47 replies to this topic

[joeDowntown]

Interesting. I walked past the Trade Center building yesterday. It needs some love. It's a beautiful building but have heard it's a maze on the inside. I hope CWD brings it back, makes it more usable.

Joe

[tSlater]

It was a maze just to get to the gallery, but I kind of enjoyed that aspect of it.  Made it a bit fun.  Does anyone know where Open Concept will be moving to?

[x99]

I totally missed this.  I'll bet they got a deal with that stellar occupancy rate.  According to AccessKent, 50 Louis is still owned by First Ward 2, LLC, whose registered agent is Peter Colovos of Prairie Real Estate (who supposedly has sold to CWD).  First Ward paid $3.34 million in 2004 for a building that is about 75,000 square feet, so about $45.00 a foot.  I've got to assume that they took a haircut, given the abysmal occupancy rates, and the interim real estate crash.

This leads me back to my original question a few months ago:  Why in the world would CWD spend $15 million plus to put up a 127,000 sqft building ($120/ft)?  Particularly so now that they own a building next door which is practically vacant.  Either this is all pie-in-the-sky speculation, or they have a plan to make 1+1=3 by acquiring both properties and somehow tacking on adequate parking.

My thought:  If, in fact, Gallery actually has decent occupancy at an outrageous $1700 a month for a two bedroom, CWD has found its magic bullet.  At basically $20 a foot, with less than 10% vacancy, things would look a little more rosy (even if that isn't a NNN rate).  Commercial leases are great, but residential isn't bad for those prices either.

(As an FYI--CWD either recently bought or took over management of Ledyard and Trust Buildings as well).

Gorath, on 14 March 2012 - 02:16 PM, said:

CWD buys the the neighboring "Trade Center" building at 50 Louis.

http://www.mlive.com..._the_downt.html

I have a feeling that whatever CWD puts up in the parking lot the Trade Center will be a part of it.  It wouldn’t surprise me if the floors were connected.

[GRDadof3]

x99, on 20 March 2012 - 10:04 AM, said:

I totally missed this.  I'll bet they got a deal with that stellar occupancy rate.  According to AccessKent, 50 Louis is still owned by First Ward 2, LLC, whose registered agent is Peter Colovos of Prairie Real Estate (who supposedly has sold to CWD).  First Ward paid $3.34 million in 2004 for a building that is about 75,000 square feet, so about $45.00 a foot.  I've got to assume that they took a haircut, given the abysmal occupancy rates, and the interim real estate crash.

This leads me back to my original question a few months ago:  Why in the world would CWD spend $15 million plus to put up a 127,000 sqft building ($120/ft)?  Particularly so now that they own a building next door which is practically vacant.  Either this is all pie-in-the-sky speculation, or they have a plan to make 1+1=3 by acquiring both properties and somehow tacking on adequate parking.

My thought:  If, in fact, Gallery actually has decent occupancy at an outrageous $1700 a month for a two bedroom, CWD has found its magic bullet.  At basically $20 a foot, with less than 10% vacancy, things would look a little more rosy (even if that isn't a NNN rate).  Commercial leases are great, but residential isn't bad for those prices either.

(As an FYI--CWD either recently bought or took over management of Ledyard and Trust Buildings as well).

So you're guessing that the Trade Center Bldg will go residential?

[Gorath]

I can't see the Trade Center being residential. The building is just too big. By that I mean that you are very far from the exterior windows in the center of the building. And it would make for some very dark and cavernous apartments. Unless you plan to cut a light well down the center of the building. The Heartside Historic District crosses Fulton to include this building. I don't know if that would prevent someone from putting a light well in the center of the building.

The other problem is that the south wall that faces the parking ramp drive could in the future become windowless if something gets built right up next to it. Now with CWD becoming the potential buyer for that property they could work the new building to not block off these windows. But it is something that would have to be worked out before you decide to make the move to apartments at the Trade Center.

What are the current tenants? Federal Public Defenders, Brett N. Rodgers, Lee & Birch. Plus Open Concept which is moving out. Any I missed?


It makes more sense to me to make the new building apartments. You would have some pretty good views facing the streets from there. However the apartments that would look in to the parking ramp/drive wouldn't be so great.

Edited by Gorath, 20 March 2012 - 12:29 PM.

[Dutch]

CWD real estate monopoly here we come!

[joeDowntown]

I agree, the Trade Center building might be too deep for residential.

I could see residential in the new space (or a mixture of both), with more sq. footage per floor by combing the two buildings. I think something is in the works. And this is all second and third hand, lots of speculating on my part.

Joe

[x99]

GRDadof3, on 20 March 2012 - 10:54 AM, said:

So you're guessing that the Trade Center Bldg will go residential?

New building, although they could offer some of the Trade Center as residential.  If you can sucker people into living at Union Square (although that should now be known as Foreclosure Square), the Trade Center should be a cakewalk!  CWD now has tons of cheap office space which is apparently undesirable as it presently sits.  If they are going to do a new building, I suspect they tie plans to the Trade Center.

Edited by x99, 21 March 2012 - 01:42 PM.