Larger shopping centers and necessity retailers are popping up across Atlanta in order to appeal to the growing consumer population. Much of the new development will take place in the North Cobb and Georgia 400 submarkets. This includes Dawson Marketplace, a 468,000-square-foot shopping center in the Georgia 400 submarket. The project will be anchored by a Kroger and will contain many big-box retailers including Marshalls and Hobby Lobby. As a majority of new construction this year is pre-leased, many tenants are scouring the market for existing space, placing further downward pressure on vacancy while asking rents continue to rise. (Source: Marcus & Millichap)

NEWS & NOTABLES

ROSWELL, GA—The Georgian Lakeside in Roswell, Georgia, a 95-unit assisted living and memory care community, has opened. KTGY designed the community, offering luxury amenities, technology and resort-style living. Griffin Fine Living is the general manager. Canyon Partners Real Estate provided the investment capital. The senior housing community is located at 1070 Hardscrabble Road, Roswell, which is at the intersection of Highway 92 and Hardscrabble Road, and across the street from a Target-anchored shopping center.

DEAL TRACKER

ATLANTA—Joffe Land Companies sold $17 million in developed lots in six of its Paulding subdivisions to four homebuilders. Approximately half of the lots have already closed and the remaining lots will be purchased on a takedown schedule over the next 18 months. Joffe secured deals with some of the largest homebuilders in Atlanta, including Century Communities, Smith Douglas Homes, Mullinax Homes and D.R. Horton, the biggest in the US. Joffe Land Companies purchased about a dozen Paulding County subdivisions between 2012 and 2014.

GADSDEN—Crossman & Company completed the sale of two retail properties in Alabama, East Side Plaza in Gadsden and Valley Market Place in Valley. Crossman director Brian Carolan, COO John Zielinski and senior managing director Bruce Lyons represented the seller, a special servicer located in South Florida, in the $850,500 transaction. “Alabama's retail market is rebounding, producing an appetite for opportunities around the state, especially in emerging markets,” says Zielinski. Crossman senior associate Sherri Mann, Carolan and Zielinski represented the seller RCG Ventures of Atlanta in the nearly $3 million deal. The 85,323 square foot East Side Plaza is 85% leased.

GAINESVILLE, GA–Atlanta-based Hotel Equities was selected as the management firm for the Hampton Inn by Hilton in Gainesville, GA. H&R Hotels, owner of the property, has developed a strategic partnership with Hotel Equities to manage the hotels in its portfolio. The Hampton Inn Gainesville will begin a major renovation in the near future using the brand's “Forever Young” design that promises to provide guests with a fresh new look and experience. Located in the central business district of Gainesville, the hotel is within walking distance of the Georgia Mountains Convention Center and across the street from the Gainesville Arts Council. The hotel also affords easy access to Interstate 985, Lake Lanier, Road Atlanta Motor Sports Center and the Lanier Raceway.

ATLANTA—HFF has closed the sale and secured financing for Estates at Vinings Station, a 315-unit, garden-style multifamily community in the northwest Atlanta suburb of Vinings. HFF marketed the property on behalf of the seller, Invesco Real Estate. A joint venture between PCCP and Carroll Organization acquired the asset. HFF also assisted the new owner in securing the seven-year, 70% LTV, floating-rate acquisition financing through Freddie Mac's (Federal Home Loan Mortgage Corporation) CME Program. Senior managing director Jason Nettles and director Megan Thompson represented the seller. HFF senior managing director Ed Coco and director Chip Sykes led the capital markets deal. “Estates at Vinings Station represents one of the last garden-style properties to likely ever be built in the Vinings area with current trends leaning toward higher-density, structured-parking assets, which now represent nearly all of the new supply in this burgeoning submarket,” says Nettles. “Invesco realized their investment objectives, and we believe the buyer's business plan is well conceived for future asset appreciation.”

ATLANTA—Cousins Properties stock lost 1.25%, to finish Friday's session at $7.93 with a total volume of 4.79 million shares traded. Shares of the Company, which owns, develops, and manages real estate portfolio, as well as performs certain real estate-related services in the US, are trading at a PE ratio of 12.02. The stock is trading 21.66% and 19.91% below its 50-day and 200-day moving averages, respectively. Cousins Properties' stock has a Relative Strength Index (RSI) of 28.56.

ATLANTA—Natixis provided $43 million of floating-rate financing to AWH Partners for the Crowne Plaza Midtown and Staybridge Suites Atlanta Midtown, a 462-room dual brand hotel located in Atlanta. The funds were used to refinance an existing renovation loan after the property's recent multimillion dollar renovation. The extensive makeover won AWH Partners the IHG Developer of the Year Award. Peter E. Dannemiller, managing director of Hodges Ward Elliott, arranged the deal.

Georgia is seeing some interesting deals this week—with Roswell continuing to show its strength in the Peachtree State. I'm also seeing good diversity, with the ink drying on retail, hospitality, multifamily and land sales.

The North Fulton market, of which Roswell is a part, is known for its strong public school system, which makes it highly sought-after and an area for which renters will pay a premium. Residents of this submarket area earn nearly 70% more than the metro median.

