News of corporate expansions, relocations, extensions, closures, layoffs, lease cancellations and mergers has been consolidated into Lease Up/Lease Down. Look to Lease Up/Lease Down every week for valuable information that can be used as a source for business leads.
Expansions, Relocations & Extensions
CHI Signs for 100,000 SF in Southeast Denver
Catholic Health Initiatives (CHI) signed an 11-year, 100,000-square-foot lease at 198 Inverness Drive W. in Englwood, CO. The nonprofit health organization is relocating its headquarters to the facility in June.
Nick Pavlakovich with Cushman & Wakefield represented CHI. John Marold of CB Richard Ellis represented the landlord, Lowe Enterprises. Rent was not disclosed but asking rates in the building run from $25 to $27 per square foot.
The eight-story, 160,851-square-foot office building delivered in 1990 and is part of the 980-acre Inverness Business Park, near Centennial Airport.
Lowe acquired the property in 2006 for $21 million, according to CoStar information. The real estate company immediately began an extensive renovation that resulted in the building earning LEED Gold certification in September. CHI Senior Vice President Herbert Vallier noted that the building's green attributes factored significantly into the company's decision to move there.
198 Inverness is the first office building in southeast Denver to achieve LEED Gold for Existing Buildings.
TechTarget Relocating in Boston
TechTarget said Tuesday that it is moving its world headquarters to Riverside Center in Newton, MA. The locally based online technology media company signed a long-term, 87,875-square-foot lease, to commence early next year.
The 500,000-square-foot, three-building office complex at 275 Grove St. was built in 2000, adjacent to Riverside Station. Tenants include McKesson Corp., Harvard Vanguard Medical Associates, UGL Unicco and Regus Business Centers. TechTarget's new space is in Building 1.
Alex Dauria, Keith Gurtler and Brendan Cohn with Jones Lang LaSalle represented the landlord, Equity Office Properties. Jim Elcock and Elias Demakes with Colliers Meredith & Grew handled negotiations for TechTarget.
TechTarget is relocating from 117 Kendrick St. in Needham, MA.
BB&T Leases 140,000 SF at Riverfront Plaza
By Lauren Cannon
Branch Banking and Trust Co., also known as BB&T, leased 140,000 square feet of office space at Riverfront Plaza in Richmond, VA. BB&T will occupy five full floors and part of the first floor at 901-951 E. Byrd St. starting early next year.
The financial firm will relocate and consolidate its regional headquarters and brokerage operation from nearby locations. BB&T leased a considerable amount of space vacated by Wachovia Securities, which moved to St. Louis in its merge with A.G. Edwards.
The 951,616-square-foot, 21-story, two-building office complex is on the banks of the James River. The Hines-owned property includes other major tenants like UBS and the Virginia Economics Development Partnership.
Steve Gentil and Chuck Ellsworth of Grubb & Ellis-Harrison & Bates represented BB&T, while Michael Campbell of Dominion Realty Partners represented Hines.
LG Electronics Inks Deal for 338,000 SF
By Jason Spring
LG Electronics leased 337,630 square feet for seven years at Highland Corporate Center, building three in Bolingbrook, IL. The consumer electronics, mobile communications and home appliance company will occupy the entire building in mid-February of next year.
The 337,630-square-foot distribution building at 1251 W. 115th St. was completed last year. It is part of the three-building Highland Corporate Center, which totals approximately 1 million square feet.
LG Electronics plans to utilize the building as its central hub for its mobile communications division. The property has 30-foot clear heights, 40 exterior docks with levelators, four drive-in bays and parking for 80 industrial trailers.
Jason West and Sean Henrick of Cushman & Wakefield represented the owner, ML Realty Partners. Seth Kelly and Kirk Armour of CB Richard Ellis represented LG.
Wolf Distributing Expands to the Southeast
By Ansley Buck
Wolf Distributing Co., a building material distributor company based out of York, PA, recently expanded its operations into the southeast. The company signed a 101,640-square-foot lease for five years at the Gwinnett 316 Business Park in Lawrenceville, GA.
Gwinnett 316 is a 424-acre business park with more than 3.7 million square feet of space. RACO General Contractors is the current owner, developer and contractor of the business park.
