Redwood Capital Group Grabs Largo Multifamily Complex for $17M

By Georgiana Mihaila, Associate Editor

Redwood Capital Group has recently added 304 units to its growing multifamily portfolio with the purchase of a 304-unit multifamily complex in the central Pinellas County city of Largo.

Jamie B. May with Institutional Property Advisors—the multifamily brokerage division of Marcus & Millichap—mediated the Landmark at Largo Crossing deal on behalf of the owner, a joint venture between Landmark Residential and Brookfield Real Estate Opportunity Fund. Buyer Redwood Capital Group paid $16,750,000 for the property, or $55,000 per unit.

“Landmark at Largo Crossing is a recently renovated asset that was offered free and clear of debt,” says May. “The new owner is well positioned to reap the benefits provided by the area’s resurgent job market, promising demographic trends and changing housing preferences.”

Located at 305 Glades Circle on the north side of Ulmerton Road in Largo, the property is part of a vibrant commercial corridor featuring office parks, shopping plazas and restaurants. Built in 1974 on approximately 10.7 acres, Landmark at Largo Crossing was renovated in 2011. Composed of 28 two-story concrete buildings with stucco exteriors and pitched asphalt shingle roofs, the community consists of 144 one-bedroom units, 128 two-bedroom apartments and 32 three-bedroom units.

Amenities include a resort-style pool with cabanas and a large brick paver sundeck, a newly constructed fitness center building, a multi-use sport court, a large laundry center, a car care center, an enclosed dog park and a spacious picnic and barbecue area.

Image via Landmark at Largo Crossing’s Facebook Page

Looking to Expand, MIG Real Estate Buys Hilton Garden Inn

By Georgiana Mihaila, Associate Editor

MIG Real Estate closed on its fourth Florida hotel, adding the Hilton Garden Inn Tampa East/Brandon to its 11-property hotel portfolio.

The Newport Beach, Calif.-based firm is currently pursuing an aggressive expansion strategy, seeking core-plus, value-add and opportunistic investments in select-service hotels, grocery-anchored shopping centers, and office, industrial and multi-family properties.

“We are pleased to add the first Hilton Garden Inn to our hotel portfolio, furthering our relationship with the Hilton family of brands,” said Greg Merage, CEO of MIG Real Estate. “This is a very high-quality product featuring an outstanding location in a mature business park with direct accessibility to other nearby East Tampa employers, amenities and attractions.”

Built in 2002, the Hilton Garden Inn sits on a 3.53-acre property at 10309 Highland Manor Drive and consists of 152 guestrooms. The property features approximately 4,500-square feet of flexible indoor and outdoor meeting space, outdoor swimming pool, exercise room, business center, restaurant and guest laundry.

The location places the Hilton Garden Inn within the Highland Oaks business park, adjacent to an Interstate 75 off-ramp and approximately 18 miles east of the Tampa International Airport. Nearby attractions include Florida State Fairgrounds, 1-800-Ask Gary Amphitheatre, the Bob Thomas Equestrian Center and the Seminole Hard Rock Hotel & Casino, all within three miles of the hotel.

Hodges Ward Elliot represented the seller in the transaction and MIG Real Estate represented itself. The property is being operated by Raleigh-based Concord Hospitality Enterprises. The financial details of the transaction have been disclosed.

Image: Hilton Garden Inn Official Website

Phillips Edison Purchases 2 Shopping Centers in Tampa Bay Metro Area

By Georgiana Mihaila, Associate Editor

Phillips Edison-ARC Shopping Center REIT has shown a great deal of interest in metro Tampa properties this past week. It recently purchased two Publix-anchored grocery stores in the area.

The two new properties—Lutz Lake Crossing and Publix at Seven Hills—have brought the company’s portfolio to a total of 39 properties, with a portfolio aggregate purchase price of approximately $486.3 million. The company did not disclose the price of the recently-acquired properties.

Lutz Lake Crossing is a 64,986-square-foot shopping center located in Lutz, Fla., approximately 15 miles north of Tampa. The shopping center is anchored by a Publix grocery store, the No. 1 traditional grocer in the Tampa area by market share and is currently 86 percent occupied.

The other shopping center, Publix at Seven Hills, is a 72,590-square-foot shopping center located in Spring Hill, Fla. Anchored by a Publix store, the retail center is currently 91 percent leased.

Lutz Lake Crossing was not the sole Lutz retail property to trade these past days. Van Dyke Commons, a 139,347-square-foot retail center located at the intersection of Van Dyke Road and North Dale Mabry Highway, exchanged hands in a $30 million deal.

