March 30 2009 another BALL drops,


Cooper Street Commerce Park

Developer; Trinity Management LLC / Cooper St LLC
Bank; Fifth Third
Product; commercial industrial condos
200,000 SF of space in 7 buildings
Located on 17 acres of property
Completed as of date of foreclosure
2 buildings 26,000 SF each for a total of 52,000 SF
Recorded sales during sales period held by Trinity 3 units sold to Nellis these units
were subsequently exchanged back to the developer by the developer for 3 units on Scott St. in Punta Gorda
At closing the developer/ bank owned all the units and was able to convey the land and the improved 52,000 SF to the City Of Punta Gorda
Sale date March. 2009
The sale was$ 4,600,000
Mortgage amount was $10,169,000
Discount $5,669,000.00 or 44%

So was this a great deal for the city of Punta Gorda. ??
Using current lad sales and trends one would expect that a land cost should be calculated at the $2SF to $4 SF. The property had been cleared and infrastructure completed at the site. This adds value to the base of $2.00 SF but in this market I would think the value applied to this property should be about $3.00 SF or about $130,680 per acre for a value of $2,221,600 which leaves $2,289,000 for 52,000 SF of building @ $44SF. Could the city have done better? Could this been done with a building cost at the $22.14 SF that the Old Towne Development fetched? That is hard to answer but the bottom line is the city was able to get a great property and at a good value. As this will be an owner user application there is not much sense in running the numbers that developer owner user would need to do. The positive effect this sale has is this. By going to the city of Punta Gorda this sale virtually removes a potential 200,000 SF of not needed industrial flex space from the sale lease market.