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New Canaveral Terminal

 

 

Port Canaveral’s plans for a new $150 million cruise terminal The money. are underway, and one major aspect of the project is going smoothly.

The Canaveral Port Authority on Dec. 5 approved a project financing plan that includes a mixture of bonds, bank loans, a line of credit, as well as funds from the terminal’s future tenant, Carnival Cruise Line. The terminal is part of a larger agreement with Carnival that includes the cruise liner operating for another 25 years at Port Canaveral.

The Central Florida sea hub’s Cruise Terminal 3 is set to be complete by June 2020, with kicking off in first-quarter 2019. The new terminal, designed to accommodate the latest cruise ship sizes, will be roughly 190,000 square feet with a minimum 1,800-space parking garage and additional infrastructure and utility upgrades.

“We are going to borrow some and pay some down with the cruise line help. It’s a very good investment for the port and the surrounding area,” said Bob Harvey, a port commissioner, during the Dec. 5 meeting.

In addition, the port shared a brief update on when contracts regarding the project will be awarded.

A $75 million contract to oversee the terminal and roadwork construction will be awarded in January. According to the port’s contact page, the work includes the new Terminal 3 building, launch pad entrance hall, provisioning warehouse building with chiller yard, bag drop/crew building and roads/civil/utility work. The new terminal will prepare he world’s second-busiest cruise port for more future growth in passenger traffic.

Passenger counts at the port increased by 7.7 percent over last year to 4.56 million passengers — a gain of 327,489 passengers. Also, cargo tonnage coming through the port increased 6.9 percent to 6.4 million tons

Both are vital metrics to the port’s success that has major impacts on the Central Florida region’s ability to be both a tourist destination and a hub for bulk commodities that service several industries.

“These historic achievements are a fan formation that the course we’ve charted for our port is a good one,” said Port CEO John Murray, in a prepared statement. “We’re continuing to look ahead to strong organic growth, sound planning and a clear focus on creating a best-in-class experience for every customer.”

Tavistock to start construction on its 24,000-acre Sunbridge

Tavistock Sunbridge

  Development Co. LLC has beefed up plans for a portion of its 24,000-acre, cross-county Sunbridge development.

Tavistock may start as early as February on the 2,700-acre Osceola County piece of its future development that crosses the line into Orange County, a spokeswoman told Orlando Journal. The developer is seeking approvals from Osceola County on an updated development plan for that portion of a total of 19,560 acres in future development after winning approvals for a different plan in July 2017.

The current requests before the Osceola County development review committee are for:

  • 3,198 single-family
  • 1,434 apartments
  • 2.5 million square feet of office space
  • 180,430 square feet of civic space
  • 450 hotel rooms
  • Two schools

The county’s development review committee will make a recommendation on the proposal at a Dec. 5 meeting. Approvals typically take months or years as plans can be stalled, delayed or changed for various reasons.

The Osceola County property is south of the Orange County line, east of Narcoossee Road, west of the Econlockhatchee Swamp Preservation Area and north of Nova Road. Homestead, Penn.-based GAI Consultants Inc. is the master planner.

Master infrastructure construction was expected to start sometime in 2018, Richard Levey, managing director of Levey Consulting, which was representing Tavistock Development on approvals for the development, previously told OBJ. Levey couldn’t immediately be reached for comment.

Meanwhile, construction on Sunbridge, one of the largest developments acreage-wise in Central , is expected to continue through 2055. Orange County’s 5,000-acre portion of Sunbridge is slated to include more than 7,300 homes, 490 hotel rooms, 6.3 million square feet of office and retail space, and 2.9 million square feet of industrial space.

The land is owned by entities related to The Church of Jesus Christ of Latter-day Saints, according to Osceola County documents.

For developments such as Sunbridge to find success, they require enormous amounts of capital and time to create a sense of place to attract residents, said local land expert Trevor Hall Jr., who isn’t involved in the project. Developers need to build medical, education, industrial and office buildings to serve future residents. “Whatever employment you can generate then feeds absorption of the housing projects.”

Sunbridge is expected to create big business and job opportunities similar to Tavistock’s in southeast Orlando. The 17-square-mile Lake Nona boasts more than 11,000 residents, 5,000 employees in the 650-acre biotech hub, and 14,000-plus students at its schools.

