“Fort Wayne’s strong economy has a significant impact on the commercial real estate market,” Martin Huttenlocker, vice president of Bradley Company, said in a statement. “The continued growth of downtown, along with the scarcity of industrial properties and the emergence of unique retail and restaurants, has the potential to continue these positive trends in 2019.”
The report looks at the diverse commercial real estate markets throughout Indiana and western Michigan, including Fort Wayne.
The report focuses on the office, industrial and retail sectors, and previews market opportunities in 2019. Among the highlights in Fort Wayne and Warsaw are:
● Downtown Fort Wayne’s office market is on the rise. The focus on attracting corporate headquarters downtown has spurred developments like Electric Works and Riverfront Fort Wayne. It also has contributed to a drop in the downtown office vacancy rate from 8.9 percent in 2016 to 6.5 percent at the end of Q4 2018. While these transitions have created vacancies in the suburban market, new and expanding companies are quickly filling these openings.
● Demand for available industrial space exceeds supply. A number of sizable leases in 2018 contributed to the vacancy rate declining by 200 basis points to 5.9 percent. With less space available, several speculative developments are underway in Fort Wayne, the largest being a 150,000-square-foot project that is expandable to 240,000 square feet.
In Warsaw, the Certified Tech Park development reflects the rejuvenation of the industrial/manufacturing industry with the anticipated opening of a new 57,000-square-foot shell building in 2Q 2019. Bradley expects these developments to help alleviate the unbalanced supply and demand in the market.
● E-commerce continues to revolutionize retail, bringing new opportunities for big-box spaces. As consumer preferences evolve from purchasing goods to experiences, Fort Wayne’s retail sector is mirroring this national trend with the development of the Jefferson Pointe Shopping Center.
Several big-box (more than 20,000-square-foot) spaces remain vacant in the market, but tenants are repurposing these spaces into several smaller spaces, bringing the vacancy rate down 180 points in 2018 to 10.5 percent.
Sturges Property Group
Bill Cupp recently represented the landlord, HDS LLC, in the renewal of a lease of 28,056 square feet of industrial space located at 1515 Dividend Road in in Fort Wayne.
Neal Bowman and Rebecca Worrell recently represented the landlord, the trustee of Chapel Ridge, and also represented the tenant, Hoosier Wing It, LLC, in the renewal of a lease of 5,751 square feet of retail space located at 10590 Maysville Road in Fort Wayne.
Bowman and Worrell, both of Sturges Property Group, recently represented the seller, the trustee of Chapel Ridge, in the sale of 46,641 square feet of retail space on 1.27 acres located at 10520-10546 Maysville Road in Fort Wayne.
Bowman and Worrell, both of Sturges Property Group, recently represented the landlord, HDS, Keystone Realty, LTD, and also represented the tenant, Mary’s Git & Go Delivery, Inc., in the lease of 4,500 square feet of space located at 5425 Keystone Drive in Fort Wayne.
John Caffray and Andrew Eckert recently represented the seller, DIY Group, Inc., in the sale of 408,280 square feet of industrial space on 18.1 acres located at 1515 W. Riverfork Drive in Huntington, Indiana.
Brady Gardner of Sturges Property Group recently represented the landlord, SAZ Properties, LLC, and also represented the tenant, Medical Service Co., in the lease of 982 square feet of office space located at 9921 Dupont Circle Drive W. in in Fort Wayne.
Diana Parent represented both the landlord of the PNC Center office building, as well as the tenant, Benjamin Nordmann, in the lease renewal of 2,183 square feet of office space in Suite 2010 in the PNC Center.
Parent represented both the landlord of Stone Pointe Office Park, and the tenant, Core Physical Therapy, in the new office lease of 3,080 square feet located at 415 E. Cook Road, Suite 600.
Brandon Downey represented both the landlord, TB35, LLC, and the tenants in the following two new office space leases located at 10351 Dawson’s Creek; Wenco Indiana, LLC — Suite E and FC Tucker Malcolm Schlueter — Suite F.
Downey represented the seller, Dream Makers Automotive, LLC, and the buyer, Pony Express Investments, LLC in the sale transaction of .97 acre located at 109, 111 and 115 Fernhill Ave.
Downey represented the tenant, Kocusing Industrial, Inc., in the lease renewal of 2,550 square feet of flex space located at 1000 A Airport North in the Airport North Office Park.
Downey represented the landlord, Roussell Concrete Construction, Inc., and the tenant, Brad McKee, in the recent lease renewal of 1,750 square feet of industrial space located at 919 S. Monroe St., Unit B.
Downey represented the landlord, Collins Center, LLC, and the tenant, 3 Cords, Inc., in the new lease of 2,500 square feet of industrial space located at 108 E. Collins.
Troy Reimschisel represented the seller, Schoolhouse Finance, LLC, in the recent sale of the St. Vincent Villa Historic Campus, a 179,406 square foot campus on 23 acres located at 2000 N. Wells St.