DEVELOPMENT NEWS

A global private equity company with almost $30 billion in investments just added to its portfolio with a record-setting industrial real estate purchase in Lee County.

EQT Exeter paid $92.5 million for CenterLinks Business Park—nine industrial warehouse buildings with a combined 453,940 square feet of space on 41 acres at 16770 Oriole Road—confirmed brokers Mike Doyle and Adam Palmer of LQ Commercial, who represented the buyer and the seller, McGarvey Development. 

Exeter’s U.S. real estate headquarters are in Philadelphia, hometown of John McGarvey, who developed the complex just north of Alico Road and west of Interstate 75 after paying $39 million for it in 2021, property records show. 

The previous industrial sales record in Lee County was set in 2021, when ET FT Myers LLC paid $67.8 million for the distribution facility used by Amazon, just west of CenterLinks, property records show. 

“A $100 million deal in Southwest Florida is not the norm,” said Ward Fitzgerald, CEO of EQT Exeter, rounding up the price. He put both the deal and his company into perspective. 

“We are a global, leading private equity firm that’s based in Europe,” Fitzgerald said. “The real estate division is based in Philadelphia. But we are global, with 53 offices across the globe. We know about or have known about most corners of the earth, because that’s our business. 

“I guess more specifically, the interest in Southwest Florida now is based on the fact that, clearly, the East Coast is becoming more congested. Organizations are reimagining their supply chain to provide goods, purchased through e-commerce and the internet. As companies redesign themselves, Exeter looks at itself as a consulting group to corporations in their supply chain.” 

When McGarvey indicated a desire to sell, Palmer said he and his team deployed a “sniper-like” approach rather than shopping it hard on the market. 

“When you work on a deal this size, generally you market it a little differently than conventional,” Palmer said. “We knew from the beginning that our buyer was likely to be the institutional landlord. While it was technically an on-market opportunity, we treated it as an off-market opportunity.” 

Fitzgerald said he and McGarvey have known each other for more than 30 years. 

Exeter already owns about 5 million square feet of industrial space near Orlando and 5 million square feet more between Jacksonville and Miami, Fitzgerald said. 

“As we decided to come down to Southwest Florida, I reached out to Mr. McGarvey about what he was thinking about if a large-scale organization could come down to the area,” Fitzgerald said. “He felt that it was a good time to consider selling CenterLinks and deploying that capital into other projects. He’s an active developer and also a very talented developer. We were happy for his counsel.” 

Doyle said his team helped make the facility attractive by getting it almost fully leased with a diverse set of tenants. The tenants include various construction contractor businesses, technology companies, a funeral home, a church, an industrial laundromat and others. 

“We create a wide variety of users, which is fantastic,” Doyle said. “Once again, the location is a home run. Because each user can go to Collier County, Charlotte County easily.” 

Landing a renowned buyer also makes the future look good for the region, Palmer said. 

“It’s the largest industrial deal in the history of Lee County,” Palmer said. “Largest industrial deal in the state of Florida so far this year. It’s interesting. The industrial market has kind of been bucking the trend in commercial real estate across the country despite two years’ worth of rising interest rates. 

“Industrials remain extremely popular, especially with institutional investors. They try to search out safe havens for capital preservation. Bringing in a landlord with that level of institutional expertise, really kind of puts us on a map with institutional investors,” he said.

“You know, when you’re looking at it just strictly from an investment perspective, it makes me think of an old Rockefeller quote, where it was suggested that a return of principle can be more important than a return on principle.” 

EQT Exeter could look to do more business in Southwest Florida, Fitzgerald said. 

“We’re not done,” he said. “We’re just getting started.”

Click here to see the full article on the Gulfshore Business website.

On Friday, June 16th, we hosted a ceremonial groundbreaking to celebrate the beginning of construction for the new Johnson-Taylor Funeral & Cremation Celebration of Life Facility in Punta Gorda!

This facility is slated to be complete in December 2023, which puts the project on a 5-6 month timeline.

 

Professional photography by Steven Lineberry  Visit Stevens Website

Today we celebrated the groundbreaking ceremony with Premier Linen to start construction for the brand new 50,540 sqft industrial flex building that will house Premier Linen as their new facility/plant to run their operations in Spring of 2022 at CenterLinks Business Park at Three Oaks. McGarvey Development’s team gathered onsite with owners Jason and Brooke Mitchell from Premier, who were present with their staff and Hotel Hospitality clients. We wanted to bring all parties together for this celebration to recognize the teamwork this project will entail and work diligently to meet the customers goal to run the operations and be cost effective along the process. The brokerage firm of LandQwest and Colliers International worked hard to help bring McGarvey and Premier together for this project, team members from each firm includes Adam Palmer, Mike Doyle, and Brandon Stoneburner, Michael Ciccarelli, respectively with their companies.