The 101,640-square foot industrial building, which was constructed in 1990, is at 850 Raco Drive in the GA-316/Lawrenceville Industrial submarket near Atlanta.
Nancy James of RACO General Contractors represented the landlord and Wolf Distributing was self-represented.
Assent LLC signed an 18,903-square-foot lease at 59 Maiden Lane in New York City. The trading systems and support services provider is taking the entire 32nd floor for a term of five-years and five-months. Move-in is slated for January. The 44-story, 1.06 million-square-foot office tower was built in 1965 in the Insurance District. Harry Blair and Greg Wang of FirstService Williams represented Assent. Brian Waterman of Newmark Knight Frank represented the landlord, Amtrust Realty Corp. (By: Sean Glenn)
AssuranceAmerica, an insurance company that provides property and casualty insurance to the non-standard private automobile segment, signed a 10-year renewal for about 35,639 square feet in the office building at 5500 Interstate North Parkway in Atlanta, GA. The six-story, 128,486-square-foot office building was constructed in 1981 and is in the Cumberland/Galleria submarket. Stephen Wright of Stephen W. Wright Co. represented AssuranceAmerica. Andy Sumlin of Barry Real Estate Companies represented RiverEdge One. (By: Jeremy Adams)
Bennett Bricklin & Saltzburg LLP inked a 23,056-square-foot renewal at 1601 Market St. in Philadelphia. The law firm signed a 10-year deal. Located in Penn Center, the 36-story office tower totals 770,328 square feet. It was built in 1968 and renovated in 1988. The tenant roster features notable firms including Radian Guaranty, Freedman and Lorry PC, KPMG LLP and The MCS Group Inc. Joshua Sloan of Jones Lang LaSalle represented the landlord, APF Properties LLC. Timothy Monahan of Studley represented the tenant. (By: Melannie Skinner)
Budd Larner P.C. signed a lease extension through October 2024 for 54,391 square feet at 150 John F. Kennedy Parkway in Short Hills, NJ. The law firm has been a tenant in this building since 1988. The five-story, 247,476-square-foot office building is in the Mack-Cali Center at Short Hills and was built in 1980. Roger Cantor and Eric Ladden of Cornerstone Real Estate Group represented Budd Larner. Mack-Cali was represented in-house by Diane Chayes. (By: Nicole Tanner)
Dixon Hughes PLLC signed a 20,000-square-foot lease renewal at 11 Brendan Way in Greenville, SC. The two-story, multitenant office building consists of 39,504 square feet. It was constructed in 2000 on 2.5 acres of land. Alan Kirby of Grubb & Ellis/The Furman Co. represented the landlord and Andy Mitchell and P. Randall Bentley of Bentley Commercial represented the tenant. (By: Donna Stokes)
Duquesne Light Co. renewed its lease for 86,265 square feet at the Chamber of Commerce Building in downtown Pittsburgh. The lease includes the sixth, seventh, eighth and 16th floors, as well as a portion of the second floor. Duquesne Light subsidiary FMBG also signed a deal for 12,465 square feet on the 15th floor. The 16-story, 337,952-square-foot office high-rise at 411 Seventh Ave. was constructed in 1916 and renovated in 2002. It is in the Central Business District, across from the Gulf Tower. Jeremy Kronman and Andrew Miller of CB Richard Ellis represented the landlord. Patrick Sentner of NAI Pittsburgh Commercial represented the tenant. (By: Leslie Kon)
Euro-Pro Operating LLC, a household appliance manufacturing company, signed a seven-year lease for 27,819 square feet at 180 Wells Ave. in Newton, MA. The three-story office building totals 54,309 square feet in the Newton/Brookline submarket. Euro-Pro will relocate from 1210 Washington St. in December. Eric Solem of Landmark Real Estate Advisors represented the tenant. Jay Nugent of Richards Barry Joyce & Partners represented the landlord, Intrum Corp. (By: Terez Buford)
InFocus, a leading developer of digital projectors, signed for 18,079 square feet at 13190 S.W. 68th Parkway in Tigard, OR. Move-in is scheduled for November. The 37,038-square-foot office building was built in 1997 in the Triangle Corporate Park, near the I-5 & I-217 interchange. Other tenants in the business campus include the University of Phoenix, SAP America Inc. and U.S. Bancorp. Jeff Borlaug of NAI Norris Beggs & Simpson represented the landlord, Pacific Northwest Properties. Dan Swift and Lana Baldock of Cushman & Wakefield represented the tenant. (By: Bryan McBrayer)