Buyer Prestige Properties & Development purchased the unencumbered property from seller iStar Financial Inc., which was represented in the transaction by Holliday Fenoglio Fowler’s Senior Managing Director Brad Peterson and Director Analyst Kim Flores.

 “Van Dyke Commons was highly sought after by investors because it was located in a primarily institutionally-owned submarket. The population growth and income demographics in the surrounding area significantly outpace the Tampa metro-wide averages. However, what really captivated investors was the strong performance by each of the anchors, shop occupancy, retention rate and the huge volume of daily traffic to the property driven by LA Fitness,” commented Peterson.

Van Dyke Commons, located 15 miles northwest of downtown Tampa, is anchored by LA Fitness, HomeGoods, and GolfSmith. Built in 2007, the 100 percent-occupied retail center also includes a 0.88-acre undeveloped land parcel.

Image via Van Dyke Commons property brochure

35K SF Nordstrom Rack Coming to Shoppes at University Town Center

By Georgiana Mihaila, Associate Editor

Nordstrom, Inc. will soon be attending to its customers in the Sarasota-Bradenton metro area. The fashion specialty retailer opened a 35,000-square-foot Nordstrom Rack shop at the Shoppes at University Town Center.

The central location, set across the street from the future Mall at University Town Center, is the site of a former Circuit City space, and it has direct access from University Parkway. Located at the intersection of I-75 and University Parkway, the center is also home to tenants such as Marshalls, Ross, and Pier 1 Imports, among others.

The Shoppes at University Town Center is adjacent to the University Park Country Club—a private community featuring 31 neighborhoods—and Lakewood Ranch. The densely populated Sarasota/Bradenton corridor offers the metro area’s largest concentrations of retail stores, restaurants and Class A office space.

“We’re excited to have found this terrific location that will enable us to bring the Rack treasure hunt experience to our customers in the Sarasota-Bradenton metro area and throughout Sarasota County,” said Geevy Thomas, president of Nordstrom Rack. “We look forward to getting our doors open and serving customers at the Shoppes at University Town Center.”

Nordstrom Rack—the off-price retail division of Nordstrom, Inc.—will be offering on-trend merchandise from Nordstrom stores and Nordstrom.com at 50 to 60 percent off original Nordstrom prices. The retailer currently operates nine full-line stores and eight Rack stores in Florida, having recently announced two additional new Rack stores in Jacksonville and Naples scheduled to open this fall in addition to the full-line store slated to open in Jacksonville next year. The Sarasota store will be opening in fall 2013.

Image: Shoppes at University Town Center via Benderson Development

JLL Signs 16K Sq. Ft. of Office Space at One Urban Centre for Regus

By Georgiana Mihaila, Associate Editor

Global office space provider Regus will soon be tapping into office space at Tampa’s premium Urban Centre.

Jones Lang LaSalle, the exclusive manager and leasing broker for the building, secured a long-term lease for 16,072 square feet of office space on behalf Regus at One Urban Centre. JLL Vice President Deana Beer represented One Urban Centre, while Brent Miller, also vice president for JLL, represented the tenant in the transaction.

Regus, the world’s largest provider of flexible workplaces, will use the space as its fifth Tampa Bay area business center; it will offer executive suite offices, meeting space and virtual offices, starting this spring.

The Class A mid-rise building, located at 4830 W Kennedy Blvd. in Tampa’s Westshore submarket, has undergone extensive renovations valued at more than $10 million to the atrium lobby, common area corridors and restrooms, elevators, roof replacement and courtyards. The property is 92 percent leased and houses elite tenants such as American Momentum Bank, UNUM Life Insurance, Ideal Image and MassMutual. It boasts a nine-story atrium, four-star hotel, private membership club, restaurants, dry cleaners, auto detailing, fitness center, state of the art conference center and more.

Along with its twin Two Urban Centre, the building has recently received NAIOP’s 2012 Best Office Building Award and BOMA of Greater Tampa Bay’s 2012 Outstanding Building of the Year (TOBY) Award in the Suburban Office Park, Mid-Rise category.

“It is wonderful to have Regus as a tenant, as it will fulfill the needs of single and small office space users, startups and traveling executives,” said Beer. “Urban Centre is truly a city within a city. Regus and its tenants will benefit from its high-profile location, unmatched amenities and unique personal and business offerings.”

Image Courtesy of Schwartz Media Strategies

Crescent Changes Name of $86M Tampa Multifamily Community

By Georgiana Mihaila, Associate Editor

Following the recent groundbreaking ceremony held on Feb. 13, developer Crescent Resources is changing the name of its landmark $86 million multifamily development in Tampa from “Circle” to “Crescent”.

