Skyline Views

Planned Prominent Peachtree Project Adds New Use

By Tony Wilbert, The Wilbert Group

ATLANTA (March 3, 2015) - Like a healthy baby born at Piedmont Hospital across Peachtree, Cornerstone's proposed medical development in south Buckhead is alive and kicking - and growing.

Cornerstone affiliate CDP Medical Building LLC just filed plans to add an assisted living/nursing home component to its proposed Cornerstone Medical Center, a 188,000-square-foot medical office building that would rise where a popular-but-hard-to-access Chick-fil-A outlet and a killer liquor store stand now.

Specifically, CDP Medical Building filed for a Special Use at 1875 Peachtree Road, where today you'll find a shuttered SunTrust ATM, long-closed Harry's in a Hurry location and a handful of homeless people. The parcel at 1875 Peachtree is owned by Jim Cumming, who also owns a couple of other adjacent properties such as the always-busy Texaco at 1888 Peachtree that typically sports metro Atlanta's highest gas prices.

To date, Cornerstone, founded by Bob Kern (who, sadly, passed away on New Year's Day), has managed to assemble four parcels (1875, 1891, 1895 and 1901 Peachtree) comprising 3.25 acres, including Peachtree Cleaners & Laundry and Peachtree Road Liquor Shore. In an August 2013 letter to the city's Bureau of Planning, Cornerstone's law firm Holt Ney Zatcoff & Wasserman, LLP evokes a 2006 rezoning of three of the four parcels for an ill-fated two-building development, Peachtree at Collier. "To the best of knowledge, the Peachtree at Collier redevelopment project has never commenced," the letter states. (If they drove by the site, they could confirm this.)

The developer's attorneys also state that the "Applicant is leaving a large space to the rear (and east) of the site to provide ample open space to our residential neighbors (including me)." My Brookwood Hills neighbors will be happy to hear this, but they might want to head to the April 2 meeting of the Zoning Review Board to make sure.

You can download the letter here.

Atlantan Takes Over as Chairman of Key #CRE Trade Association

ATLANTA - A well-known, well-like Atlantan just grabbed the national reins of North America's most-influential commercial real estate trade association.

Steve Martin, managing principal of SDM Partners, took over as national chairman of NAIOP, the Commercial Real Estate Development Association formerly known as the National Association of Industrial and Office Parks (and later Properties). 

A 31-year veteran of the CRE industry, Martin has been member of NAIOP for 22 years. He resides in Atlanta's Brookwood Hills neighborhood, which likely has more real estate professionals per capita than any other in the metro area.

Martin says that while he's "Atlanta-focused," he's been successful in commercial real estate by investing the time to form relationships across the country.

"Commercial real estate's a lot like putting a puzzle together. I mean, you could buy the same building or do the same deal five times and it would be different each time, and that's what I enjoy about it," Martin says in the above video from NAIOP. "People do business with people they know, like and trust. And the only way you do that is through spending time with them face-to-face.

"You get out of it what you put in."

Here's NAIOP's description and misson (taken from its website.)

Since 1967, NAIOP, the Commercial Real Estate Development Association, has become the leading organization for developers, owners and investors of office, industrial, retail and mixed-use real estate. NAIOP comprises 15,000+ members and provides strong advocacy, education and business opportunities through a powerful North American network.

History

NAIOP, the Commercial Real Estate Development Association, began in 1967 and has retained through all these years its core group of developer members. The association began as a small group of owners and developers of industrial parks in the eastern U.S. who formed the National Association of Industrial Parks (NAIP) to facilitate a forum for the open exchange of information on development. They also had a need for standardized covenants and restrictions, building requirements, and beneficial legislation and taxation. Nine individuals first met on September 12, 1967, in Fort Washington, Pennsylvania. 

Reflecting changes in membership, NAIP became NAIOP (National Association for Industrial and Office Parks) in 1976. In 2009 NAIOP dropped the words behind its acronym, which no longer reflected its current membership composition. Over the years, NAIOP has attracted members who are committed to excellence, entrepreneurial in spirit, and want to reach new heights in building excellence.

NAIOP is a leading commercial real estate industry provider of unparalleled networking opportunities, educational programs, research on trends and innovations and strong legislative representation. 

NAIOP's sister organization, the NAIOP Research Foundation, is one of the industry's leading think tanks dedicated to conducting research assessing the trends, economic viability and needs of the built environment.

Mission

NAIOP represents commercial real estate developers, owners and investors of office, industrial, retail and mixed-use properties. It provides strong advocacy, education and business opportunities, and connects its members through a powerful North American network.

Vision Statement

Advancing responsible commercial real estate development, investment and ownership.

 

"The CRE community has lost another great one."

ATLANTA (Jan. 1, 2015) - The new year got off to a somber start for Atlanta's commercial real estate industry as legendary developer Robert F. "Bob" Kern passed away.