The National Association for the Specialty Food Trade Inc. (NASTF) signed a 17,875-square-foot lease with FirstService Williams at 136 Madison Ave. in New York City. The specialty food not-for-profit will occupy the entire 12th floor. The 17-story, 272,000-square-foot office building was built in 1916 in the Murray Hill submarket. Scott Cahaly and Robert Corbi of Jones Lang LaSalle represented the NASTF. The FirstService Williams team of Christel Engel and Michael Thomas represented themselves in the transaction. (By: Sean Glenn)
Northwestern Mutual Life signed a 28,000-square-foot lease at 1191 Northland Drive in Mendota Heights, MN. The life insurance company is taking occupancy in November. The single-story, 42,000-square-foot office building was built in 2001 in the Mendota Place business park. Dan Gleason of NorthMarq represented the owner and tenant in the deal. (By: Michelle Getz)
Owens Corning, a fiberglass insulation provider, signed a 10-year renewal to fully occupy the Owens Corning Warehouse building in Tallmadge, OH. The 222,900-square-foot industrial building is at 261 Southwest Ave. on more than 24 acres. Tom Weise of the Schipper Group represented the landlord, 261 Place Ltd. George Elliott of Jones Lang LaSalle represented Owens Corning. (By: Marcus L. Smith)
Princeton Allpoints Fulfillment LLC, a direct mail company, leased 152,000 square feet at 14 Applegate Drive, in Robbinsville, NJ. The 241,662-square-foot industrial building is part of the Northeast Business Park and was built in 2008. Patrick Connelly of Matrix Development Group represented the landlord, in-house. Frank Roddy of Roddy Inc. represented the tenant. (By: Danielle Cook)
Pulte Mortgage LLC signed a 10-year lease to occupy 95,000 square feet at 7390 S. Iola St. in Englewood, CO. The finance company will occupy the entire building as its new national headquarters. The three-story office building was constructed in September of this year within the Inverness Business Park. Opus Northwest was the developer of the facility. Peter Coakley of Inverness Properties LLC represented the owner, Pulco Iola Inc., while Ty Ritchie and Doug Bakke of CB Richard Ellis represented the tenant. (By: Claire Meyer)
Safelite Fulfillment signed a lease for 37,136 square feet at 203-205 Overlook Drive in Sewckley, PA. The 10-year deal begins in March 2010. The 81,520 warehouse is Building 205 in the I-79 N. Industrial & Research Park. Safelite Fulfillment is part of the Belron US family of retail auto glass companies. Rick O'Brien of Grubb & Ellis represented the landlord, Sun Life Assurance Co., while Louis Oliva of Grubb & Ellis represented the tenant. (By: Michael P. Roerty)
Source Inc., a communications systems and telecom equipment provider, signed a five-year renewal at 4550 Spring Valley Road in Dallas. Business Asset Consultants immediately sublet 50,000 square feet. The 214,110-square-foot industrial building is on 8 acres and is in the Metropolitan/Addison Industrial submarket. Corbin Crews of CB Richard Ellis represented the landlord, Home Interiors & Gifts Inc. Bill de la Chapelle and Sharon Morrison of Transwestern represented Source. (By: Celina Chavez)
Tri Star Freight Systems Inc., a Houston-based warehousing and freight forwarding transportation company, signed a 90,000-square-foot renewal at 1301 Chesapeake Ave. in Baltimore. The 192,172-square-foot industrial building was built in 2004 in the Baltimore Southeast Industrial submarket. The landlord, Madison Warehouse Corp., occupies the remaining 102,172 square feet in the building. Tri Star occupied the facility for five years prior to this renewal. John Wilhide of CB Richard Ellis represented the landlord. Matt Laraway and Kyle Durkee of Cushman & Wakefield Inc. represented the tenant. (By: Heather Berwanger)
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Closures & Layoffs
Harley Exits Sport Bike Market, Drops Buell & MV Agusta
Last week, Harley-Davidson Motor Co. unveiled a new strategy to exit the sport bike market, discontinuing two brands and refocusing solely on its flagship heavyweight motorcycle line.
