Properties Carved from Massive, High Class American Nevada CRE Portfolio – One of the Buyers Making First Entry into Las Vegas Metro Market
Cushman & Wakefield announced today the sales of three high quality office buildings totaling 172,469 square feet (sf) that comprise the Green Valley Corporate Center—North complex in Henderson, Nevada, a suburb of Las Vegas. The assets, which consisted of Plaza 8, 9 and 10, transpired over two separate investment transactions for a combined price of $37.05 million.
The properties are part of a larger, massive high class regional real estate portfolio currently in the process of being sold by American Nevada Company, which was represented in the disposition by Rick Reeder and Brad Tecca of Cushman & Wakefield’s Capital Markets in San Diego who both primarily focus on larger, best in class, institutional office and industrial investment sales in the Las Vegas, San Diego, and Phoenix markets. Cushman & Wakefield’s Geoffrey West, Jayne Cayton, and Michael Dunn based in Las Vegas are also performing local expert advisory in the disposition(s).
Mr. Reeder, Executive Managing Director, said, “Green Valley Corporate Center—North represents premier stable assets that are well leased to credit tenants and desirably located within the Las Vegas Metro area, internationally recognized as one of the most exciting tourist destinations in the world. The Metro is coextensive with Clark County, the heartbeat of Southern Nevada, which encompasses nearly 8,000 square miles, five cities and a growing population.”
Sold as a single asset of 54,365 sf, Plaza 8 was acquired by real estate investment firm JMA Ventures for a price of $13.15 million or $242 per square foot. Situated on 3.68 acres, Plaza 8 is a classically-designed, two-story office building that was 100% leased at the time of sale with tenants including Atkins, Barrick Gold and Signature Gallery of Homes. Developed in 2002, the building’s high-quality construction is highlighted by a dramatic entry flanked with soaring palm trees, reflective glass providing abundant natural light, an inviting lobby with polished granite accents, large and flexible floor plates and modern interior finishes. Extensive window lines also provide tenants with views of the surrounding area and the attractive, tree-lined landscaping.
Mr. Tecca, Managing Director, said, “The five leases in place at Plaza 8 vary from established to recently signed tenants which, together, reflect both the property’s ongoing stability and desirability.”
Sold as a joint asset, Plaza 9 and Plaza 10 total a combined 118,104 sf and were acquired by Strategic Office Partners, a joint venture between Gramercy Property Trust and TPG Real Estate, for a price of $23.9 million or $202 per square foot. The acquisition marked the Buyer’s first entry into the Las Vegas metro market. The pair of buildings were 100% leased at the time of sale to long-term tenant Barclays Services Corporation, a multinational banking and financial services company. Completed in 2000, Plaza 9 is a two-story structure totaling 63,959 sf on 5.62 acres that features striking architectural designs, tenant balconies, prominent signage and expansive floor designs that accommodate a variety of needs. Plaza 9 also offers a desirable business setting complete with large windows framing scenic views, meticulous landscaping, and generous parking. Developed in 1999, Plaza 10 consists of a two-story 54,145-sf building on 5.06 acres featuring similar architectural designs to the neighboring Plaza buildings. Plaza 10 offers high-end construction with extensive dual-glazed reflective glass and extensive window lines producing picturesque views, spacious floor plates, high-end commercial finishes, multiple tenant entries, and an ample parking ratio. Further enhancing the corporate environment of these two properties are pedestrian walkways linking them to one another as well as to Plaza 8.
Working collectively with the seller, the Cushman & Wakefield team positioned the Plaza 9 and 10 asset as a favorable investment to an array of investors from all over the world. In securing an out-of-state party such as Strategic Office Partners as the eventual buyer, Mr. West and Ms. Cayton, both Senior Directors, were also effectively instrumental in providing a deep exploration of the Las Vegas metro market, showcasing all of its alluring qualities as well as positive real estate performance from a market demand standpoint. Mr. Tecca noted, “Our team’s cohesive approach helped equip the buyer with a greater understanding of the local area and provided forward looking data to bolster their decision to enter this marketplace, which is now experiencing growing interest and demand from institutional investors.”
Mr. West said, “The identification and procurement of Strategic Office Partners as the buyer for Plaza 9 and 10 represented a coup for the Las Vegas market through attracting a premier institutional buyer active in numerous other top national metro markets for its first acquisition in the Las Vegas market, and provides a welcome addition of another sophisticated owner to the Las Vegas real estate landscape.