BY THE NUMBERS

Rising household incomes and steady population growth fuel retail sales. Median household incomes continue to climb year over year in Atlanta as companies relocate to the metro and bring higher-paying jobs. This, coupled with population growth, has driven up retail sales nearly 4% over the last four quarters and sparked demand for retail space. Builders are working to boost supply additions as vacancy continues to tighten. The rate has fallen 350 basis points from the 10-year high. (Source: Marcus & Millichap)

Larger shopping centers and necessity retailers are popping up across Atlanta in order to appeal to the growing consumer population. Much of the new development will take place in the North Cobb and Georgia 400 submarkets. This includes Dawson Marketplace, a 468,000-square-foot shopping center in the Georgia 400 submarket. The project will be anchored by a Kroger and will contain many big-box retailers including Marshalls and Hobby Lobby. As a majority of new construction this year is pre-leased, many tenants are scouring the market for existing space, placing further downward pressure on vacancy while asking rents continue to rise. (Source: Marcus & Millichap)

NEWS & NOTABLES

ROSWELL, GA—The Georgian Lakeside in Roswell, Georgia, a 95-unit assisted living and memory care community, has opened. KTGY designed the community, offering luxury amenities, technology and resort-style living. Griffin Fine Living is the general manager. Canyon Partners Real Estate provided the investment capital. The senior housing community is located at 1070 Hardscrabble Road, Roswell, which is at the intersection of Highway 92 and Hardscrabble Road, and across the street from a Target-anchored shopping center.

DEAL TRACKER

ATLANTA—Joffe Land Companies sold $17 million in developed lots in six of its Paulding subdivisions to four homebuilders. Approximately half of the lots have already closed and the remaining lots will be purchased on a takedown schedule over the next 18 months. Joffe secured deals with some of the largest homebuilders in Atlanta, including Century Communities, Smith Douglas Homes, Mullinax Homes and D.R. Horton, the biggest in the US. Joffe Land Companies purchased about a dozen Paulding County subdivisions between 2012 and 2014.

GADSDEN—Crossman & Company completed the sale of two retail properties in Alabama, East Side Plaza in Gadsden and Valley Market Place in Valley. Crossman director Brian Carolan, COO John Zielinski and senior managing director Bruce Lyons represented the seller, a special servicer located in South Florida, in the $850,500 transaction. “Alabama's retail market is rebounding, producing an appetite for opportunities around the state, especially in emerging markets,” says Zielinski. Crossman senior associate Sherri Mann, Carolan and Zielinski represented the seller RCG Ventures of Atlanta in the nearly $3 million deal. The 85,323 square foot East Side Plaza is 85% leased.

GAINESVILLE, GA–Atlanta-based Hotel Equities was selected as the management firm for the Hampton Inn by Hilton in Gainesville, GA. H&R Hotels, owner of the property, has developed a strategic partnership with Hotel Equities to manage the hotels in its portfolio. The Hampton Inn Gainesville will begin a major renovation in the near future using the brand's “Forever Young” design that promises to provide guests with a fresh new look and experience. Located in the central business district of Gainesville, the hotel is within walking distance of the Georgia Mountains Convention Center and across the street from the Gainesville Arts Council. The hotel also affords easy access to Interstate 985, Lake Lanier, Road Atlanta Motor Sports Center and the Lanier Raceway.

ATLANTA—HFF has closed the sale and secured financing for Estates at Vinings Station, a 315-unit, garden-style multifamily community in the northwest Atlanta suburb of Vinings. HFF marketed the property on behalf of the seller, Invesco Real Estate. A joint venture between PCCP and Carroll Organization acquired the asset. HFF also assisted the new owner in securing the seven-year, 70% LTV, floating-rate acquisition financing through Freddie Mac's (Federal Home Loan Mortgage Corporation) CME Program. Senior managing director Jason Nettles and director Megan Thompson represented the seller. HFF senior managing director Ed Coco and director Chip Sykes led the capital markets deal. “Estates at Vinings Station represents one of the last garden-style properties to likely ever be built in the Vinings area with current trends leaning toward higher-density, structured-parking assets, which now represent nearly all of the new supply in this burgeoning submarket,” says Nettles. “Invesco realized their investment objectives, and we believe the buyer's business plan is well conceived for future asset appreciation.”

ATLANTA—Cousins Properties stock lost 1.25%, to finish Friday's session at $7.93 with a total volume of 4.79 million shares traded. Shares of the Company, which owns, develops, and manages real estate portfolio, as well as performs certain real estate-related services in the US, are trading at a PE ratio of 12.02. The stock is trading 21.66% and 19.91% below its 50-day and 200-day moving averages, respectively. Cousins Properties' stock has a Relative Strength Index (RSI) of 28.56.

ATLANTA—Natixis provided $43 million of floating-rate financing to AWH Partners for the Crowne Plaza Midtown and Staybridge Suites Atlanta Midtown, a 462-room dual brand hotel located in Atlanta. The funds were used to refinance an existing renovation loan after the property's recent multimillion dollar renovation. The extensive makeover won AWH Partners the IHG Developer of the Year Award. Peter E. Dannemiller, managing director of Hodges Ward Elliott, arranged the deal.