24 Hour Local Real Estate News

Middle Market Digest – The Northeast

Here is a roundup of the latest leases, sales and other transactions in the Northeast middle markets.

NEWS & NOTABLES

BOSTON— Newmark Knight Frank reports it has completed the sale of the 826-space parking garage, which includes 10,500-square-feet of vacant ground-floor space, at Revere Hotel Boston Common in Boston.

NKF’s Boston Capital Markets Group led by U.S. head of capital markets Robert Griffin, vice chairman Edward Maher, executive managing director Matthew Pullen and director James Tribble oversaw the transaction of the asset on behalf of the seller Pebblebrook Hotel Trust, which reported the sale price at $95 million. The deal closed on June 23.

The parking garage at the Revere Hotel Boston Common. The parking garage at the Revere Hotel Boston Common.

The garage is one of the largest parking structures within Boston’s highly desirable Back Bay neighborhood. Additionally, it is an integral part of the Revere Hotel Boston Common, an upscale hotel with 356 rooms and a popular rooftop pool and bar.

NEW YORK—Investcorp has hired Mark Patterson to the firm’s real estate team as its first advisory director. Patterson will join Investcorp’s New York office and will be focused on expanding the company’s real estate platform. Additionally, he will serve as a member of the investment committee and assist in evaluating transactions for the Firm.

Patterson brings more than 30 years of experience in investments and capital markets to Investcorp and has been involved in a wide variety of financing activities that have spanned the real estate industry in global property markets. Patterson is currently a consultant and president of MP Realty Advisors LLC. Previously, he served as chairman of Boomerang Systems, Inc. and as its CEO until January 2015.

NEW YORK CITY—Todd B. Marcus has joined the law firm Pryor Cashman as a partner in real estate and commercial litigation groups. Based in New York City, Marcus brings more than 28 years of experience representing clients in complex real estate and commercial litigation disputes to the law firm. He joins the firm from Sidley Austin LLP, where he was a partner.

Marcus’s real estate experience includes representing parties in disputes concerning the ownership, financing and leasing of real property, partnership and joint venture disputes, as well as contentious mortgage foreclosures and real estate brokerage and contract disputes. In these areas, he represents financial institutions, real estate investors and owners, landlords, tenants and real estate funds, among others.

In addition to his work in real estate, Marcus also litigates a wide range of commercial matters, including cases involving financial instruments, consumer rights, creditors’ rights, lender liability and other business disputes. Marcus received his J.D. from The George Washington University Law School and his B.S. in electrical engineering from Lafayette College.

MOUNT LAUREL, NJ—Title Resource Group LLC, a full-service title and settlement services provider, and subsidiary of Realogy Holdings Corp. reported recently the completed formation of a national commercial title services division, TRG Commercial, and appointed Cheryl Baillis as its president.

Simultaneously, TRG acquired the assets of EAM Land Services, a prominent title company in New York, and will merge its existing Skyline Title operations to form a new company, which TRG intends to operate as Pro National Title Agency, LLC, pending customary regulatory approval.   No financial terms of the transaction were released.

Baillis, a veteran executive in the title industry who previously served as vice president for First American’s National Commercial Services, joined TRG in late 2016 and successfully set plans in motion for the company’s strategic expansion to offer national commercial title services.

BETHEL TOWNSHIP, PA– Dermody Properties, a national industrial real estate investment, development and management company, recently broke ground on LogistiCenterSM at Midway. At completion, the building will offer approximately 1.08 million square feet of space suited for warehouse, distribution or e-commerce business. Dermody Properties expects to complete construction in the spring of 2018.

LogistiCenterSM at Midway is located at 270 Midway Road in Bethel Township on a 136-acre site with direct access to I-78. This transportation-advantaged location puts it within a one-day truck drive of 36% of the US population and 60 percent of the Canadian population. Nearby multi-national companies include Samsung, Dollar General, and PetSmart.

Upon completion, LogistiCenterSM at Midway will offer 36 feet of clear height, 60-foot loading bays, 207 car parking stalls (expandable to 309), 368 trailer stalls (expandable to 438), 212 dock doors, four drive-in doors and a s truck court at 185 feet deep. The building architect is Ware Malcomb and the general contractor is Blue Rock Construction.

LONG BEACH, NY—Stabilis Capital, a New York-based investment firm with a specialty in rejuvenating commercial properties, has named Highgate to manage the Allegria Hotel as it continues to transform the Long Beach, NY property into a world-class destination. Highgate will oversee all operations of the 124,000-square-foot luxury oceanfront hotel.

Since taking over the hotel in late 2016, Stabilis has invested heavily in renovating The Allegria located on the Long Beach Boardwalk. The renovations, when completed, will include updated guest rooms and common areas, a new heating and air conditioning system, opening rooftop pool service, a new coffee shop in the lobby, and upgraded menus and dining options, among other initiatives.

The deluxe beachfront hotel features 143 guest rooms, including 31 suites, an onsite restaurant and bar plus 12,000 square feet of meeting and event space. Additional onsite amenities include a rooftop pool, poolside lounge chairs, direct beach access and on-site valet parking.

HOBOKEN, NJ—The Daten Group’s “VibeLiving” division has launched the leasing of the newly opened seven-story, 46-unit luxury rental building at 600 Harrison in Downtown Hoboken.

600 Harrison St Hoboken NJ 600 Harrison St Hoboken NJ

The 69,155 square foot building at 600 Harrison, designed by Nastasi Architects, between 6th and 7th Streets features modern and sleek finishes and an amenities package that includes a virtual doorman for enhanced security, spacious layouts with washer-dryer in each apartment, a modern, private gym, outdoor recreation space and 32-spot parking garage.

