Page 1

PROJECTS TO WATCH

MARKET FORCES

AWARD-WINNING REAL ESTATE

COMPANY RANKINGS

MULTIMILLION-DOLLAR BUYS

2016

Business Report’s

Real Estate REPORT SPONSORED BY:


, It s Always Happening at Brokerage

Management

Leasing

Development

COMMERCIAL

The Settlement on Shoe Creek

Conway

SULLIVAN AND WAX RD. | CENTRAL, LA

HIGHWAY 44 | GONZALES, LA

Lease and Sale Opportunities Available NOW! Coming Soon

APARTMENTS Now Open

Coming Soon

Highland Club Premier [Phase III]

Cross Creek Village

Zachary Parkside [Phase II]

BATON ROUGE, LA

HATTIESBURG, MS

ZACHARY, LA

Let our team make it happen for you! 9018 Jefferson Hwy.

(225) 298-1250

WWW.MMCRE.COM


are received by the close of business today. • Additional revisions must be requested and may be subject to production fees. Carefully check this ad for: CORRECT ADDRESS • CORRECT PHONE NUMBER • ANY TYPOS This ad design © Louisiana Business, Inc. 2016. All rights reserved. Phone 225-928-1700 • Fax 225-926-1329

The Certified Residential Specialist, or CRS, is the highest designation in residential real estate and a symbol of excellence. REALTORS® who have earned this credential did so by completing extensive training and by demonstrating significant experience in managing real estate transactions.

Only 3% of the over 1 million REALTORS® working today can call themselves a CRS Designee. This group represents the elite performers in buying and selling homes.

MAKE THE RIGHT CHOICE... CHOOSE SUCCESS

Carlos Alvarez RE/MAX Total 225.296.7811 225.293.2800

Bill Arey

RE/MAX 225-298-6900 225-329-4349

Bonnie Ferrell

Marion Gandy

Connie Kyle

Frankie LaBorde

Bonnie Ferrell & CO., Inc. 225.413.1076 225.926.7127

CJ Brown 225.939.0800 225.769.1500

Missy Roberts CJ Brown Realtors 225.933.0051 225.769.1500

CJ Brown Perkins 225.939.3864 225.769.1500

CJ Brown Realtors 225.921.0246 225.292.1000

Scott Saporito

Coldwell Banker One 225.335.5970 225.925.2500

Margaret Bach CJ Brown 225.266.7625 225.769.1500

Suzi Gautreaux

Carolyn Webber

LA CRS State Chair President RE/MAX Real Estate Group 225.907.7166 225.768.7600

Blanche Cano CJ Brown 225.266.7229 225.769.1500

Cherie Giblin

Keller Williams Realty 225.573.8885 225.570.2900

RE/MAX Real Estate Group 225.939.0999 225.768.7600

Mary Ladner

Jo Landreneau

CJ Brown 225.937.5593 225.763.3232

Wanda Simms

Wanda Simms Preferred 225.413.8289

Jane St. Amant

LA CRS State Event Coordinator RE/MAX Professional 225.937.6430 225.768.1800

Reda Cockerham CJ Brown 225.933.5853 225.292.1000

Gloria Gonzalez CJ Brown Realtors 225.937.9639 225.292.1000

Ginger Maulden

CJ Brown Perkins 225.907.3636 225.769.1500

Coldwell Banker One Prairieville 225.806.3733 225.673.2600

Vicki Spurlock

Diana Sutherland

Locations Real Estate Inc. 225.324.2900 225.928.2222

Pro Sold Realty, LLC 225.266.4959 225.663.2015

Alissa Jenkins

LA CRS State Technology Leader CJ Brown 225-773-7054

Glenda Daughety RE/MAX First 225.205.2672 225.291.1234

Debbie Hanna RE/MAX First 225.298.6899

Kathryn Maust

Cathy Craddock

LA CRS State Membership Leader Mike Walker Real Estate 225.603.7611

Jerry del Rio Jerry del Rio Real Estate 225.218.0888

Angel Hebert

Coldwell Banker One 225.806.9299 225.925.2500

Diane Moran

Supreme – Realtors, LLC 225.931.3120 225.267.7447

Coldwell Banker One 225.445.4720 225.673.2600

Ashley Vuci

Betti Helen Walker Buhler

CJ Brown 225.324.3661 225.769.1500

Coldwell Banker One 225.803.1476 225.925.2500

Linda Dowden

The Dowden Group 225-924-5930

Juli Jenkins

Keller Williams Realty Red Stick Plus 225.931.5867 225.744.0044

Margaret Read

Coldwell Banker One 225.445.4720 225.925.2500

Pat Wattam

RE/MAX First 225.278.6688 225.298.6900

|

TOP 3% NATIONWIDE

Real Estate Report 2016

CERTIFIED RESIDENTIAL SPECIALISTS

3


FROM THE PUBLISHER

| Real Estate Report 2016 4

A YEAR OF BIG DEALS IN REAL ESTATE terms, 2015 was a big deal. Or, more accurately, a year of many big deals. The Standard, a multifamily complex on State Street, fetched $108.6 million, setting a new high for the local market. We also saw the sale of the Pennington home on Highland Road. Although originally listed at $18 million, the Spanish villa-style home with a plethora of high-end upgrades sold for $6 million—another record sale. There’s plenty more to watch in 2016. Consider the Baton Rouge Health District. While its name implies a medical initiative, this impressive project contains a significant real estate component, with Baton Rouge General Health System planning to develop residential and retail around its Bluebonnet Boulevard campus. And in April, the Metro Council approved a $14.6 million bid to pave the way for construction of the new River Center library downtown. The list goes on, from the Nicholson Corridor to a $325 million mixed-use lifestyle development in Ascension Parish that broke ground in May. Indeed, real estate continues to be a key economic driver in the Capital Region. We bring it all together for you in this special issue dedicated to real estate. This annual edition of the Real Estate Report, produced by Business Report port Report, will give you an idea of the past year in real estate, the current status of the market and a glimpse into its future. Get the full list of multimillion-dollar buys on page 16. And take a look at the eight real es-

tate projects to watch in 2016 beginning on page 10. Inside you will find views from experts on the biggest deals, the hottest areas of town, the latest in real estate tech and what is on the drawing board. You’ll also find extensive research and data on residential, multifamily and commercial real estate, along with information on retail developments and industrial properties. Check out our office space directory of three dozen Class A properties—some with vacancies—around town. It starts on page 52. We also take you on a photo tour of significant projects that have been announced or completed over the past year in Picture This, beginning on page 21. And of course, there are lists and rankings throughout, comprising a valuable and unique resource. Take a look at the top real estate firms, homebuilders, architects, engineers, contractors, largest new construction projects and more. We want to thank the Commercial Investment Division of the Greater Baton Rouge Association of Realtors for its extensive research, presented at the Baton Rouge Trends seminar and featured in this report. I would like to express special thanks to Kurz & Hebert Commercial Real Estate for sponsoring Real Estate Report. We hope you find this publication informative and inspiring. We strive to provide insights and data that will allow you to better know and understand the marketplace. That’s why we encourage you to keep your copy of Real Estate Report on your desk as a valuable resource for business decisions in 2016. To request extra copies for clients or colleagues, contact the Business Report office at (225) 928-1700.

Rolfe H. McCollister Jr. Publisher

Publisher: Rolfe H. McCollister Jr.

