REAL ESTATE INVESTMENT
Barings | March 04, 2022
Barings, one of the world's leading investment managers, announced that it has partnered with Ocean West Capital Partners to acquire the Smoky Hollow Flex Industrial Campus, an approximately 136,610 square foot flex industrial campus located in the desirable and supply constrained Smoky Hollow submarket of El Segundo, California, in an off market transaction.
The Smoky Hollow district is a historic industrial district that has evolved as a unique, amenity-rich neighborhood dominated by small brick-and-timber creative office and flex product, attracting a wide range of dynamic users. The Smoky Hollow campus is currently comprised of three separate industrial flex buildings and surface parking lots on 5.1 acres. Barings' industrial strategy is to create value through leasing and by executing at meaningful spreads over core acquisition yields. Barings and Ocean West intend to implement an extensive repositioning, including the construction of a new flex industrial building and 266-stall parking structure, and performing enhancing renovations to the three existing buildings including upgrades to the exterior, building systems, and constructing outdoor recreation spaces.
The joint venture repositioning of the Smoky Hollow Flex Industrial Campus represents a new partnership between Barings and Ocean West, This investment is a prime example of Barings' value-add real estate investment strategy which focuses on creating uniquely competitive real estate that attracts innovative tenants."
Chris Black, Barings Head of Real Estate Acquisitions, Western U.S.
Given the prevalence of smaller sized properties and almost complete lack of large development sites throughout Smoky Hollow, the site represents an extremely rare acquisition. The project will provide tenants with distinctive, high demand features including ceiling heights up to 31 feet, brick-and-timber architecture, low-rise building layouts, ample parking, and multiple tenant access points. Smoky Hollow's distinct charm and walkable footprint has attracted an increasing number of entertainment, tech, media and aerospace firms, and has emerged as one of the most desirable creative hubs in the South Bay and Lower Westside markets. This project is conveniently located in close proximity to dining, shopping and entertainment. Additionally, the site has convenient access to LAX, the Metrorail Green Line, and 405 and 105 Freeways.
We are looking for opportunities where we can apply active management – whether it be through development, renovations, or re-leasing that allow us to create additional value in an asset. This project provides us the opportunity to renovate a large-scale, creative flex industrial campus in one of the region's most desirable areas."
Chris Berry, Portfolio Manager on the Barings Real Estate Equity platform.
Barings is a $391+ billion* global investment manager sourcing differentiated opportunities and building long-term portfolios across public and private fixed income, real estate, and specialist equity markets. With investment professionals based in North America, Europe and Asia Pacific, the firm, a subsidiary of MassMutual, aims to serve its clients, communities and employees, and is committed to sustainable practices and responsible investment.
Brennan Investment Group | February 01, 2022
Brennan Investment Group, a private real estate investment firm that acquires, develops, and operates industrial facilities throughout the United States, has announced its acquisition of two land parcels totaling approximately 21 acres along I-90 in Hoffman Estates, IL. The plan is to develop a state-of-the-art, speculative industrial building totaling 201,600 square feet on the larger, 17-acre site and simultaneously pursue build-to-suits on the smaller, 4-acre site.
The properties are situated 10 miles northwest of O'Hare International Airport and provide excellent access to the Chicago MSA via key highway systems and transportation infrastructure.
The properties will have I-90 visibility and benefit from convenient access to I-90 at the Barrington Road interchange, and subsequently, to interstates I-290, I-294, and I-355, providing superior transportation routes for the end user, their customers, and their employees, As of Q4 2021, the overall Chicago industrial market contained approximately 1.2 billion square feet of industrial inventory, which equates to a vacancy rate of 3.3%."
Kevin Brennan, Managing Principal for the Midwest Region.
This transaction is illustrative of Brennan's preferred method of land acquisition: in-fill parcels in major markets whose submarkets have compelling fundamentals, Brennan's overall development pipeline will exceed $1 billion in 2022."
Scott McKibben, Brennan's Chief Investment Officer.
About Brennan Investment Group
Brennan Investment Group, a Chicago-based private real estate investment firm, acquires, develops, and operates industrial properties in select major metropolitan markets throughout the United States. Since 2010, Brennan Investment Group has acquired or developed $5 billion in industrial real estate in 30 states. The company's current portfolio spans 27 states and encompasses approximately 46 million square feet.