“Crescent is focusing on innovation in all aspects of our work, including how we design and build multifamily communities for the way people live today,” said Brian Natwick, president of Crescent’s Multifamily Division. “By shifting the name of our apartment communities, we are signifying that when you see the Crescent name on a development, whether it’s apartments or mixed use, you can be confident of a thoughtful approach to every aspect of the community, from site selection to amenities and from sustainability to community building.”

First announced in September 2012, Crescent Bayshore— the company’s fifth multifamily project in Tampa—is a 367-unit apartment community currently underway at 319 Bayshore Blvd. The development will feature studio, one-, two-, and three-bedroom floor plans and include amenities such as three secluded courtyards, two rooftop terraces or the 7,000-square-foot resort-style pool deck complete with an outdoor kitchen, covered dining, and bay-side lounging.

The units will feature gourmet kitchens with granite countertops, prep islands, and stainless steel appliances, while bathroom finishes are set to include granite countertops, ceramic tile floors and tub and shower surrounds. Each unit will have high ceilings, spacious walk-in closets, and private balconies as well as recessed lights, fans, and built-in USB outlets.

Consistent with all of Crescent’s developments, Bayshore will incorporate many sustainable features and materials. The community has been designed to meet Leadership in Energy and Environmental Design (LEED) certification requirements from the U.S. Green Building Council.

MSA Architects of Miami designed the Spanish Eclectic eight-story structure, while Moss & Associates of Fort Lauderdale will serve as general contractor. The first apartments are expected to be complete in the first quarter of 2014.

Image via Circle Bayshore official website

Moffitt Cancer Center to Add $74.2M Facility in Phase I Expansion

By Georgiana Mihaila, Associate Editor

In a move that expands its footprint in the Tampa Bay area, Moffitt Cancer Center recently broke ground on a 200,000-square-foot outpatient facility on its McKinley campus.

A groundbreaking ceremony was held on Feb. 1. Special guests and speakers included Moffitt CEO Alan List, survivor Ron Giovannelli, State Surgeon General John Armstrong, Florida House Speaker Will Weatherford, Tampa Mayor Bob Buckhorn, U.S. Rep. Kathy Castor, Florida Rep. James W. Grant and founder H. Lee Moffitt.

The $74.2 million project was made possible by a 30-acre land donation from the city of Tampa and Hillsborough County, as well as support from the Florida Legislature.

“We are so grateful that the city and county have stood in full support of Moffitt’s mission — to contribute to the prevention and cure of cancer — since we opened,” said Alan F. List, M.D., Moffitt president and CEO. “And this new facility would not have been possible without the foresight and vision of our Florida Legislature, including the tireless efforts of Rep. James Grant and Sen. Ronda Storms.”

The new McKinley facility will include clinics, an ambulatory surgery center, infusion and imaging facilities, research labs, and space for blood draws. Approximately $54.2 million will be spent on the eight-story building and parking garage, with $20 million being the estimated cost necessary to equip it.

Tampa Mayor Bob Buckhorn discusses Moffitt’s importance to the Tampa Bay community

According to the company, the clinics will include screening services moved from Moffitt Cancer Center Screening and Prevention’s location on Fowler Avenue. The four new ambulatory surgery suites will serve patients with cancers including breast, melanoma, head and neck, and sarcoma. Clinical space will include breast and skin cancer programs, as well as associated imaging. Accompanying the medical services areas will be offices, administration facilities and dining areas.

The new facility, slated to open in 2015, is the first phase of the McKinley campus expansion. Moffitt’s McKinley campus–located less than a mile from the cancer center’s main campus—opened in 2009.

Images via Moffitt Official Facebook page

Standard Pacific Homes Buys 675 Acres in Wiregrass Area of Tampa

By Georgiana Mihaila, Associate Editor

Well-known homebuilder Standard Pacific Homes has officially announced buying 675 acres in the Wiregrass area of New Tampa from Sierra Properties.

The developer plans to create over 20 all-new luxurious architectural designs to be offered on 1,180 homesites within four distinctive Wiregrass neighborhoods, all targeting the move-up buyer segment. With a grand opening planned for the beginning of 2014, Standard Pacific Homes will offer all-new home designs that feature large-scale open spaces and thoughtful design details suited for modern people.

“As one of the few remaining parcels of land in this prestigious setting, Wiregrass is a perfect match for Standard Pacific Homes’ growth strategy which focuses on building exceptional communities in premier locations,” said Southeast Regional President for Standard Pacific Homes, David Pelletz. “The top-caliber quality of the community will serve as a flagship for future master-planned communities being created by Standard Pacific Homes in the Florida market.”

The homes will range in size from 1,800 to 5,000 square feet and will feature elegant exterior styles including Italianate, Spanish and European Cottage. Another notable feature is the highly-appointed gourmet kitchen that flows into an expansive great room, an ideal space for entertaining and everyday life, says the company. The homes will also introduce an indoor/outdoor living concept as well as master suites outfitted with spa-like master baths.

