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Writer's pictureColliers | Columbus

THE WEEKLY REVIEW | August 16, 2024


Keeping up with CRE trends is as easy as 1-2-3 with our weekly piece! The Weekly Review is a new blog series that will be released every Friday. The market is constantly growing and adapting to new ventures and ideas, and our goal is to provide up-to-date information into what is happening in both the Columbus and U.S. markets, as well as the commercial real estate industry as a whole. As stories evolve, the Weekly Review will continue to follow along and update our clients and community.


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1

“Burns & Scalo has started construction on its new Central Ohio headquarters. The roofing and sheet metal contractor is investing $8.7 million to construct a 34,500-square-foot building on an 8.5-acre parcel off Tech Center Drive in Gahanna. It will move from its current regional headquarters on London Road in Delaware when the project is complete in the first quarter of 2025. The new facility will serve as the local base for Burns & Scalo's contracting operations. The company expanded to Ohio in 2000, nearly 50 years after its founding. It started in Pittsburgh in 1956.“


“The company will initially bring 34 employees to Gahanna, where it plans to grow to 52 workers within the first six years of relocating. “Columbus is one of the fastest-growing metros in the country, and we are excited to grow with it,” Senior Vice President John Scalo said in the release. “This new office will allow us to better serve our clients and partners in the region, while also contributing to the local economy and community. ”In April, Gahanna City Council approved a 12-year, 70% tax abatement for the project. Over the course of the abatement, the city expects to gain an estimated $514,682 in new payroll taxes. With the increase in land and new building taxes, the city anticipates it will receive about $18,400 in revenue over that same period. That's more than double the amount it is currently collecting on land taxes, according to the city.”


2

A slew of Central Ohio medical office buildings have been bought by a Minneapolis-based firm. An LLC tied to Värde Partners bought five medical office properties across the region for about $85 million. Värde is an investment firm specializing in credit and credit-related assets. The firm currently manages approximately $13 billion in assets. It was founded in 1993.”


“Healthpeak Properties Inc. is the seller in the deal. Deeds for the properties are signed by the firm's chief investment officer, Adam Mabry. That firm merged with Physicians Realty Trust in March, which had owned the properties before the merger. There were several deed transfers listing Healthpeak and Physicians Realty Trust. A Healthpeak spokeswoman declined to comment on the sales. Healthpeak owns over $20 billion in real estate, according to their website.”


3

“Plain City is looking to annex about 550 acres for a new business park. The village's council and planning and zoning commission reviewed plans last week for Creekview Commerce Park, a mixed-use commercial and industrial development to be built off Route 42 between Rickard and Converse roads. The project's developer, Columbus-based Highland Real Estate, was on hand to present preliminary plans to council and commission members.”


“Though the project is in its early stages, Plain City Development Manager Jason Stanford said initial plans were well received. "I think we're all comfortable saying that we are supportive of this," Stanford said. "We envision a public-private partnership with the developer and will work closely with them on bringing this initial concept to life. "We're pretty darn excited about it. "Stanford said that Highland is working with the current property owners to acquire and annex the agricultural land from Jerome Township to the village. That will be done in two phases, starting with roughly 330 acres. He said the annexation process likely will last through the rest of the year and possibly into the first quarter of 2025.”





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