For Immediate Release

**Hoover, AL, May 29, 2024** – NAI Chase Commercial, a member of the world’s premier managed network of commercial real estate firms, NAI Global, announced today the Hoover City Council’s approval of a 15-acre Mixed-Use Development to be located in the picturesque environment off Inverness Parkway, Hoover, Alabama. Randy Thomas represented the landlord on behalf of Inverness Center North Office Park, while the Louisianna Mixed Use Developer, Stoagroup will spearhead the multifamily and boutique retail portions of the development.

This mixed-use development will feature a blend of predominantly single unit dwellings with a luxury style targeting young, educated professionals, alongside 16,000 square feet of boutique retail space, giving compliment to the existing 450,000 SF of class A office space. The retail space will include a destination white tablecloth restaurant with outdoor water side seating, boutiques, cafes, and other high-end retail establishments, creating a walkable community atmosphere nestled within a park-like setting.

“We are delighted that the city council approved this mixed-use development,” said Randy Thomas, Executive Vice President-Brokerage of NAI Chase Commercial. “This new development will revitalize a once vacant office park, tenanted by Southern Company.   Over the past year, the new owners of The Inverness Center North Park have invested over $4 million in renovating the existing office buildings. Building 44 is now at 95% occupancy. Building 40 has completed a portion of its common area renovations which include a conference facility and fitness center. The class A office buildings have secured six new leases, including tenants such as Pulmonary Associates of the Southeast, Ardent Schools Corporate Offices and Ascension IT. Building 42 will undergo renovations soon as the third phase of the office redevelopment. The approval of the mixed-use Development within the Inverness Community is a perfect example of sparking new energy into office parks suffering from Post Pandemic occupancy.” Thomas added.

“Mixed-use developments cater to young professionals by seamlessly integrating the Live, Work, play aspects into a single cohesive environment,” said Prescott Bailey with Stoagroup. “Inverness Center North will feature Luxury professional living, renovated Class A office spaces, retail stores, and entertainment venues within a unique, lush natural setting with walking trails along Memorial Lake. This environment diminished the need for long commutes and fosters a balanced lifestyle. For young professionals, the convenience of living near their workplace and having access to amenities such as gyms, cafes, restaurants, and parks significantly enhances their quality of life. The vibrant, dynamic atmosphere of mixed-use developments encourages social interaction and networking, while the variety of activities and services available supports a flexible, modern way of living,” said Bailey. This holistic approach to urban planning not only meets the practical needs of residents but also creates a thriving community that is attractive to the young, dynamic workforce.

One of Bethesda’s most prominent office towers has sold for a fraction of its prior price after Clark Construction vacated most of its space. 

Stonebridge and Rockwood Capital sold the 16-story office property at 7500 Old Georgetown Road for $29.9M, roughly 22% of what they paid for it in 2019. The buyer, South Florida-based In-Rel Properties, announced the sale in a press release and confirmed the price to Bisnow.

The building is 40% leased, and In-Rel plans to maintain it as an office property, In-Rel senior adviser Jackson Siegal told Bisnow Tuesday. Commercial Observer first reported the sale.

The sellers had acquired the 335K SF property in 2019 for $133M. Invesco provided Stonebridge and Rockwood with a $103M loan in 2019 along with the acquisition, and Wells Fargo acquired the loan in 2020 and still held it as of June, deed records show.

Stonebridge and Rockwood also invested $21M to renovate the building last year, according to a Cushman & Wakefield brochure marketing the building for sale. 

The deal represented a “short sale,” Siegal told Bisnow, meaning the lender took a loss. The buyer obtained a new loan from EagleBank along with the deal, Siegal said. 

The building sits next to the Bethesda Metro station at the main intersection of Old Georgetown Road and Wisconsin Avenue. 

The building’s prior anchor tenant, Clark Construction, reportedly vacated the vast majority of its 120K SF at the property when it moved its headquarters to Tysons in 2022, the Washington Business Journal reported at the time. The company was emptying more than 90K SF, according to the WBJ, citing a CBRE report. Clark still maintains some office space at the property, Siegal confirmed. 

“We’re really planning on trying to aggressively get tenants back in,” Siegal told Bisnow.

“We want to bring it back to its former glory,” he said. “It has the potential to be a very dynamic workplace.”

The purchase marks the first D.C.-area acquisition for office and retail investment firm In-Rel, which owns properties in Kentucky, Tennessee, Alabama, Georgia, Florida and Oklahoma. But the firm is looking to do more deals in the region.