EDITORIAL

Editorial director: Penny Font Executive editor: Steve Sanoski Editor: Stephanie Riegel Managing editor: Robert Stewart Online news editor: Alexandria Burris Special projects editor: Jerry Martin Staff writers: Ryan Broussard, Annie Ourso Director of research: Sierra Crump Contributing writers: Gabrielle Braud, Maria Clark, Tom Cook, Jeremy Harper, David Jacobs, April Capochino Myers, Maggie Heyn Richardson, Meredith Whitten Contributing photographers: Brian Baiamonte, Marie Constantin, Don Kadair, Tim Mueller, Collin Richie

ADVERTISING

Advertising director: Sharon Wright Senior account executives: Marielle Land-Howard, Kelly Lewis, Kerrie Richmond Account executives: Sarah Collins Bennett, Melanie Ridgeway Advertising coordinator: Brittany Nieto SPECIAL PROJECTS Special projects manager: Jennifer Finley Account executives: J.C. Applewhite, Angie LaPorte, Michelle Lawrence, Rebecca Robinson Marketing director: Jennifer Guillot Advertising coordinator: Lacie Thibodeaux Community liaison: Jeanne McCollister McNeil

ADMINISTRATION

Chief financial officer: Jonathan Percle Chief innovation officer: Curtis Heroman Business manager: Adam Lagneaux Business associate: Danielle Daly Office coordinator: Debbie Lamonica Courier: Jim Wainwright Receptionist: Cathy Brown

PRODUCTION/DESIGN

Production director: Melanie Samaha Art director: Hoa Vu Graphic designers: Tammi deGeneres, Melinda Gonzalez, Rachel Parker, Emily Witt

AUDIENCE DEVELOPMENT

Audience development coordinators: Kenna Maranto, Brittany Titone A publication of Louisiana Business Inc. Chairman: Rolfe H. McCollister Jr. President & CEO: Julio A. Melara Executive assistant: Millie Coon Subscriptions/Customer Service 9029 Jefferson Hwy., Suite 300 Baton Rouge, LA 70809 225-928-1700 • FAX 225-928-5019 BusinessReport.com email: circulation@businessreport.com Volume 34 - Number 24 ©Copyright 2016 by Louisiana Business Incorporated. All rights reserved by LBI. The Greater Baton Rouge Business Report (USPS 721-890 ISSN 0747-4652) is published biweekly by Louisiana Business Inc. Reproduction without permission is prohibited. Business address: 9029 Jefferson Hwy., Ste. 300, Baton Rouge, LA 70809. Telephone (225) 928-1700. Periodicals postage is paid at Baton Rouge, La. Subscription rate is $65.00 (in-state) and $75.00 (out-of-state) for 26 issues, with 3 additional issues published annually in April, June and December. POSTMASTER: Send address changes to The Greater Baton Rouge Business Report Report, 9029 Jefferson Hwy. Ste. 300, Baton Rouge, LA 70809. The Greater Baton Rouge Business Report cannot be responsible for the return of unsolicited material—manuscripts or photographs, with or without the inclusion of a stamped, self-addressed return envelope. Information in this publication is gathered from sources considered to be reliable, but the accuracy and completeness of the information cannot be guaranteed. No information expressed here constitutes a solicitation for the purchase or sale of any securities.


Location is everything. Especially your mortgage company’s location. When you’re ready to move on a piece of property, you need a mortgage team that’s ready to move, too. One that understands the value of the neighborhood like you do. A team that knows how fast a great address can sell—and has a track record of moving faster to close the deal. There’s only one way to make the mortgage process as simple as it should be: experienced people making local decisions on local properties.

Made in Louisiana. Made for Louisiana.

redriverbank.net - 225.923.0232

Real Estate Report 2016

| 5


COLLIN RICHIE

CONTENTS

2016

Business Report’s

Real Estate REPORT 33 MULTIFAMILY

4 From the Publisher 8 From the Sponsors

EYE ON THE MARKET 10 10 12 16 17 18 20 21

RETAIL 59

Out with the old

The Headliners Off the Charts Multimillion-Dollar Buys Guest Column: Brian Andrews Award-Winning Real Estate Hot Tech Picture This

The apartment boom is putting pressure on aging complexes to renovate in order to stay competitive.

34 35 38 40

Takeaways Digits List: Mortgage companies List: Licensed homebuilders

COMMERCIAL

43

Sponsored by Flores Construction

Sponsored by City of New Roads

Looking for a brand new start

Cortana Mall’s owners are pinning their hopes of a resurrection on their ability to attract nontraditional tenants.

60 61 63 64 66

Takeaways Digits A taste of Texas List: Architectural firms List: Property management firms

Open spaces

State budget concerns and a battered oil industry are contributing to a cool down in the Baton Rouge office market.

RESIDENTIAL 27 Sponsored by Alvarez Construction

27 SINGLE FAMILY The next generation

Millennials face significant obstacles to buying their first home, but an increasing number are taking the plunge.

| Real Estate Report 2016

30 List: Residential real estate firms 32 List: Real estate title companies

6

44 45 46 48 50 51 52

Takeaways Digits List: Commercial contractors Zoom List: Engineering firms List: Commercial real estate firms Class A Office Space Directory

INDUSTRIAL 67 Sponsored by Baton Rouge Metropolitan Airport Aviation Business Park

Insulated so far

The Capital Region industrial market is holding steady despite the energy sector downturn.

68 69 70 72 74

Takeaways Digits Certified for success List: New construction projects List: Industrial construction firms

CONNECT WITH US:

businessreport.com

facebook.com/businessreport

twitter.com/brbizreport

instagram.com/brbizreport


Since 2011, Frantz-Gibson Painting Company LLC has grown to be one of the largest painting contractors in Louisiana. Working throughout the state of Louisiana with crews stationed in several cities, we have developed the ability to provide a consistent, top-quality product in a timely manner. We specialize in new construction. In the residential market, we paint in excess of 2,000 houses per year, ranging from spec homes to fully custom. We are commercially licensed and able to perform any project. We take pride in every project we take part in, as do each of our paint crews. Call Steve Frantz at 225.614.4305 to schedule a free estimate.

www.frantzgibson.com | Phone: 225.614.4305


FROM THE SPONSOR

|  Real Estate Report 2016 8

The State of Real Estate “Back to the Future Part IV” KURZ & HEBERT Commercial Real Estate opened for business 30 years ago, around the same time movies like Back to the Future and Ghostbusters made their debut. George Kurz and I decided to open our own practice after several years of working for two separate brokers. Real estate tax laws had just been changed in a way that forever impacted real estate investment strategies and the local financial institutions. We had the opportunity to become successful through hard work and persistence, car phones, fax machines and a computer used to create every one of our deals. A five year drought began in 1986 and the market remained very stagnant while many developers moved to Florida, Texas or other destinations to shelter their assets. In 1991 the commercial real estate market took off. My Back to the Future Delorean was a 1986 BMW 528, covering the entire state with 250,000 miles in just five years. Fast forward to today. The Internet has created the opportunity for a vast amount of databases, which offer us endless information at our fingertips. Within the state we have the Louisiana Commercial Database along with several national databases such as LoopNet and CoStar. These and many other outlets offer us the ability to market real estate with instant reach to hundreds of thousands of investors. Needless to say, with all this information we can sell real estate in more places and stay on top of national and local trends. Events like the International Council of Shopping Centers (ICSC Las Vegas 2016), where almost 40,000 participants are under one roof for a four-day span, help us stay keen to current trends and developments in the real estate industry.

Today, young real estate professionals are looking at their future to broaden their market by associating with national real estate companies locating in the Baton Rouge market, such as Sperry Van Ness Commercial Real Estate Advisors, Berkshire Hathaway Inc. and Marcus and Millichap Real Estate Investment Services. We are here, making deals on a national basis, looking to the future and adopting new strategies to maintain market share as the digital marketplace evolves. The metropolitan Baton Rouge real estate market is growing on all fronts. Today, most corporate real estate operations and real estate managers have separate markets in our region, including in Baker/Zachary, Central, Prairieville, Gonzales, West Baton Rouge and Livingston parishes. Baton Rouge is no longer a sleepy little town like Hill Valley. So next time you see that red slash on one of our many real estate signs across the Capital Region, who you gonna call?! I would like to dedicate this program in memoriam of Josephine Anne Colie Martin (1944-September 3, 2008) Great Scott!!! MARK B. HEBERT President Kurz & Hebert Commercial Real Estate


The headliners

Capital Region real estate to watch in 2016

| Real Estate Report 2016

COURTESY HUMPHREYS & PARTNERS ARCHITECTS

FILE PHOTO

While it seems primarily like a health care initiative, the Baton Rouge Health District will carry a significant real estate component. For starters, Baton Rouge General Health System announced late last year that it wants to develop dozens of acres around its Bluebonnet Boulevard campus into everything from health care to residential and retail. In addition, Our Lady of the Lake has broken ground on its freestanding Children’s Hospital on some 66 acres between Essen Lane and Bluebonnet near Interstate 10. Meanwhile, the city-parish and state are working

10

1

4

2 RIVER CENTER

LIBRARY BRANCH

While many projects are underway in downtown Baton Rouge, among the most significant on the drawing board is the new River Center library branch. The idea of the new branch was first hatched in 2003 and started coming into focus in 2008, but the project has been dogged by controversies over the cost, design and need.

