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The commercial real estate market is a busy one today. And few property types are generating as much activity as are single-tenant net-lease properties.

Stan Johnson & Co. recently released its latest research report on this sector. And the biggest news? In the fourth quarter of 2016, the sale of single-tenant net-lease properties grew 34 percent to a volume of $15.4 billion.

According to Stan Johnson & Co., this fourth-quarter push was the second best on record for this sector. For all of 2016, single-tenant net-lease sales accounted for $47.6 billion in volume, the second highest this number has ever been.

Who is buying these properties? Stan Johnson reported that for the fourth quarter, real estate developers and other single-purpose entities represented 26.9 percent of net-lease acquisitions. These buyers, who spent an average of $11.3 million on their acquisitions, preferred office properties first, then industrial and retail.

Institutions such as life insurance companies, investment managers and trust departments purchased 16.5 percent of the single-tenant net-lease properties sold during the fourth quarter. These institutions spent an average of $16.4 million on their net-lease purchases, and preferred to buy retail properties first, then office and industrial.

Private equity funds purchased 16.2 percent of the net-lease properties during the quarter, spending a much larger average of $28.2 million on each deal. These buyers preferred office, then industrial and retail.

Stan Johnson reported that single-tenant office sales, a category that includes medical office space, enjoyed the strongest fourth quarter. Sales jumped by almost $1.95 billion, or 46 percent.

One of the bigger office single-tenant net-lease deals of the quarter was the joint venture of KAMCO and 90 NOrth buying a 330,000-square-foot office building in Cincinnati that was leased to General Electric for $107 million. Two of the bigger industrial net-lease deals took place in the Midwest, too. In DeKalb, Illinois, investment fund manager AIC Ventures acquired the 400,000-square-foot distribution center of Cast Alumninum Solutions in a sale-leaseback for a reported $69.4 million.

And in St. Cloud, Minnesota, Commonwealth REIT sold the manufacturing facilities of New Flyer, the largest bus maker in the United States to Broadstone, a REIT. The 338,000-square-foot facility sold for a reported $23.05 million.

Michael Flynn moved up from Executive Vice President to Chief Operating Officer for NAI Hiffman, the company announced Wednesday.

Flynn will provide leadership and management necessary to execute the firm’s expansion strategy and enhance its operations. He has more than 30 years of experience in commercial real estate leasing and tenant representation.

Most recently he led an office leasing team focused on the north and northwest suburbs for clients including TA Realty, KBS, 90 North and The Davis Companies. He will continue his position on the NAI Global Member Leadership Board.

He attended the Ross School of Business Administration at the University of Michigan. He joined NAI Hiffman in 2000 as one of its founding members and has...

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The Association of Industrial Real Estate Brokers held its biggest annual event, the 2017 Virtual Market Tour, at The Cube at Rivers Casino in Des Plaines, Illinois on Thursday.

The theme at this year’s event was Catching AIRE—a play on the organizations name and extreme sports where daredevils catch air. The video displaying industrial properties around Chicago was broken up with footage of athletes jumping off buildings in Dubai, bungee jumping in kayaks or launching one another off ‘the blob’ into a lake.

It was Ina Jones of Clarion Construction’s first time at the event. “My company is actually one of the sponsors of the event. I think the turnout is great—such a lively and talkative event,” she said.

The purpose of the event is to showcase industrial properties and developments across Chicago and the suburbs–but the open bar, hot buffet and socializing with colleagues is clearly a huge draw.

“It’s one of the better events that AIRE puts on. I’m here to meet people in the industry but the food isn’t bad either,” said George Crawford of Arhur J. Rogers Comapny.

Adam Marshall, AIRE President and NGKF senior managing director, thought the event turnout was better than ever and that they sold out of the featured property spots.

“You look around the room and see all the property managers and brokers that you work with having a great time. It’s our signature event, and we love having it at Rivers Casino,” Marshall said.

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REACH OUT