Thanks to the following: Prodrone, Primo’s Hoagie, Uline, 4Imprint 

McGarvey Development’s interior renovation of The Nail Lounge Spa at Coconut Point Mall was just awarded Silver in the 2021 Auroura Awards hosted by the Southeast Building Conference.

McGarvey Construction recently started and completed construction of the 6,150 sqft office renovation for Benecard in Bonita Springs.  McGarvey and team completed this new call center within 60 days from building permit issuance and new customer will be occupying the space on July 26^th, 2021. 

From the outside, you might believe industrial parks are boring.

Indeed, many appear to be filled with plain-vanilla distribution buildings whose most eye-catching features are loading docks.

But if that’s your perception of industrial parks, you haven’t met John McGarvey.

Through his commercial building companies, McGarvey Development Co. and McGarvey Construction Company of Florida, McGarvey is known as one of the savviest and most creative industrial-park developers in Florida.

That’s because he’s defied the rules of building and leasing industrial space by attracting a wide variety of tenants, some which you might never expect to find in an industrial park. Along with traditional distribution and manufacturing companies, McGarvey has signed office users, breweries and even sporting venues.

Case in point: SouthLinks Business Park in Bonita Springs at I-75 and Bonita Beach Road, one of the most successful industrial parks in Florida, filled up several years ahead of its projected buildout.

McGarvey’s all-tenants-are-welcome strategy has created a well-diversified mix of businesses. As builders and developers learned during the 2008 recession, that diversification is one key to riding out economic downturns.

Now, with SouthLinks full years ahead of schedule, McGarvey is launching a second development project called CenterLinks Business Park at Three Oaks that promises to be equally successful. Located along Oriole Road near Alico Road and west of I-75 in Fort Myers, CenterLinks will offer 600,000 square feet of space for a variety of tenants on 42 acres. That’s enough space to fill more than 10 football fields and is nearly three times the size of SouthLinks.

While the COVID-19 pandemic presents economic challenges for all developers, McGarvey sees opportunities associated with market shifts. For example, warehouse and distribution buildings are in high demand from consumers migrate to online buying.

“To bring new product out of the ground now is a testament to John McGarvey’s skills as a developer and understanding the market and what tenants require,” says Jeff McGarvey, marketing and sales director at McGarvey Development.

HOW SOUTHLINKS BECAME SUCCESSFUL

To preview the CenterLinks strategy, it’s useful to consider what McGarvey did at SouthLinks.

For example, when Jeff Davis approached McGarvey about building a 63,000-gallon swimming pool inside a warehouse for his Goldfish Swim School at SouthLinks, McGarvey didn’t blink — instead he jumped into his car. “He drove over to Pembroke Pines to see what the concept was and he drove back and said, ‘We’re all in,’” Davis recalls.

Goldfish Swim School is a franchise that teaches children how to swim in a 90-degree indoor heated pool with a tropical beach theme that includes palm trees and tiki huts. Before Davis opened the first Goldfish in Southwest Florida, the closest franchise was in Pembroke Pines.

The industrial park has ample parking. McGarvey completed the project in less than six months. “You can see our sign from Bonita Beach Road,” says Davis, noting five McGarvey family children are now registered for lessons there.

Another unexpected tenant at SouthLinks is Momentum Brewhouse, a microbrewery that includes a tasting room. “We needed to be in a mixed-use space, with room for customer parking and for trucks loaded with grain,” says Brian Hahn, founder of Momentum.

While the beer-making part of the business is an industrial process, the tasting room required fine craftsmanship to build the bar and create an upscale ambiance akin to a restaurant. “We knew instantly this would be a good relationship,” Hahn says. “He builds high-end custom homes too, so based on his portfolio I knew the attention would be there and that was important to us.”

Rental rates in industrial parks are significantly lower than comparable retail space. Plus, parking is always more difficult in retail centers. “To find something that has parking and an industrial feel is hard to find; we have 60 spots in our corner,” Hahn says.

Of course, SouthLinks has traditional manufacturing tenants such as Shaw Development, a maker of fluid systems and tools for bulldozers and other heavy equipment. “They were one of the first tenants at SouthLinks with 25,000 square feet, and now through growth and expansion within South- Links they’re occupying 68,000 square feet,” says Jeff McGarvey.

Six of the 10 buildings at SouthLinks are full of tenants. Four more buildings are under construction with tenants lined up since development began there in late 2017. In fact, the developer initially planned to complete buildout by 2023, but is finishing about two years ahead of schedule. “We can’t build it fast enough,” says Jeff McGarvey.