2

In April, the Metro Council approved a $14.6 million bid by Buquet & LeBlanc to build the facility, paving the way for the new branch’s construction. While the work is expected to take a little more than two years, the old library should begin demolition sometime this year, setting the stage for yet another transformative project downtown.

and 200,000 square feet of commercial space on 356 acres, as well as lakes, jogging trails, a clubhouse, a town square and two restaurants. Conway, which is being developed by Southern Lifestyle Development and developer Robert Daigle, is expected to be built out over eight to 10 years. The groundbreaking signified the start of phase one, which is expected to be complete in mid-2017.

3 CONWAY

4 NICHOLSON

What promises to be a massive mixed-use development in Ascension Parish just broke ground in May. Conway, a planned $325 million mixed-use lifestyle community off La. 44, is expected to have 1,000 singlefamily homes, 500 apartments COURTESY SOUTHERN LIFESTYLE DEVELOPMENT

HEALTH DISTRICT

to fast-track a project that will extend Dijon Drive from Essen to Bluebonnet, a project that’s expected to be one of many traffic improvements that will benefit the health district.

COURTESY EAST BATON ROUGE PARISH LIBRARY

1 BATON ROUGE

OVERVIEW

EYE ON THE MARKET

EYE ON THE MARKET

CORRIDOR

A number of significant projects along Nicholson Drive—whether the Water Campus, the River House or TramLinkBR—could

3


6700 OFFICE PARK

Additional high-end office space is set to open in the heart of Old Goodwood in the very near future. Construction has been well underway for the better part of a year on both Dantin Bruce Development’s Offices at City Farm and Don Joffrion’s 6700 Office Park, both of which are located off Jefferson Highway on the north side of Towne Center. The Offices at City Farm has already attracted such new tenants as Long Law Firm, Cypress Title and NAI/Latter & Blum, and 6700 Office Park has lined up Hospice Compassus; Dampf, Thibaut & Hessburg; Grimball Holdings; and PVS Investments for its first phase of buildings.

6

GOODWOOD

With notable projects such as E’Tage Gardens and Overton Walk, developer Michael Hogstrom has become a rising star of sorts in Baton Rouge real estate circles. But Hogstrom is just about to begin his most ambitious project yet: Adelia at Old Goodwood. Back in February, Hogstrom shelled out $8.5 million to buy the old Goodwood Plantation off Goodwood Avenue and the surrounding 17 acres to transform the property into a luxury residential development consisting of 48 lots, with homes ranging in size from 3,000 to 6,000 square feet and rates at between $250 and $285 per square foot. Hogstrom also plans on renovating the historic plantation home so it can serve as a centerpiece of the development, as well as house social gatherings. So far, 35 lots have been reserved at an average price of $330,000, with 11 lots remaining available, Hogstrom has said. Plans call for construction to begin sometime this year.

DON KADAIR

5

Ann and Paul Connelly’s efforts to bring a lifestyle-centered development to the Goodwood area should come to fruition this year. Studio Park, a 2.8-acre development at the intersection of Lobdell Avenue and Jefferson Highway, will house a mix of new businesses, including a Future Fitness studio, a SherwinWilliams Paint Store, a small retail center with Anne James Hair Salon, a farm-to-table restaurant, a café, and—as its centerpiece— the new Ann Connelly Fine Art

7 CITY FARM AND

8 ADELIA AT OLD

7

STAFF PHOTO

Residential construction at Long Farm—developer Russell Mosely’s 237-acre planned unit development at Airline Highway and Antioch Road—has been underway for several years and commercial construction is starting to gear up. Crews have begun construction on a

6 STUDIO PARK

gallery. The paint store is already up, and ground is expected to break soon on the 6,800-squarefoot gallery. The Connellys sold the final lot in the development in May, and they are hoping to have everything but the café completed by the end of the year.

8

DON KADAIR

5 LONG FARM

9,300-square foot retail building that will house a Starbucks, a Five Guys burger restaurant and a Pacific Dental Services office, as well as an unnamed fourth potential tenant. The building will be just east of new Rouses Supermarket building under construction, and a Zaxby’s fried chicken fingers restaurant is also going up. Mosely hopes a second retail building, to be located behind the first one, will also get underway this year. So far, he has several letters of intent with potential tenants but no firm leases.

CHARLES BREARD

be included on this list. But combined, they make up one of the Capital City’s most promising corridors for redevelopment. Perhaps the most significant project is the Water Campus, a 30-acre riverfront research park that will house the Center for River Studies and the Coastal Protection and Restoration Authority’s headquarters, among other offices. Construction is underway on three buildings at the Water Campus after ground was broken last year. Meanwhile, the River House mixed-use development at the old Prince Murat Hotel site has completed infrastructure work and is set to begin vertical construction. And the city-parish and LSU are still working to develop TramLinkBR, a streetcar that would connect LSU and downtown.

Real Estate Report 2016

| 11


EYE ON THE MARKET OVERVIEW

OFF THE CHARTS A look at the Capital Region market by the numbers. Plus: Outlook projections from those in the know.

WHERE THE PEOPLE ARE Population growth between 2010 and 2015

1.4%-2.2% Overall 2016 projected job growth in the Baton Rouge area

+1.5% +4.7% EAST BATON ROUGE PARISH

CENTRAL

+7.6% +8.5% +11.4% LIVINGSTON PARISH

ZACHARY

ASCENSION PARISH

| Real Estate Report 2016

SOURCE: U.S. Census Bureau

12

ACCOLADES Select rankings for the Capital Region

No. 1

METRO FOR ECONOMIC GROWTH POTENTIAL Business Facilities magazine 2014

No. 1

MAJOR MARKET OF THE YEAR Southern Business & Development magazine 2014

No. 1

No. 2

KPMG 2014 Competitive Alternatives report

Site Selection magazine

U.S. CITIES FOR COST COMPETITIVENESS

DEALS FOR U.S. METROPOLITAN AREAS WITH 200,000 TO 1 MILLION RESIDENTS


GREY HAMMETT Managing broker, Mike Falgoust & Associates

LISA LANDERS Broker/owner, RE/MAX Professional

MATHEW LABORDE Agent, Beau Box Commercial Real Estate

“I SEE A bright future for most segments of commercial real estate in Baton Rouge. The office/ warehouse sector continues to expand, and there is a lot of new construction of buildings 10,000 square feet or less. A lot of this product is pre-leased. In the suburban office market there is a great deal of construction with most properties already presold or preleased—and despite the high cost of construction, land, traffic studies, fees and taxes, there is still demand for new commercial development. Baton Rouge is a city with a lot of commercial activity. There are large projects on the table and many others already in some stage of construction. Even with low oil prices, this city and surrounding communities are reaping the benefits of having two major universities and a community college of 8,500 students, all of which support local businesses and restaurants. State government in itself generates revenue from service and supply companies and office supplies, etc. And food—this town is restaurant crazy. Add to that LSU and Southern sports, as well as three major parades with more than 300,000 visitors each year. Finally, with interest rates in the 5% range and up to 15-year terms, many tenants who have been leasing in the past now can afford to build an office or office/warehouse. Interest rates should hold for a while. Banks are back in the business of loaning money, and commercial products and land sales are at an all-time high. I also see a push to buy blighted infield properties, either for renovations or to tear down for a new development. As we see what is happening to our friends to the east of us, it certainly is a great time to be in Baton Rouge and surrounding communities to take advantage of low rates and what I call a ‘mini-boom.’” “2016 HAS BEEN an interesting year in real estate so far. In Baton Rouge, employment rates are positive, mortgage rates are low and home sales are up about 9% over last year. The sales increase over last year should be even higher, but the inventory is down approximately 10% from last year at this time. Home prices remain stable as does the list price to sale price ratio, at around 97%. The abundance of new construction and new developments is exciting, but the sale of existing homes competes with the newer, more updated homes and neighborhoods that offer a multitude of amenities. Buyers still love the older neighborhoods; however, prospective sellers in older neighborhoods really need to bring their homes up to current buyer expectations with more modern and updated features to compete with the abundance of new construction. Buyers are extremely discriminating. They are looking for a good buy and a product worth investing in. The ultimate goal of buyers today is to live in a comfortable home with modern conveniences and a fresh look, which will provide appreciating value over time. Due to the strength of our market, this is an excellent time to meet with a real estate professional and prepare to put your home on the market.”   “IN RECENT YEARS, the local commercial market has undergone one of its healthiest growth periods on record, demonstrating the prudence that is unique to an area with fresh memories of darker days. Following Hurricane Katrina, Baton Rouge was bolstered by an influx of people and businesses relocating from the Crescent City. Developers sprang into action, supplying the space needed to meet the new demand, but hype surrounding the temporary Katrina boom outlasted actual demand. We fell for the hype and overbuilt, leaving excess supply sitting vacant for a painfully prolonged period of time, a problem that was compounded by the economic recession that followed. Valuable lessons were learned. Fast forward to 2014 and 2015, when buzz surrounding Louisiana’s imminent industrial building boom was inescapable. Hyperbolic headlines and articles touting the positive implications for our economy created an environment that would have caused problems for a naive market, but Baton Rouge—with fresh wounds from the pullback following Katrina’s boom—exercised self-restraint and kept speculative construction in the office, industrial and retail sectors in check. As a result, we stand today with a healthy market relatively well positioned to face the uncertain times brought on by the state fiscal crisis, low oil prices and the continuance of unsustainably low interest rates. Going forward, I expect tepid growth overall in the local commercial market barring an unforeseen national economic crisis. In-fill development in our city’s core will continue to be a major trend. Demand for garden office product, particularly in the Jefferson Highway corridor, will remain considerably strong. The multifamily market, specifically in the area immediately surrounding LSU, is the one property sector that is grossly overbuilt and will slow down in the coming years as vacancy rises, rents decrease and crime increases.”