The CoreLogic Home Price Insights report features an interactive view of our Home Price

 

The CoreLogic Home Price Insights report features an interactive view of our Home Price Index product with analysis through September 2018 with Forecasts from October 2018 including live maps.

CoreLogic HPI™ is designed to provide an early indication of home price trends. The indexes are fully revised with each release and employ techniques to signal turning points sooner.

CoreLogic HPI Forecasts™ (with a thirty-year forecast horizon), project CoreLogic HPI levels for two tiers—Single-Family Combined (both Attached and Detached) and Single-Family Combined excluding distressed sales. Check out the site below for a Full report

https://www.corelogic.com/insights-download/corelogic-home-price-insights.aspx

The report is published monthly with coverage at the national, state and Core Based Statistical Area (CBSA)/Metro level and includes home price indices (including distressed sale); home price forecast and market condition indicators. The data incorporates more than 40 years of repeat-sales transactions for analyzing home price trends

September 2018 National Home Prices

Home prices nationwide, including distressed sales, increased year over year by 5.6 percent in September 2018 compared with September 2017 and increased month over month by 0.4 percent in September 2018 compared with August 2018 (revisions with public records data are standard, and to ensure accuracy, CoreLogic incorporates the newly released public data to provide updated results).

 

Forecast Prices Nationally

The CoreLogic HPI Forecast indicates that home prices will increase by 4.7 percent on a year-over-year basis from September 2018 to September 2019, and on month-over-month basis home prices are expected to decrease slightly by 0.6 from September 2018 to October 2018.

The CoreLogic HPI Forecast is a projection of home prices using the CoreLogic HPI and other economic variables. Values are derived from state-level forecasts by weighting indices according to the number of owner-occupied households for each state.

In 2018, CoreLogic together with RTi Research of Norwalk, Connecticut, conducted an extensive consumer housing sentiment study, combining consumer and property insights. The study assessed attitudes toward homeownership and the drivers of the home buying or renting decision process. When asked about the desire to own a home, potential buyers in the younger millennial demographic have the desire to buy, 40 percent are extremely or very interested in homeownership. In fact, 64 percent say they regularly monitor home values in their local market. However, while, 80 percent of younger millennials plan to move in the next four or five years, 73 percent cite as a barrier to homeownership (far higher than any other age cohort).

Zumper National Rent Report: November 2018

As we approach the slow moving season, many of the 100 cities on our report have started to experience downward monthly rent trends. However, a lot of the mid to lower tiered markets are still continuing to play catch up with the most expensive cities with large year over year rental growth rates even into these cooler months. In the top markets, the most expensive 10 cities remained the same last month, though there was some shifting at the bottom with San Diego moving up to become tied with Santa Ana and Seattle dropping to 10th. Meanwhile, the city with the fastest growing rent last month was Spokane, up 5.6%, and the rental market that took the biggest rent dip was San Antonio, down 5.4%.

Overall, both the national one and two bedroom rents grew 0.7% last month, settling at $1,203 and $1,432, respectively. On a year over year level, one bedroom rent is up 2.3%, while two bedrooms have increased 2.9%.

The Zumper National Rent Report analyses rental data from over 1 million active listings across the United States. Data is aggregated on a monthly basis to calculate median asking for the top 100 metro areas by population, providing a comprehensive view of the current state of the market. The report is based on all data available in the month prior to publication.

If you’re interested in a more in-depth explanation of how and why we calculate our rent data, view our methodology post.

To keep up to date with rent changes across the country, like or follow Zumper on FacebookTwitter, and Instagram. In the market for a new place? Search apartments for rent on Zumper.

New office space slated for Lake Nona Town Center

By Jack Witthaus  – Staff Writer, Journal

The Orlando-based developer, Tavistock Development Co. is planning for a new 120,000-square-foot office building in the Lake Nona Town Center. It’s the third office project in the $780 million, 3.8 million-square-foot, mixed-use town center that is developing in partnership with Columbus, Ohio-based Steiner + Associates.

is expected to begin before the end of the year.

“Leasing for the building is going very well,” Senior Sales and Leasing Associate Ginger Vetter said in a statement about the second building, which has yet to open. “We expect to announce another regional headquarters and other tenants soon. With the momentum from this building, we’re moving forward with another new, Class A office building.”

The third building’s general contractor is Barton Malow Co., and the architect is a partnership between Gensler and HuntonBrady Architects. Tavistock spokesperson Karlee Kunkle declined to say whether or not a tenant had been signed for the third building or what percentage of the second building has been leased.

