LDI Land Sale in Brooklyn Park
A new speculative industrial building is planned for Brooklyn Park and the Paramount Real Estate Corp team of Fred Hedberg, John Young, and Joe Schultz sold the land to get the project started. The Paramount team has provided real estate services to Liberty Diversified International (LDI) for over a decade. This includes leasing several of LDI’s industrial buildings and, most recently, selling the excess land in Brooklyn Park. The site is a 5.5-acre parcel at 9501 Louisiana Avenue (southeast corner of Highways 169 and 610) and the developer plans to build a 75,000 square foot state-of-the-art industrial building called Highview 610 Business Center.
Endeavor Development, founded by Josh Budish, is the developer. Groundbreaking for the property is planned for this Spring. The Paramount team is also handling leasing for Highview 610 and is marketing the building for fall 2021 occupancy. The property has have great visibility to Highway 610, will be 28’ clear height, have plenty of vehicle parking, and a spacious truck court. The building will be divisible to 15,000 square feet.
For more information about investment sales contact us at:
PARAMOUNT REAL ESTATE CORP | TCN WORLDWIDE
1650 W 82nd Street, Suite 725 | Bloomington, MN 55431
LDI Land Sale in Brooklyn Park
Paramount Represents Seller in Plymouth Investment Sales Transaction
Fred Hedberg, Principal of Paramount Real Estate Corp was engaged in November 2020 by SJH Real Estate, a long-time client, to sell a NNN leased property it owned in Plymouth Minnesota. The owner of SJH Real Estate had recently concluded the sale of part of his business to SiteOne Landscape Supply LLC. SiteOne Landscape Supply LLC is owned by a publicly traded company that provides wholesale goods for green industry professionals. SiteOne has a market cap of $6 billion with over 500 facilities throughout the United States and Canada. As part of the purchase, SiteOne entered into a 10-year NNN lease with two-5 year options to extend for the property that was used to operate the business unit it had purchased. During negotiations, Fred advised SJH on the best way to structure the lease. He also advised on ways to maximize the value of the real estate and make it saleable in the future.
The property, located at 1205 Nathan Lane in Plymouth consists of 8.15 acres and a 17,580 square foot showroom/warehouse building. The property’s zoning allows for outside storage. Finding a property with zoning that allows for outside storage within the I-494/I-694 loop of this size is very rare and in high demand. The zoning, financial strength of the tenant, and the long term lease made this property very attractive to investors.
Paramount Real Estate Corp/TCN Worldwide started marketing the property For Sale on November 12, 2020. Fred contacted several local investment groups he thought might have an interest in this property. He received eight offers within two weeks, the majority of which were at full asking price or above.
Selecting a Buyer
The top five buyers were asked to submit their best and final offers. Three of the five buyers were at the same price or very close to the same price. The seller decided it would be in his best interest to close on a sale by December 31, 2020. Paramount advised the top three buyers to make one more final offer. They were also asked to provide evidence they could close by December 31. Upon careful review of the final offers and discussions with each of the buyers, one was selected.
Fred and the Seller selected a buyer they felt would have the best ability to close on the sale by year end. Both parties signed the purchase agreement on December 8, 2020 with a short due diligence period. All parties worked together to get an appraisal and environmental study completed in less than three weeks. Christmas even fell within that three weeks. The sale closed on December 30, 2020 and the property sold for $500,000 over asking price.
With a time from listing to close of less than seven weeks including holidays, this was an extremely fast transaction. As the real estate world gets more complex, most transactions are taking longer. This sale is an example of how complex real estate transactions can still be completed in a short time frame if all parties work together towards a common goal. It also demonstrates the strength of the Twin Cities investment sales market and investors’ appetite for good real estate with strong credit tenants and long-term net leases.
Written by: Fred Hedberg, Principal | Paramount Real Estate Corp | TCN Worldwide
JUST SOLD!!! 45 EMPIRE DRIVE | ST PAUL, MN
Congratulations to Ebisso Uka, owner of Rift Valley Transportation for his purchase of the building at 45 Empire Drive, St. Paul, MN. Rift Valley provides transportation to children who have no other way to attend school. The 33,000 square foot building will be used for storage and maintenance of vehicles used in the transport of children to and from school.
The building was formerly the home of Sitma USA, an Italian based manufacturer of integrated mail processing equipment. It was built and added to in 1991 and 1997, respectively. The 27,000 square foot warehouse will house up to 80 vehicles and the 6,000 square foot office will be the hub of the 200-person Rift Valley company.
This was a complicated transaction. It required Phase II environmental and vapor testing, a Class N license from the City of St. Paul, in-depth building due diligence, construction bidding, and financing approval. John Young and Joe Schultz guided this purchase through its many hurdles with a very short due diligence period. Both John and Joe extend a hearty “Congratulations!” to Mr. Uka and his company.