No. 7

Entrepreneur 2013

Forbes 2013

EMERGING ENTREPRENEURIAL CITIES

BEST CITIES FOR INFORMATION JOBS

No. 8

Top 25

The Business Journals 2012

Milken Institute 2014

HEALTHIEST SMALL BUSINESS CLIMATE IN THE SOUTH

BEST-PERFORMING CITIES WHERE JOBS ARE CREATED AND SUSTAINED

Real Estate Report 2016  |

Top 5

13


CARPET • HARDWOOD • TILE & GLASS

The Trade Pro’s Pro

PROSOURCE PROUDLY SERVES TRADE PROFESSIONALS. We offer a vast selection of

flooring products, natural stones, kitchen & bath cabinetry, granite and quartz countertops, and plumbing. Free design service is always available. We have the guaranteed lowest pricing, and customer service is our number one priority. Our experienced staff is ready to serve your needs.

COUNTERTOPS • SINKS • FAUCETS


STONE • VINYL • CABINETS

10414 Plaza Americana • Baton Rouge, LA 70816 Phone:  225-248-4800 • prosourcewholesale.com/batonrouge 2325 South Commerce Avenue • Gonzales, LA 70737 Phone:  225-960-5000 • prosourcewholesale.com/gonzales

VANITIES • INSTALLATION SUPPLIES


EYE ON THE MARKET OVERVIEW

MULTIMILLION-DOLLAR BUYS

A dozen properties that fetched top dollar in the Capital Region The Standard

Hampton Inn and Suites

$108.6 MILLION

$9.65 MILLION

When a Dallas-based firm purchased this multifamily complex at 740 W. State St. for $108.6 million, it set a new high for the local market. The firm—University House Communities, which specializes in developing, acquiring and managing student housing communities across the country—purchased the 287-unit complex for nearly $378,386 per unit. The complex measures more than 750,000 square feet in total, including a 12,000-square-foot clubhouse and amenities such as a game room, rooftop pool, golf simulator, computer center and study rooms. University Edge

$32.5 MILLION

The complex at 650 W. McKinley St. sold to Scion BR Apartments, which owns and operates some 16,250 beds of university housing near 24 college campuses across the country. At $221,088 per unit—or $68,756 per bed—the sale marked the highest price-per-unit paid for a student housing community in Louisiana until The Standard sale eight months later. Oakleigh Apartments

$22.8 MILLION

A Los Angeles capital group bought this 312unit, 30-year-old complex, which is located on 11.7 acres at 11580 Perkins Road. It was 97% occupied at the time of the sale, which amounted to $73,237 per unit. The Marriott

$21.8 MILLION

A partnership between Natchitoches-based hotel management company Dimensions Development and a New York investor acquired the high-rise Marriott hotel off Interstate 10 near College Drive. Dimensions immediately set about planning for a $23 million renovation to overhaul the hotel, its restaurant and bar area. The 300-room hotel was built in the 1970s. Amedisys

|  Real Estate Report 2016

$20 MILLION

16

The hotel at 11271 Reiger Road changed hands when Baton Rouge HPA, a limited liability company owned by Texas investor William Copeland, acquired the property from South Baton Rouge Hotel LLC, owned by G. Murphy Anderson of Shreveport and Frank Benoit of Baton Rouge. The latter two developed the three-story hotel with 101 guest rooms in 2007. 11001 Highland Road

$6 MILLION

Originally listed at $18 million, this 12.5acre Mediterranean estate comprises a Spanish villa-style main house as well as a separate guest house and outdoor cabana area. Other features include a saltwater pool with fully equipped outdoor kitchen, gym, guest suite, wine cellar and home theater. 59 lots in Coursey Cove subdivision

$3.4 MILLION

These Coursey Boulevard/Jones Creek Road area lots sit across from the Goodyear Auto Service Center and are bordered on three sides by retail businesses and restaurants. Alvarez Construction plans homes ranging in size from 1,600 to 2,000 square feet, priced between $215,000 and $230,000. 58 lots in the Oak Ridge Estates subdivision

$2.7 MILLION

The third filing in this subdivision on 66 acres on Elliot Road near its intersection with Hoo Shoo Too Road is expected to be completed by the end of the year. The developer is offering three- and fourbedroom homes ranging from $200,900 to $249,900. 18433 N. Mission Hills Ave.

Some five months after announcing plans to open an executive office in Nashville for its top brass, Amedisys sold its Sherwood Forest Boulevard headquarters to the Franciscan Missionaries of Our Lady Health System. Amedisys purchased the 110,000-square-foot site for $4.2 million in 2005. The hospital system will use the space to house some of its support services.

$2.5 MILLION

Oaks of Kingsbridge apartment complex

$2.2 MILLION

$14.7 MILLION

A New Jersey investor bought this 343-unit complex, which is located on 14.3 acres at 11888 Longridge Ave., just off South Sherwood Forest Boulevard between Coursey Boulevard and Interstate 12. The purchase price works out to about $43,000 per unit.

This West Indies-style home in the Country Club of Louisiana sold in December. It was designed by Al Jones and built by Larry Normand on two cul-desac lots that overlook the wildlife preserve, golf course and country club. 19119 S. Augusta Drive Builder Ronald Babb constructed this residence as his personal home, and he spared no detail. The Country Club of Louisiana property is a rare find: At the time of the sale, it was only six years old, making it one of the newer high-end properties. It sold for its full asking price.


tices and high CRE credit concentrations are exposed to a greater risk of loss and failure. • The agencies’ examination and industry outreach activities have revealed an easing of CRE underwriting standards. • Financial institutions should maintain underwriting discipline and exercise prudent risk-management practices that identify, measure, monitor and manage the risks arising from their CRE lending activity. • The agencies’ review of CRE lending activities will focus on financial institutions’ implementation of the prudent principles in applicable guidance relative to identifying, measuring, monitoring and managing concentration risk in CRE lending activities. In other words, the regulators are aware of the significant growth and the easing of underwriting standards that arguably contributed to the growth, and they will look long and hard at the portfolios of fast growing institutions during the 2016 examinations. In the section of Heschmeyer’s article titled “supervisory expectations for financial institutions,” the following points were made clear: • During 2016, supervisors from the banking agencies will continue to pay special attention to potential risks associated with CRE lending. • When conducting examinations that include a review of CRE lending activities, the agencies will focus on financial institutions’ implementation of the prudent principles in the Concentration Guidance as well as other applicable guidance relative to identifying, measuring, mon-

BRIAN ANDREWS

ASSISTANT DIRECTOR, REAL ESTATE RESEARCH INSTITUTE

itoring and managing concentration risk in CRE lending activities. • In particular, the agencies will focus on those financial institutions that have recently experienced, or whose lending strategy plans for, substantial growth in CRE lending activity, or that operate in markets or loan segments with increasing growth or risk fundamentals. • The agencies may ask financial institutions found to have inadequate risk management practices and capital strategies to develop a plan to identify, measure, monitor and manage CRE concentrations, to reduce risk tolerances in their underwriting standards, or to raise additional capital to mitigate the risk associated with their CRE strategies or exposures. These supervisory expectations will have a chilling impact on some local area banks in 2016, and borrowers would be well advised to meet with their bankers about new lending guidelines, minimum requirements for equity and appetites for various property types. Brian Andrews is an instructor in LSU’s Department of Finance and the assistant director of the Real Estate Research Institute. He is also an instructor in the E. J. Ourso College of Business’ Energy Program and serves as the principal of Andrews Commercial Real Estate Services.