Sport bike manufacturer Buell, which Harley purchased in 1998, is scheduled to cease production on October 30. About 100 salaried employees and 80 hourly employees are losing their jobs as a result of the cancellation, with the bulk of the terminations occurring on December 18. Buell is based in East Troy, WI.
Harley is also dropping MV Agusta, the Italian sport bike company it acquired in August of last year. Harley estimates that it will incur one-time costs of $215 million and $245 million in 2009 and 2010, as a result of the cancellations.
The cuts come as no major shock as Harley has seen its profits diminish since the beginning of the financial crisis. The motorcycle manufacturer just released its third quarter results, which saw retail sales decline 21.3 percent and its net income fall 84 percent, worldwide.
The good news is that with Harley refocusing on its tent pole product, many employees can feel a better sense of job security. How much is still a question though, since Buell and MV Agusta generally make up a small portion of Harley's profits. The motorcycle manufacturer needs to determine how to bring consumers back to the market.
Harley said that its 1.5 million-square-foot plant in York, PA, could remain active if it can find a way to keep the facility competitive and sustainable in a long-term capacity. If the plant moves out of town - and
possible locations in Indiana, Kentucky and Tennessee have already been named - approximately 2,300 employees would lose their jobs.
The Motor Company has begun contract talks with union representatives in York and expects to make a decision by the end of the year.
| Company | Address | Closure or Layoff | # Affected | Impact Date | | Harley-Davidson/Buell | 2799 Buell Dr, East Troy, WI
| layoff | 182 | layoffs begin: 12/18/2009, closure 3/1/2010 | | LHI Enterprises | 500 W Northshore Dr, Hartland, WI | closure | 80 | 1/15/2010 | | Smith Medical | N7 W22025 Johnson Dr, Waukesha, WI | closure
| 104 | layoffs begin: 12/8/2009, closure: 7/31/2010 | | Kohl's | N54 W13901 Woodale Dr, Menomonee Falls, WI
| closure | 248 | 1/29/2010 | | Wausau Paper | 1117 E Washington St, Appleton, WI | closure | 55 | layoffs begin: 12/18/2009, closure 10/31/2010 | | Tree Top Inc | 206 S Lilac Ave, Rialto, CA | closure | 75 | 12/4/2009
| | Hunter Douglas Fabrication Corp. | 1631 Industrial Dr, Stockton, CA | closure | 30 | 12/15/2009 - 12/31/2009 | | Assurant Specialty Property | 2677 N Main St, Santa Ana, CA | closure | 52 | 12/1/2009 - 12/7/2009 | | Assurant Specialty Property | 14511 Myford Rd, Tustin, CA | closure | 22 | 11/13/2009 - 12/31/2009 | | The McGraw-Hill Cos. | 12600 Oxnard St, Ste 500, Woodland Hills, CA | closure | 85 | 12/15/2009 | | West Marine Products | 500 Westridge Dr, Watsonville, CA | layoff | 325 | 12/25/2009 | | Curtiss-Wright Controls, Integrated Sensing | 5875 Obispo Ave, Long Beach, CA
| closure | 81 | 12/31/2009 | | Kavlico | 14501 Princeton Ave, Moorpark, CA | layoff | 169 | 11/19/2009 - 12/17/2009 | | Arrow Electronics | 1251 S Rockefeller Ave, Ontario, CA
| layoff | 27 | 12/2/2009 - 12/30/2009 | | Baker Hughes Incorporated | 15355 Vantage Pky W, Houston, TX
| layoff | 62 | 12/4/2009 | | Fluor Enterprises, Inc. | 12645 W Airport Blvd, Sugar Land, TX | layoff | 617 | immediately | | Redcats USA | 3150 Pat Booker Rd, Universal City, TX | closure | 490 | 12/18/2009 | | Big Stick Media, National Sports Services | 3140 Polaris Ave, Las Vegas, NV | closure | unknown | 12/15/2009 | | Kmart Store #4301 | 2200 W Allentown Rd, Lima, OH | closure | 57 | 1/17/2010 | | FormTech Industries | 9312 Arrow Rd NW, Minerva, OH | closure
| 68 | layoffs begin: 10/30/2009, closure: 12/31/2009 | | Coca-Cola Enterprises | 315 S Juniata St, Havre de Grace, MD | closure | 50 | 11/23/2009 | | KRONOS Inc. | 255 Primera Blvd, Lake Mary, FL | unknown | 69 | 10/14/2009 - 4/1/2010 | Complementary Coatings Corp D/B/A INSL-X
| 308 Old Country Rd, Edgewater, FL | unknown | 29 | 12/31/2009 | | Lockheed Martin | 3101 Decatur Blvd, Indianapolis, IN | layoff | 25 | 12/12/2009 | | Faurecia Automotive Seating Inc. | 12209 Chandler Dr, Walton, KY | unknown | 68 | 12/14/2009 | | Farmers Group Inc. | 4700 Vestal Pky E, Vestal, NY | layoff | 54 | 1/15/2010 | | The Really Cool Food Company LLC | 475 Underhill Blvd, Syosset, NY | closure | 78 | 1/16/2010 | Colgan Air
| LaGuardia Airport, Terminal C, Flushing, NY | closure | 38 | 1/14/2010 - 1/28/2010 | Bice Ristorante/Da Ecib USA Inc.