The amenity package includes a clubhouse, tennis courts, a lap pool, a lagoon-style pool, a community playfield and a walking trail system. Located less than two miles from the community is The Shops at Wiregrass, an affluent shopping mall offering 800,000 square feet of retail, restaurants and entertainment options. The surrounding area also includes quality schools, a community college, the Florida Hospital–Wesley Chapel–and a 100-acre regional park. Plus, the community offers direct access to job opportunities as one of the two main gateways into the Tampa Business District.

Image: Italianate home exterior, courtesy of Standard Pacific Homes

Hines Taps Into Tampa Bay Market with 308-Unit Apt. Complex

By Georgiana Mihaila, Associate Editor

International real estate firm Hines recently started construction on its first St. Petersburg project, the 308-unit Azure Residences multifamily complex. 

Located within the Carillon Park master-planned community, Azure will include 308 luxury garden-style residences in seven three-story buildings and one four-story building with direct entry and detached parking garages. Consisting of one-, two- and three-bedroom apartments with sizes ranging from 655 to 1,376 square feet, the complex will feature an amenity package including a clubhouse, a resort-style swimming pool, a state-of-the-art fitness center, an Internet café and a sports lounge.

Designed by The Preston Partnership of Atlanta, Azure’s architecture is meant to evoke a coastal style with buildings clad in clapboard siding and incorporating shake accents, wide eaves, metal roof accents and stucco at the buildings’ bases. Upper-level apartments will also benefit from water views of Tampa Bay.

Located in proximity to Roosevelt Boulevard, Ulmerton Road and I-275, Azure Residences will be a drive away from some of the region’s best beaches in St. Petersburg and Clearwater. Furthermore, as part of the Carillon Park community—comprised of more than two million square feet of Class A office space, a Publix grocery-anchored retail center, a four-star hotel and a 60,000-square-foot outpatient clinic—the multifamily community will benefit from the neighboring employers in the area that include Raymond James, Franklin Templeton, Aegon, Fidelity National, General Dynamics, Jabil Circuit and PCSU Financial.

According to an official Hines announcement, the general contractor Urban Oaks Builders expects occupancy of the first units in October 2013, with final completion set for October 2014.

Hines Managing Director and leader of the firm’s Southeast Region multifamily platform Jon Wood said, “Azure is a significant project for us as it will occur on one of the few remaining apartment sites in St. Petersburg and within one of the best locations in the area, Carillon Park. We look forward to growing our multifamily presence in Central Florida.”

Hines is the developer of the 276-unit Ponce & Bird multifamily project currently underway in Miami, and is highly familiar with the Florida market; the company’s experience in Florida includes the development of 3,000 acres of master-planned communities including Palencia, Glen St. John and Woodlawn in Jacksonville; the 16-story, 101-unit luxury condominium tower, Madeira on Marco Island; the 55-story Wachovia Financial Center in Miami; and the 12-story 2525 Ponce de Leon building in Coral Gables. Hines recently acted as the development manager for the Frank Gehry-designed New World Center performing arts center in Miami Beach, as well as the new Dr. Phillips Performing Arts Center currently under construction in the City of Orlando.

Image courtesy of Hines

Driftwood Hospitality Buys Hyatt Regency Tampa, Plans Hilton Rebranding

By Georgiana Mihaila, Associate Editor

After being on the market for nearly six months, the 521-room Hyatt Regency in downtown Tampa is now under new ownership. Driftwood Hospitality Management LLC purchased the property for an undisclosed amount.

The acquisition marks Driftwood’s re-entry to the Tampa market; “We are excited to return to the Tampa market and believe this property is poised for success with terrific core offerings and a central location that appeals to business and leisure travelers alike,” said Mike Diaz, CEO of Driftwood Hospitality Management.

The Hyatt Regency is located at 211 North Tampa Street in downtown Tampa. The hotel features a full-service Avanzare restaurant and lounge, a heated outdoor pool, rooftop whirlpool, gift shop and fitness center. The 521-room hotel boasts 30,000 square feet of flexible function space and access to nearby beaches, golf courses, tourist attractions and local corporations.

The new owner plans on investing $13 million into property renovations, which are expected to commence within the coming weeks. As part of Driftwood’s planned renovation program, the company will reconfigure the hotel’s first floor, updating the lobby and restaurant. When complete, the location will be home to Tampa’s newest Starbucks and will feature a variety of other new amenities. Guestrooms and meeting spaces will also be refreshed in late 2013.

