Magellan navigates to final phase of Southern California park Phoenix-based Magellan Corps. has broken ground on the last phase of Irvine Oaks Executive Park inside Irvine Spectrum in Irvine, Calif. The three buildings will contain a total of 140,000 sq. ft. of industrial space, bringing Irvine Oaks' total to 320,000 sq. ft. by build-out in early 1999.
Magellan purchased the property in 1995, including 14 freestanding building totaling 140,000 sq. ft. and enough property to accommodate 180,000 sq. ft. of new development. The value of this phase of Irvine Oaks has not been disclosed, but the development is currently 98% preleased.
Highwoods buys Shelton family portfolio for $162 million Raleigh, N.C.-based Highwoods Properties Inc. has acquired the 4.6 million sq. ft. Shelton portfolio for $162 million. The transaction will be funded with cash, assumed debt and $3 million in capital expenditure reserves. The portfolio, owned by the Shelton family of Charlotte, N.C., contains 4 million sq. ft. of industrial space, 496,000 sq. ft. of office space on eight properties and an 85,000 sq. ft. retail property Highwoods plans to sell.
The industrial facilities are located on 24 properties in Winston-Salem, Greensboro and Charlotte. The properties are currently 97% leased to tenants including Sara Lee, U.S. Airways and GATX Logistics.
Koll, Northstar Capital acquire Colorado acreage for development Newport Beach, Calif.-based Koll Development Co. and Northstar Capital Investment Corp. have purchased 21.4 acres in Arapahoe County, Colo., for $17 million. The future site of the 275,000 sq. ft. Koll Centennial Center is in Centennial Airport Center near Denver.
The warehouse, showroom and office buildings will contain between 18,000 sq. ft. and 48,000 sq. ft., with 18- to 24-ft. clear heights and drive-in loading access. Groundbreaking is slated for October 1998, with build-out in May 1999.
Meridian closes on second half of $52.2 million REIT transaction In a DownREIT transaction with Dallas-based Jackson-Shaw Co., Meridian Industrial Trust of San Francisco has added 988,000 sq. ft. of industrial properties to its portfolio. The $52.2 million purchase nets Meridian seven industrial facilities in Las Vegas and Plano, Texas.
The first phase of the deal involves three Las Vegas buildings containing a total of 613,000 sq. ft. of industrial space, amounting to $32.8 million. Four properties in Plano totaling 375,000 sq. ft. have recently set Meridian back another $19.4 million. The deal was settled with 1.4 million operating partnership units, $17.7 million in secured debt and $23.2 million cash.
Shurgard forms partnership to develop storage facilities The Seattle-based REIT Shurgard Storage Centers Inc. has partnered with Fremont Realty Capital of San Francisco to acquire and operate as many as 16 self-storage facilities to be developed by Shurgard. The partnership will be capitalized with approximately $73 million for property acquisition and operations, of which Fremont will contribute 90%. The company hopes to curb the loss of income frequently experienced during the period between the opening of a new location and its achieving stability. Shurgard plans to repurchase the partnership's properties after December 2000.
Illinois distribution facility a natural selection for Darwin Construction has begun on Naper-Crossings Two, a 354,000 sq. ft. warehouse/distribution facility in Naper-Crossings Commerce Center in Bolingbrook, Ill. Darwin Realty & Development Corp. of Bensenville, Ill., and Rosemont, Ill.-based McShane Corp. are developing the multitenanted property for Lincoln National Insurance Co. of Ft. Wayne, Ind., for an undisclosed price. The one-story structure will feature 36 exterior truck docks, three drive-in doors, 267 parking spaces and 200 trailer stalls, as well as 8,000 sq. ft. of office space. Completion is slated for December 1998.
American Industrial makes multistate portfolio purchase Irving, Texas-based American Industrial Properties REIT has acquired a 537,000 sq. ft. portfolio comprising seven light industrial buildings, three office structures and two land parcels. The $43.5 million transaction includes properties in Phoenix; Tucson, Ariz.; Austin, Texas; Colorado Springs, Colo.; and Albuquerque, N.M.