Home » MHN City Pages  »  Cincinnati  

Cintas Slims Down, Diamond Bulks Up

18 Sep 2015, 3:32 pm

By Adrian Maties, Associate Editor

Cintas Document Storage Portfolio

Cintas Document Storage Portfolio

A Cincinnati-based company is trimming its Ohio portfolio. Cintas Corp. sold five industrial buildings in Cincinnati, Cleveland and Columbus for $26.5 million to Mount Kisco, N.Y.-based Diamond Properties.

The 569,225-square-foot portfolio was fully leased at the time of the sale. It includes the building at 690 Crescentville Road in West Chester Township, which, according to the Cincinnati Business Courier, traded for $10.3 million. Also included in the deal were facilities at 2500 Charter St. in Columbus, 2612 Walcutt Road in Hilliard and two buildings at One Andrews Circle in Brecksville.

The five properties were previously occupied by Cintas, which sold its document storage and imaging business last November to Access, the records management company.

CBRE’s Investment Properties team and CBRE’s Global Workplace Solutions team worked together as advisors on the transaction and sourced the buyer. In addition, CBRE’s Midwest Debt and Structured Finance team secured financing on behalf of Diamond Properties.

“Despite the fact that the portfolio consisted of buildings that are special purpose in nature, the offering attracted multiple bidders ranging from private investors to institutional capital sources,” said Keith Yearout of the Investment Properties Group in a statement.

Securing financing was no easy task. According to CBRE, the biggest challenge was the fact that a privately held, non-credit tenant occupies 93 percent of the leased space on a seven-year term. Dan Gable and Jason Brown of the Debt and Structured Finance team marketed the debt to various life insurance companies, banks and CMBS lenders.

“CBRE worked alongside Diamond Properties and Natixis to arrange a 10-year fixed rate loan,” Gable explained. “Ultimately, Natixis was comfortable with the relationship with the sponsor, diversification of locations and quality of the real estate, as all five buildings are located in industrial parks with easy highway access and superior clear heights.”

Photo credit: CBRE

Fast-Growing Tech Firm Moves HQ to Norwood

18 Sep 2015, 2:43 pm

By Adrian Maties, Associate Editor

Rookwood Exchange

Rookwood Exchange

iSqFt, the fast-growing software-as-a-service company, announced this week that it will move its headquarters to the Rookwood Exchange mixed-use complex in Norwood next January.

Currently located in Blue Ash, iSqFt will take 60,000 square feet in the 230,000-square-foot office building, where it will occupy the top two floors. About 3oo employees will come with the company, which plans to add another 110 full-time jobs by the end of 2018.

iSqFt is expanding rapidly and has completed mergers with Chicago-based BidClerk and CMD Group of Georgia in the past year. In June, the Ohio Tax Credit Authority awarded iSqFt a 65 percent job creation tax credit worth about $580,000 over the next six years to keep the company in the state.

Jeffrey R. Anderson Real Estate Inc. is the owner and developer of Rookwood Exchange, which also includes  mixed-use development. It addition to the eight-story office building, the complex also features a 120-key Courtyard by Marriott; One Rookwood, a a 126-unit luxury apartment ommunity; approximately 35,000 square feet of retail and dining space; and a 750-car public parking garage.

“Greater Cincinnati has proven to be a great place to build a technology company, and we have made a long-term commitment to stay here as we continue to grow,” said iSqFt CEO Dave Conway in a statement. “This move is the culmination of an in-depth process to find a local space that can accommodate our fast-paced expansion and allow us to support our growing number of offices throughout the U.S. and Canada.”

Photo credit: www.rookwood-exchange.com

Cushman & Wakefield Helps Middletown Get in Shape

18 Sep 2015, 2:17 pm

By Adrian Maties, Associate Editor

In one of Cushman & Wakefield first Cincinnati-area transactions since the completion of the firm’s epic merger with DTZ, Planet Fitness is setting up shop at Towne Mall Galleria in Middletown.