“Green Valley Corporate Center-North Plaza 9 and Plaza 10 properties represent a premier asset developed by American Nevada Company, and when combined with the strong credit of Barclays Services Corporation provides an exciting addition to the Strategic Office Partners portfolio.”
Notably, also as part of the larger American Nevada portfolio, the Cushman & Wakefield listing team had recently sold the Green Valley Town Center in Henderson in September. Henderson Town Center LLC had acquired the 194,757-sf mixed-use center consisting of Green Valley Town Center II & III (4300 & 4500 E. Sunset Rd.) and Athenian Shops (4350 E. Sunset Rd.) for $21.5 million.
Las Vegas Made, LLC has leased approximately 7,641 SF of retail space at Green Valley Town Center III, located at 4300 E. Sunset Rd. Ste. A-1, in Henderson. Brett S. Beck of Virtus Commercial represented the Lessor, Henderson Town Center LLC., and Brad S. Winston of Award Realty Corp. represented the Lessee.
Pride Communications, Inc. has leased approximately 6,000 SF of industrial space located at 639 E. Brooks Ave. Ste. 206-207, in N. Las Vegas. Matt Feustel of Virtus Commercial represented the Lessee and Jason Simon of JLL represented the Lessor, HIC Trident, LLC.
Precise Business Management, LLC has leased approximately 749 SF of office space at The 1785 Office Center, located at 1785 E. Sahara Ave. Ste. 350, in Las Vegas. Chris Emanuel of Virtus Commercial represented the Lessor, The 1785 Office Center, LLC.
Platinum Hair Salon has renewed their lease for the 1,750 SF of retail space at Revere Marketplace, located at 955 W. Craig Rd. Ste. 101B, in N. Las Vegas. Chris Emanuel of Virtus Commercial represented the Lessor, Las Vegas Adventure, LLC.
The Greater Las Vegas Association of REALTORS® (GLVAR) reported today that local home prices continued to cool down heading into the holidays, though home prices and sales are still up from one year ago. GLVAR reported that the median price of existing single-family homes sold during November through its Multiple Listing Service (MLS) was $261,150. That’s down slightly from October, but up 8.8 percent from November 2016. The median price of local condos and townhomes sold in November was $141,500, up slightly from October and up 19.0 percent from the same time last year.
GLVAR President David J. Tina, a longtime local REALTOR®, said home prices are following seasonal trends and reiterated that they have been appreciating at roughly the same rate for the past few years.
“Like most years, we’re seeing prices level off heading into the winter months,” Tina said. “This is normal. Overall, the local housing market has been steady and strong, with sales going up and prices appreciating, but not going up too quickly.”
As for headwinds in the housing market, Tina said demand continues to exceed the shrinking supply of homes available for sale. This tight housing supply has been presenting challenges for many buyers, especially those seeking lower-priced homes and condos. At the current sales pace, he said Southern Nevada still has less than a two-month supply of existing homes available for sale. A six-month supply is considered to be a balanced market.
“We have a growing population and an undersupply of homes on the market,” Tina said, adding that the housing supply is tight nationwide, with no relief in sight. “So regardless of what happens here over the next five years or so, we’re still going to need more houses for all the people moving here.” By the end of November, GLVAR reported 4,538 single-family homes listed for sale without any sort of offer. That’s down 33.1 percent from one year ago. For condos and townhomes, the 735 properties listed without offers in November represented a 29.1 percent drop from one year ago.
The total number of existing local homes, condos and townhomes sold during November was 3,202, a slight increase from November 2016. Compared to one year ago, sales were unchanged for homes and up 5.2 percent for condos and townhomes. According to GLVAR, home sales so far in 2017 continue to run about 10 percent ahead of the pace from 2016, when 41,720 total properties were sold in Southern Nevada. At this rate, GLVAR statistics show that 2017 is on pace to be the best year for local home sales since at least 2012.
GLVAR reported that 28.5 percent of all local properties sold in November were purchased with cash, up from 26.9 percent one year ago. That’s still less than half of the February 2013 peak of 59.5 percent, indicating that cash buyers and investors are still active, but playing a smaller role in the local housing market.