Effective immediately under Driftwood’s management, the Hyatt Regency Tampa will operate as Hotel Tampa – A Hilton Affiliated Property. Upon completion of the first phase of the renovation, which is slated for Q2 2013, the property will be reflagged as the Hilton Hotel Downtown Tampa.

Seller AREA Property Partners was represented in the transaction by Holliday Fenoglio Fowler’s Senior Managing Director Daniel Peek, Associate Directors Paul Hsu and Max Comess and Senior Real Estate Analyst Cyrus Vazifdar.

Parkway Closes on $22.5M Tampa-Westshore Office Building Purchase

By Georgiana Mihaila, Associate Editor

Parkway Properties Inc.has closed on the acquisition of the Westshore Corporate Center in Tampa for a net purchase price of $22.5 million. Parkway Properties has recently been on a shopping spree.

The company has first shown interest in the 170,000-square-foot building in early October; “Westshore Corporate Center is well located within the Westshore submarket and is one of our third-party managed assets in the former Eola Capital portfolio, allowing Parkway to achieve attractive pricing given the $850,000 credit we will receive at closing,” said Parkway’s President and CEO, James R. Heistand, at the time.

Located at 600 N. Westshore Blvd., Westshore Corporate Center was built in 1988 and is currently 77.7 percent leased. Parkway expects the property to generate a 2013 estimated cash net operating income yield of approximately 8.5 percent based on the net purchase price. The company will own 100 percent of the asset and plans to assume the in-place first mortgage secured by the property, which has a current outstanding balance of approximately $14.5 million with a fixed interest rate of 5.8 percent and a maturity date of June 1, 2015.

Westshore Corporate Center is currently managed by Parkway Realty Services and was formerly part of the Eola Capital LLC portfolio before Eola merged with Parkway in May 2011. Given the agreement formed between Parkway and the former Eola principals in December 2011, 100 percent of any proceeds received by the former principals were granted to Parkway. Therefore, Parkway will only be required to pay a purchase price of $22.5 million, which is net of an $850,000 credit that would have otherwise been paid to the former Eola principals.

In its effort to pursue high-quality assets, Parkway Properties has also announced entering into a purchase and sale agreement to acquire Phoenix Tower, a 626,000 square foot office tower located in the Greenway Plaza submarket of Houston for $124.5 million; Tower Place 200, a 260,000 square foot office tower located in the Buckhead submarket of Atlanta for $56 million; and 525 North Tryon, a 406,000 square foot office tower located in the central business district (CBD) of Charlotte, N.C. for $47.4 million.

Image: Westshore Corporate Center via tampachamber.com

Parmenter Realty Buys Two Tampa Office Buildings from Prudential for $85M

By Georgiana Mihaila, Associate Editor

Miami-based Parmenter Realty Partners added 494,813 square-feet of office space to its portfolio when it purchased two Class A office buildings on Rocky Point Island in Tampa, Fla. for $85 million.

Seller Prudential Real Estate Investors first started looking for a buyer for the Island Center and Waterford Plaza buildings in mid-2009, but withdrew the properties from the market only to restart marketing efforts approximately four months ago.

Mike Davis, executive director of Cushman & Wakefield’s Southeast Capital Markets Group—the firm that negotiated the transaction on behalf of the seller—said that “The capital markets again view Tampa positively from a long-term investment perspective.  Accordingly, well-positioned core assets are in high demand.”

The Cushman & Wakefield’s Southeast Capital Markets Group sales team was formed by Mike Davis, executive director, Rick Brugge, CCIM, associate director and Michael Lerner, senior director. Cushman & Wakefield was assisted by CLW Real Estate Services.  The sale price of $85 million equates to approximately $169 per square foot.

Totaling 494,813 square feet, Island Center and Waterford Plaza are both Class A, 12-story office buildings and have been built in 1985 and 1986 respectively. The 249,797-square-foot Island Center is located at 2701 Rocky Point Drive and spans over 2.9 acres, while the Waterford Plaza, located at 7650 Courtney Campbell Causeway, encompasses 245,016 square feet.

The two buildings were 85 percent leased at the time of the sale, with a tenant roster that includes URS Corp., Cigna Healthcare, GXS Inc. and TCM Bank.

Image: Island Center via LoopNet

Richman Group Plans $45M Apt. Community on Industrial Park Site

By Georgiana Mihaila, Associate Editor

The Richman Group of Florida unveiled plans for a $45 million luxury apartment community named Gateway Centre. To be located on the 40-acre site of a former industrial park, the four-story complex will rise on Gandy Boulevard. The site was purchased by The Richman Group last month from flea-market magnate Hardy Huntley.

According to Tampa Bay Times, Winter Park-based Douglas Partners had similar plans for the property, but as the deal failed to materialize, the owner started seeking new investors for the Pinellas County property.