The third building’s revelation comes after the second building — an estimated $20 million, Class A 155,000-square-foot, six-story office building at the southwest corner of Veteran’s Way and Boulevard — topped out in March. The second building, called Town Center Office II, is part of the town center’s $300 million Phase 2A. The building was slated to be completed by the end of this year.

So far, BBA Aviation Plc., parent company to Signature Flight Support in Orlando, has signed a 65,000-square-foot lease inside Town Center Office II.

It’s no surprise that there’s interest in the airport/Lake Nona office submarket as average Class A office rents are $30.18 per square foot — the highest in Central and ahead of Orlando’s average of $25.93 per square foot, Cushman & Wakefield (NYSE: CWK) reported. Part of the demand for office space might have to do with Lake Nona’s growing Medical City, which could be spurring other businesses to relocate to the area to serve that new employment base, said Nicole Barry, vice president and director of operations at Tower Realty Partners Inc.

Meanwhile, construction continues on the second phase of Lake Nona Town CenterOrlando Business Journal previously learned about three dozen major retailers — from American Eagle Outfitters (NYSE: AEO) to Dick’s Sporting Goods (NYSE: DKS) — are lining up for a spot inside the town center. Tavistock wouldn’t confirm any of the potential retailers as tenants, but the company recently announced that Dallas-based cinema Cinepolis USA will open a nine-screen, 40,000-square-foot cinema in 2020 in the town center.

The fast-growing community in southeast Orlando boasts more than 11,000 residents, 5,000 employees and 14,000-plus students at its schools.

Opportunity Zones but great Investment Yes!

It’s not quite lottery level buzz, but talk of the tax rewards and potential of Opportunity Zones has tax lawyers, developers, municipalities and business development pros clamoring for answers and angles.

Still, in its early stages, U.S. governors helped the Internal Revenue Service and U.S. Treasury define eligible census tracts as official zones in May and June. Initial draft regulations about the program provided a fair amount of broad specifics — until late on Oct. 19. That’s when the IRS delivered hotly anticipated detailed rules on Opportunity Zones in a 74-page report reflecting a long period of public comment.

Here’s why Opportunity Zones are getting a lot of attention.

If you have capital gains, the new bipartisan supported provision found in 2017’s tax reform means an individual or institution can park those capital gains into what is known as a Qualified Opportunity Fund. That fund is used only to create investment within the designated census tracts or group of tracts.

Notable Orlando zones include Carver Shores, Washington Shores, Rosemont, Mercy Drive, the Packing District (west of Orange Blossom Trail), West Colonial Drive, East Colonial Drive (GOAA properties), Parramore (south of Church Street), the SoDo area (west of Orange Avenue) and the northeast corner of Semoran Boulevard and Curry Ford Road.

If you leave those deferred gains in a fund for seven to 10 years, then you don’t pay the capital gains for that period. While real estate is the sweet spot, the program was initially developed as a job creator — so it also applies to gains on sales of businesses, too.

“Those gains are deferred, but on top of that, anything you earn in the Opportunity Zone is tax free,” said Mike Miedel, director at Pinellas Economic Development. “It’s a tremendous opportunity for people.”

Buchanan’s Opportunity Zone practice team of Lisa Starczewski and Bill Conaboy has been on a whirlwind tour, the lawyers said, reacting to high interest from clients of all types.

The new details Friday were heavily anticipated, Starczewski said, and it’s going to take some time digest and understand. “There are still a number of open questions,” she said. But in one big move, the government extended the period over which an investor can take advantage of the program’s 10-year gain exclusion to as late as the end of 2047.

“They also answered some simpler questions like, can a Qualified Opportunity Fund be an LLC?” Starczewski said. “Yes, they can, and that was the right answer; and while it was just a clarification, it was nice to know so people didn’t feel like they had to create a limited partnership or corporation.”

Ahead of the Friday regs, PCED’s Miedel said it remained unclear how much people can use the funds for housing or hotels. “I think we are pretty safe with our target industries. The problem is how much of that investment will get sucked away from our types of projects into other things that would be secondary industries.”

Starczewski’s bottom-line takeaway: The program continues to be pro-taxpayer.

“As a practitioner, I think it is helpful guidance and I think it is designed to be facilitative,” she told OBJ sister paper the Tampa Bay Business Journal on Saturday. “I am happy to see that because it gives me a platform where I can say to clients, the IRS and Treasury are trying to help make these transactions work.”