Real Estate Report 2016  |

Association’s vice president of commercial real estate research, announced in March. “While 2015 marked many new records, recent market and regulatory changes have the potential to impact the availability of commercial and multifamily mortgage debt during 2016.” So what about the prospects for 2016 and beyond? A March 2016 CoStar article by Mark Heschmeyer carried a headline of “CRE lending by banks surged in [the] fourth quarter” followed by the observation that “the $1.85 trillion year-end 2015 total CRE loans outstanding compares to $1.63 trillion at the last peak of the CRE markets at the end of June 2007.” Good news for the industry, right? If a slowdown does indeed happen in the remainder of this year, it will not be because the banks, savings and loans, and other depository institutions could not find the business. Heschmeyer’s subtitle was “economic, regulatory headwinds may slow lending pace in 2016,” meaning that regulatory agencies might be the ones to slow down the growth. He alluded to an interagency regulatory statement issued last December to “highlight prudent risk-management practices from existing guidance that regulated financial institutions should apply in the management of their commercial real estate lending activity.” The statement, which applies to institutions of all sizes, had four basic highlights: • Financial institutions with weak risk-management prac-

GUEST COLUMN

COMMERCIAL real estate, or CRE, lending grew at a record pace in 2015 across the country. Such an expanse in lending is a clear indication that lenders, investors and developers in the market saw strong fundamentals and advantageous returns in 2015. After all, investors must have access to borrowed funds available in the amounts needed and at the price required to generate a reasonable return on their investment. Local lenders in our area agree that 2015 was a strong year for their CRE portfolios, and local CRE development seemed strong, particularly in apartment development. But those good times could be coming to an end nationally as banking regulators become concerned about potential bubble conditions. The shift, coupled with concern over the energy sector, could result in slower CRE growth in our area in the coming year. Much is being said about the impact of lower oil and gas prices on our local economies, so I will focus on the regulatory impact on funds available for CRE investment. “During 2015, commercial and multifamily mortgage debt grew by the largest amount since the series began in 2007; multifamily mortgage debt grew at the fastest pace since that series began in 1993; and the amount of commercial and multifamily mortgage debt held in agency and GSE portfolios and MBS, and on bank balance sheets, grew more than in any previous year on record,” Jamie Woodwell, the Mortgage Bankers

OVERVIEW

CHANGES COULD SLOW DOWN EXPANDING CRE MARKET

17


TIM MUELLER

OVERVIEW

EYE ON THE MARKET

AWARD-WINNING REAL ESTATE 1

| Real Estate Report 2016

2 FLORIDA PARISHES AGRICULTURAL EVENTS CENTER

18

This addition to the existing agricultural arena in Amite allows the facility to host more formal events as well as presentations and seminars. A single sloped roof tilts up to reveal a ribbon of clerestory windows and curtain wall facing northeast. An outdoor deck along the north façade doubles as a classroom along the retention pond. Cost: $1.7 million Honoree: Holly & Smith Architects Award: Gold Rose Award, American Institute of Architects Baton Rouge

3 CREATIVE BLOC

MAIN LIBRARY AT GOODWOOD

The park site includes the three-story, 126,000-squarefoot main library, a cyber café, plaza, fountains, teaching and botanic gardens, soccer fields and children’s playground. Zoned spaces provide users with a variety of patron-specific experiences. The library includes public computers, a teen zone with gaming opportunities, a colorful children’s area, the parishwide genealogy center and a large community meeting room. Cost: $35.9 million Honoree: The Library Design Collaborative, A Joint Venture Awards: 2015 New Landmark Library, Library Journal; 2015 Members Choice, American Institute of Architects Baton Rouge; Best Government/Public Buildings Project and Best Overall Project of the Year (five-state region), Engineering NewsRecord magazine

Historic rehabilitation of a derelict building at 804 Main St. brought the three buildings back into commerce and has served as a catalyst for redevelopment in this portion of downtown. With a full-service production studio, reservable meeting spaces of all sizes, rentable offices and full business suites, the project boasts a host of leasable spaces for designers and compatible media firms, small and large. Cost: $1.7 million Honoree: Tipton Associates Award: Gold Rose Award, American Institute of Architects Baton Rouge


TIM MUELLER

GEORGE FIRE DEPARTMENT TRAINING AND ADMINISTRATION 5 ST.COMPLEX

4 WEINSTEIN POOL HOUSE

This structure at a Baton Rouge residence integrates seamlessly with the existing pool, main house and pigeonnier. Its design incorporates cypress heavy timber columns, copper and a brick fireplace that anchors the structure’s connection with the existing axis of the house and pool. Rain chains direct rainwater from the gutter into rock beds, where it filters into the drainage system below the floor. Cost: Not available Honoree: DNA Workshop Award: Silver Rose Award, American Institute of Architects

TIM MUELLER

The campus features a 14,400-square-foot, two-story training facility and administrative offices. This building was strategically placed on campus to align with Airline Highway, overlooking the training activities on the site and accommodating for a future fire station. The project also includes a four-story training tower, an underwater training pond, a vehicle burn/ extraction yard, active fire hydrants spread throughout the site, and a fire house exercise yard. Cost: $3.5 million Honoree: Crump Wilson Architects Award: Rose Award, American Institute of Architects

6 ALLIANCE SAFETY COUNCIL

7 GALLOWAY RESIDENCE

This 7,500-square-foot Springfield home designed with Southern charm and familiar architecture in mind features simple motifs such as brick corbels, copper roofing and weathered cypress. The central living area comprises a gourmet kitchen, butler’s room, wet bar, and social space, all having access to the backyard with views of the lake. Cost: Not available Honoree: Pistorius Architects Award: Rose Award, American Institute of Architects

Real Estate Report 2016

|

The new building is a state-of-the-art training center with modern workspaces that features multiple training labs, technology enhanced classrooms, a member media library, a community child car-seat inspection and fitting station, and new labs where the safety organization can continue to design and develop innovative, web-based learning courses. The building features a combination of curvilinear forms, vertical elements and a combination of metal and wood materials. Cost: $2.8 million Honoree: Remson Haley Herpin Architects Award: Rose Award, American Institute of Architects

7

19


COMPILED BY RYAN BROUSSARD

Outside in Since October, Baton Rouge entities like BREC, LSU Athletics and Mary Bird Perkins-OLOL Cancer Center and others have begun using a version of Google’s Street View technology to create virtual tours of their facilities. The tours improve search engine optimization scores and allow people to check out the facilities on computers and mobile devices. The tours, dubbed “Street View Trusted,” are created by stitching together 16 panoramic photos of a room to create a 360-degree visual representation of the space. Multiple 360-degree shots are sewn together to create the virtual walkthrough. A BREC spokeswoman says she believes it is the first parks and recreation agency in the country to feature the virtual tours.

COURTESY GOOGLE

OVERVIEW

EYE ON THE MARKET

HOT TECH

A sampling of some of the latest technology developed for the local real estate market

Taking it to the street New Orleans-based NAI/Latter & Blum is one of four NAI real estate firms across the country to recently launch smartphone apps aimed at keeping customers up to date on local commercial real estate listings. The free app, designed by CRE Tech Inc., includes features such as a mortgage calculator, a 360-degree view of properties using Google Street View, and a map of all the firm’s listings in Louisiana, Mississippi and Alabama. The app syncs with the firm’s listing system to ensure property listing information stays up to date. “This technology presents us as progressives, helping us attract a new, enterprising group of clients,” says Karl Landreneau, NAI/Latter & Blum director of commercial sales and leasing, in a statement. “And it markets our listings for us, all day, every day.” The app is available for both iOS and Android devices.

20

COURTESY DARREN JAMES

|  Real Estate Report 2016

Home away from home Looking to stay current with emerging technology, Denham Springs-based residential real estate broker Darren James began using special cameras earlier this year to provide 360-degree views of homes and online tours. The photos also provide a “dollhouse” view to show the layout from multiple perspectives. Users can view the entire home through an automated tour or click on different rooms to view specific details. The camera uses a laser to gauge depth, so the pictures give an accurate representation of each room’s size. The photographer generally takes pictures from 30 to 40 locations in an 1,800 to 2,000-square-foot home over 60 to 90 minutes to create a single tour. James has called the technology a “game-changer for real estate” that allows “the buyer to walk through a home from the comfort of their own home.”