The fitness center franchise will occupy 26,614 square feet at the mall for the next 20 years. Cushman & Wakefield Senior Vice President Andrew Sellet and Associate Terry Ohnmeis negotiated with the landlord, Towne Mall Galleria L.L.C., on behalf of the tenant.

Planet Fitness intends to open its Middletown location in January 2016. It will be the company’s tenth fitness center in Greater Cincinnati area. The ninth is scheduled to open next month in Florence, Ky.

“Middletown is an area we have been looking to move in to for several years, and we are excited that we found a great location in the newly renovated Towne Mall,” said Planet Fitness COO Mike Hamilton in a statement.

$8M Gift to Help NKU Build New Health Innovation Center

11 Sep 2015, 11:06 am

By Adrian Maties, Associate Editor

Health Innovation Center

Health Innovation Center

Northern Kentucky University has received a helping hand for the construction of its new Health Innovation Center. This week, NKU President Geoffrey Mearns and Saint Elizabeth Healthcare CEO Garren Colvin announced that Saint Elizabeth Healthcare has donated $8 million to support the project.

NKU’s Health Innovation Center is scheduled to break ground this fall and expected to open in 2018. The project, which will be developed with the help of $97 million in state funding, calls for both the construction of a new facility and the renovation of Founders Hall, NKU’s second-oldest academic building.

Saint Elizabeth Healthcare’s donation is the first to the Health Innovation Center and the second-largest gift in the university’s 48-year history. The money will be used for the design and construction of the new center’s simulation facilities, which will be named the Saint Elizabeth Healthcare Simulation Center and will consist of a two-story comprehensive virtual care environment. This high-tech facility will feature simulation space, clinical skills suites, nursing skills suites, imaging suites, and classrooms, and will provide students with training across a host of care disciplines.

“This generous investment will benefit our students, faculty, and the community for years to come,” Geoffrey Mearns said in a statement. “Today we celebrate our partnership with St. Elizabeth Healthcare and this new step we take together to lead with excellence and leave a lasting impact upon healthcare in our region, the Commonwealth, and the nation.”

“The ongoing education and training for our staff and clinicians is of utmost importance to us,” Garren Colvin added.  “From our partnership with the Mayo Clinic to this investment in the Health Innovation Center at NKU, we are dedicated to providing best-in-class healthcare to our region.  I believe this Center will be a model to be emulated across the country.”

Photo credit: NKU

REIT Buys Greater Cincinnati MOBs

10 Sep 2015, 12:41 pm

By Adrian Maties, Associate Editor

HFF Managing Director Michael Bennett

HFF Managing Director Michael Bennett

Carter Validus Mission Critical REIT continues to expand its U.S. portfolio of properties. The real estate investment trust has recently acquired five medical office buildings from a Chicago-based firm. Three of the five properties are located in the Cincinnati metropolitan area.

CVMC paid $79.08 million to buy the assets from Oak Street Real Estate Capital. An HFF investment sales team that included managing directors Michael Bennett, Phil Mahler and Evan Kovac represented the seller in the transaction.

The five-property portfolio consists of medical office buildings located in Ohio, Kentucky and Maine. It offers a total of 294,108 square feet of space and, according to HFF, it is currently fully leased to investment-grade, credit-rated health systems offering a full range of medical services.

The largest property in the portfolio is The Christ Hospital AOB in Cincinnati. This 139,428-square-foot building was built in 1960 and renovated in 2013, and currently serves as the home of The Christ Hospital. The other two Greater Cincinnati buildings are the UC Health Lucille MOB, in Cincinnati, and the UC Health Florence, in Florence, Ky. They were both constructed in 2014, both offer 41,600 square feet of space and are both occupied by UC Health. The remaining properties in the portfolio are located in Maine and are leased by MaineGeneral Health.

“All of the hospitals in the portfolio are market leading healthcare providers in their respective service areas,” HFF’s Michael Bennett said in a statement.  “This was a great opportunity for an investor to acquire a well performing, stable medical office portfolio with a strong hospital sponsorship.”

Image courtesy of HFF

Leave a Reply