NEWS & NOTABLES

ROSWELL, GA—KTGY Architecture + Planning received a Silver Award in the category of Best Assisted Living/Special Needs Community for the design of The Georgian Lakeside in Roswell. KTGY received the award at the 2017 Best of 55+ Housing Awards held at the National Association of Home Builders' International Builders' Show (IBS) in Orlando. The award, presented by NAHB's 55+ Housing Industry Council, was announced at the event's 25th Anniversary Awards ceremony.

ATLANTA—Hotel Equities promoted president Brad Rahinsky to the position of president and CEO. Fred Cerrone, founder of the firm, retains the position of chairman. “An extraordinary leader with an astute business mind, Brad brings that rare mix of business acumen and street sense to his position as the president & CEO of Hotel Equities” says Cerrone. “He has used his exceptional leadership skills to attract top talent to our team and grow the company with an eye towards the future.” Rahinsky joined Hotel Equities five years ago, with a comprehensive background in hospitality operations, sales and marketing and business development.

DEAL TRACKER

BIRMINGHAM—Walker & Dunlop arranged three Freddie Mac loans totaling $15.967 million for the acquisition of three Section 8 affordable housing projects located in the Southeast United States. The borrower, Stonebridge Global Partners, used the debt to acquire Oak Hammock in Jacksonville, FL, Forest Hills Village in Birmingham, and Villa North Apartments in Thomasville, GA. The three multifamily properties have a total of 439 units and were approximately 95% occupied. Each of the loans is interest-only for the first five years and has a 30-year amortization schedule.

LAWRENCEVILLE , GA—Avison Young's Atlanta office arranged the sale of the Village Shoppes at Creekside, a 212,654-square-foot retail community center with 14 buildings sitting on more than 25 acres in the Gwinnett retail submarket of metro Atlanta. Avison's Theresa Johnson represented Torchlight Investors in the transaction. Developed in 2005, The Village Shoppes at Creekside, is anchored by Starbucks, Gold's Gym, Chipotle and Ben's Brands for Less and is adjacent to the nationally recognized Gwinnett Medical Center, which employs more than 4,800 employees and 800 physicians.

MABLETON , GA—Avison Young's Atlanta office arranged the sale of the Plaza at Mableton, a 63,367-square-foot grocery-anchored retail center located in Powder Springs, a submarket of Cobb County within metro Atlanta. Theresa Johnson of Avison Young represented Plaza of Mableton, LLC. Constructed in 1975 and renovated in 1998, The Plaza at Mableton, anchored by the Food Depot, is located off of GA Highway 78 on Floyd Road and just minutes away from the Silver Comet Trail. The property offers tenants a stabilized asset in an area with heavy traffic, flexible suite sizes, and an above average parking ratio.

BIRMINGHAM—GCP sold an 83,000-square-foot industrial property in Birmingham. The property—located at 3340 Vanderbilt Road—sold for $2.3 million. “Vanderbilt Road was a repositioning success,” says Gardner Lee, president of GCP. “We acquired the property in October 2013, with the Associated Grocers of the South occupying it on a short-term lease.”

ATHENS, GA—Berkadia brokered the sale of Paces at Woodlake, a 126-unit multifamily property in Athens, for $8.2 million. Jeremiah Jarmin, of Berkadia's Atlanta Team listed the property for Pace Burt. Paces at Woodlake was acquired by FPA Multifamily. “Athens is the definition of a multifamily seller's market: tight supply with high demand. The University of Georgia continues to be the bedrock for sound market fundamentals in Athens as well as being a beneficiary of Atlanta's burgeoning growth and rising rental rates,” says Jarmin. “Paces at Woodlake offered the unique opportunity to buy a 1990s-built asset with a substantial value-add opportunity to grow rents by implementing a light capex program and without the need for major repositioning.”

ATLANTA—JLL represented Z Gallerie in its plans to open an east coast distribution and customer service center at Skyview Business Center in Lithia Springs, west of Atlanta. The distribution center is expected to create 115 jobs and be fully operational by 2019. JLL senior vice president Steve Grable and executive vice president Barry Hill represented Z Gallerie in the lease negotiations. Based in Los Angeles, Z Gallerie operates 68 stores nationwide. “Metro Atlanta's superior logistics framework, proximity to the Norfolk Southern and CSX rail lines and access to the Georgia Ports Authority import centers in Savannah are some of the key drivers in Z Gallerie's decision,” says Grable, a member of JLL's Supply Chain and Logistics Solutions Team. CBRE's Trey Barry, Todd Barton and Greg Haynes represented the landlord, Huntington Industrial Partners, in the lease.