1

EYE ON THE MARKET

WITH A NEW mixed-use project, restaurant, apartment complex, entertainment venue or medical center being announced on a seemingly weekly basis in Baton Rouge, it can be hard to keep up with all of the development occurring in the city. But a picture is worth a thousand words, so we’ve compiled pictures or renderings of more than 20 notable projects in the Capital Region that have either been recently completed, are underway or are on the drawing board to help you keep track. Some of the most popular areas in the city for development include Jefferson Highway at Old Goodwood, downtown and the LSU area. All locations are in Baton Rouge unless otherwise noted. Cost refers to total project construction price.

OVERVIEW

PICTURE THIS —Compiled by Robert Stewart

3

CHARLES BREARD

2

1. KNOCK KNOCK CHILDREN’S MUSEUM

2. GREENS AT MILLERVILLE

3. PARK 7

222 E. Boyd Drive Construction is underway on Park 7 Apartments, a six-story student housing apartment complex on East Boyd Drive near the 333 Flats development. The 560,442-square-foot complex is slated to include 280 units, three inner courtyards, a pool and a party deck, and it will wrap around a parking garage. New York-based Park 7 Group bought the land for the development for $9.3 million in a deal that closed last May. A construction timeline for the project is uncertain. COST: $41.6 million

|

Millerville Road at Interstate 12 Developer Windy Gladney’s Greens at Millerville mixed-use development is coming to life. Held up for years over legal battles, several tenants have announced plans to move into or open locations in the 56-acre development, including Buc-ee’s, Richards Honda, the RV Shop and Golden Corral, among others. Plans also call for a 320-unit apartment complex consisting of 10 separate three-story buildings. Many of the projects in the development are still in the planning phase, but construction on some of them, such as Richards Honda, could begin within the next year. COST: N/A (varies for each project in the development)

Real Estate Report 2016

1515 Dalrymple Drive Long in the works, BREC’s Knock Knock Children’s Museum finally broke ground in April last year on land in City-Brooks Community Park off Dalrymple Drive near Interstate 10. It’s starting to take shape and is scheduled for an opening sometime later this year. The museum will be geared toward children aged up to 8— though all are welcome—and will feature hands-on exploration and “learning zones” for the little ones and their families alike. COST: $5.36 million

21


5

OVERVIEW

EYE ON THE MARKET

4

6

|  Real Estate Report 2016

4. LEE MAGNET HIGH SCHOOL

22

1105 Lee Drive The final touches on the new Lee Magnet High School are being completed in time for the 180,000-square-foot facility to open at the start of the new school year in August. The new school will feature four two-story buildings and include three academies with an intensive science, technology, engineering and math—or STEM— focus, as well as a new gym, auditorium, media center and study areas. COST: $54.7 million

7

5. ROOMS TO GO

6060 Siegen Lane Rooms To Go is moving its Baton Rouge location just down the street. The national furniture chain has been operating out of its 6750 Siegen Lane location for years after buying the spot from the old Kirschman’s furniture business. But Rooms To Go recently began looking for a new location with better visibility on which it could build a new store that better fits its prototype. In October, Rooms To Go bought 3.13 acres off Siegen Lane at Cloverland Avenue—less than a mile from its existing store—for $3 million. COST: N/A

6. WALK ON’S AT JUBAN CROSSING

27010 Crossing Circle, Denham Springs The first phase of Juban Crossing has been open for about a year and a half now, and new businesses continue to be added to the Livingston Parish retail wonderland. Earlier this year, Walk-On’s opened its third Baton Rouge area location at Juban Crossing, featuring 7,500 square feet of space with seating for 250 guests and an outdoor patio. The Juban Crossing location for Walk-On’s opened not long after the restaurant chain began its franchising program, with locations either opening or planned for Lake Charles, Shreveport, Covington/ Mandeville and Texas. COST: N/A

7. ROUX 61

8322 Bluebonnet Blvd. Situated in the old Boutin’s location off Bluebonnet Boulevard, Roux 61 Seafood and Grill opened last year, serving up dishes such as fried green tomatoes, chargrilled oysters and po-boys, among other Gulf Coast staples. Brothers Jason and Brian Lees operate the restaurant, which opened its first location in Natchez, Mississippi, in 2013. After operating for more than a decade, Boutin’s closed at the end of January last year after the owners filed for bankruptcy. Prior to Boutin’s opening in 2001, the space had been occupied by Mulate’s. COST: N/A


8

COURTESY ARLINGTON PROPERTIES

10

9

11

COURTESY CAMPBELL COMPANIES

8. BAYONNE AT SOUTHSHORE

333 Laurel St. Sitting at the corner of Laurel and Third streets downtown, the decades-old Commerce Building is yet another example of a historical building turned mixed-use development. The Commerce Building, built in 1955, is coming back to life this year, with residents moving into the 93-unit apartment complex starting in April. Magpie Café announced in October that it will open a second location this spring in the Commerce Building, which marked the first commercial tenant for the building. It will be joined by Gaudet Bros. + McCrory’s, a barbershop. The Commerce Building joins 440 on Third as another mixed-use renovation in the bustling downtown sector. COST: $30 million

10. TAPESTRY PARK

Jefferson Highway near Jefferson Place-Bocage This development generated its own share of controversy, but it’s well underway now that it has the Metro Council’s seal of approval. Nearby residents and businesses complained that Tapestry Park, a 124-unit, highend apartment complex behind Panera Bread near the Jefferson Place-Bocage neighborhood, would cause further traffic problems in an already congested area. But the council approved the measure in mid-2015, and Birmingham, Alabama-based Arlington Properties, the developer of the project, expects the complex to open in late fall 2016. The state Department of Transportation and Development says it will keep an eye on the area should traffic congestion increase once the apartments are finished. COST: $13.9 million

11. HIGHLAND PARK MARKETPLACE Highland Road and Perkins Road East The third phase of Highland Park Marketplace, an upscale retail center at the intersection of Highland Road and Perkins Road East, is moving ahead. This phase, which includes a building spanning 11,000 square feet, will include a Juban’s concept restaurant and a Kean’s Fine Dry Cleaning. Design work has been completed on the project. Developer George Kurz and Jubans’ owners, who have been working on the project since 2012, are still refining details about the concept. The second phase of Highland Park Marketplace, an 8,000-square-foot building, was completed late last summer. It houses Zoe’s Kitchen, European Wax Center, Smoothie King and a boutique, Simply Chic. COST: N/A

Real Estate Report 2016  |

900 Stanford Ave. Mike Wampold’s second high-end high-rise off Stanford Avenue near the LSU lakes is starting to shape up. Vertical construction began earlier this year on Bayonne at Southshore, a luxury multifamily complex right next to Wampold’s other upscale complex, Crescent at University Lake. Bayonne at Southshore is being developed on the site of the former One Lakeshore Place apartments. It will feature 240 units, and Wampold expects to begin leasing them before the year ends. COST: $42 million

9. COMMERCE BUILDING

23


EYE ON THE MARKET

12 COURTESY THE ARCHITECTURAL STUDIO

OVERVIEW

13

14

15

TIM MUELLER

|  Real Estate Report 2016

12. LSU’S PATRICK F. TAYLOR HALL

24

Nicholson Drive Extension near CEBA Lane LSU and state officials kicked off this multimillion-dollar renovation at the end of 2014, with hopes of finishing the project sometime in 2017. For a while, that goal appeared to be out of reach. The project stalled after negotiations over costs fell through between the state and original contractors Skanska and MAPP Construction, leading the state to pick The Lemoine Co. to pick up the project in May of last year. Construction is back on track, and the renovation is expected to be complete by next fall as originally planned. The renovated engineering hall will include expanded laboratory space, a 250-seat auditorium, roughly 110,000 square feet of classroom space, a new student commons area and an academic support center, among other features. COST: $110 million

13. MID CITY BEER GARDEN

3808 Government St. The owners of Radio Bar are planning to open a new beer garden located about a half mile down Government Street from the popular bar they opened about four years ago. Radio Bar co-owner Brian Baiamonte, who is also a Business Report contributing photographer, says plans for the space include a covered patio with green space. Baiamonte will be a co-owner of the beer garden with two of his Radio Bar compatriots, Dave Remmetter and Kelli Paxton. A name and construction timeline have not been nailed down yet. The Planning Commission approved a rezoning of the land in September to allow for alcohol sales. COST: N/A