Kern's son, Kevin Kern - who followed in his dad's footsteps as a developer - shared the sad news from Atlanta Hospice at about 8 p.m. New Year's Day: RIP my dear dad. So many amazing memories with my trail blazing father. Romeo Foxtrot Kilo out.

The affable Bob Kern introduced flex office buildings to Atlanta. The buildings, usually single story, offered the flexibility of having a good amount of office space in a business-services/industrial structure. Here's what another giant of Atlanta's CRE community said about Kern's contribution.

"Bob Kern was the first to do flex space," King Industrial Realty Inc. Chairman Charlie King told Atlanta Business Chronicle in 2003. "He built on land that cost more than industrial but less than office and hit a home run because, as its name implies, it is space that is flexible, which everybody loves."

Kern's legacy also can be found across metro Atlanta, especially in Cobb County, where he developed several office/flex buildings and business parks including Galleria 75. (When Kern selected the name Galleria 75, Don Childress challenged Kern's use of "Galleria." Ultimately, the dispute was settled with Kern and his partners agreed to pay a licensing fee of $5,000 a year to use Galleria in the name.)

Kern remained active until late last year, when he spearheaded the effort to develop Cornerstone Medical Office Center at Peachtree and Collier roads in Atlanta's Brookwood Hills neighborhood. 

Word of Kern's death spread quickly, and several friends in the real estate community expressed their sorrow and find memories. Here are some of the messages left on Kevin Kern's Facebook page.

Rick Lackey RIP to the greatest salesman I have ever had the pleasure of knowing - the CRE community has lost another great one.

Bradley Fulkerson Our thoughts and prayers are with you and your family.

George Edwards So sorry to read this, Kevin. One of my first decent size Bus Park deals was with Kern & Padgett at Interstate North. Remember it as great experience with Bob and Ben. Bob was a prince of a man. My prayers are with you.

Frank Norton Sorry to hear about Bob. I remember him well giving me a start and sometimes a push on some of my first real estate transactions. My prayers are with your family.

Jarred Schenke Kevin, I'm sorry to hear this. My thoughts with you tonight. No matter our age, it's never easy to lose a parent.

 

 

 

Halloween Retail Merger Renders EDENS Major Player in Buckhead

ATLANTA (Nov. 1) - Houston-based AmREIT took the opportunity late last night to announce that the retail REIT has agreed to be aquired by EDENS in an all-cash transaction valued at $763 million (or $26.55 per share). The impact on Atlanta's retail market, which AmREIT entered in 2011, should be interesting.

In fact, the acquisition likely will position EDENS as the leading owner of upscale strip centers in Buckhead, where Simon Property Group dominates the mall scene. EDENS (not sure why they do name in all CAPS) owns Lenox Marketplace and Buckhead Market Place, anchored by the very busy Whole Foods on West Paces Ferry Road, and will add a couple more through the acquisition.

Just before the Halloween night announcement, AmREIT had been cranking up its Atlanta portfolio. Only two months ago, the REIT expanded its Atlanta presence with the acquisition of Tuxedo Festival Shopping Center in Buckhead. AmREIT execs evern hinted at the possibility of scraping Tuxedo Village and replacing it with a mixed-use development.

Closer to home, the transaction means EDENS would come to Brookwood Hills, where South Georgia native and former star college QB Nate Hybl just opened gusto! Wood Fire Grill at the "Irreplaceable Corner" of Peachtree and Brighton roads (see photo).

When Will PruittHealth Start Construction on New Buckhead Medical Facility?

ATLANTA (Sept. 30, 2014) - It appears that PruittHealth, the Norcross, Georgia-based operator of nursing homes and medical rehabilitation centers, is ready to move forward with its planned six-story facility in the Brookwood Hills neighborhood.

Buckhead-based Lavista Associates erected a new blue-and-white "SOLD" sign on the property at Peachtree and Huntington in the Brookwood Hills neighborhood. Broker Rush Bradley has a standing relationship with Pruitt. Bull Realty brokered the $4.3 million sale on behalf of the former owner, Woodhaven Ventures LP. The country's leading real estate PR firm, The Wilbert Group has worked with both LaVista and Bull in the past.

This part of Peachtree is home to several quirky one-, two- and three-story buildings that do not represent the property's highest and best use. It's also prime propety for medical facilities and MOBs because of its proximity to landlocked Piedmont Hospital and the Shepherd Center.

Though Pruitt Properties (UHS Pruitt) acquired the 1.15-acre site nearly a year ago, the company had to slog through the city of Atlanta's entitlement process. One key issue, at least to Brookwood Hills residents including me, is ingress and egress from Huntington, which is not designed for commercial traffic. Read all about the proposed property here.

In initial plans, PruittHealth's new facility will provide about 125 beds, primarily for the elderly and also will provide out-patient services. Pruitt says 150 vehicles will travel to and from the Brookwood Hills facility each day, over 24 hours. I'll be counting.

PruittHealth has been somewhat quiet about its plans for the new nursing home. Here's hoping they hire a PR firm and announce what they plan to do when. We're happy to help.