| 7 East 54th St, New York, NY
| closure | 94 | 1/17/2010 | Matrx (Midmark Corporation)
| 145 Mid County Dr, Orchard Park, NY | closure | 87 | 11/20/2009 |
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Lease Cancellations
Sun-Times Media Group, owner of the Chicago Sun-Times and 58 other publications, has been approved by the U.S. Bankruptcy Court to sell all of its assets to a group led by Chicago investor James C. Tyree. In concordance with the $25 million sale, Tyree's group is rejecting a number of Sun-Times' leases throughout Illinois and Indiana.
Escada (USA) is rejecting retail leases in Chicago and New York following the August insolvency filing by its parent company, German clothing manufacturer Escada AG, and its subsequent bankruptcy filing. Escada, which pays more than $2 million in annual rent at each store, has determined that the leases are a burden and no longer serve any purpose moving forward.
FormTech Industries LLC has entered into a surrender agreement with the landlord of the manufacturing plant at 567 Elm Ridge Ave NE in Canal Fulton, OH, following its bankruptcy filing at the end of August. The provider of forged metal components took over the 58,745-square-foot facility in 2006 after acquiring Metaldyne's forging operations. However, following the closure of the Ford Batavia Transmission plant, FormTech opted to consolidate operations in Michigan and attempted unsuccessfully to sublease the Canal Fulton facility.
Helicos BioSciences Corp. entered into a Fifth Amendment with The Beal Cos. LLP regarding its space at One Kendal Square in Cambridge, MA. The genetic research company, which occupies 56,641 square feet at the office park, is terminating its lease of 10,144 square feet, while extending its lease for the remainder of the space.
| Company | Address | Affected Parties | Comment | | Sun Times Media Group | 350 N Orleans, Chicago, IL | Vornado Realty Trust | Floors 2, 9 & 10 - 251,515 SF, exp. 9/16/2019 | | Sun Times Media Group | 1065 Broadway, Gary, IN | Unknown | Ground lease, 123,000-SF Bldg. | | Sun Times Media Group | 275 Northfield Rd, Northfield, IL | Lawrence J J & Koestlin | 57,600 SF | | Sun Times Media Group | 1140 W Lake St, Oak Park, IL | Marc Realty | Suites 150 & 155 - 10,234 SF | | Sun Times Media Group | 440 E Ogden Ave, Binsdale, IL | 440 Ogden LLC | 7,100 SF | | Escada | 840 N Michigan Ave, Chicago, IL | U.S. Equities Realty Inc. | 4,167 SF, annual rent: $2,748,620, exp. 1/31/2013 | | Escada | 560 Broadway, New York, NY | 560 Broadway LLC c/o Wharton Properties, Ann Taylor Retail Inc. | 7,000 SF, rent: $2,180,000 w/ annual escalations, exp. 1/30/2015 | | FormTech Industries LLC | 567 Elm Ridge Rd, Canal Fulton OH | Spirit SPE Portfolio 2005-1 LLC
| 58,745 SF | | Helicos BioSciences Corp. | 1 Kendal Sq., Cambridge, MA
| RB Kendal Fee LLC (The Beal Cos. LLP) | 10,144 SF, exp. 3/31/2010 | |
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