14. IBM TOWER/525 LAFAYETTE

100 North St./525 Lafayette St. One of the biggest local incentive-driven projects of the Bobby Jindal era is up and running. Announced in 2013 amid much fanfare, the IBM Services Tower and its accompanying upscale residential component, 525 Lafayette, opened in 2015 to residents and workers alike. In addition to IBM, several other businesses have opened offices in the tower, such as law firm Fishman Haygood and Raising Cane’s, as well as the Baton Rouge Area Foundation. The IBM office, lured here with a publicprivate partnership, is expected to eventually bring some 800 direct jobs to the Capital Region. COST: $55 million

15. THE OVERPASS MERCHANT

2904 Perkins Road After longtime Perkins Road overpass staple Zee Zee Gardens bar closed in late 2015, Lon Marchand and Nick Hufft stepped in and claimed the space for The Merchant, a gastropub that carries a late-night menu Wednesday through Saturday and brunch on the weekends. Some $300,000 was poured into renovating the 85-year old building, which includes 1,430 square feet of space and an outdoor patio. The bar features a wide-ranging beer selection, house wines on tap and traditional cocktails. COST: $300,000


18 COURTESY OUR LADY OF THE LAKE REGIONAL MEDICAL CENTER

16

17

16. OLOL CHILDREN’S HOSPITAL

17. BERGERON CITY MARKET

8200 Jefferson Highway Several other restaurants have tried their hand at this Jefferson Highway location, including The Ground Pati, Las Palmas and Pat’s Cajun Seafood and Steak, with varying degrees of success. After Pat’s closed in September following just nine months in operation, Chef Don Bergeron bought the lease and moved his Mid-City Market to the space. Renaming it Bergeron’s City Market, the location offers both daily specials cooked on site and prepackaged meals for diners to take home. Bergeron doubled the square footage of his market by moving to the new location. COST: N/A

18. THE WATERMARK

150 N. Third St. Developer Mike Wampold’s latest hotel development is the renovation of the former Louisiana National Bank on Third Street downtown, which is being transformed into a highend hotel. Wampold bought the building from the Baton Rouge Area Foundation a couple of years ago and is renovating it into The Watermark, a 146room luxury hotel that will fly a Marriott Autograph flag. In addition to the hotel space, the building will house a traditional Jewish deli and an upscale restaurant once the project is complete. The hotel is expected to open in August. COST: $32 million

19. PALERMO RISTORANTE

7809 Jefferson Highway Palermo Ristorante, a traditional Italian restaurant, is the first of restaurateur Wayne Stabiler’s new ventures in the Bocage area to open. The restaurant opened earlier this year in the space formerly home to gelateria Latte e Miele, which closed in July 2014. Just down Jefferson Highway, Stabiler is working to open a second location of his popular Central restaurant, Stab’s Steak & Seafood, in the old Bank One building. Stabiler also owns The Little Village, an Italian restaurant downtown, among many other ventures. COST: N/A

Real Estate Report 2016  |

66 acres between Essen Lane and Bluebonnet Boulevard As of now, Our Lady of the Lake’s Children’s Hospital is housed on one floor of the medical center’s Essen Lane campus. But in a few years, it will operate out of a massive freestanding facility on a 66-acre tract between Essen Lane and Bluebonnet Boulevard. Crews broke ground on the planned 350,000-square-foot hospital in February. Plans call for 130 beds, a dedicated emergency department with 21 beds and four triage rooms, advanced imaging with CT scanning and MRI, and a dedicated floor for inpatient and outpatient pediatric cancer treatment, among many other amenities. It’s expected to open in fall 2018. COST: $230 million

19

25


21

22

EYE ON THE MARKET

20

OVERVIEW

COURTESY CR PROPERTIES AND CARDINAL VENTURES

20. IVERSTINE FARMS BUTCHER

21. THE BLAKE AT THE GROVE

4765 Perkins Road The Grove Boulevard Iverstine Family Farms, a Kentwood-based Developers have broken ground family farm and Red Stick Farmer’s Market on The Blake at The Grove, an staple, announced plans in March to open a upscale senior living facility within full-service butcher shop and smokehouse developer Richard Carmouche’s in Aldrich Market, a Perkins Road retail planned development community, development that’s expected to be completed The Grove, just off Interstate 10 this summer. The butcher shop will occupy behind the Mall of Louisiana. The a 1,656-square-foot space and will offer a Blake will consist of 213 units—111 variety of meats, including grass-fed beef, will be for independent living, 67 will pasture-raised Berkshire pork, chicken, holiday be for assisted living and another 35 turkeys and lamb. Aldrich Market will be suites will be included in an adjoining located at 4765 Perkins Road, adjacent to the memory care support facility that intersection Glasgow Avenue, where Rouzan Issue Date:ofReal Estate Report Ad proof #2 focuses on Alzheimer’s and dementia is being developed. Iverstine says care. The Blake is expected to open • Please respond by e-mail orOwner fax with Galen your approval or minor revisions. • ADheWILL RUN AS IS unless approval or finalopening. revisions is shooting for a mid-August in summer 2017. are receivedN/A by the close of business today. COST: COST: N/A • Additional revisions must be requested and may be subject to production fees.

22. 1913

336 Third St. The latest of Metro Councilman John Delgado’s downtown bars opened late last year. The bar, co-owned by Delgado and business partners Andrew Bayard and Christian Walther, is housed in the historical Louisiana Theater Building. Its name, 1913, plays on the year the building was built. While the walls feature exposed brick, the rest of the club touches on far more modern themes, with bright, colorful lighting spread across two stories with wide-open spaces. The venue is designed to house upward of 700 people. COST: $1 million

Carefully check this ad for: CORRECT ADDRESS • CORRECT PHONE NUMBER • ANY TYPOS This ad design © Louisiana Business, Inc. 2015. All rights reserved. Phone 225-928-1700 • Fax 225-926-1329

|  Real Estate Report 2016

225.663.6845 1575 Lobdell Avenue Baton Rouge

26

225.293.2225 11840 Airline Highway Baton Rouge

M A R B L E , Q UA R TZ I T E , Q UA R TZ , G R A N I T E , T I L E , WO O D, E X T E R I O R PAV E R S A N D P O O L S U R R O U N DS


BUILDING HOMES. BUILDING COMMUNITIES. RESIDENTIAL

WELCOME HOME Lakes at Jamestown Lexington Park Bedico Creek   Parkview Point    LAKES AT ASCENSION Magnolia Point

FOREST CREEK

Country Club of Louisiana  

Hidden Ridge

University Club Plantation

Villas at Jamestown Highland Greens SPRINGLAKE Quail Creek White Oak Estates Carriagewood Estates

225.293.4545

I

www.alvarezconstruction.com


ß

ß

Welcome to our

NEWEST COMMUNITIES of RESIDENTIAL DEVELOPMENTS

BEDICO CREEK

ß

Livingston Parish residential development will feature 122 homes in a courtyard design neighborhood boasting architectural brick finishes, sidewalks, curb and gutter and green spaces. Homes are 1,600 SF living area minimum. 100% financing through USDA Rural Development.

St. Tammany Parish master planned gated development features 1,000 acre collection of neighborhoods surrounded by miles of biking/hiking trails, wilderness views, lakes, community pool and covered pavilion. Deer Trail qualifies for 100% financing USDA Rural Development.

LEXINGTON PARK ß

Baton Rouge

ß

Baton Rouge

Nicholson near Bluebonnet

This single-family residential community features over 270 garden home lots on 51 acres with two lakes encircled with walking paths, community pool and pool house. Homes are 1,400 to 1,900 SF living area. 100% financing through USDA Rural Development.

ß

Coursey Blvd.

Single-family development features 102 homes in courtyard design setting with 13 new floor plans. Neighborhood boasts architectural brick finishes, sidewalks, curb and gutter and green spaces. Minimum 1,600 SF living area. 100% financing USDA Rural Development.

GROVE AT ASCENSION Prairieville

ß

ß

Juban Rd. at I-10

COURSEY COVE

(Deer Trail at Bedico Creek) Madisonville ß Hwy. 1085 ß

Denham Springs

ß

ß

CELLA GARDENS

Hwy 933 at Henderson Bayou Rd.

Ascension Parish all new single family master planned development with 90 homes in a centrally located lake community setting featuring over 15 new floor plans. Homes are 1,800 to 2,300 SF living area. 100% financing through USDA Rural Development.

CARLOS ALVAREZ Owner/Broker

RE/MAX TOTAL

13909 Lexington Park Dr. | Baton Rouge LA 70810 225.296.7811 | www.alvarezrealestate.com Each Office Independently Owned & Operated Seller is Louisiana Licensed Real Estate Agent


RESIDENTIAL

SINGLE FAMILY

DON KADAIR

SINGLE FAMILY INSIGHT

The next generation

MOVING IN: Now the largest generation of new homebuyers, millennials like 24-year-old Allison Smith are expected to have a big impact on the local housing market in the coming years.