Gateway Centre will consist of 432 units sized between 870 and 1,500 square feet, featuring nine-foot ceilings and granite countertops, with rents ranging from $1,000 to $1,800 per month. Amenities will include a clubhouse, an outdoor kitchen, tennis courts and a nature trail.

Developer The Richman Group will break ground on the project next year. Plans call for a 2014 opening date, when the first phase of the Gateway Centre—consisting of 320 units—is scheduled for completion.

No multifamily projects were delivered in the Tampa-St. Petersburg metro area in 2011. By contrast, Marcus & Millichap predicts that market-rate rental inventory will expand by 1 percent during 2012 with the completion of 1,500 units. Also this year, permitting remains on track to increase by more than 50 percent to 3,600 units of multifamily housing. According to the same report, approximately 2,000 units were under construction at the end of the second quarter, representing a potential 1.3 percent increase in market-rate stock. The total includes 344-unit second phase of the Circle at Crosstown in the Brandon/Plant City submarket, which broke ground in the second quarter. Projects containing 1,500 rentals will come online in the metro during 2012, including more than 1,000 units in Hillsborough County.

Chart courtesy of Marcus & Millichap

Construction Starts on $225M St. Joseph’s Hospital-South in Riverview

By Georgiana Mihaila, Associate Editor

A groundbreaking ceremony marked the start of construction for the first not-for-profit hospital to serve southern Hillsborough County—the $225 million St. Joseph’s Hospital South.

St. Joseph’s Hospital-South, part of BayCare Health System— a leading community-based health system in the Tampa Bay area—will be a full-service hospital offering a wide range of services from emergency care and women’s services to surgery and intensive care. The property will be located at 6901 Simmons Loop Road in Riverview, Fla., easily accessible via I-75 and Highway 301.

The 72-acre campus will include a medical office building that connects to the four-story, 352,000-square-foot hospital for convenient access to pre-procedure testing and physician offices.  The site also will be home to a 40,000 square-foot, free-standing physician office building, which is expected to open in 2013 with imaging and laboratory services as well as primary care and specialty physician offices.

Hospital president and CEO, Isaac Mallah, said his staff has worked for more than seven years to get the necessary approvals to build the hospital.  But the idea to build in this location was conceived in the mid 1980s, when the land was acquired.

In addition to providing health care to area residents, the project is expected to be a welcome addition to the business community. “Think about it: $225 million invested here and the ripple effect that will have,” said Congresswoman Kathy Castor during the groundbreaking ceremony.  “First: construction jobs, boosting small business throughout the community. Then, the medical professionals that will move here and their families that will grow up here. This hospital is going to be an anchor for economic development for the SouthShore community and all of southern Hillsborough County.”

St. Joseph’s Hospital-South will join the other 10 not-for-profit hospitals in the BayCare Health System network in 2015.

Taubman, Benderson Break Ground on $315M Shopping Center in Sarasota

By Georgiana Mihaila, Associate Editor

The Mall at University Town Center is one step closer to fruition as developers Taubman Centers Inc. and Benderson Development Company LLC broke ground on the $315 million shopping center during a ceremony held on Monday.

The ceremony was attended by community officials including Sharon Hillstrom, Manatee Economic Development Corp.; Mark Huey, Economic Development Corp. of Sarasota County; Christine Robinson, Chair of Sarasota County Commission; and Congressman Vern Buchanan. It culminated with a $10,000 donation on behalf of the mall to the Education Foundation of Sarasota County—a non-profit organization dedicated to quality public education for all children.

The Mall at University Town Center will be a state-of-the-art, two-level, enclosed mall featuring an 80,000-square-foot Saks Fifth Avenue, a 180,000-square-foot Dillard’s and a 160,000-square-foot Macy’s. The $315 million shopping center will include more than 100 specialty stores and restaurants, approximately half of which are anticipated to be new to the market.

Located at I-75 and University Parkway, the area’s most heavily traveled interchange, The Mall at University Town Center aims at becoming the dominant fashion shopping destination in the growing Sarasota region. Analysts predict the project could even become the busiest retail hub from Tampa to Fort Myers.

“The Mall at University Town Center will be a legacy project for Sarasota County,” said Christine Robinson, Sarasota County Commission Chair. “It’s an economically diverse development offering new jobs and new job opportunities. The mall was created by a visionary public-private partnership and based on a sustainable concept that will become a national benchmark for combining a world-class rowing and recreational facility with a world-class commercial and residential center.”

Slated for completion in October 2014, the retail center is expected to pump more than $400 million a year into the regional economy, contributing significantly to the growth of nearby commercial centers, creating thousands of new jobs and boosting property values.