DOTHAN, AL—Berkadia recently negotiated the sale of Camelot, a 150-unit multifamily community at 106 Castle Drive in Dothan for $6.285 million, or $41,900 per unit. Managing director David Oakley and senior vice president David Etchison represented the seller, Birmingham-based Camelot Company. Camelot was built in 1976 and is well located with high visibility on Highway 84. Strategic Diversified Real Estate Holdings acquired the asset. Berkadia handled the financing of the property via Fannie Mae.

BIRMINGHAM—HFF has arranged refinancing for The Summit, a 1.03 million-square-foot, trophy retail center with class A office space in Birmingham. HFF worked on behalf of the borrower, a partnership between Bayer Properties LLC and Institutional Mall Investors LLC, a co-investment venture co-owned by Miller Capital Advisory and CalPERS, to place the 10-year, fixed-rate loan with Bank of America. Loan proceeds are being used to refinance an existing loan. HFF director Jim Curtin led the debt placement team.

BUILDING BLOCKS

ATLANTA—Jernigan Capital closed a $14.1 million ground-up development investment in Atlanta. The proposed 92,935 net rentable square feet, 1,049-unit multi-story facility will provide all climate-controlled storage to the rapidly-growing West Midtown area near the Georgia Tech campus. Construction is expected to commence in the second quarter with completion expected in the second quarter of 2018. RRB Development, headquartered in Atlanta, is the developer of the proposed project. This is the fourth self-storage development in which the company and RRB Development have co-invested.

Alabama was a stand out in terms of deal flow in the Southeast this week. At the same time, Georgia-based firm won awards, offered promotions, and saw its fair share of deals in middle markets large and small.

BY THE NUMBERS

Demand outpaces supply, pushing vacancy lower. Corporate expansions and Atlanta's growing film industry have helped fuel employment growth, increasing the number of households. In particular, the cohort of 20- to 34-year-olds, which typically favors rentals, has risen steadily each year as hiring remains healthy. The expanded rental pool has kept the vacancy rate below 5%. To fulfill new rental housing demand, builders have ramped up apartment construction and deliveries are on track to outpace the five-year annual average this year. (Source: Marcus & Millichap)

The number of multifamily permits pulled in Atlanta has increased significantly, signaling builders are working to keep pace with rising demand. Specifically, many mid- and high-rise developments are coming online with luxury amenities to appeal to high-income households seeking an urban lifestyle. The substantial increase in construction will not disrupt an additional decline in vacancy this year as net absorption remains strong. The metro's low vacancy rate and robust demand drivers place additional upward pressure on rents, lifting the average effective rent to a record high this year. (Source: Marcus & Millichap)

NEWS & NOTABLES

ROSWELL, GA—KTGY Architecture + Planning received a Silver Award in the category of Best Assisted Living/Special Needs Community for the design of The Georgian Lakeside in Roswell. KTGY received the award at the 2017 Best of 55+ Housing Awards held at the National Association of Home Builders' International Builders' Show (IBS) in Orlando. The award, presented by NAHB's 55+ Housing Industry Council, was announced at the event's 25th Anniversary Awards ceremony.

ATLANTA—Hotel Equities promoted president Brad Rahinsky to the position of president and CEO. Fred Cerrone, founder of the firm, retains the position of chairman. “An extraordinary leader with an astute business mind, Brad brings that rare mix of business acumen and street sense to his position as the president & CEO of Hotel Equities” says Cerrone. “He has used his exceptional leadership skills to attract top talent to our team and grow the company with an eye towards the future.” Rahinsky joined Hotel Equities five years ago, with a comprehensive background in hospitality operations, sales and marketing and business development.

DEAL TRACKER

BIRMINGHAM—Walker & Dunlop arranged three Freddie Mac loans totaling $15.967 million for the acquisition of three Section 8 affordable housing projects located in the Southeast United States. The borrower, Stonebridge Global Partners, used the debt to acquire Oak Hammock in Jacksonville, FL, Forest Hills Village in Birmingham, and Villa North Apartments in Thomasville, GA. The three multifamily properties have a total of 439 units and were approximately 95% occupied. Each of the loans is interest-only for the first five years and has a 30-year amortization schedule.