In recent years, GLVAR has been reporting fewer distressed sales and more traditional home sales, where lenders are not controlling the transaction. Tina said foreclosures and short sales now make up such a small share of the local housing market that “they’ve really become a non-issue.” For instance, he said short sales and foreclosures combined accounted for fewer than 5 percent of all existing home sales during November, compared to 10.5 percent of all sales one year ago.
These GLVAR statistics include activity through the end of November 2017. GLVAR distributes statistics each month based on data collected through its MLS, which does not necessarily account for newly constructed homes sold by local builders or homes for sale by owners. Other highlights include:
The total value of local real estate transactions tracked through the MLS during November was nearly $810 million for homes and nearly $96 million for condos, high-rise condos and townhomes. Compared to one year ago, total sales volumes in November were up 12.4 percent for homes and up 24.6 percent for condos and townhomes.
Homes and condos continued to sell faster than last year at this time. In November, 82.3 percent of all existing local homes and 88.5 percent of all existing local condos and townhomes sold within 60 days. That compares to one year ago, when 74.3 percent of all homes and 79.8 percent of all condos and townhomes sold within 60 days.
Marcus & Millichap (NYSE: MMI), a leading commercial real estate investment services firm with offices throughout the United States and Canada, today announced the sale of Smoke Ranch Plaza, a 10,000-square foot retail property located in Las Vegas, Nevada. The asset sold for $1,256,000.Dustin R. Alvino, first vice president investments, in Marcus & Millichap’s Las Vegas office, had the exclusive listing to market the property on behalf of the seller, a private investor. Smoke Ranch Plaza is located at 6595 Smoke Ranch Road in Las Vegas, NV
Marcus & Millichap (NYSE: MMI), a leading commercial real estate investment services firm with offices throughout the United States and Canada, today announced the sale of Martin Professional Building, a 8,708-square foot office property located in Las Vegas, Nevada. The asset sold for $1,415,000. Tina D. Taylor, first vice president investments, and Ryan McCullough, associate, in Marcus & Millichap’s Las Vegas office, had the exclusive listing to market the property on behalf of the seller, an individual/personal trust. Martin Professional Building is located at 9330 W Martin Ave in Las Vegas, NV.
Marcus & Millichap (NYSE: MMI), a leading commercial real estate investment services firm with offices throughout the United States and Canada, today announced the sale of the Holiday House and Holiday Motels, which together equate to 101 motel rooms on approximately 92,782-square feet of land located on Las Vegas Boulevard. The asset sold for $4,700,000. Dustin R. Alvino, first vice president investments, and Ray Germain, first vice president investments, in Marcus & Millichap’s Las Vegas office, had the exclusive listing to market the property on behalf of the seller, a limited liability company. The Holiday House and Holiday Motels are located at 2205-2211 Las Vegas Blvd S in Las Vegas, NV just north of Sahara Avenue. “The properties are contiguous and provide the owner with significant frontage on one of world’s most well-known boulevards. These properties received a great deal of interest resulting in multiple competing offers from both local and national buyers, indicating a substantial increase in investor confidence in this submarket,” says Germain. Alvino adds, “We were thrilled to sell this property to a local developer who has exciting plans to redevelop this property and continue the beautification of this area of Las Vegas Boulevard.”
The property located at 6950 S. Cimarron Rd. sold for $3,548,490 on 11/29/2017. The Grey Shell Office building was 21,506 square feet in size. The seller was New Haven Development LLC, represented by Mike Young and David Livingston of IREPLV, LLC. The buyer was LV Medical LLC.
The property located 3840 W. Ann Rd. sold for $267,841 on 11/27/2017. The Grey Shell Office building was 3,227 square feet in size. The seller was Annallen, LLC, represented by Ben Millis of Newmark Grubb Knight Frank. The buyer was HCCN Holdings II, LLC, represented by Mike Young and David Livingston of IREPLV, LLC.
The property located at 6200 N. Durango Dr. consists of a 2,554 Square foot medical office condo. The property was leased to AW Ventures, LLC represented by Nicholas Barber of Cushman and Wakefield. The Landlord was Julpat Holdings, LLC who was represented by Mike Young and David Livingston of IREPLV, LLC.
MedialThe property located at 8285 W. Arby Rd. #300 consists of a 1,668 square foot medical office suite. The property was leased to The Nevada Inter-Cellular Exchange Clinic, LLC who was represented by Mike Young and David Livingston or IREPLV, LLC. The landlord was HTA-San Martin LLC.