“We think D.C. is one of those places that has been hit really, really hard by Covid — like particularly hard,” Siegal said. “And we think that in the long term, D.C. is going to come back from this.” 

The firm also closed on an acquisition of a 119K SF office property in Memphis, Tennessee, within 48 hours of the Bethesda deal. That property, the Lipscomb & Pitts Building, is 91% occupied and sold for $6.8M, In-Rel Vice President of Finance Paul Catalano told Bisnow in an email. 

Sellers paid $133 million for the property in 2019

BY KEITH LORIA JANUARY 2, 2024 1:44 PM

7500 OLD GEORGETOWN ROAD.PHOTO: JOHN COLE

---

---

In-Rel Properties has acquired 7500 Old Georgetown Road, a 16-story office building in Bethesda, Md., in a short sale, Commercial Observer has learned. 

In-Rel paid $29.85 million, according to public records — more than $100 million less than the last sale price just four years ago. 

The seller, a joint venture between Rockwood Capital and Stonebridge, paid $133 million for the 335,000-square-foot, 40-year-old building in 2019. But the property fell into financial distress during the pandemic, and the building was just 40 percent leased at the time of the sale. This was despite a renovation that Rockwood and Stonebridge undertook in 2022. 

The landlords still had more than $100 million left in loans, necessitating the deal, according to someone with knowledge of the sale.

“We specialize in revitalizing troubled office buildings,” Jackson Siegal, an adviser at In-Rel Properties, told CO. “We are very excited to be part of the growth in Bethesda. We think that folks are beginning to figure out their office requirements in this new hybrid work world, with many determining that some level of back to the office will be needed for mentorship, culture and collaboration. Our plan is to provide a work environment that incentivizes folks to come into the office.” 

Dennis Udwin, In-Rel’s president, said the 2022 renovation was a factor in the buy. 

“We are not just acquiring a property, we are investing in a prime location in the D.C. area,” Udwin said. “The timing might not have been favorable for the previous ownership, but they did an outstanding job renovating the exterior, lobbies, bathrooms, gym, and conference center. We are here to build on that foundation and unlock the property’s full potential.”

This is the first Washington, D.C.-area acquisition for the Lake Worth Beach, Fla.-based company, which has more than 3.5 million square feet under management in six states.

By: Illyshia Parker – Commercial Real Estate Reporter, Birmingham Business Journal

A building in a master-planned office development along the U.S. Highway 280 corridor is getting an upgrade.

NAI Chase Commercial’s Birmingham office said Inverness Center North Building 40 at 40 Inverness Center Drive is now undergoing renovations that will help better accommodate both general and medical office businesses.

The real estate firm took over the management contract for the 450,000 square foot Inverness Center North portfolio a year ago following its $16.05 million purchase by Florida-based In-Rel Properties. CB&A Project Management signed a seven-year lease at 44 Inverness Center Parkway earlier this year.

Roughly $4 million has been budgeted for renovations, building upgrades and tenant build-outs at the 148,877 square-foot midrise office building in Hoover.

Key renovation highlights include the modernization of building facilities, build-to-suit medical suites for diagnostic and imaging centers, wellness and rehabilitation opportunities and patient-centered design with the construction of a patient pick-up and drop-off apron at the front doors.

NAI Chase recently signed a 10,000-square-foot lease with Pulmonary Associates of the Southeast PC, which has a location at 3686 Grandview Parkway, Suite 500. Several other new medical-focused tenants are pending at 40 Inverness.

“This lease represents an exciting shift towards a medical-focused building within Inverness Center North’s award-winning suburban office park,” said Randy Thomas, executive vice president-brokerage of NAI Chase Commercial. “With its strategic location minutes from Grandview Hospital yet set in a quiet park-like setting located on Memorial Lake, it’s poised to become a hub for other cutting-edge medical services wanting a convenient location at affordable medical office rates”.

Thomas said the recent lease is part of a growing trend for medical lease activity.

“It’s great to see the office and medical market moving back towards stronger activity,” he said. “This lease is the latest of several recent major transactions NAI Chase Commercial has represented in the Birmingham region, demonstrating a steady demand for commercial office and medical space.”

Brad Smith, managing partner at MCM CPAs and Advisors, said if we can remind ourselves of the momentum the Central Business District had before the pandemic, it can inspire the direction we go in as a city next.

Brad Smith, managing partner of MCM CPAs & Advisors, said it’s on all of us to make downtown vibrant.

