155 replies to this topic

[nashvylle]

samsonh, on 04 May 2012 - 08:28 AM, said:

Guys these are tiny tiny leases. They need several hundred thousand square feet of leases and ot sounds like they have 50-75k. I am extremely skeptical

We know you're extremely skeptical.

It's not a done deal, but it is definitely on a visible path to being a go as a few days ago no one expected 6 leases to be signed. I am extremely optimistic.

[franktown]

Sounds to me like they have 45% of it pre-leased which would be roughly 675,000

[samsonh]

Franktown,

The Bizjournal article says 70-100k, so I was a little off. They claim to have leases from huge companies that don't want to lose their competitive advantage by letting rivals know they have signed leases?!? I mean, what does that mean? Does that make sense in any sort of way? No, it does not. The whole "we have leased half the bujilding but we cannot tell you who they are" thing is a bit secretive and very much unlike any other commercial real estate. That should raise eyebrows.

Nashvylle,

I would be quite happy if this building came to fruitiion. I think its a cool idea, and it would provide plenty of jobs, hotel room stays, etc. I am all for it. However, this whole thing smells funny, and I'm not afraid to say so. So much of it just doesn't make sense from a logical viewpoint.

[chris holman]

From the Nashville Business Journal: Nashville Medical Trade Center financing: How it works

May 8, 2012 10:25 AM
By Brian Reisinger
Financing for the Nashville Medical Trade Center — a massive, complex project with untold sums tied up in it already — is in its early stages and will involve many variables. A primary one: What the lending appetite is for such a project.

Last week, med mart developer Market Center Management Co. of Dallas, Texas, announced a new string of tenants for the project. They also disclosed that Brentwood accounting firm Lattimore Black Morgan & Cain, Middle Tennessee’s largest accounting firm, would be putting together financing.

Jeff Drummonds, a partner in charge of LMBC's tax practice, said what lenders are willing to put into the project is a major consideration that will likely impact what the rest of the package looks like.

"The lending environment is certainly a big driver of that, as in any real estate project that you do," he said.

Lending in general has been somewhat stagnant in the wake of the recession, with lenders saying qualified borrowers are scarce and some businesses saying banks are too tight these days. But banks have been showing more signs of life, and in the view of Drummonds' and other experts, the environment is picking up for the right real estate deals.

Once Market Center has a clear view of what sort of debt financing it can get, Drummonds said, LBMC can help it figure out how much private investment is necessary. There's also the issue of government incentives, none of which have been committed with finality, but that Nashville Mayor Karl Dean's office outlined — including grants, a tax abatement and bonding — in a 2010 letter to Market Center.

Drummonds echoed Market Center's sentiment that moving forward with financing is a good sign of the project's readiness. It's one of many ways Market Center is pushing back against skepticism over the project, as well as touting its viability regardless of whether other projects — like the House of Blues — come into play as an alternative or a neighbor.

The selection of LBMC adds to the list of local companies with a stake in seeing the project get off the ground. And how the financing package turns out will be a pivotal piece. You know what they say: Follow the money.

[nashvylle]

From Bill Winsor, CEO of Market Center MGMT Company-

http://www.tennessea...ext|FRONTPAGE|s

[BnaBreaker]

nashvylle, on 15 May 2012 - 07:51 AM, said:

From Bill Winsor, CEO of Market Center MGMT Company-

http://www.tennessea...ext|FRONTPAGE|s

That's encouraging news!  I really hope this thing gets built.  I still don't fully understand what the advantage is of having a medical trade center in the age of the internet where you could just put all this information online...though then again, at the same time, I suppose you could say the same thing about any conventions that focus on the sale of a product.

Edited by BnaBreaker, 15 May 2012 - 09:59 AM.

[MTSUBlueraider86]

Sounds encouraging! It will be interesting to see the new designs when completed.

[smeagolsfree]

If leases are obtained, then probable ground breaking by end of year. I reamain hopeful.

[nashvylle]

Hopefully this will materialize....

http://www.bizjourna...r-med-mart.html

[dmillsphoto]

Per NBJ, the Med Mart has announced 80k square feet has been leased in another tenant. The question here is, is this one of the secret ones that didn't want their name out there per "competitive edge" guidelines, or is this in addition to? Either way, the lease is for 80k sq ft, which puts it at an approximately 8% chunk in and of itself. Good news indeed.

http://www.bizjourna...convention.html

[nashvylle]

This is great. Thanks for posting.

[smeagolsfree]

Anyone know where that puts them at as far as square footage and startup?

[dmillsphoto]

smeagolsfree, on 23 May 2012 - 02:06 PM, said:

Anyone know where that puts them at as far as square footage and startup?

By my math, the last article said that 45% of 800k available square feet was leased. That's 360,000 sq ft. Add this in, and it's 440,000 sq ft or 55%.

[BnaBreaker]

Wow...I can't believe that this might actually happen for us.  What a HUGE development it would be.  Oh, and you're welcome for this very informative and valuable injection into the discussion.  Ha!

Edited by BnaBreaker, 23 May 2012 - 05:52 PM.

[smeagolsfree]

We had heard a couple of weeks ago that they had two annoucements. This is one , so maybe number two will put them over the top.

[nashvylle]

http://www.tennessea...ext|FRONTPAGE|s

From today's Tennessean. Nothing new, just more detail.


And this from the NBJ. Hopefully the FCC will vote in favor.

http://www.bizjourna...o-wireless.html

Edited by nashvylle, 24 May 2012 - 08:39 AM.