Real Deals: Commerce Construction leads Fayetteville bank development

by Paul Gatling ([email protected]) 1,007 views 

The city of Fayetteville recently issued a building permit valued at $6.65 million.

It’s being used to build a full-service bank branch at 3453 N. Steele Blvd., in the city’s CMN Business Park addition.

Missouri-based Sterling Bank is the developer. The company paid $1.9 million for the 3.21-acre site ($13.59 per square foot) in October.

Sterling Bank will develop the land to include a three-story, 16,000-square-foot building. The bank chose Commerce Construction of Springdale to be the construction manager. Crafton Tull (engineer), Case Engineering and Dille Pollard Architecture (design) are also working on the project. Emma Lambeth Designs will provide interior design services.

Johnathon Welch, the bank’s Northwest Arkansas market president, said the building’s tentative completion date is early November.

Sterling Bank is a wholly-owned subsidiary of Sterling Bancshares Inc. The company entered the Arkansas market in 2020 by opening a loan production office at 1607 N. College Ave. in Fayetteville. The office is in leased space and opened June 1. On Oct. 15, the office started taking deposits and became a full-service branch.

A 20-acre industrial property in Rogers changed hands recently for $6.5 million.

Dixieland Warehouse Partners LLC, managed by TJ Lefler, bought the 278,818-square-foot office/warehouse building at 1301 N. Dixieland Road. Breeden Robinson LLC, led by Darrell Robinson and Larry Breeden, was the seller.

Pine Bluff-based Simmons Bank backed the deal with a seven-year loan of $6.03 million. Marshall Saviers with Cushman & Wakefield/Sage Partners represented the seller. City Title & Closing of Fayetteville was the title agent.

The building, built in 1989, contains 239,654 square feet of manufacturing/warehouse space, 15,420 square feet of maintenance work space, an 11,644-square-foot tool shop and 12,100 square feet of modern, air-conditioned office space featuring private offices and conference rooms.

Lefler, an executive vice president and principal with Sage Partners, said the building is fully leased to two long-term tenants. Goodwill Industries of Arkansas leases two-thirds of the building. Fast Track It, an online auction marketplace, leases the remaining space.

Lefler said property upgrades are planned including parking and lighting, and the investment group views the property as a long-term hold.

Breeden Robinson paid $4.8 million for the property, then vacant, in December 2016. Superior Industries International Arkansas LLC was the seller. Superior Industries, which is headquartered in Van Nuys, Calif., closed its Rogers facility in 2014. Superior bought the land in August 1988 for $157,000.

A 7-acre commercial lot in Bentonville changed hands recently for $2.2 million. The purchase price equals $7.22 per square foot.

Heartland Park LLC, managed by Zachary Wood, bought the property at 1002 S. Walton Blvd. LaRose Development LLC, represented by Daniel Pattillo, was the seller.

Equity Bank in Wichita, Kan., backed the deal with two loans totaling $1.5 million. City Title & Closing of Fayetteville was the title agent.

Heartland Motel previously occupied the site but was razed years ago. LaRose paid $1.45 million for the land in December 2018.

Rogers attorney Matthew Mitchell, the buyer’s counsel, said the property will be developed into a mixed-use center including residential and retail to complement the planned 8th Street Gateway Park.

The sale of a downtown Bentonville residence tipped the scales at $1.57 million.

Jake and Jennifer Newell bought the 4,460-square-foot home on Northwest Third Street. The purchase price equals $352.94 per square foot. Jay Howard, through his JMH LLC, was the seller.

Springdale-based Legacy National Bank provided financing and City Title & Closing of Fayetteville was the title agent.

The five-bedroom home was built in 1891. JMH paid $985,000 for the two-story home in September 2019. Donald and Jennifer Wallace were the sellers.

A 7.74-acre residential property in Rogers changed hands recently for $816,500.

Mauris and Donna Feyen bought the 3,564-square-foot home on Sunbridge Lane, near the Northgate Road intersection. The purchase price equals $229 per square foot. James and Leah Ecker were the sellers.

Arvest Bank backed the deal with a 30-year, $653,300 loan. Waco Title Co. was the title agent. Paula Parker with Keller Williams Market Pro Realty in Bentonville represented the seller. Jared Smith with Gibson Real Estate in Rogers represented the buyer.

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.