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Places This Week: DDA closes on land for The Nolen; Group behind Cordova Inn buys adjacent hotel
A weekly roundup of local real estate deals.
DDA Development closes on the property for The Nolen
DDA Development, the development group behind the 23-story planned condo project The Nolen, has closed on the property in a $7 million deal, Bowen Arnold of DDA Development told the St. Pete Catalyst.
DDA also took out a $36 million loan from Truist Bank. Concord Summit Capital served as the advisors to Backstreets Capital and DDA in arranging the financing.
The $50 million hi-rise development will be at 146 4th Ave. Northeast, near North Straub Park and The Vinoy Hotel.
The Nolen will offer 31 units, a three-story parking structure and 1,260 square feet of ground-floor retail space.
Floors five through 15 will have two residential units per floor, and floors 16 through 23 will have one residential unit per floor.
A rendering of the terrace overlooking the amenities of The Nolen. DDA Development.
Construction is expected to start in the first quarter of 2022. Once the group breaks ground, the development is expected to be completed within 18-20 months.
The project team also includes Backstreets Capital, Place Architecture and Kippen Communications, all based in St. Pete, as well as Smith & Associates Real Estate.
RPT acquires Highland Lakes shopping center, Stein Mart space to be filled by grocer
New York-based RPT Realty (NYSE: RPT) has acquired the Highland Lakes shopping center in Palm Harbor in a $15 million deal.
Highland Lakes is an 82,000-square-foot, open-air shopping center. RPT is finalizing a new lease with an investment-grade grocer to replace a vacant former Stein Mart box, according to RPT’s news release.
The Stein Mart box at the Highland Lakes shopping plaza. GoogleMaps.
Once the lease is executed for a new unnamed grocer, RPT expects to generate a stabilized yield to the current market cap rate. The new grocer will also increase the occupancy rate to over 95%.
The other tenants in the building include Famous Footwear, Orangetheory Fitness, Michaels and Hallmark.
The Tampa Bay market is RPT’s fifth-largest market, based on annualized base rent.
Stanton Hotel in downtown St. Pete sells
The Stanton Hotel and Stanton Apartments, owned by the Old St. Pete Development Corp., have sold in a $3.5 million deal.
New Hotel Collection and Largo-based TDZ Capital, the group behind the Cordova Inn development, purchased the hotel and apartments at 225 3rd Street North for an expansion of the Cordova Inn.
A rendering of the expansion for the Cordova Inn. The rendering was provided by B2Communications.
The 12,200-square-foot, 32-unit Cordova Inn at 253 2nd Ave. N. sits adjacent to The Stanton Hotel. The plan is to demolish the two structures and build an additional five-story building with 62 rooms.
The expansion would create a total of 50,400 square feet inside the 100-year-old hotel along with more parking spaces.
Jake Wollman and Jon La Budde of KW Commercial represented the buyers and sellers in the sale.
The New Hotel Collection took out a $3.5 million mortgage loan from Ameris Bank for the purchase.
Proposals are submitted for site on 900 Block
Developers submitted proposals to the City of St. Petersburg vying to purchase a city-owned site to develop concepts ranging from workforce housing with Class A office components to creating an innovation recruiting hub.
A rendering of the Edge District Centre concept from Allen Morris. City of St. Petersburg documents.
The city published the proposals on Monday regarding acquiring and developing a 2-acre undeveloped land at 910 2nd Ave. South. The site is an assemblage of two parcels, including parking that’s currently under lease to the Tampa Bay Rays.
The proposal process was initiated after Atlas Real Estate Partners made an unsolicited bid to buy the city-owned site for $5.5 million and build a 10-story development. The unsolicited bid triggered an open process for others to submit proposals.
The mayor is expected to make a decision soon on which proposal to move forward with.
One of the proposals was submitted by Dynasty Financial Partners, which is offering the city $6.25 million to purchase the site. It intends to build 60,000-90,000 square feet of Class A office space, which would serve as the headquarters for Dynasty, and potentially the HQ for Cathie Wood’s ARK Invest firm; 400 residential units that will include a combination of affordable housing; and notably, an innovation and recruiting hub, among other components.
