. Petersburg, from TA Associates Realty. John Dunphy of Colliers Arnold represented the landlord, and Bryan Jerome of Prudential CRES represented the tenant.

• DIG leased 16,000 square feet of industrial warehouse space in Sunstate Commerce Center at 8404 Sunstate St., Tampa from WSI Sunstate Industrial IV LLC. Scott Altieri of Colliers Arnold represented the landlord. Bryan Lauer of CLW represented the tenant.

• Haller Industries Inc. leased 15,313 square feet of industrial warehouse space in Sunstate Commerce Center at 4895 W. Waters Ave., Tampa from WSI Sunstate Industrial IV LLC. Scott Altieri of Colliers Arnold represented the landlord.

• Southeast Color leased 10,000 square feet of industrial warehouse space in Pioneer Park at 5410 Pioneer Park Blvd., Tampa from WSI Pioneer Industrial IV LLC. Scott Altieri of Colliers Arnold represented the landlord, and Joe Garvey of CLW represented the tenant.