John and Joe continue to work for Mr. Uka in the lease or sale of his current building at 1033 Thomas Avenue, St. Paul. This 14,000 square foot building is near Lexington and University Avenues and is a great location for another small business growing in St. Paul.
Written by John Young, CCIM | Vice President
We are proud to announce that once again TCN Worldwide has been named in the Top 25 of Lipsey’s Brand Survey. Each year the Lipsey Company performs a survey to establish the most recognizable names inside of the Commercial Real Estate Industry and this year TCN Worldwide increased its brand recognition moving up two spots. Thank you to all who voted, and especially our TCN members!
Learn more about Lipsey’s Top Brand Survey here: https://lipseyco.com/top-commercial-real-estate-companies/
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Building Sells to Development Firms | Minneapolis, MN
The former Java Jacks & Studio 2 Building in Minneapolis sells to development firms. It will become a new neighborhood hang out with the addition of a yet-to-be-named restaurant. John Young, Vice President Brokerage Services sold the building to a partnership between United Properties and Westwood Hills (a development company). Plans are in the works for a new restaurant, which should be open in late Summer or early Fall. The property garnered several offers and a lot of interest by the adjoining neighborhood. It has been a favorite in the area for a couple decades and now it will have another great community asset, coming soon.
John Young, CCIM’s transaction with Warner’s Stellian made TCN Worldwide’s Top Industrial Deals (Q2-2018)
Read more: 2018 Qtr2 Commercial Focus
Warner’s Stellian purchased an 80,000 SF industrial building located at 2601 Broadway Street NE, Minneapolis.
TCN Worldwide, a consortium of independent commercial real estate firms, provides complete integrated real estate solutions locally and internationally. With approximately $58.6 billion in annual transactions, TCN Worldwide ranks as one of the largest service providers in the industry. An extensive range of real estate services coupled with a personal commitment to exceed client expectations. This allows TCN Worldwide to be a leader within the commercial real estate industry. Made up of over 5,000 commercial real estate professionals allows them to serve more than 200 primary and secondary markets worldwide.
Hedberg Judges 2018 NAIOP Awards of Excellence
Fred Hedberg, President of Paramount Real Estate Corp/ TCN Worldwide (left-front) recently participated as a judge for the 2018 NAIOP Awards of Excellence Building Competition. Their group toured 7 multi-family and industrial/distribution properties throughout the Twin Cities. The Tractor Museum within The Moline is where this photo was taken. The Moline is a multi-family development complex in Hopkins.
The NAIOP Minnesota Awards of Excellence recognize exceptional developments by NAIOP members and their teams. In other words, a panel of judges tour and review each project in a given category. They rate on:
integration into the community
LEED certification or sustainable attributes
JOSEPH SCHULTZ JOINS PARAMOUNT REAL ESTATE CORP | TCN WORLDWIDE AS LEASING AND SALES ASSOCIATE
MINNEAPOLIS, MN. Paramount Real Estate Corp, Bloomington, MN is pleased to announce the addition of Joseph Schultz to the industrial sales and leasing team. He will be working with Philip Simonet and John Young, CCIM. Focusing his efforts on agency leasing, new business development and buyer/tenant representation in the southeast and northeast Twin Cities submarkets.
Joseph was born and raised a Minnesotan. He graduated from Saint Thomas Academy and attended college at Gustavus Adolphus College. Therefore, he earned a Bachelor’s degree in Economics with a focus in Economic Analysis. He comes to Paramount with real estate experience while previously working as an intern at Cushman & Wakefield before joining Paramount.
In his spare time, Joseph enjoys watching sports, particularly the Minnesota Vikings, and spending time with family and friends.
CoStar Group is proud to announce the 2015 Power Broker Awards.
As the largest research organization serving commercial real estate, CoStar Group is pleased to independently confirm and recognize the most active firms and individual dealmakers in the industry.
On behalf of all of us at CoStar Group, we congratulate all of this year’s winners and offer our best wishes for another successful year.
CoStar Power Brokers Awards Team
Paramount Real Estate Corp | TCN Worldwide promotes Nancy Powell to Vice President of Real Estate Sales. Nancy was also named Paramount’s “Broker of the Year-2015”.
“Nancy is highly respected and trusted by her clients for her market knowledge and sound real estate advice and is a valued member of the Paramount brokerage team”, Principal Fred Hedberg said.
Nancy has diligently worked in the Twin Cities commercial real estate market since joining Paramount Real Estate | TCN Worldwide in 2006. Her brokerage activity is focused on helping office building owners and corporations execute their commercial real estate plans both locally and nationally.
Prior to working at Paramount, Nancy was employed by Best Buy as a Real Estate Manager focusing her efforts on identifying and negotiating new stores as they expanded into new markets.
Nancy brings experience, creativity, market knowledge, and persistence to her clients making her one of the Twin Cities top office brokers.