Commercial real estate
* Simon Property Group Inc. plans to redevelop the Northgate Mall in Seattle, the Puget Sound Business Journal reported. The property was the first regional mall in the U.S. when it opened in 1950, the report noted. The mall houses J.C. Penney Co. Inc., Macy's Inc. and Nordstrom Inc. department stores, as well as over 130 other retailers.
The Northgate area is slated to get light rail service in 2021, and Simon plans to make the property a "transit-oriented district center," the report noted, citing the company.
The Houston Business Journal reported that Simon is also set to kick off multimillion-dollar renovations in March or April at its more than 1.5 million-square-foot Katy Mills mall in Katy, Texas, with completion expected by the end of 2018. The mall, 98% leased, opened in 1999 and has roughly 175 outlet and value retail stores.
* Bankrupt retail chain Toys R Us Inc. is considering closing all of its roughly 800 U.S. stores and pulling the plug on restructuring efforts, The Wall Street Journal reported, citing people familiar with the matter. The plan could be announced March 12, when a bankruptcy hearing is scheduled, the publication noted, citing the sources.
The chain filed for bankruptcy protection in September 2017 and recently announced plans to close 184 stores, the publication added.
* CBRE Global Investors has placed its 7000 Central Park tower in Atlanta on the market, the Atlanta Business Chronicle reported. The 18-story, 423,775-square-foot asset underwent a $14 million renovation after being acquired from Parkway Properties over two years ago, the report noted. The tower is 81% leased.
The report noted that the building is expected to trade for close to the $257-per-square-foot price that the Three Ravinia tower achieved at the end of 2016, according to DeKalb County records.
* Waterbridge Capital and Continental Equities are seeking up to $500 million in financing for the planned redevelopment of The Museum Building in downtown Los Angeles, Commercial Observer reported, citing sources close to the transaction.
The former department store property at 801 South Broadway, which was built in 1912, is being converted into a 1.1 million-square-foot mixed-use project that will comprise 470,000 square feet of office space, 298,000 square feet of retail and a 117,000-square-foot hotel.
* University Developments is changing its University Bridge Residences student housing condominium tower project at 740 SW 109th Ave. near Miami's Florida International University into a rental property, The Real Deal reported. The developer will return deposits to roughly 150 buyers.
The 492-unit, 20-story project is changing route due to the area's strong rental market and the reduction in the corporate tax rate, the report noted, citing the developer. Construction is expected to commence in the spring with completion slated for the 2020/2021 academic year.
* Citing RealPage Data Analytics, National Real Estate Investor reported that the student housing sector is roughly on track to match the previous year's performance. RealPage data shows that 37.2% of student housing beds had been leased as of January, with roughly six months before the school year commences. In September 2017, an average 94.8% of student beds were occupied.
A total of 46,000 new off-campus beds are slated for delivery before the fall semester, roughly equaling the number of deliveries every year since 2015.
* Development sites that include nearly a full city block on the North Williamsburg waterfront in Brooklyn, N.Y., are up for sale by office equipment manufacturer Ko-Rec-Type, which occupies the industrial buildings on the site, The Real Deal reported. The parcels are being pitched by an Eastern Consolidated team as a single large potential development.
The primary site, bordered by North 9th and North 10th streets and Kent and Wythe avenues, offers 350,000 buildable square feet. Another nearby site at 96 N. 10th St. that is also up for sale offers 86,000 buildable square feet. The brokers are pitching the primary site as an office and retail complex and the second site as an office and residential project, the report noted, citing unnamed sources.
The report noted recent sales in the area for between $200 and $300 per buildable square foot, which indicates that the sites could fetch between $90 million and $130 million.
* A 1.1 million-square-foot industrial portfolio in Northern Virginia is being placed for sale by MRP Realty and its institutional investors, the Washington Business Journal reported. The portfolio comprises 19 buildings, with 15 in the Northern Virginia Industrial Park in Newington and four in the Fullerton Industrial Park in Springfield.
The buildings are 79% leased on average, the report noted.
* The Austin, Texas, city government is mulling the redevelopment of 12 city-owned sites, the Austin Business Journal reported. Citing city real estate officer Lauraine Rizer, the report noted that the city reviewed its inventory and has identified five sites for immediate redevelopment and another seven as long-term projects.
The day ahead
Early morning futures indicators pointed to a mixed opening for the U.S. market.
In Asia, the Hang Seng increased 1.11% to 30,996.21, and the Nikkei 225 rose 0.47% to 21,469.20.
In Europe around midday, the FTSE 100 was up 0.04% at 7,205.96, and the Euronext 100 was up 0.09% at 1,027.03.
On the macro front
The employment situation report, the wholesale trade report and the Baker-Hughes Rig Count report are due out today.
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