BY THE NUMBERS

MINNEAPOLIS—Despite a slight uptick in vacancy, the Minneapolis-St. Paul commercial real estate market in early 2017 held at a healthy 10.8% in vacancy across all product types – office, industrial, retail – and researchers say the metro region will see a more active second half of 2017. Although the Twin Cities, like many markets, has seen major retailers shut their doors, “the recorded vacancy rate signals a tight market in each sector,” according to a new report from Cushman & Wakefield NorthMarq. Combined, users absorbed 339,563 square feet in the first half of the year, about the same rate as in the second half of 2016. However, the firm projects a significant increase in absorption over the next six months, with industrial, retail and office tenants planning to occupy as much as 1.625 million square feet of space over the course of the year’s second half.

CHICAGO—Chicago ranked #15 on CBRE’s Tech Talent Scorecard, part of its fifth annual Scoring Tech Talent Report, which ranks 50 US and Canadian markets according to their ability to attract and grow tech talent. The report, which can be viewed in detail by market in the interactive Tech Talent Analyzer, finds that strong demand for talent that offer specific skills, such as software development, coupled with a tight labor supply, has driven companies to locate in markets with the largest concentrations of high quality talent. And while value is a key driver when it comes to choosing an office location, companies are showing that they are willing to pay a premium to access the highest quality tech talent. The Chicago area is the fourth-ranked market in the country for tech degrees, with 7,866 degree completions from 2014-2015, demonstrating a growth of 15.6% from 2011-2015, trailing only New York, Washington, DC and Los Angeles.

DEALTRACKER

KANKAKEE, IL—In a transaction that lays the groundwork for a significant redevelopment by an established local employer, McColly Bennett Commercial has facilitated the sale of the 74-acre former Bunge plant in downstate Bradley, IL. Financial terms of the transaction were not disclosed. International pharmaceutical company CSL Behring acquired the property, adjacent to CSL Behring’s current facility, to accommodate anticipated growth. The site includes office buildings with R & D and laboratory space, an automated high bay warehouse and cold storage building. Jeff Bennett from McColly Bennett represented the seller. Buck Tamblyn from McColly Bennett represented the buyer. “In acquiring this site which will allow for significant expansion possibilities CSL Behring is demonstrating their long-term commitment to its employees and the community,” says Bennett. No timeframe has been established for when any new development would take place.

CHICAGO—Aries/Conlon Capital has arranged six hotel refinancing transactions totaling more than $40 million for limited service hotels in FL, AR, TX, KY, and OH. Rushi Shah, Aries/Conlon Capital principal and chief executive officer, and Suraj Desai, associate, both from the firm’s Chicago office, and Michael Taylor, senior vice president from its Dallas-area office, originated the conventional and non-recourse CMBS loans on behalf of the multiple borrowers. The recently closed transactions include: a $7.5 million, 10-year fixed rate conventional loan with a 20-year amortization and a 60% loan-to-value ratio for a La Quinta Inn & Suites on Florida’s Gulf Coast. Co-originated by Shah and Desai, the loan was closed with one of the country’s largest credit unions in just 28 days and included significant cash-out to the borrower. Shah also originated a $6.15 million, 10-year fixed rate, non-recourse CMBS permanent loan with a 25-year amortization for a La Quinta Inn & Suites in Tampa.

BUILDING BLOCKS

LOUISVILLE—Spalding University has partnered with JLL to break ground this fall on an off-campus, outdoor athletics complex which will serve students and the local community. JLL, which recently signed a five-year facilities management extension with the Louisville-based university, will manage construction of the $5.5 million, 7.4-acre complex. The complex’s two soccer fields and softball field, combined with locker, storage and concession facilities, will help Spalding recruit student-athletes. The athletic fields will also serve a larger purpose. Located a few blocks from campus, the complex will be open to area high schools and community groups. Furthermore, the project is just the latest in Spalding’s greening of Louisville’s South of Broadway neighborhood around campus. As part of the SoBro development team, JLL has assisted the university in transforming parking lots and vacant buildings into community parks.