There’s been a lot of conversation recently about the state of downtown, between the coronavirus outbreak’s disruption to business and social justice demonstrations demanding justice for Breonna Taylor. Taylor was killed by Louisville Metro Police serving a “no-knock” warrant on her residence March 13 and protests have been ongoing since late May.

It’s been a divisive topic to say the least. Some readers have written in to express disdain for Mayor Greg Fischer’s handling of protests, while others have pointed out they’ve triggered meaningful conversations the city must have. While some businesses have closed doors and moved away from downtown, others have announced multi-million-dollar investments in the area.

It’s just a different energy hanging in Louisville’s Central Business District right now, Smith said.

Since the beginning of the pandemic, the majority of MCM’s 232 local employees have been working remotely. But Smith is part of a core group of partners who’ve continued to come to the office at 462 South 4th St. most days through the pandemic.

“In the last six months, since early March to today, an energy is lost,” Smith said in an interview. “Low energy, or quiet, I think those are both descriptors of where we’re at and have been going back to March. You don’t have the vibrancy that you expect, the hustle and bustle of the Central Business District. I think that’s true across the country with central business districts.”

He said the protests haven’t really changed the dynamic much for him, but they have raised concerns for the staff.   Meidinger Tower, where MCM’s office is based, had its windows smashed by protestors in late May.

“People do have concerns that have been raised, and much of that [is] not from personal experiences, but from either media reports or social media accounts and that’s created a safety concern that’s out there,” Smith said. “For me, what’s changed is the visual. The boarded-up windows, I think that it’s a reminder of what’s going on.”

He said there’s a growing frustration with the time it has taken for Breonna Taylor’s case to be resolved, but there’s a lot involved in the process to reach a decision.

“As a business person not having a total familiarity with the intricacies of the process, it’s hard to understand the length of time. It happened in March and we’re sitting here in September, and I think we all want a thorough investigation, facts to be evaluated and a clear decision to be made,” Smith said. “I think everyone wants that to happen so that collectively, we can move forward.”

While a lot of time has passed since the beginning of the pandemic and now, he said it’s easy for people to lose sight of the momentum the Central Business District had in January and February, and even for years before.

If we remind ourselves what that momentum looked like – between the arrival of the Yum! Center, Urban Bourbon Trail and the Omni Hotel, among others – Smith said it can inspire us again to revive that momentum.

“It’s on the collective. A lot of people say, ‘Well, that’s the mayor’s job,’ or that’s fill-in-the-blank’s job, I think it’s the collective’s. I think everyone has a role to play in that process,” Smith said. “I think that’s what we have to understand as a community, that everyone needs to have a role in that process of shaping what this is going to look like and how we restart the engine.”

Sarah Shadburne

Reporter

Louisville Business First

By Marty Finley  – Reporter, Louisville Business First

The well-known Kaden Tower on Dutchmans Parkway in St. Matthews has received a needed refresh while retaining its historic character, according to its new owners.

Florida-based In-Rel Properties has completed a roughly five-month renovation project to the tower’s vestibule, lobby and second floor, which includes a shared amenity space that features a conference center and a collaboration room.

The lower level also includes an event space that is used for weddings and other events, said Mark Wardlaw, senior vice president of brokerage and business manager for Louisville-based NAI Fortis Group. NAI Fortis is the property manager and leasing agent for Kaden Tower. 

You can see images of the renovation in the attached gallery.

“From our standpoint, we have an owner that, by purchasing Meidinger Tower, committed to this market and is very positive about Louisville as an office market,” Wardlaw said of In-Rel. “They were looking for a unique opportunity to expand their portfolio. Kaden Tower provided that unique property.” 

Dennis Udwin, an architect and founding principal of In-Rel Properties, said it was love at first sight when he saw Kaden Tower in person. The building was based on a Frank Lloyd Wright design, and Udwin said he is a huge fan of his work. Getting his hands on a building Wright helped design was a once-in-a-lifetime opportunity. 

“The challenge was, for me, I wanted to refresh and reposition the asset but keeping it as a masterpiece and keeping it in the original scope. This is an historic building,” he said.

That meant bringing out some of the accents and making it more relevant to the modern times with new lighting, painting, handmade furniture and art from the time period the building was constructed, he said.

Udwin estimated the company spent about $500,000 on the renovation.

In-Rel Properties acquired the 16-story tower at 6100 Dutchmans Lane last November from longtime owner Kaden Cos. of Louisville. The purchase price was $10.5 million. 