Soozi Jones Walker, CCIM, SIOR and Bobbi Miracle, CCIM, SIOR of Commercial Executives Real Estate Services recently represented JEF Investment Properties, LLC in the lease renewal of 1,250 +/- SF of office space located at 9445 W. Russell Rd. Suite #130 Las Vegas, NV 89148 to Saul and Brianna Diaz. The lease is for 60 months and the transaction is valued at approximately $108,768.
Soozi Jones Walker, CCIM, SIOR and Bobbi Miracle, CCIM, SIOR of Commercial Executives Real Estate Services recently represented Beltway One Development Group, LLC in the leasing of 2,336 +/- RSF of office space located at 9127 W. Russell Road, Suite 150, Las Vegas, NV to State Farm Mutual Automobile Insurance Company. The lease is for 60 months and is valued at $311,991.
Frank Mir’s Venum Combat Fitness leased 6,402 square feet at Tucson Plaza, 9436 W Lake Mead Blvd, Las Vegas, NV 89134. The Equity Group’s Steve Nosrat represented Frank Mir and his partner Gaelan Behie in this transaction. The total value of the transaction was $538,728.00
CBRE announces that it has been retained by Equity Office to exclusively list The HC |Hughes Center®, a 68-acre master-planned office campus located on Howard Hughes Parkway between Flamingo Road and Sands Avenue in close proximity to McCarran International Airport, the Las Vegas Strip, University of Nevada Las Vegas and the Las Vegas Convention Center District. Members of CBRE’s Las Vegas based office team representing the project include Darren Lemmon, first vice president; Amy Lance, senior associate; and Justin Witt, associate.
Established in 1986 and constructed through 2006 with room for more growth, the campus, home to more than 4,500 employees, is well known for its high-end design and construction, beautiful landscaping and panoramic views of The Strip and entire Las Vegas valley afforded by its unmatched, highly coveted central location. The HC is the choice location for major companies such as Wells Fargo Bank, Pinnacle Entertainment, Cosmopolitan of Las Vegas, Regus, Snell & Wilmer, Deloitte LLP, Morgan Stanley Smith Barney, Lewis Roca Rothberger Christie, Boyd Gaming and Remark Media. The amenity-rich site features 1.4 million square feet of Class A office space, including significant contiguous blocks of available space to accommodate large users and ready-to-move-in spec suites ranging from 1,500 to 4,000 square feet.
Amenities include a variety of retail options, with 17 well-known restaurant brands, including Del Frisco’s, Lawry’s, Gordon Biersch, Fogo de Chao, Starbucks, Jamba Juice and an on-site café that offers delivery service. Recent developments include two new retail buildings to increase quick service restaurant offerings like Panera, Chipotle, The Habit Burger and new, hip trendy spots like Bandito’s Latin Kitchen and H20 Sushi & Isakaya. Tenants have access to a complimentary 24/7 fitness center, newly designed on-site marketing center and 24-hour on-site security. In addition, outdoor wifi areas, electric vehicle charging stations and a bike share program have been recently added. A high-end apartment community is planned for a six-acre parcel at the Center to expand its residential offerings.
“Class A office space, especially large swaths of contiguous Class A space, is at a premium in Las Vegas,” said Lemmon. “The HC is extremely attractive to potential users for many reasons, including its incredible location, unparalleled amenities and modern and creative spaces that serve the workforce of today and tomorrow. And with the benefit of a single, unified owner, the leasing process is simplified and streamlined.”
Equity Office, a wholly owned subsidiary of Blackstone, is the owner and manager of The HC |Hughes Center®.
PLEASE NOTE: Equity Office is not selling The HC |Hughes Center®. CBRE has been retained to list the unoccupied office space at the center that is available for lease and to manage renewals.
Close Date: 11/02/2017
Seller: CC Building I LLC
Broker: Kevin Buckley – First Real Estate Companies
Property: 8880 W Sunset Road (Corporate Center at the Curve Building I)
Purchase Price: $15,325,000
Buyer: Las Vegas Professional Center LLC
Sq Footage: 47,500
Acreage: 3.18 Acres
Close Date: 11/02/2017
Seller: CC Building I LLC
Broker: Kevin Buckley – First Real Estate Companies
Property: 8930 W Sunset Road (Corporate Center at the Curve Building III)
Purchase Price: $14,800,000
Buyer: Las Vegas Professional Center LLC
Sq Footage: 47,500
Acreage: 3.18 Acres