INSIDE THE GOLDEN TRIANGLE

Emboldened by the rapid success of SouthLinks, McGarvey set his sights a few miles north to develop CenterLinks. He is launching the project with two speculative buildings that have already attracted significant interest.

“An office user is looking to take a good chunk of space in our first 37,700-square-foot building,” says McGarvey. “We’ve also seen a lot of manufacturing knocking on our door for this product.”

McGarvey builds “flex space” structures suitable for virtually any user. Using concrete tilt-wall construction and impact glass rated to withstand hurricanes, these efficient buildings are visually attractive for office users and functional for manufacturers.

With rents in the $7 to $8 range, net of common-area maintenance fees, office users can save 50% or more compared with rents in traditional upscale office space. “There’s a reason we build flex space: We can accommodate any tenant,” McGarvey says.

Of course, location is the key to success in real estate.

Real estate brokers deem the CenterLinks area to be a part of the socalled “golden triangle” that extends roughly from Colonial Boulevard south to Southwest Florida International Airport and Florida Gulf Coast University, and west along Alico Road to U.S. 41.

“There’s significant commerce going on in that area,” says Adam Palmer, principal and managing director at LandQwest Commercial Real Estate Services, who is handling leasing opportunities there.

The availability of land for development and easy access to I-75 and the airport makes the area hugely attractive for companies that need to distribute goods throughout Southwest Florida. Because the industrial park is 42 acres, there’s more parking than at congested office or retail centers.

“One thing that stands out exceptionally well is that there’s not going to be another distribution option like CenterLinks,” says Palmer. “For those who are focused on windshield time, you’ll be right on the interstate.”

Article Link: https://suitelifemagazine.com/developer-rides-success-with-new-industrial-park/

 

The preliminary results are in for the 41st Annual Aurora Awards, and McGarvey Construction Company of Florida has won Silver for two of our recently completed commercial projects!

All silver finalists have a chance at winning the Grand Aurora and Golden Aurora Awards, which will be announced on July 31st.

Goldfish Swim School of Bonita Springs placed for Best Recreation Facility or Amenity.

SouthLinks Commons Business Park placed for Best Commercial Project 20,000 sq. ft. & over.

Get In On the Ground Floor –

If You Act Now

Where should you locate your business?

SouthLinks offers the best of everything for your commercial flex space needs

It’s no exaggeration to say that everyone has been rocked by the disruptions to our world this year. Not only causing unprecedented health threats and suffering, the coronavirus pandemic has wrought tremendous damage to our local economy and the businesses throughout our region. 

But to believe that the businesspeople and entrepreneurs of the Southwest Florida community will not come back strong is a losing bet. The advantages that have made this area a vibrant growth engine are firmly in place, and our strong fundamentals are already beginning to reassert their momentum. 

As pent-up demand comes roaring back, businesses that are well-positioned will reap the rewards of their forethought, and gain a great advantage over their less well-situated rivals. Which leads to an exciting opportunity for a few savvy operators. 

Utilizing the benefits of decades of experience and an unrivaled track record in developing commercial space, McGarvey Development Company has assembled all the components for businesses to move into the optimum space from which to service the entire Southwest Florida market. Ideally situated, painstakingly constructed, and finished to your exact specifications, SouthLinks Commons of Bonita has a host of advantages as the location for your company. 

Located just east of I-75 on Bonita Beach Rd., SouthLinks Commons is a well-established 26-acre mixed-use commercial park ready to serve both the Naples and Fort Myers markets. With a total of approximately 260,000 square feet of enclosed space, and a vibrant mix of tenants already in occupancy and doing business, the complex lends itself to office-industrial flex units, warehouse buildings, retail operations and general/medical office spaces. 

Make a statement with your location

Deciding where to locate your business operation is key to success, and SouthLinks Commons was situated to maximize that success. With easy on and off access to I-75 at Bonita Beach Rd., SouthLinks is just minutes from the Southwest Florida International Airport (RSW), your gateway to the world, and ideally placed to access both the Naples and Fort Myers markets. 

Befitting their status as premier developers of business space, McGarvey’s projects are known for high-quality design standards and architectural details. As a site visit will demonstrate, SouthLinks features pleasing esthetic characteristics which are also highly functional in form. Attractive landscaping, well-maintained spaces and state-of-the-art LED exterior lighting are visible throughout the park. 

McGarvey’s innovative concrete tilt-wall construction technique allows for rapid completion of buildings which are exceptionally strong and durable. Forming and reinforcing solid poured concrete walls in place and standing them up gives your business space the protection of hurricane ratings for 180 mph windstorm load, far exceeding government code requirements and industry standards. Rather than concrete blocks, your exterior walls are built of eight-inch-thick solid concrete, and remain strong with minimal maintenance. All storefront windows are hurricane-rated and energy-efficient. 

