Real Deals: Centennial Bank’s $92 million loan backs buy of GSA-leased assets
by January 24, 2021 4:40 pm 1,618 views
Tanenbaum Equity Partners (TEP), a subsidiary of Oklahoma City-based commercial real estate developer Gardner Tanenbaum Holdings, recently picked up a $92 million funding agreement from Arkansas-based Centennial Bank.
The funding backed the acquisition of Tennessee-based CoreCivic Inc.’s national GSA (General Services Administration) portfolio. The portfolio consists of 42-federally leased properties located in 11 states and totals more than 573,000 square feet. Most of the assets were built-to-suit for the government. The total acquisition price has been confirmed as $106.5 million before closing costs and construction capital reserves.
Included in the deal is a 4,880-square-foot building at 2887 N. Point Circle in Fayetteville, leased to the Department of Homeland Security. The purchase price of $963,999 equals $197.54 per square foot.
Centennial Bank’s loan was structured as a fixed-rate bridge facility to acquire the 42-asset portfolio, and a line of credit to provide future funding for capital improvements and tenant improvement projects. Plans include 17 improvement projects on behalf of the federal government.
APARTMENT ACQUISITION
A 72-unit apartment complex in Springdale recently changed hands for $3.74 million. The purchase price equals $51,944 per unit.
Lighthouse Ventures Inc. bought the Arbor Apartments development at 604-620 Oak Ave. Quality Housing Partners, led by Rob Kimbel, was the seller.
Newmark Moses Tucker Partners — led by Zack Kifer, Josh Singleterry and Paul Esterer — represented both sides of the transaction.
The 3.8-acre property includes nine two-story buildings with occupancy of 89%. It includes one- and two-bedroom units ranging in size from 571 to 879 square feet. The property and 60 units have been fully renovated over the past few years.
Quality Housing paid $3.05 million for the property in February 2017. Zheng Lin LLC was the seller.
OAK TREE RESIDENCE
A 6,045-square-foot residence in Centerton’s Oak Tree neighborhood changed hands recently in a $1.11 million deal. The purchase price equals $184.87 per square foot.
John and Kimberly Kinton bought the Oak Tree Drive property from Matthew and Tara Martin. Walmart Inc. hired John Kinton, a former Jones Day partner, in October as the company’s lead counsel for intellectual property litigation.
Sirva Mortgage Inc. of Ohio backed the deal with a 30-year loan worth $894,040.
Jan Holland with Coldwell Banker Harris McHaney Faucette in Bentonville was the listing agent. Somer Adams with Lindsey & Associates in Rogers represented the buyer. Realty Title & Closing of Rogers was the title agent.
Homes of Distinction Inc. of Bentonville built the six-bedroom home in 2018 and the property appraised in 2019 for $925,450. Martin bought the 1.15-acre lot in December 2016 for $120,000.
AUTOMOTIVE GROWTH
A Siloam Springs automotive dealership recently added to its real estate holdings with possible expansion in mind, closing two deals worth $1.05 million.
Superior Ford Inc., owned by Fayetteville-based Superior Auto Group, paid $450,000 for a vacant 0.57-acre Pizza Hut restaurant at 391 E. Highway 412 and $600,000 for a 1.54-acre vacant America’s Car-Mart dealership at 351 E. Highway 412. The properties are contiguous to Superior Ford, a 2.2-acre auto dealership at 491 E. Highway 412 at the corner of South Washington Street.
Dynamic Development Inc. of Bentonville, led by Todd Fleeman, sold the Car-Mart property. Pruner Properties of Siloam Springs, managed by Marilyn Pruner, sold the Pizza Hut property, which has already been razed.
HARVEY DOWELL HOME
A 76-acre riverfront estate in east Fayetteville changed hands recently for $800,000.
JNB Group LLC, whose members include John McGowan, bought the 2,143-square-foot residence on South Harvey Dowell Road, near the White River. The Imogene Keen Revocable Trust, managed by trustees Roy Keen and Ronda Keen Payne, was the seller.
Arvest Bank provided financing with a one-year loan of $400,000. Waco Title Co. of Springdale was the title agent. Taylor Baker with Equity Partners Realty had the listing.
The four-bedroom home was built in 1995.
HUNT HOLDINGS
J.B. Hunt Transport Services Inc. has added to its Lowell campus land holdings with a $766,394 acquisition.
The company bought two tracts totaling 8.79 acres west of U.S. Highway 71 Business. The lots are situated on either side of J.B. Hunt Corporate Drive, near the J.B. Hunt Training and Technology Center. The purchase price equals $1.80 per square foot.
NWA #1 LLC, registered to D. Randy Laney, was the seller.
City Title & Closing of Fayetteville was the title agent. Alan Cole of Colliers International Arkansas in Rogers represented the seller.
Real Deals submissions: Submit tips about lease activity, construction, transactions or upcoming projects valued at $300,000 or more to Paul Gatling at [email protected]. Please write ‘Real Deals’ in the subject line.