The City of Morrow, Ga., has chosen Newmark Grubb Knight Frank (NGKF) to develop and execute a disposition strategy for several buildings and parcels of land currently owned by the city. NGKF will re-let them, and market the properties for sale to private investors. The firm has assembled a multifaceted, highly-qualified team to address the scope of this project, focusing on three key areas: municipal government, portfolio analysis and strategy, and property/asset management.
“With this initiative, the City of Morrow is reaffirming its commitment to public/private partnerships,” says Michael McLaughlin, Morrow’s Planning and Economic Development Director. “These properties are all in prime locations, in close proximity to each other. We’ve chosen a highly-regarded and capable advisory firm to help us maximize their value to potential buyers, and to help new owners maintain and add to the value of the properties years into the future. The sites could be put to any number of profitable uses.”
The portfolio comprises six properties, including 300,000 sq. ft. of developed space:
• The Executive Center, at 1115 Mt. Zion Road: a renovated facility that houses 26 small to mid-size suites of offices, ranging in size from 120 to 7,406 sq. ft. The larger exterior suites feature private entrances and private amenities for the individual tenant. The current tenant mix includes doctors’ offices, professional services, and professional training facilities.
• Two retail strip centers, known as the Shopping Center and Auto Shops. The Auto Shops (5940 Jonesboro Road) consist of three separate buildings; the Shopping Center (6223 North Main Street) is one building. These properties are currently fully leased to retail, office, restaurant, and automotive tenants. Each space has private entrances and private amenities for the individual tenant with shared common area parking spaces. Available spaces range from 944 to 5,700 sq. ft.
• Vacant retail space (formerly occupied by Macy’s) at Southlake Mall (1200 Southlake Circle, just off Highway 54): a shopping center located on a total of 5.69 acres of land that includes a paved parking area adjacent to the structure. The available space comprises 140,000 sq. ft. on two floors, including 4,700 sq. ft. of potential restaurant space, adjacent to the new Morrow Conference Center within Southlake Mall.
• An undeveloped 16-acre parcel of 16 acres adjacent to Southlake Mall, began a development project during the height of the recession by developing infrastructure and re-located historic houses to the location to create a mixed-use commercial district. The vision included creating office space, restaurants, other retail, and a hotel/residential component.
• A vacant, .824-acre lot at 6459 Jonesboro Road, next to the entrance ramp to Interstate 75.
“These properties represent tremendous opportunity for tenants and investors alike,” said Rod Mullice, senior managing director, project leader and NGKF relationship manager for the City of Morrow. “The City of Morrow is on the rebound now, and we’re anticipating considerable growth over the next few years. What these properties all have in common is that they’re extremely well located and they are only a five-minute drive from Hartsfield Jackson International Airport, the busiest airport in the world. They’re all in a position to benefit from a new mixed-use development that’s going up in the next 12 to 30 months, right across the street from Clayton State University. We’re seeing increased demand all over the city for more services, and this will translate to more demand for commercial space.
“Our plan is to take over these city-owned properties and fill any existing leasing vacancies, and perhaps in some cases re-develop them, or partner with other private-sector developers and investors. The intent is to fully divest of the portfolio and, given its desirability, we expect a great deal of interest. This initiative is consistent with the City of Morrow’s strategy of building municipal prosperity through private entrepreneurship,” Mr. Mullice added.
Newmark Grubb Knight Frank has extensive experience working with local municipalities and understands how to operate in the best interests of local communities. The company’s Government Practice Group advises city, county, state and federal entities on a wide range of property issues and executes various project-specific transactions for governmental agencies worldwide. In Atlanta, recent public-sector experience includes projects for MARTA and The City of College Park, among others.
Newmark Grubb Knight Frank Global Corporate Services has established a select team of professionals led by Jimmy Kuhn, president of Newmark Grubb Knight Frank. Mr. Kuhn has extensive government experience and is particularly well known for teaming with former New York City Deputy Mayor Dan Doctoroff and Hudson Yards Development Corporation President Ann Weisbrod in the successful negotiation to bring the Related Companies to Hudson Yards, one of New York City’s largest development projects ever.
About Newmark Grubb Knight Frank
A part of BGC Partners, Inc. (NASDAQ:BGCP), Newmark Grubb Knight Frank is one of the largest commercial real estate service firms in the U.S. It brings together the strategic consultative approach to creating value for clients and leading position in the New York market that are hallmarks of Newmark; the complementary strengths of Grubb & Ellis in leasing and management, investment sales, valuation and capital markets services; and BGC’s financial strength, proprietary technology, expertise in global capital markets and deep relationships with many of the world’s leading financial institutions.
Newmark Grubb Knight Frank, together with its affiliates and London-based partner Knight Frank, employs more than 11,000 professionals, operating from more than 300 offices in established and emerging property markets on five continents. This major force in real estate is meeting the local and global needs of tenants, owners, investors and developers worldwide.