Real Deals: Black Hills Energy completes $8.4 million buy of Fayetteville HQ

A 50,708-square-foot commercial building in Fayetteville has changed hands for $8.4 million. The purchase price equals $165.65 per square foot.

South Dakota-based Black Hills Energy is the new owner of the two-story building at 655 E. Millsap Road. Black Hills is the primary tenant and has approximately 165 employees in the building.

Flake & Kelley Commercial in Little Rock represented the seller, Millsap Road Investments Co. LLC. The entity included a number of investors, including members of the Flake & Kelley firm led by Hank Kelley and John Flake.

Waco Title Co. of Springdale was the title agent.

The building was originally built in 1997 as an office for Procter & Gamble. Black Hills Energy (previously SourceGas) has rented its space in the building since 2009 when the company moved from a previous location on Sain Street.

“We’re committed to Arkansas, which we’ve demonstrated through our infrastructure investments, job growth and community engagement,” Todd Jacobs, vice president of natural gas operations for Black Hills Energy in Arkansas, said in a statement. “Owning our facility allows us to better control costs and positions us well to continue to meet the needs of our customers and the region.”

Walgreen’s Deal
A freestanding retail building in Springdale has a new owner after a sale worth $4.15 million.

A New York investor, Kamicutico LLC, bought the 15,039-square-foot building at 2002 S. Thompson St. The purchase price equals $275.94 per square foot.

HQ Old NB LLC, another New York company, was the seller.

Walgreen’s Corp. is the tenant, operating under a triple-net lease that runs through 2027. HQ paid $4.2 million for the 3.3-acre development in December 2016.

Fayetteville Townhomes
A 19-unit townhouse development in Fayetteville has sold for $4.13 million. The purchase price equals $217,763 per unit.

TRS Sycamore LP of Dallas, managed by Sarah Catherine Norris and Travers Sparks Mahan III, bought the 1.65-acre development just west of the intersection of Sycamore Street and College Avenue.

Titan Development LLC of Van Buren, led by Bransen Harris, was the seller. Grand Bank of Tulsa, Okla., provided financing with a five-year, $3.51 million loan.

The townhomes, with four-, three- and two-bedroom units, were built in 2017. They range in size from 1,485 square feet to 1,850 square feet. Lease rates range from $1,300 per month for two-bedroom units to $2,400 per month for four-bedroom units. The property is fully leased.

Highway Land
A Bentonville developer has purchased a bank-owned commercial lot that fronts U.S. Highway 71 in Bella Vista for $975,000.

JP Bella LLC, led by Jason Pullman, paid $12.46 per square foot for the 1.75-acre lot just north of West McNelly Road. The property is situated between Walgreen’s and an office location of Crye-Leike Realtors.

Simmons Bank of Pine Bluff was the seller. Legacy National Bank of Springdale provided financing with a one-year loan of $1 million. City Title & Closing LLC of Fayetteville was the title agent.

Benton County appraisers valued the land in 2017 at $1.14 million.