LAWRENCEVILLE , GA—Avison Young's Atlanta office arranged the sale of the Village Shoppes at Creekside, a 212,654-square-foot retail community center with 14 buildings sitting on more than 25 acres in the Gwinnett retail submarket of metro Atlanta. Avison's Theresa Johnson represented Torchlight Investors in the transaction. Developed in 2005, The Village Shoppes at Creekside, is anchored by Starbucks, Gold's Gym, Chipotle and Ben's Brands for Less and is adjacent to the nationally recognized Gwinnett Medical Center, which employs more than 4,800 employees and 800 physicians.

MABLETON , GA—Avison Young's Atlanta office arranged the sale of the Plaza at Mableton, a 63,367-square-foot grocery-anchored retail center located in Powder Springs, a submarket of Cobb County within metro Atlanta. Theresa Johnson of Avison Young represented Plaza of Mableton, LLC. Constructed in 1975 and renovated in 1998, The Plaza at Mableton, anchored by the Food Depot, is located off of GA Highway 78 on Floyd Road and just minutes away from the Silver Comet Trail. The property offers tenants a stabilized asset in an area with heavy traffic, flexible suite sizes, and an above average parking ratio.

BIRMINGHAM—GCP sold an 83,000-square-foot industrial property in Birmingham. The property—located at 3340 Vanderbilt Road—sold for $2.3 million. “Vanderbilt Road was a repositioning success,” says Gardner Lee, president of GCP. “We acquired the property in October 2013, with the Associated Grocers of the South occupying it on a short-term lease.”

ATHENS, GA—Berkadia brokered the sale of Paces at Woodlake, a 126-unit multifamily property in Athens, for $8.2 million. Jeremiah Jarmin, of Berkadia's Atlanta Team listed the property for Pace Burt. Paces at Woodlake was acquired by FPA Multifamily. “Athens is the definition of a multifamily seller's market: tight supply with high demand. The University of Georgia continues to be the bedrock for sound market fundamentals in Athens as well as being a beneficiary of Atlanta's burgeoning growth and rising rental rates,” says Jarmin. “Paces at Woodlake offered the unique opportunity to buy a 1990s-built asset with a substantial value-add opportunity to grow rents by implementing a light capex program and without the need for major repositioning.”

ATLANTA—JLL represented Z Gallerie in its plans to open an east coast distribution and customer service center at Skyview Business Center in Lithia Springs, west of Atlanta. The distribution center is expected to create 115 jobs and be fully operational by 2019. JLL senior vice president Steve Grable and executive vice president Barry Hill represented Z Gallerie in the lease negotiations. Based in Los Angeles, Z Gallerie operates 68 stores nationwide. “Metro Atlanta's superior logistics framework, proximity to the Norfolk Southern and CSX rail lines and access to the Georgia Ports Authority import centers in Savannah are some of the key drivers in Z Gallerie's decision,” says Grable, a member of JLL's Supply Chain and Logistics Solutions Team. CBRE's Trey Barry, Todd Barton and Greg Haynes represented the landlord, Huntington Industrial Partners, in the lease.

DOTHAN, AL—Berkadia recently negotiated the sale of Camelot, a 150-unit multifamily community at 106 Castle Drive in Dothan for $6.285 million, or $41,900 per unit. Managing director David Oakley and senior vice president David Etchison represented the seller, Birmingham-based Camelot Company. Camelot was built in 1976 and is well located with high visibility on Highway 84. Strategic Diversified Real Estate Holdings acquired the asset. Berkadia handled the financing of the property via Fannie Mae.

BIRMINGHAM—HFF has arranged refinancing for The Summit, a 1.03 million-square-foot, trophy retail center with class A office space in Birmingham. HFF worked on behalf of the borrower, a partnership between Bayer Properties LLC and Institutional Mall Investors LLC, a co-investment venture co-owned by Miller Capital Advisory and CalPERS, to place the 10-year, fixed-rate loan with Bank of America. Loan proceeds are being used to refinance an existing loan. HFF director Jim Curtin led the debt placement team.

BUILDING BLOCKS

ATLANTA—Jernigan Capital closed a $14.1 million ground-up development investment in Atlanta. The proposed 92,935 net rentable square feet, 1,049-unit multi-story facility will provide all climate-controlled storage to the rapidly-growing West Midtown area near the Georgia Tech campus. Construction is expected to commence in the second quarter with completion expected in the second quarter of 2018. RRB Development, headquartered in Atlanta, is the developer of the proposed project. This is the fourth self-storage development in which the company and RRB Development have co-invested.