Businesses looking for office space in the nation’s hottest tech markets take note.
Nashville ranks as the No. 5 “tech momentum market in North America,” with the number of technology jobs increasing 22.7 percent between 2012 and 2014, according to research found in a report compiled by CBRE Group Inc.
Titled Tech–Thirty 2015, the report offers research that measures the tech industry’s impact on office markets.
San Francisco and Phoenix led the tech jobs growth for the same period, with a 42.7 percent mark.
Nashville peer city Austin recorded a rate of 33 percent to rank No. 3. Charlotte (17.3 percent), another peer city, ranked No. 9. At No. 10 and rounding out the ranking is Salt Lake City (16.2 percent).
Relatedly, Raleigh-Durham ranks No. 14 and Atlanta ranks No. 22.
Per the report:
“In 2014, Nashville had 11,427 tech jobs, with the CBD leading Nashville’s tech scene. The tech industry claims the largest percentage of projected IT growth in Tennessee. Venture capital funding in Nashville has increased consistently over the past three years, reaching $153 million in 2014. Looking ahead, the consistent increase in venture capital and the introduction of extremely fast internet should foster innovation and attract additional tech companies.”
Stephen Kulinski, managing director of CBRE’s Nashville office, said the tech movement has positively affected Nashville’s real estate ecosystem.
“Landlords are adopting creative-minded workplaces to appeal to tech and creative tenants, redeveloping secondary spaces and warehouses for example,” said Kulinski (pictured). “The demand for creative space is on the rise as more tech companies and tech talent choose Nashville.”
Hey look! Nashville's mayoral candidates agree on a big issue, that of supplying the city with more affordable housing. In conversations with WPLN's Tony Gonzalez, both Megan Barry and David Fox say they will look for ways to have the city consistently fund The Barnes Fund for Affordable Housing, seen by many as the best vehicle to grow Nashville's affordable housing inventory. Case in point: The replacement of the River Village apartments in North Nashville with the $3.2 million, 23-unit complex pictured here.
How the program compares to other cities was on Barry’s mind when asked what she thought of the $65 million target.
“I think that a lot of this is: What are our peer cities doing? And how do we best do what’s best for Nashville? I think that number is not unreasonable.”
Nashville-based real estate private equity firm Covenant Capital Group is targeting a mid-October finish for an exterior paint job that is expected to transform the appearance of downtown’s once-called Metro Manor mid-rise apartment building.
Govan White, CCG managing partner, co-founder and principal, said the 170-unit modernist brick building (see below) has been rebranded as 500 Fifth Avenue, a moniker that corresponds with the structure’s address. He said the forthcoming exterior color palette will include “anew gray” and “warm stone.”
White (pictured) said other exterior upgrades to soon be undertaken include new windows, a landscaping overhaul and improvements to the 10-story building’s rooftop swimming pool and deck. Interior upgrades are planned, too.
“We are in the early stages of completing an extensive exterior transformation, which will bring this property back to its former glory,” White said, adding the units eventually will feature “elegant finishes and resort-inspired amenities.” He said the outdoor rooftop terrace and swimming pool offer strong views of First Tennessee Park and the Tennessee State Capitol.
“The net result will be a very contemporary upgrade,” White said. CCG is not ready to disclose an estimated cost for the effort, he said.
“It’s a fantastic location in a part of downtown that is undergoing a rebirth,” White said of 500 Fifth Avenue, for which CCG paid $15.8 million in June (see the site here courtesy of Google Maps).
With more than $1.2 billion in assets under management, Covenant Capital Group owns 49 apartment communities in 12 states.
Relatedly, 10th Avenue Multifamily Partners LLC, a CCG affiliate, in April bought the downtown building last home to the James Robertson Apartments. It has yet to announce plans for the structure.
CCG last week sold its The Views on the Cumberland in West Nashville.
A Wedgewood-Houston site originally to be redeveloped by Aerial Development Group and The Magness Group has been sold, with the buyers planning to build up to 48 flats, townhomes and single-family homes, The Tennessean reports.
Real estate investor Carl Adams Jr. and Mt. Juliet-based Landmark Homes will team on the project, which will still be called Southgate Station, according to the morning daily.
Adams paid $3.35 million for the 1.67-acre site, which is located at the northeast and northwest corners of the intersection of Southgate Avenue and Pillow Street about five blocks south of the split at Houston and Martin streets, a point many consider WeHo’s epicenter.
A December start is being eyed as the site is already zoned, The Tennessean reports.
Nashville-based law firm Keller Turner Ruth Andrews Ghanem & Heller has a contract to purchase the two-story office building at 20 Music Square West, as first reported by Nashville Business Journal.
Keller Turner Ruth Andrews Ghanem & Heller, which currently operates from Terrazzo in The Gulch, boasts clients including Backstreet Boys and OneRepublic.
Read more here at MusicRow.com.
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