The tower had been on the market for a few months and drew widespread interest from around the country as well as prospective local buyers. Kaden Cos. wanted to sell the building to redeploy the capital into some other ongoing projects.

Kirk Cypel, CEO of In-Rel Properties, said last year that the company was bullish on Louisville through its ownership of Meidinger Tower downtown and could not pass up the opportunity to buy another landmark office asset on Louisville’s East End.

“The longer we’ve been in Louisville, the more we like the market,” Cypel said.

Kaden tower houses 115,530 square feet and is 98 percent occupied. The largest tenant is Louisville-based PharmaCord, and other major tenants include the Alzheimer’s Association, Keller Williams Realty and Ruth’s Chris Steak House.

Cypel indicated last year that some renovations were coming.

“You buy a new house, you come in and want to change something,” he said.

Founded in 1984, In-Rel is a real estate investment and management firm that owns a series of office and retail properties in about half-a-dozen states, including Kentucky and Tennessee, according to its website. Cypel said last year that the In-Rel portfolio features more than three million square feet of commercial properties.

POSTED ON: 4 OCT 2019 – 9:45AMLOULIFEBY JENNI LAIDMAN

We asked local architect Scott Kremer of Studio Kremer Architects to talk about one of his favorite Louisville buildings. One condition: He couldn’t name work by his firm, which includes the new addition to the St. Matthews Library and Thomas Nelson High School in Nelson County.

Kaden Tower
by way of 716 East Broadway

Kremer weaves a tale of architectural evolution, starting with what he calls “the polite yellow-brick building” (architect unknown) at 716 East Broadway. The two-story structure is decorated with floral-pattern terra cotta tiles from the Midland Terra Cotta Co. of Chicago. Those tiles are undoubtedly influenced by the “Father of the Skyscraper,” Louis Sullivan, who softened his massive buildings with terra cotta. (Fun fact: The guy who went on to manufacture these tiles, Joseph N. Glover, got his start in mid-19th century Louisville making clay pots and stone urns, says architectural historian Joanne Weeter.) Sullivan, a giant in his day, mentored the legendary 20th-century architect Frank Lloyd Wright. And Kaden Tower was designed by Wright’s son-in-law and protégé, William Wesley Peters, who worked with Wright on such masterpieces as the famous Fallingwater house in Pennsylvania. Upon Wright’s death in 1959, Peters took over Wright’s firm, Taliesin Associated Architects. (Odd fact: After Peters’ first wife, Svetlana — Wright’s stepdaughter — died in a car accident, he married another Svetlana — this one the daughter of Joseph Stalin. Yes, that Joseph Stalin.)

Why Kaden Tower?

“It’s a bold building,” Kremer says — and people love it or hate it. “It was bold in thinking, bold in siting and bold in execution.” In 1963, when construction of Kaden Tower started on Dutchmans Lane alongside the Watterson Expressway, it rose like a solitary lacy sentinel beside a horse farm, Kremer says. Lincoln Income Life Insurance Co., which hired Peters, “had the bold idea that: We’re going to really plant our flag on the horizon,” Kremer says. “I consider that very bold — even brash.”

Design

Although the pink elevator column and filigreed exterior draw smart remarks from drive-by critics, the engineering deserves admiration. The tower’s 15 stories rise like a tree from the trunk formed by the pink concrete shaft where the exterior elevator ascends. Twelve of those floors are suspended from cantilevered trusses anchored to the tower, which means no structural columns detract from airy interiors. A basement meeting area is surrounded by a semicircular pool, which was originally part of the building’s cooling system. Kirk Cypel, CEO for In-Rel Properties, which bought the tower last year, says that’s no longer the case. Updating the AC is now among the improvement projects they’ve undertaken. “What we don’t want to do is change things,” Cypel says. “We want to reinforce what we believe the original goals were.” In the spruce-up, Cypel’s firm has added pendant lights in the lobby, which allow a stained-glass window to pop. Before, the geometric Wrightian window was lost in the gloom.

Little-known tidbit: When Frank Lloyd Wright’s widow, Olga, toured the building in 1966, her hauteur was so complete that a Courier-Journal writer reported: “Said one Louisvillian who experienced it: ‘I’d have felt more comfortable with Queen Elizabeth.’”

This originally appeared in the September 2019 issue of Louisville Magazine under the headline “Bold Moves.” To subscribe to Louisville Magazine, click here. To find us on newsstands, click here.

Cover photo: Kaden Tower during construction, 1965. // Courtesy of U of L Archives and Special Collections