This marks The Daten Group’s involvement in its fourth suburban building to be built under its Vibe Living lifestyle brand. The New York-based developer is also building a 39-unit luxury rental near the Barclay’s Center in Brooklyn at 840 Fulton St. and a 70-unit luxury condo in Park Slope, Brooklyn at 575 4th Ave. The Daten Group also recently sold out a luxury condo of 14 units in Brooklyn Heights at 72 Poplar St. where the firm transformed an old police precinct and got record prices including $6.95 million for a condo/townhouse attached to the building, the company stated.

DEAL TRACKER 

NEW YORK CITY—Trion Holdings has recently acquired two new buildings in New York City for a combined sum of $28.5 million. The two acquisitions by the Yonkers and New York City-based real estate investment and management firm are its fifth and sixth major purchases in the span of 24 months, for a total of $88.5 million.

48 Nicholas Place in Manhattan 48 Nicholas Place in Manhattan

The first acquisition was 818 10th Ave., a five-story walk-up building with 12 units and two stores which has been acquired for $11.5 million The building is in the Mid-Town West neighborhood which is located within walking distance to the Hudson River, Theater District, Central Park, and the subway system. The second acquisition was 48 Saint Nicholas Place, a building located in the Hamilton Heights neighborhood in Manhattan. The six-story building features 42 units. Trion Holdings acquired the property for $17 million.

ROCHESTER, NY—Top Capital of New York, LLC, a Rochester-based capital investment and business development private equity firm, is investing more than $145 million in the upstate New York market, creating an estimated 200 development jobs and 260 full and part-time positions. The firm’s most significant investments to-date span three major commercial properties—the Chateau at Heritage Square, Saratoga Station Park Complex and Destination Hotel and Conference Center at Colgate Rochester Crozer Divinity School Campus.

Recently opened, the Chateau at Heritage Square in Brockport, an $18-million investment, is an upscale independent and assisted living community for seniors aged 62 and older. The luxury facilities include large well-appointed apartments with fireplaces and granite counters. Other amenities include a restaurant and cocktail lounge that is open to the public, a patio fireplace, putting green, bocce courts, walking paths, public salon and spa, housekeeping, transportation and 24-hour on-site security.

Top Capital’s largest project in development is Saratoga Station Park Complex in Saratoga Springs, a $91-million investment. When complete in 2019, the property will include a luxury hotel, salon and spa, fine dining, shopping, outdoor recreation space, underground parking, luxury condominiums and senior apartments.

NEW YORK CITY—Storage Deluxe, a Manhattan-based self-storage owner and developer, has acquired the former Storage Quarters self-storage facility located at 31-40 Whitestone Expressway in College Point, Queens for $27 million.

31-40 Whitestone Expressway, Queens, NY 31-40 Whitestone Expressway, Queens, NY

Storage Deluxe plans to refurbish the existing 110,000-square-foot building and construct a brand new ground up facility of approximately 57,000 square feet adjacent to the existing building. Upon completion of the new building, the property will contain 167,000 square feet, more than 2,000 units and covered loading. With the of acquisition 31-40 Whitestone Expressway, Storage Deluxe currently owns three storage facilities in the College Point and Flushing markets totaling approximately 500,000 square feet and 6,000 units.

Since its inception in 1998, Storage Deluxe has developed 46 projects that total approximately 5 million square feet and include 42 self-storage facilities, three art-storage facilities, 58,000 square feet of retail, and an exotic car storage facility. In 2011, Storage Deluxe sold 22 of its self-storage facilities to CubeSmart for more than $560 million, and transitioned the management of its day-to-day operations to CubeSmart as its third-party manager.

FOXBOROUGH, MA—NAI Hunneman recently completed two lease transactions for 8,705 square feet of office space at 10 Lincoln Road in Foxboro. ConnectPay, a payroll company is relocating from 132 Central St. in Foxboro into 6,322-square-feet of office space on the first floor; while Performance Environmental Services LLC, a privately-owned building services company based in New Haven, CT has leased 2,383 square feet, also on the first floor.

NAI Hunneman EVP Cathy Minnerly, VP Ovar Osvold and associate Sean Hannigan represented the landlord R & R Realty in both transactions, along with procuring tenant Performance Environmental Services. Connect Pay was represented by Patrick Joyce of CBRE.

MONEY MOVES

 BOSTON, MA—Holliday Fenoglio Fowler, L.P. has secured $80 million in acquisition financing for Suffolk Downs, a 161.2-acre, transit-oriented development site located in East Boston and Revere, MA.

Working on behalf of the borrower and buyer, The HYM Investment Group, LLC, HFF placed the short-term, floating-rate loan with Bank of the Ozarks. Additionally, HFF acted as an advisor to the buyer in the transaction. The HFF team was led by executive managing director John Fowler, managing director Anthony Cutone, director Jennifer Keller and associate Andrew Gray.

Suffolk Downs is located between East Boston and Revere, just four miles from Boston’s downtown commercial core. The site comprises 108.8 acres in Boston and 52.4 acres in Revere and is adjacent to Route 1A. The transit-oriented property is also served by two MBTA Blue Line stations, Suffolk Downs and Beachmont, providing access to Downtown Boston in less than 10 minutes. The site is currently the location of the Suffolk Downs horse racing facility, which will have its last racing season in the summer of 2018.

HYM on its website stated that its vision for the underutilized Suffolk Downs horse racing facility “is to transform the land into a highly-resilient, transit-oriented, mixed-use development with commercial office, retail, housing, and open space. This 161-acre site has been separated from the community for decades and will be reconnected to the adjacent neighborhoods. The powerful new economic hub will include hotels, street-front retail, restaurants and will generate new jobs, new local tax revenues and create a destination that is significant for the futures of both Revere and East Boston.”

 

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