Read more about Dynasty’s proposal here.
Altis Cardinal purchases 34-acre office park in Skyway Marina District
South Florida-based real estate firm Altis Cardinal has purchased a 34-acre office park in St. Petersburg’s Skyway Marina District in a $40 million all-cash deal.
The deal for the Ceridian Office Park at 3201 34th St. South represents the city’s largest land purchase in decades, according to Altis Cardinal. The firm has bold visions of transforming the site into a $500 million mixed-use development and delivering over 1,500 residential units.
“We’ve been in St. Petersburg for nearly 10 years. Since we sold the Elements on Third property [in a $125.5 million deal], we’ve been looking for an opportunity to be a part of St. Pete’s growth,” Frank Guerra, principal and founder of Altis Cardinal, told the Catalyst.
Guerra said the firm was under contract to purchase the site for under 40 days.
Ceridian. Archive photo.
In the heart of the acquired site is the Ceridian campus that houses multiple buildings, including a nine-story, 60,453-square-foot structure that was originally created for tenant Florida Power in 1971.
Altis plans to develop a mix of commercial, 1,520 multifamily units and retail, but will keep a portion of the property’s existing 380,000-square-foot office complex, which Guerra said will be renovated.
Guerra said the development will be built in phases over a seven to eight-year period and could cost $500 million, including the purchase of the land.
Luxury Clearwater apartments sell in a $116.25 million deal
Colorado real estate Black Creek Group, which was recently acquired by Ares Wealth Management Solutions LLC, purchased the luxury Clearwater Alta apartment complex in a $116.25 million deal.
The group purchased the community at 1320 Sands Terrace East from Atlanta-based Wood Partners.
Wood Partners opened the luxury community in June. The development, which fronts U.S. Highway 19, has a total of 314 residences in 10 buildings with units consisting of one-, two- and three-bedroom floorplans.
The acquisition is likely a portfolio purchase. Black Creek Group’s multifamily portfolio states BCG invests in higher-end, suburban-garden, and mid-rise communities with 200-600 units that are located in supply-constrained areas with strong demographics.
Palmer Estate sells in auction
The historic Bellair estate at 1701 Bayview Drive, known as the Palmer Estate, has sold for $2,558,600 in an auction.
The seven-bedroom Mediterranean Revival estate was sold to an entity connected to the Law Offices of Steven W. Moore in Largo.
The Palmer Estate. Realtor.com/Interluxe.
The estate that overlooks the Belleair Country Club golf course was to be auctioned.
Built in 1920, the property was first owned by Earl E. Carley, vice president of the Belleview Biltmore Hotel Company, and was later sold in 1928 to its namesake, Theron Palmer, a titan of the rubber industry.
Palmer Estate. Realtor.com.
“The seller works and lives abroad and doesn’t have the time to spend at this extraordinary property. When discussing the listing, we knew that we needed a different approach to attract the right buyers and to do so in a timely, efficient manner,” Gordon Kyle of Premier Sotheby’s International Realty said in a release.
Investor Ben Mallah sells Tampa hotel, scoops up another
Largo real estate investor Ben Mallah has sold the Ramada Tampa Airport Hotel in an $18.9 million deal. The 234-room hotel has 12,000 square feet of meeting space, a restaurant and a bar.
Berkadia Hotels & Hospitality arranged the sale and financing of the Ramada Tampa Westshore.
Mallah, who is a manager of Equity Management Partners and owns multiple hotels and properties throughout Tampa Bay, sold the hotel on behalf of Tampa-based Cardinal Point Management.
Last week, Mallah purchased the Sleep Inn hotel near the entrance of the MacDill Air Force Base for $9.5 million.
Locally, Mallah owns the marina at John’s Pass. The marina includes Hooters, Bubba Gump Shrimp Co., Hubbard’s Marina and The Friendly Fisherman.
Mallah recently purchased the Menna’s Landing condominium building in a $3.75 million deal, which is near the site of his planned hotel.
He said he is pushing forward on plans to develop a hotel in John’s Pass.