Brennan Investment Group co-invests with private and institutional capital to achieve outstanding risk-adjusted returns. The company has 11 regional offices throughout the United States, and the firm's management team is among the most accomplished in its industry, having invested in over 5,000 properties covering more than 60 cities throughout the United States, Canada and Europe.
REAL ESTATE TECHNOLOGY
New Western | May 24, 2022
New Western, the largest national private source of distressed residential investment properties, announced the opening of its first office in Illinois. This most recent geographic expansion to the Windy City is New Western's 43rd office location and its 19th state. Realtor.com lists Chicago as one of the Top Housing Markets Positioned for Growth in 2022.
Chicago is the third-largest city in America and is a rapidly growing market. This is a big milestone and important market in our nationwide expansion with our latest office opening in the Prairie State. Providing affordable housing, especially in large markets like Chicago, is vital. When we help bring distressed properties back to the market, it's up to 31% less expensive than a new construction home. We pride ourselves on being specialists in providing exclusive inventory for real estate investors to evaluate and purchase in a matter of days and believe our presence in Chicago will positively impact the community."
Kurt Carlton, co-founder and president of New Western
New Western brings market insight and an exclusive marketplace with distressed investment property inventory to help real estate investors acquire fixer-upper properties. The company's agents are helping to address the affordable housing crisis by revitalizing distressed homes across the U.S., with nearly three million aged properties in the Chicago area alone, and 87.7% of them built before 2001.
Richard Randall is the general manager (GM) and managing broker leading the new Chicago office, located at 1 Westbrook Corporate Center, Suite 300, in Westchester. As GM, Randall is responsible for recruiting, hiring, training and leading his team to revitalize $543 million in residential properties in the Chicago market over the next five years.
"There is a disconnection in Chicago between what investors need and the properties that are available. Our business model works incredibly well in this environment," said Randall. "Investors are hungry for properties that are ideal for fixing and flipping, and our agents are the conduit that uncovers these gems."
Randall began his career with New Western in 2015 in its Fort Worth office as a sales agent and quickly moved his way up, becoming an acquisition agent, then sales manager. In 2019 the company asked him to open its new Kansas City office and serve as its GM and managing broker.
New Western is the largest private source of investment properties in the nation. Since 2008, New Western has bought and sold nearly $12 billion in residential real estate.
About New Western
New Western makes real estate investing more accessible for more people. Operating in most major cities, our marketplace connects more than 100,000 local investors looking to rehab houses with sellers. As the largest private source of investment properties in the nation, we buy a home every 13 minutes. New Western delivers a new opportunity for all—a fresh start for sellers, exclusive inventory for investors, and affordable housing for buyers.
REAL ESTATE INVESTMENT
Triumph Properties | April 08, 2022
Triumph Properties announced it has closed an $82.5mm total capitalization of a 287-unit multi-family development project, Aileron, located in the booming North Phoenix submarket. The land parcel of 9.87 acres was purchased from Moderne Capital Partners, who will be Triumph's development partner on the deal.
Triumph believes that Aileron's location will benefit from the continued growth of the north Phoenix market including notable job announcements like the Taiwan Semiconductor Manufacturing Company (TSMC), who announced plans to open a 1,129 acre $12 billion factory. Aileron is 1 mile south of the Deer Valley Airport where Cox communications and Honeywell Aerospace have strong employment centers. Other notable nearby employers are Discover, Safeway Corporate and Albertsons.
Aileron will feature a mix of studios, one-, and two-bedroom units averaging 842 square fee. Unit finishes will include vinyl plank and carpet flooring, quartz countertops, tile backsplashes, wood cabinets, stainless steel appliances, in unit laundry, air conditioning and more. Amenities will include, pool, spa, clubhouse, fitness center, BBQ area, secured access and package center.
"We are excited about this project and our partnership with Moderne. Each of Moderne's Partners brings tremendous experience and value to the table. We believe this will be the first of many projects together", said Steve Feder, Principal at Triumph Properties.
We are looking to make more strategic partnerships like we did on Aileron in the Southeast and Southwest as we expand our development pipeline. Suburban, garden-style apartments, surface parked or wrap product are what we are focused on."
Blake Brewer, Director of Acquisitions at Triumph Properties
Triumph Properties is a national full service commercial real estate investment, management, and development firm based out of Southern California. Triumph leverages decades of expertise and an innovative approach to maximize value for residents and investors.