Images via Taubman Centers

JLL Signs Law Firm for 14K SF in SunTrust Financial Centre

By Georgiana Mihaila, Associate Editor

Florida law firm Gunster signed a long-term lease for 14,298 square feet at the SunTrust Financial Centre. The firm had recently entered the Tampa Bay market.

The transaction was mediated by Sharon Bragg, vice president at Jones Lang LaSalle on behalf of the landlord, and by Greg Katz of Studley, Inc. on behalf of Gunster.  The space represents the firm’s first permanent office in the area. No financial details of the deal have been disclosed.

“Gunster is excited about expanding to the Tampa Bay area,” said H. William Perry, Gunster’s managing shareholder. “The addition of local high-quality attorneys is Gunster’s first step in developing a full-service presence in Tampa Bay and marks the beginning of a larger growth plan for the West Coast.”

Acquired in December 2011 by an affiliate of the commercial real estate firm The Brookdale Group, the 36-story, 527,000-square-foot, Class A office building is 86 percent leased.  Designed by U.S.-based firm Cooper Carry, the building is leased exclusively by Jones Lang LaSalle and managed by Means Knaus Partners.  In 2010 and 2011, the building was designated the “Outstanding Building of the Year” by the Building Owners and Managers Association’s Tampa Bay chapter. It is located at 401 East Jackson Street in Tampa’s Central Business District.

According to a recent Marcus & Millichap office market overview, demand for Class A office space in the Tampa area has wavered following a reasonably strong second half of last year, when many tenants upgraded to higher-quality space. For the following months, a minor improvement in space demand is projected, which will generate a slight decline in vacancy.

Image Courtesy of Schwartz Media Strategies

Crescent Resources to Develop $68M Tampa Apartment Community

By Georgiana Mihaila, Associate Editor

Crescent Resources LLC has recently disclosed plans for a new $68 million Tampa apartment community called Circle Bayshore.

Designed by MSA Architects of Miami, the Spanish eclectic-style eight-story structure will be located at 319 Bayshore Blvd., providing views of the bay.  Circle Bayshore will feature studio, one-, two-, and three-bedroom floor plans. Amenities will include a two-story health club and fitness center, resort-style swimming pool, an outdoor living area with grilling stations and a fire pit, a business center and clubroom. The building will encompass a parking garage serving residents and guests.

Typical of Crescent’s other Circle communities, the 367-unit Circle Bayshore will incorporate many sustainable features and materials. The community has been designed to meet Leadership in Energy and Environmental Design (LEED) certification requirements from the U.S. Green Building Council. The first apartments are expected to be complete in the first quarter of 2014.

The apartments will feature gourmet kitchens with granite countertops, undermount sinks, a prep island and stainless steel appliances. The bathrooms will be finished with granite countertops, custom wood cabinetry, ceramic tile floors, and tub and shower surrounds. High ceilings, spacious walk-in-closets and separate linen closets are also included. Each apartment will have a private balcony and full-size washer and dryer.

Circle Bayshore is being financed by equity investment from Crescent Resources. Construction financing is supplied by Capital One and mezzanine financing by Nationwide Real Estate Investments. Moss & Associates of Fort Lauderdale will serve as general contractor. The civil engineer is King Engineering of Tampa, and the landscape architect is Land Resource Design Group Inc., of Orlando, Fla.

Image via Circle Bayshore official website

$25M Tampa Bay-Area Self-Storage Portfolio Up for Sale

By Georgiana Mihaila, Associate Editor

A three-property, 2,250-unit portfolio owned by Safeguard Self Storage is now on the market, with Marcus & Millichap Real Estate Investment Services in charge of finding a buyer.

Located in Palm Harbor, Tampa and St. Petersburg, the storage assets are listed at $25 million, or $111 per square foot, but the properties can also be acquired individually. The Palm Harbor facility is approximately 20 miles northwest of Tampa. Constructed in 2001, the property includes 83,350 square feet of space and 670 units, 551 of which are climate-controlled. In addition, the facility includes 79 boat/RV spaces. The facility is approximately 85 percent occupied. Benefiting from street presence on U.S. Highway 19, this asset is only three miles from the Gulf of Mexico and local beaches.

The Tampa facility is located in the Carrollwood area, three miles west of Interstate 275. Developed in 1999, the 705-unit facility includes 75,525 square feet of climate-controlled space. Currently 86 percent occupied, amenities include a facility wide intercom system, individual door alarms, video surveillance and a management office. The property is situated near a highly trafficked intersection, Dale Mabry Highway and West Bears Avenue, where more than 50,000 cars pass by daily.

