CINCINNATI - If the last 60 days are any indication, commercial real estate buyers in southwest Ohio are ignoring the global chaos most investors are seeing.
Cassidy Turley’s Cincinnati Capital Markets team of Jim O’Connell, Tom Powers, and Mike Sullivan has closed four investment transactions ranging from value-add to stable properties.
An example of a stable property is the sale of the Revolution Fitness property, located at 4642 Ridge Road in Cincinnati, Ohio. This 11,000 SF single-tenant retail property located in the upscale Oakley/Hyde Park submarket of Cincinnati, Ohio was purchased by GAP Ridge, LLC on May 31, 2012. The property was constructed in 2004 and is under a 15-year absolute NNN lease which commenced on June 1, 2012. The Cincinnati Capital Markets team was the exclusive seller agent, led by Mike Sullivan. Through his many private market contacts, Mike was able to identify the buyer at the start of the marketing process.
Real estate fundamentals are improving consistently across the country, and as a result investment sale activity is also rising after years of hesitancy by owners and lenders to agree on a reasonable sale price or valuation write-down.
A benefit from this increased activity in Midwest markets is seeing stronger interest from out-of-region buyers, many who have historically invested their money in first tier cities.
New York based Dunkirk Realty purchased the Kettering Tower, a Class-A CBD 30-story office building located at 40 North Main Street in Dayton, Ohio on May 22, 2012. The office building consists of 498,283 SF of office and retail space and is situated on approximately 2 acres in the heart of downtown Dayton. This acquisition was the first in the Midwest by Dunkirk Realty, who utilized some foreign equity in their capital stack. The Cincinnati Capital Markets team was the exclusive sales agent for this transaction, and Cassidy Turley represented Kettering Tower Partners, LLC as the seller. At the time of the sale, the building was 62.38% occupied with such major tenants as JP Morgan Chase, Merrill Lynch, Dayton Racquet Club, Pickrel Schaeffer & Ebeling, and Taft Stettinius & Hollister. The property included a 450-space connected parking garage and a 90-space adjacent parking lot.
Another growing trend and benefit the market is realizing is current owners desiring to expand their holdings within our market.
OA Development of Atlanta purchased the Hawthorne Center, a Class-A multi-tenant suburban office building consisting of 134,958 SF located at 10151 Carver Road in the heart of the Blue Ash office submarket, Cincinnati’s premier office submarket in the Northeast corridor. At the time of the sale, the building was 94.2% occupied with major tenants Coca Cola Refreshments and F & W Media. This was OA Development’s second acquisition in the Cincinnati market. The Cincinnati Capital Markets team was the exclusive sales agent for this transaction, and Cassidy Turley represented Al. Neyer, Inc. as the seller.
Another local Cincinnati investor, W. Third Carpark, LLC, expanded its portfolio on May 22, 2012 with the purchase of the Third & Main Garage located in the CBD of Cincinnati, Ohio. This 300 space parking structure is situated on .44 acres. The Cincinnati Capital Markets team was the exclusive sales agent for this transaction, and Cassidy Turley represented Eagles Way, LLC as the seller. The seller owned the property since 2003 when it was purchased from Duke Energy.
Cassidy Turley isn’t making any promises that the next 60 days will be as productive. But we expect to see this increased momentum continue throughout the second half of the year as many other transactions currently in process either go under contract or enter the pipeline to be brought to market.
About Cassidy Turley
Cassidy Turley is a leading commercial real estate services provider with more than 3,600 professionals in more than 60 offices nationwide. The company represents a wide range of clients—from small businesses to Fortune 500 companies, from local non-profits to major institutions. The firm completed transactions valued at $22 billion in 2011, manages 455 million square feet on behalf of institutional, corporate and private clients and supports more than 28,000 domestic corporate services locations. Cassidy Turley serves owners, investors and tenants with a full spectrum of integrated commercial real estate services—including capital markets, tenant representation, corporate services, project leasing, property management, project and development services, and research and consulting. Cassidy Turley enhances its global service delivery outside North America through a partnership with GVA, giving clients access to commercial real estate professionals in 65 international markets.
Please visit www.cassidyturley.com/cincinnati for more information about Cassidy Turley.