08 July 2010

Ryland Homes pays $17.8M for Muirkirk Parcel

Maryland Gazette

Joanne S. Lawton Solid plan: Tom Aylward, left, vice president of development for Jackson-Shaw Co., and Chase Galbraith, vice president of regional development, are turning an old brick-making facility into a $500 million residential, office and retail complex between Beltsville and Laurel.
Ryland Homes has bought 45 acres for $17.76 million at Brick Yard Station in Muirkirk, where developer Jackson-Shaw said it will turn its attention from office buildings to the residential component of the 125-acre planned community.

The Calabasas, Calif., homebuilder plans to construct 51 single-family homes and 354 townhomes that will be part of the development's residential offerings. Jackson-Shaw of Dallas apartments will focus on the multifamily phases of the project.

The planned community is between Beltsville and Laurel, on the former site of the Washington Brick Co. manufacturing complex and mine. It is being marketed as a sustainable development, with all buildings planned for certification under the U.S. Green Building Council's Leadership in Energy and Environmental Design program, according to Jackson-Shaw information.

"[Brick Yard Station] is easily accessible to several government agencies with a large number of employees and to other major employment and retail centers, so there are unlimited opportunities for us to attract new home buyers," said Stephen Fritz, president of the Washington, D.C., region for Ryland Homes, in a statement.

"Jackson-Shaw has done a great job with the overall planning and design of this development and, for one for the few times I can remember, we are taking on a project that does not require any changes," Fritz said.

The project also incorporates multiple open spaces, including a seven-acre lot that Jackson-Shaw donated to the Maryland-National Capital Park and Planning Commission, which is planning a 20-acre dinosaur park on the site of a significant fossil deposit on a portion of the land.

In addition to the Ryland Homes construction, Brickyard Station will include 50,000 square feet of commercial space and two phases of multifamily development with 860 units surrounding the Muirkirk MARC station.

"Their commitment to quality construction and pursuit of innovative, sustainable building practices makes them an ideal partner for this development," said Chase Galbraith, vice president of development for Jackson-Shaw, in a statement. "As we turn our attention to the project's multifamily phases, we are confident that this component is in the best hands."

Officials with Jackson-Shaw and Ryland Homes could not be reached for comment Thursday.

The move to residential construction follows the successful start of the Brick Yard Business Park, where Jackson-Shaw plans 704,000 square feet of light industrial, office, flex and warehouse space on 60 acres.

Despite breaking ground after financial markets collapsed and the recession started in 2008, the firm has achieved a 70-percent occupancy rate, including Party Rental, Ltd. leasing 82,000 square feet and Limbach Facility Services leasing 40,000 square feet. Jackson-Shaw has poured more than $75 million into the project and has sold three buildings to FLOORMAX, Freestate Electrical and American Mechanical Services totaling 105,318 square feet. A fourth building is under contract to an undisclosed buyer, leaving one more completed building with 100,000 square feet available for sale or lease, said Tom Aylward, Jackson Shaw's vice president for development, who is based in the firm's Lanham office.

The firm has completed building 425,000 square feet in the business park and has permits in hand to build "three or four more buildings, depending on the market," he said.

Jackson-Shaw is now looking for another home builder to begin construction on the multifamily housing component "as quickly as possible," Aylward said.

The regional chapter of the National Association of Industrial and Office Properties last month designated the Brick Yard as the winner of its 2010 Award of Excellence in the "Best Industrial/Flex Project" category.

Home Properties buys apartment complex in Annapolis

Home Properties of Rochester, N.Y., announced that it acquired a 282-unit apartment complex in Annapolis for $32.5 million from Annapolis Roads Apartments Co.

The company, which has managed for waterfront Annapolis Roads Apartments since 2000, said it assumed an existing $20.1 million loan, paid $7.5 million in cash and traded $4.9 million in operating partnership units in Home Properties LP. The total purchase price for the property equals about $115,000 per unit.

Home Properties has been making major investments in Maryland in recent years. In February, it opened 1200 East West, a 247-unit Class A apartment building on the grounds of a former car repair shop. The latest deal follows the acquisition of two other properties totaling 318 units in Westminster for $23.9 million in April.

The Annapolis Roads property is just east of Bay Ridge Road next to the Annapolis Golf Course. The complex is 96.1 percent occupied at monthly rents averaging $1,255. The 11-building complex was built in three phases from 1974 to 1979.

The company plans to invest an additional $2.9 million during the next three years to correct deferred maintenance and building deficiencies, improve curb appeal, landscaping, roofs and mechanical systems and upgrade all apartments with new kitchens and baths, appliances, flooring, lighting, interior doors and trim.

PS Business Parks buys business complex for $23.4M

PS Business Parks of Glendale, Calif., has acquired Parklawn Business Park, a 232,000-square-foot office and industrial complex in Rockville for $23.4 million in cash.

The park, which is 70.6 percent leased to 59 tenants, will accommodate multiple tenants in a variety of sizes in its three office buildings and an industrial building. With the acquisition of Parklawn Business Park, PS Business Parks' portfolio in Maryland totals about 2.4 million square feet of multitenant office and flex space.

The seller, Washington Real Estate Investment Trust of Rockville, said it achieved a net book gain of $7.9 million on the sale of the properties. The Lexington Building, the Saratoga Building and Charleston Business Center were built from 1970 to 1977 and purchased by WRIT in 1993 as a portfolio. Parklawn Plaza was built in 1986 and purchased in 1999.

Former Circuit City sells for $2.1 million

Beauty 4 U, an affiliate of Beauty.com and Drugstore.com, bought the shuttered Circuit City building in Temple Hills for $2.1 million, according to Marcus & Millichap Real Estate Investment Services, which brokered the deal.

The 32,065 square-foot property was developed for Circuit City and has sat empty since the electronics chain declared bankruptcy in January 2009.

The site will now serve as a retail store and office headquarters for Beauty 4 U, a regional beauty supply chain. Circuit City properties join Linens n' Things, Comp USA and a number of big boxes that have been left vacant by either bankruptcy filings or efforts by retailers to cut non-performing stores and consolidate locations.

"Re-tenanting vacated mid and big box spaces is one of the biggest challenges facing shopping center owners," said Peter Snell of Marcus & Millichap in a statement.

"Because of the lack of demand for second-generation 20,000-plus-square-foot space, and the [net operating income] deterioration caused by missing rental income and expense reimbursements, landlords have been eager to subdivide space or sign leases with tenants that pay a fraction of the previous rent," Snell said. "This rent is often at or below debt service making a sale to an end user an attractive option."

Nordstrom Rack coming to Annapolis

Nordstrom announced it plans to open a Nordstrom Rack discount clothing store in Annapolis Harbour Center in spring 2011.

The 32,230-square-foot store will be near the existing full-price Nordstrom in Annapolis Mall. It will be next to the Office Depot at Annapolis Harbour Center, which is owned by Lerner Enterprises of Rockville.

Brandywine building bought for $11 million

The building leased to hhgregg in Brandywine that real estate company Cushman & Wakefield had on the market has been sold to Exeter Property Group.

The 393,440-square-foot industrial building at 14301 Mattawoman Drive sold for $11 million, or $27.96 per square foot, according to information from Cushman & Wakefield's Baltimore office, which represented the seller, Capital Development Co. of Lacey, Wash.

No comments:

Post a Comment