The eclectic mix of tenants, including several local builders who realized they could not create the space they enjoy with McGarvey for themselves at a comparable cost, brings a stream of visitors and the opportunity for cross-pollination of a tenant’s customers. And with all the advantages, cost for flex space is extremely competitive. Please contact Adam Palmer, LandQwest for leasing opportunities. 

Many Lee County-based businesses enjoy their space at SouthLinks as a way to access the Collier County market without paying Naples prices for commercial space. And it works in reverse, too – Naples businesses can be just a quick hop up the interstate to reach their Lee County customers, and take advantage of those reasonable rates.

In fact, if expanding to the north is in the cards for your business, McGarvey Development is building on the success of SouthLinks with another project. CenterLinks Business Park at Three Oaks, located just west of I-75 at Alico Road, will when completed contain approximately 600,000 square feet of warehouse buildings, office-industrial flex units, and general or medical office space. At 42 acres, CenterLinks is McGarvey’s largest commercial development to date. 

Unrivaled flexibility

We call it “flex space” for a reason. With the key advantages McGarvey brings to the process, your individual space is configured to perfectly suit your unique needs – both today and in the future. For starters, flex spaces in SouthLinks Commons come with your choice of ground level access or dock-high warehouse space ideal for receiving semi-trailer deliveries. 

Your space is customized to your requirements, with an eye to future considerations. And customization means whatever you need it to mean. A mix of office and warehouse space is normal, but some tenants go far beyond, with unique requirements such as Momentum Brewhouse’s need for a tasting room adjacent to their brewing vats. Goldfish Swimming School, specializing in teaching children to swim, specified a 2,500 square foot indoor swimming pool in their space. 

“We have a set design for our shells, but we modified the building extensively for Goldfish to accommodate the pool and the mechanical equipment,” said Jeff McGarvey, director of sales and marketing at McGarvey Development. 

The developer gives tenants the ability to change their space, and expand their footprint as their business grows. Tenants have right of first refusal on adjacent space, if it is not spoken for, and the McGarvey works with tenants to maximize the flexibility. Tenants are also offered the chance to transfer their lease to another building if they outgrow their space in the current one.

“When you lease from us, you’re not locked in,” said Jeff McGarvey. “We always plan ahead with our tenants, and as they grow, we grow.” 

A limited window of opportunity

Of course, expanding into adjacent space only works when space is available, and commercial flex spaces at SouthLinks are going fast. If you want to find space for your business in SouthLinks, time is of the essence. 

“We typically have built flex space on spec, and then work with tenants, but the tenants have been coming to us,” said McGarvey. “Demand has been strong – just in the last week, we’ve seen six or seven potential prospects approaching us for space. After two and a half years of developing, we are approaching one hundred percent buildout and leasing of our SouthLinks project.” 

If the space you require is no longer available in SouthLinks, or if a location further north in Lee County fits your business needs best, CenterLinks Business Park at Three Oaks might be your optimal site.

Work with a leader in the industry

McGarvey Development Co. and its affiliated branches have an outstanding record of projects completed, innovative construction techniques, financial stability and commitments fulfilled. McGarvey has a track record as general contractor, land developer, commercial landlord, and more, with expertise in design/build, construction management, value engineering, pre-and post-construction along with leadership in flex space creation.

The company has won dozens of CBIA Sand Dollar Awards, Lee BIA Pinnacle Awards, Aurora and Parade of Homes awards, including the Grand Aurora Award for the 185,000 square foot Pembroke Pines Charter School, built from permit to students in under six months. Projects have included the 300,000 square foot Riverview Corporate Park in Bonita Springs, the 450,000 square foot Gateway Corporate Park, the 85,000 square foot Comcast Building, and the 160,000 square foot Gartner Building in Fort Myers, as well as over 200 luxury homes in Southwest Florida.  

With more than 30 years of residential and commercial development experience, McGarvey Development Co. is headquartered in Bonita Springs, Florida. McGarvey Development is a vertically integrated company providing a full range of development and construction services to both commercial and residential customers. The McGarvey Companies include McGarvey Construction Company of Florida, J. McGarvey Construction, McGarvey Realty, and McGarvey Custom Homes. For more information, visit mcgarveydevelopment.com or call (239) 738-7800.

McGarvey – a legacy of quality, a foundation for excellence

For leasing opportunities, contact:

Adam Palmer, CCIM

Principal & Managing Director

Direct:    (239) 333-2507

Mobile:  (239) 898-8686

eFax:      (866) 466-5629

E-mail:    adam@adampalmer.com