With some level of confidence, Opportunity Zone subject matter experts can now have an easier time predicting what the feds will do in the next set of regulations based on the approach they took in the first one.

Tavistock buys 1,000-plus acres airport land

is expanding its boundaries south of and it now owns the land it needs.

Lake Nona developer Tavistock Development Co. LLC’s related entity TDCP LLC spent $63.9 million, or roughly $55,700 per acre, on May 10 for nearly 1,147 acres south of Orlando International Airport from the Greater Orlando Aviation Authority and the city of Orlando, Orange County records showed.

The three different parcels, two in Orange County and one in Osceola County along Narcoossee and Boggy Creek roads, will be used by  to develop a portion of a mixed-use project west of Narcoossee Road, north and east of Boggy Creek Road near the Orlando VA Medical Center, Tavistock spokeswoman Jessi Blakley told Orlando Journal.

The project, known as the Poitras planned development, includes:

  • 2,973
  • 100,000 square feet of commercial use
  • A school on 25 acres

Tavistock previously sought approval from the city earlier this month to rezone the property as a planned development with aircraft noise.

The 11,000-acre Lake Nona already has billions of dollars worth of underway and there’s even more growth ahead.

inside Orlando’s first Earth Fare market in Lake Nona

 

 

will be getting the first of what could be many of organic grocery chain Earth Fare’s greater locations.

The Fletcher, N.C.-based company opened its 24,000-square-foot store at 13204 Narcoossee Road on Sept. 29 as the anchor to the $10.5 million Shoppes at Nona Place facility. The store features the same styling as many other Earth Fare stores, but there is a local feel for the residents of Lake Nona, according to Earth Fare CEO Frank Scorpiniti.

“What is not prototype is how we join each community, some of the refinement we do and the assortment of local products we have on the shelf,” Scorpiniti told Orlando Journal.“While the furniture is pretty darn similar, the people and local product assortment will be very focused for each store we open.”

The location at the Shoppes at Nona Place is among an increase of development in the area, including a 7,000-square-foot store for Sunrise-based Pet Supermarket Inc. The shopping center, developed by Palm Beach Gardens-based Blackfin Partners and Canadian firm North American Development Group, still is looking for other tenants. Interested parties can go here for more information.

Why develop in Lake Nona? We have a store we developed in Lakewood Ranch with (Development Co.), and of course, we toured many of its developments. We came to Lake Nona having known that, and we were incredibly inspired by the health and wellness focus of this particular community. We had become aware of this potential two-and-a-half year ago and understood the growth that was going to occur in this community with the young families, with moms and dads focused on health. What we offer was kind of missing here, and what we could do fills a need that has yet been addressed.

What has it been like getting more involved in the community? We have been here as a management team many times, but one of the ways our company becomes familiar with the community is we ask people to serve on community advisory boards and have met with our teams on more than four occasions to help us understand the community. That started 90 days ago, and we really appreciate what they do to tell us what the community needs, what we can do to be a better neighbor — and that’s put into the building blocks of this particular store.

What does it mean to stick to an organic food philosophy compared to other chains? It makes us very proud our focus is on health and wellness. We know if we do this right, the sales and growth of our company will come. Rather than being focused on selling everything, we’re focused on making sure we don’t sell what we perceive to be bad for health. I think that’s a very special position in retail — we have a higher purpose than filling a grocery buggy. Our purpose is filling it with longevity, health, and happiness.

What are the next expansion steps for the area? Our next store in the area will be by Orlando Health on the corner of Orange Avenue and Gore Street. That will open later this year and we are very excited. That will be No. 2 of probably eight to 10 stores we are looking at in the Orlando area currently. Many of these are still under negotiation.

UCF Lake Nona Medical Center CEO

By   – Staff Writer, Orlando Journal
 Updated 

The University of Central Florida’s planned teaching hospital, dubbed Medical Center, now has a CEO.

Central Florida Regional Hospital CEO Wendy Brandon will take on the role Jan. 1. The proposed 100-bed hospital is expected to be completed by 2020.

“Wendy is a seasoned, dynamic leader who has played a pivotal role in our partnership with at Lake Nona, and we are excited to have her lead our newest hospital in the Central Florida region,” HCA Healthcare’s North Florida Division President Michael P. Joyce said in a prepared statement. “Under her leadership, we will advance health care in Lake Nona , improve quality of life for the community and provide education that ignites careers in medicine at UCF Lake Nona Medical Center.”

