If there is any sure sign that the real estate market in the West Michigan area is hot, particularly the Grand Rapids real estate market, it's the increasing level of interest from national-level investors and commercial real estate developers. The construction of the Tanger Outlet south of town, as well as the announcement of several major housing and commercial developments in the downtown and airport area are likely only the beginning of massive outside investment in our community, which bodes well for locals as far as new employment opportunities and real estate values.
Several weeks ago, the Illinois-based company Franklin Partners LLC sold two of its large, commercial holdings to a New York-based real estate investment firm, Ladder Capital Securities LLC and independent investor Richard Bennett, who is the principal agent at Sagic Capital LLC. Both the buyers and the sellers for these transactions were represented by the local commercial real estate firm Colliers International West Michigan. Those holdings, both in the southeast suburbs of the Greater Grand rapids area, will continue to be managed by staff at Franklin Partners LLC.
The New York investors, in other words, will own the buildings and hold the leases on the properties, while Franklin Partners, LLC, will manage the facilities and handle basic operations and upkeep. This means, in layman's terms, that West Michigan commercial and industrial properties are beginning to look like beneficial investments to businesses involved in real estate investing on a national scale, which bodes well for the Greater Grand Rapids and West Michigan real estate markets. If the local economy is strong enough to entice outside investors on this scale, it is likely going to continue to do so, bringing more money, more jobs, and more diverse businesses to the area.
The first building, located at 4147 Eastern in Wyoming, is currently home to a Booking.com office facility. 4147 Eastern has a total of 97,167-square-foot in the office building. Of that space, roughly 75% of the space is occupied by Priceline Group Inc., which is the parent company of the well-known discount travel website Booking.com. The remainder of the building is rented and occupied by AMI Entertainment Network LLC, a jukebox company. The second property, a 160,000 square-foot industrial building located at 5010 52nd St., is currently completely rented out by the local Lacks Corporation.
Colliers International West Michigan was the firm that initially sold the unoccupied buildings to Franklin Partners, LLC. According to an interview with MiBiz, Don Shoemaker, the principal at Franklin Partners, LLC, has indicated that he intends to continue investing in West Michigan and will retain several office properties in the downtown area, in addition to continuing to manage the two buildings just sold.
While the experienced, professional staff at Pyxis Realty does not specialize in commercial and industrial property sales, our knowledgeable agents do know how to maximize these kinds of events to the benefit of their clients, by applying years of experience to each property considered in a purchase and each offer received on a sale. If you're ready to sell your home or buy a home, contact Pyxis Realty today and ensure you're receiving the best advice and getting the best price in your transaction.