Monthly Archives: January 2016
From Healthcare Design, a publication on just that topic, comes a good article on the trend of hospitals and doctors going to the suburbs. Its all about market share, building a brand, convenience, and a having a presence near where people spend most of their time and where they need a doctor – their homes.
Pattillo just enlarged it’s local real estate holdings with a recent $14.7M purchase from Prologis. The purchase included 2 separate acquisitions:
- Perimeter West I distribution center- a 138k SF structure on 7.1 acres on Pritchard Road, close to Pattillo’s Westside Industrial Park. The building was fully leased at the time of the sale and the property sold for $7.5M.
- The other acquisition was for 96 acres of vacant, industrial zoned land, which can accommodate up to 1.5M SF. This portion of the deal was valued at $7.175M.
Wawa, the popular PA headquartered gas/convenience store chain, has formally announced that it is going to be entering the Northeast Florida marketplace. The initial plans call for 5-6 stores, and growing to 20-25 over time. Wawa entered the FL market in 2012 in the Central Florida market, and now has 87 locations in the state. The ideal Wawa is 6,000 SF on a 2 acre site and has 16 fuel stations/8 pumps, and located on a high traffic road.
Wawa operates over 700 stores in PA, NJ, DE, MD, VA and FL. It’s differentiator is quality- from made to order food and drinks to clean, well-kept and well-located stores.
Gatlin Development and Gate Petroleum have announced a strategic partnership to develop Gate’s Durbin Creek property, located in northern St. Johns county, where I-95 and 9B connect.
According to the developer, the first phase will include a total of 600k square feet on 80 acres and will be anchored by 3 big box retailers, accounting for 450k SF (150k SF balance will be small shop retail / restaurants). Without naming the anchor tenants, Mr. Gatlin described them as: “a discount department store, a home improvement store and a membership club”. The initial phase is estimated to cost $125m, with construction set to begin in Q1, 2017 and a 1 year expected construction timeframe.
The project is designed for 4- 5 year phases. The property is 1,600 acres, of which only about 600 is developable. Eventually it will encompass 2.4m SF of retail/shopping center space, 2.8m SF of office, 350 hotel rooms and 999 multifamily units. The retail component is expected to cost about $500m, spread over the 4 phases. A major highlight of the project, includes the areas first and long awaited Bass Pro Shops, which should occur in the second phase of development.
The City of Jacksonville just published a video titled “Endless Possibilities: Jacksonville”. Watch the video HERE to learn more about the First Coast/River City.
North Campus Hall, a 4 story dormitory built in 2015 and housing 274 JU Freshman, sold for $17.5M on January 8th. W.P. Carey bought the property from Rimrock Delvin Dorms, LLC.
The 69 acre site (30 acres developable) at the St. Johns Town Center (across from Publix) that was under contract to Core Property Capital closed at $23.5M, and now has a name- Town Center Promenade. Since closing, the buyer has released some additional information about the proposed development. Highlights include:
- National Grocer
- Full-service hamburger restaurant
- Brazilian steakhouse
- Two (2) Hotels
- Apartment complex (on 8.5 acres)
- Includes 11 outparcels
The Year-End 2015 Investment Market Report covers commercial real estate investment activity that occurred in the last 2 quarters of 2015 in the Northeast Florida market. As you will see in the report, Colliers International was involved in many of the sales, and was the most active brokerage firm in town in the investment arena during the 2nd half of 2015, based on total number of transactions. Colliers was particularly active in the shopping center and single tenant net leased sectors, selling a Publix ground lease at a record 4.74% cap rate, as well as representing both buyer and seller in the largest shopping center sale of 2015 in an off-market transaction (Island Walk – Fernandina Beach).
$855M of investment sales occurred in the second half of the year, resulting in a total of $1.7B for the entire year. Note that these figures only include assets that traded that were generating income at the time of the sale, and do not represent total commercial real estate activity. The report includes apartment/multifamily, hospitality, single tenant net leased assets, shopping centers, office and industrial properties. Deals that were excluded from the report include owner-occupied sales and vacant land/buildings.
View/Download the report HERE
Colliers sold the Tuffy Automotive in Palm Coast for $2.42M. The building is 7,000 SF and leased to Tuffy on a NNN basis, with 10+ years remaining on the lease. The building also featured a small chiropractors office. The building traded within 4% of the list price.
121 Financial purchased a building at 701 Riverside Park (Riverside submarket) for $3.4M. The community credit union will move their headquarters to the building. The building is 3 stories, 43,170 SF and was built in 1980. Colliers represented the buyer in the transaction.
The Elks Building located in downtown sold for $4.5M, or $158/SF, to a CA buyer. The building was 92% leased at the time of the sale; tenants included Jimmy Johns, Bark and First Stop Urgent Care.
Terraces at Town Center sold for $39M or $144,444/unit. The 270 apartments were built in 2013. The land sold for $12.9M in 2007.
First Coast & Florida jobless figures declined in November: Jobless rates on the First Coast (Duval, Clay, St. Johns, Nassau and Baker) fell to 4.7 in November, down from 4.9 in October (before seasonal adjustments). Taking into account season adjustments, those figures equate to 4.8 in NOV, down from 5.1 in OCT. FL jobless rates fell from 5.1 in OCT, to 4.8 in NOV before seasonal adjustments. After seasonal adjustment, this equates to a NOV rate of 5, down from 5.2 in OCT.
Single-family home permits highest since ’07: According to the Northeast Florida Builders Association, 6,725 single family home permits were issued in Duval, St. Johns, Nassau & Clay counties during 2015. This figure equates to about 650 more than in 2014, and twice what was pulled during the “collapse” in ’09-’11, and significantly lower than the all time high of over 17,500 during the 2005 “boom”.
Atlantic & Vilano Beach Named as Top 10 Under the Radar FL Beach Towns: Two local beach communities, Atlantic Beach and Vilano Beach, were both recently made a top 10 list of “under-the-radar” beach towns, as decided by travel report by Fodor, a well respected travel publisher and website. The list did not have any numerical order, and other top 10 towns included Cedar Key, Pass A Grill Beach, Deerfield Beach, Vero Beach, Ponce Inlet, Anna Maria Island, Santa Rosa Beach and Gasparilla Island.
Frontier Airlines plans New Flights from St. Augustine: Frontier has just announced it would be adding two new non-stop flights out of St. Augustine’s Northeast Florida Regional Airport, one to Philadelphia and into Chicago. The flights to Chicago start April 14th, with flights on Tuesdays, Thursdays and Sundays. The flights to Philadelphia begin the next day, April 15th, and will operate on Mondays, Wednesdays, Fridays and Saturdays.