Brandon has been CEO for HCA Healthcare Inc’s (NYSE: HCA) 221-bed Central Florida Regional Hospital in Sanford for the past 10 years, with accomplishments including the launch of the hospital’s Level II trauma center and the development of Oviedo Medical Center. She earned a bachelor’s in business administration from the University of Tennessee at Martin and her MBA from Belmont University. She also has leadership roles with several organizations, including the Orlando Economic Partnership Board, CareerSource Central Florida Board, the Sanford Rotary Club and Seminole County Regional Chamber of Commerce Board.

The center will create 302 high-wage jobs, with salaries ranging from $60,000 to $600,000, and has the potential to retain some Sanford Burnham researchers.

Along with the hospital, UCF plans to add more developments as it moves its colleges of nursing and medicine to the campus. University partner Alter+Care will design and develop a 150,000-square-foot building, which will include 90,000 square feet for the College of Nursing and 60,000 square feet for expansion and future Academic Health Sciences Center use at the campus. Those projects are targeted to open by spring 2022.

In addition, Lake Nona’s daytime population continues to grow with its Medical City life sciences hub and future developments such as New York-based audit giant KPMG LLP’s $430 million, 55-acre training facility being built on Lake Nona Boulevard. The community already boasts more than 11,000 residents, 5,000 employees and more than 11,000 students at its schools.

It will be built in Medical City near Sanford Burnham Prebys Medical Discovery Institute, a facility UCF is set to take over as La Jolla, Calif.-based Sanford Burnham winds down its Florida operations.

The university received approval in August to take over the 175,000-square-foot Sanford Burnham research facility. The public research university closed on the existing facility Aug. 27, with Sanford Burnham occupying the building until Nov. 30. The university will begin doing research there by March 1.

UCF wants to turn the facility into a cancer research and treatment center with partner organizations such as Knoxville, Tenn.-based Provision Healthcare LLC, and HCA’s Sarah Cannon Research Institute LLC. UCF has projected its plan will result in a $578 million economic output after five years of operations.

“It’s fantastic for a couple of reasons,” UCF President Dale Whittaker previously told Orlando Business Journal. “One is it creates a private investment in the community, it gives us an additional treatment option, which is fairly unique in the community as well as significant clinical research. Sarah Cannon has been involved with almost 75 percent of the cancer research drugs that have been approved recently, so this is a nationally very powerful clinical research organization added to our university-level basic research.”

 

Chick-fil-A -slated Lake Nona

By   – Staff Writer, Orlando Journal
 Updated 

A 75,000-square-foot retail development soon could be home to ‘s first Chick-fil-A.

College Park, Ga.-based Chick-fil-A Inc. is in talks for signing a lease at Tyson’s Corner, a retail development at the northeast corner of Narcoossee and Tyson Road, sources told Orlando Business Journal. It would be the first Chick-fil-A location in Lake Nona.

A Chick-fil-A spokeswoman said the company hopes to have more to confirm about a Lake Nona location in the weeks to come. “We would very much like to have a new location in the Lake Nona area, but we have no new locations to confirm at this time,” spokeswoman Jessica Ferrell told OBJ.

Meanwhile, several other tenants either have signed leases or are in talks for space inside Tyson’s Corner. Click through the slideshow below to see which tenants could be coming to the retail center.

SRS brokered the purchase for the 9.69-acre Tyson’s Corner property on June 15, according to Orange County records. Entities related to Clearwater-based Epic Development Co. bought the property for $9 million from entity Lake Nona Holdings LLC. “We like the demographics and the growth,” said Epic Development Managing Member Andrew Hupp, who declined to confirm tenant interest in Tyson’s Corner.

The site may break ground in February with potential tenants moving in by summer 2019, said Hupp. Holiday-based FWH Architects Inc. is the architect, and Palm Harbor-based AVID Group is the engineer. Epic typically handles the general contracting itself, but Hupp said it was too early to start accepting subcontracting bids.

The property, which is next to Lake Nona High School, adds to new retail in Lake Nona. The largest retail project is the $300 million piece of Lake Nona Town Center, which is expected to make a big retail and splash for the growing southeast Orlando community, which already boasts more than 11,000 residents, 5,000 employees and 14,000-plus students at its schools.