The St. Petersburg property was built in 1987 and renovated in 2006; this 875-unit facility includes 66,694 square feet of storage space, including 593 climate-controlled units and 10 RV/boat storage units. Currently, the property is 78 percent occupied.

According to data provided by Marcus & Millichap Self Storage Group, while on a national scale self-storage supply is estimated at 7.4 square feet per capita, Florida averages below the country at 9.5 square feet per person. The Tampa metro area’s supply, however, came in at 8.3 square feet per capita.

Cassidy Turley Helps Two Clients Obtain Energy Star Designation

By Georgiana Mihaila, Associate Editor

The Northdale Executive Center I and the Tampa Electric Company building have recently received the Energy Star designation from the U.S. Environmental Protection Agency. Both buildings are managed by Cassidy Turley, a company known for helping clients to ensure their properties incorporate sustainable practices that are both cost-effective and environmentally sustainable. The two buildings join a growing number of properties managed by Cassidy Turley that have earned Snergy Star designation.

“Energy efficiency is and always has been an important part of Cassidy Turley’s strategy as we achieve results for our clients across the triple bottom line of people, planet and profit,” said Holly Hughes, senior managing director of property management with Cassidy Turley. “We are proud to have achieved the Energy Star designation of Northdale Executive Center I and of the TECO building as it represents one of the most widely recognized standards out there to evaluate a building.”

Both properties are located in Tampa. Northdale Executive Center I is an 88,745-square-foot Class-A office building set at 3820 Northdale Blvd., and the Tampa Electric Company’s headquarters is a 324,390-square-foot building at 702 N. Franklin Street.

In other local news, Institutional Property Advisors has announced closing on the sale of Runaway Bay, a 192-unit multifamily property located in Pinellas Park, a central Pinellas County city within the Tampa Bay Area. Jamie B. May, an executive director of IPA, represented the seller, AIMCO. The buyer is J.I. Kislak Inc.

Constructed in 1985 on 14.5 acres, Runaway Bay is composed of 12 two-story residential buildings with an average unit size of 862 square feet located at 4701 88th Ave. North in Pinellas Park. There are 80 one-bedroom units, 24 two-bedroom/one-bath apartments, 24 two-bedroom/one-and-a-half-bath units and 64 two-bedroom/two-bath apartments. Approximately 35 percent of the unit interiors have been renovated.

Sheraton Tampa East Replaces Crowne Plaza After $9M Renovation

By Georgiana Mihaila, Associate Editor

Following a $9 million comprehensive renovation, the former Crowne Plaza hotel is now ready to welcome its guests as the Sheraton Tampa East Hotel.

The hotel—purchased last fall by a joint venture between Interstate Hotels & Resorts, Waramaug Hospitality LLC, and a private investment group— is the Sheraton brand’s fourth hotel in greater Tampa. The renovation included upgrades to all 265 guestrooms, the property’s 30,000 square feet of meeting space, and all public areas. The hotel’s reception area was also adapted to Sheraton’s signature lobby, the Link@Sheraton® experience.

Additional amenities include the fully renovated, full-service restaurant, Panfilio’s Bar and Grille, Sheraton Club Lounge, an outdoor heated pool, tennis courts and upgraded fitness facility featuring the brand’s Sheraton Fitness programmed by Core Performance. Sheraton Tampa East Hotel provides more than 30,000 square feet of fully renovated meeting and event space, including a 5,000 square foot ballroom and a poolside pavilion for cocktail receptions.

All 265 renovated guestrooms feature oversized work desks, custom-designed ergonomic chairs, high-speed Internet, LCD flat panel televisions, MP3 docking stations and the Sheraton Sweet Sleeper bed. Sheraton Tampa East Hotel’s 30,000 square feet of meeting and event space includes a 5,000-square-foot ballroom, 24 meeting rooms and a poolside pavilion for receptions.

“We have a great team that was able to renovate all areas of the hotel in a very short period of time,” said Jay Litt, asset manager for Waramaug Hospitality Asset Management LLC. “We wanted the conversion to be completed in time for the Republican National Convention this summer, and our team was able to finish the work with time to spare.”

Conveniently located off I-75, Sheraton Tampa East Hotel boasts a prime location close to major corporations, within five miles from the Tampa Convention Center and the Seminole Hard Rock Hotel and Casino, 10 miles from downtown Tampa, and 16 miles from Tampa International Airport (TPA). The hotel is easily accessible to leading attractions including Busch Gardens Tampa Bay, Brandon Town Center and Ford Amphitheater.

Interstate operates the Sheraton Tampa East Hotel under a long-term management agreement. Waramaug Hospitality Asset Management LLC provided project and asset management for the renovation and conversion to the Sheraton brand.

Image courtesy of TripAdvisor