Millennials face significant obstacles to buying their first home, but an increasing number are taking the plunge. BY MARIA CLARK mother for a starter home she owned. But in the midst of their initial planning the couple learned they were pregnant in November 2014. “We decided we no longer wanted a starter home and needed to get something that was already up and running before I was well into my pregnancy,” says Smith, who unfortunately suffered a miscarriage a couple of months later. “I don’t know the reason why we lost the baby. But it set us on this path, and I’m glad we made this decision and have this house.” Smith and Fails chose to

purchase a $150,000, threebedroom, two-bathroom home in East Baton Rouge Parish and have made major upgrades such as installing solar panels to save on electricity—and Smith says the investment is already paying off. Millennials like Smith and Fails have become the largest generation of new buyers across the country in recent years, according to statistics collected by the National Association of Realtors. The organization, which publishes annual reports on generational trends in

the residential market, reports those in the 21 to 34 age group have represented the largest share of buyers for the past two years straight. In fact, millennials represented 32% of all buyers last year. Generation X, those aged 35 to 49, represented the next largest group at 27% of new homebuyers. Baton Rouge was listed among the top three markets in the United States last year by NAR for homebuyers ages 25 to 34. And yet, convincing millennials to make the change from tenant to homeowner presents an ongoing chal-

Real Estate Report 2016  |

THERE COMES A point for many new homebuyers when renting just no longer makes financial sense. For 24-yearold Allison Smith and her boyfriend Bobby Fails, 31, the moment came a couple years after she graduated from Mississippi Gulf Coast Community College and moved back to the Baton Rouge area. From a young age, Smith’s mother had instilled in her the need to start building credit and preparing for retirement early in life. The young couple originally considered a rent-to-buy arrangement with Smith’s

27


SINGLE FAMILY INSIGHT RESIDENTIAL

THE MARKET POWER OF KELLER WILLIAMS SERVING THE BATON ROUGE LUXURY MARKET

M e mbe rs of KW LUXU RY H O M ES D IVIS IO N

N ATA S H A A MAYA ENG LE K e lle r W illiam s R e a lty R e d stick Pa r tn e r s 8 6 8 6 B lu e b o n n e t B lvd | B a to n R o u g e , L A Ce l l : 2 2 5 . 2 0 2 . 1 1 7 0 | OF F I C E: 2 2 5 .7 6 8 .1 8 0 0 n a t ash a e n g le r ea lt o r @ g m a il.co m

JULI JENKINS K e lle r W illiam s R e a lty Fir st C h o ice 1 7 1 1 1 C om m e r c e C e n tr e Dr | Pr a ir ie ville , L A Ce l l : 2 2 5 . 9 3 1 . 5 8 6 7 | OF F I C E: 2 2 5 .7 4 4 .0 0 4 4 ju li@ ju lijen k in s. c om | w w w.Ju liJe n k in s.co m

| Real Estate Report 2016

B R A D WAY

28

K e lle r W illiam s R e a lty R e d stick Pa r tn e r s 8 6 8 6 B lu e b o n n e t B lvd | B a to n R o u g e , L A Ce l l : 2 2 5 . 6 0 3 . 3 1 7 9 | OF F I C E: 2 2 5 .7 6 8 .1 8 0 0 b r ad w ay r e @ g m a il. co m

Each Office Independently Owned and Operated

lenge for realtors. Limited job prospects and high student loan debts have made saving for a down payment a challenge for many millennials—many of whom are also more comfortable living with their parents in their early 20s compared to generations before them. But Greater Baton Rouge Association of Realtors President Tiffany Palmer says in a market where rents can easily reach $1,500 a month or more, many millennials are looking at homeownership as a way to build equity and get more for their money. “Our job as realtors is to educate the consumer. I do a lot of one-on-one sessions with first time homebuyers, and whether they are 25 or 55 they have the same apprehensions towards purchasing,” she says. “You explain to someone paying $1,500 a month in rent that they could be buying a home by paying that same amount or a little less. It could be their own home.” Although available inventory is now at a 12-year low in the Baton Rouge area, there are several new developments including Oak Ridge Estates and Lake at Anselmo with available inventory in the $200,000 to $300,000 range. Pat Wattam, a real estate agent with RE/MAX First and a former GBRAR president, says younger buyers tend to buy within this price range and—like Smith—they’re looking for new homes that are movein ready. Wattam notes Baton Rouge has continued doing well economically despite the downturn in the oil and gas industry, which has influenced the uptick in young homebuyers. Unemployment in the region also remains relatively low at 5%, compared to the state’s unemployment rate of 6.1% as of March 2016, according to the Bureau of Labor Statistics. The steady job market makes it possible for a new generation of buyers to comfortably stay in a fixed place and make the decision to buy instead of rent, Wattam says. “Young people understand more about investment properties and are starting to see this at a younger age,” she says. “I am a big proponent of people buying that first house and then going and investing in a rental. Younger people have more information at their fingertips. If you understand real estate, it is one of the best investments you can make.”


We make dream homes a reality

CUSTOM HOME BUILDER IN LOUISIANA, we build exceptional homes in Baton Rouge and surrounding parishes. We are dedicated to creating a streamlined construction process for our clients. From budgeting and planning to installation and delivery, our custom new homes ensures 100% customer satisfaction.

BERNHARD C O N S T R U C T I O N

PH: 225.755.8110

F: 225.755.4112

NORMAND

w w w. b n c - c o n t r a c t o r s . c o m


Residential real estate firms

RESIDENTIAL

RANKINGS

Ranked by number of local, licensed residential agents. PREV. RANK

1

1

2

2

3

7

4

4

5

3

6

5

7

6

8

14

9

8

10

11

8

12

12

13

10

14

13

15

15

16

16

17

17

18

19

|  Real Estate Report 2016

22

30

21

FIRM ADDRESS PHONE/WEBSITE

C.J. Brown Realtors 3029 S. Sherwood Forest Blvd./7414 Perkins Rd./2350 S. Range Ave., Baton Rouge and Denham Springs 70816/70808/70726 (225) 292-1000/(225) 769-1500 /(225) 791-1919/cjbrown.com Keller Williams Realty–Red Stick Partners 8686 Bluebonnet Blvd., Baton Rouge 70810 (225) 768-1800/kw.com Keller Williams Realty Greater Baton Rouge 19850 Old Scenic Hwy., Ste. 100, Zachary 70791 (225) 570-2900/zachary.yourkwoffice.com Coldwell Banker One 5025 Bluebonnet Blvd., Baton Rouge 70809 (225) 925-2500/coldwellbankerone.com Keller Williams Realty Premier Partners 291 Veterans Blvd., Denham Springs 70726 (225) 664-1911/denhamsprings.yourkwoffice.com RE/MAX First 4750 Sherwood Common Blvd., Baton Rouge 70816 (225) 291-1234/brhomesfirst.com Burns & Co. 17400 Memorial Ave., Baton Rouge 70810 (225) 752-3100/burnsandco.com KDK Capital Region Realty 11414 Lake Sherwood North, Baton Rouge 70816 (225) 500-1125/kdkrealty.com Realty Executives South Louisiana 15615 Airline Hwy., Ste. B, Prairieville 70769 (225) 677-7772/southlouisianagroup.com Gardner Realtors 3888 S. Sherwood Forest Blvd., Ste. S, Baton Rouge 70816 (800) 256-5677/gardnerrealtors.com Tiger Town Realty 17461 Jefferson Hwy., Ste. A/4480 Main St., Baton Rouge and Zachary 70817/70791 (225) 755-7022/tigertownrealty.com RE/MAX Professional 8556 Jefferson Hwy., Ste. A, Baton Rouge 70809 (225) 615-7755/professionalbr.com Pro Sold Realty 4735 Perkins Road, Baton Rouge 70808 (225) 663-2015/prosoldrealty.com Darren James Real Estate Experts 31388 La. 16, Denham Springs 70726 (225) 304-6363/agent225.com Villar & Co. Real Estate 37283 Swamp Rd., Ste.102, Prairieville 70769 (225) 744-2610/villarrealestate.com Jerry del Rio Real Estate 4874 Bluebonnet Blvd., Baton Rouge 70809 (225) 218-0888/jerrydelrio.com Jim Talbot Real Estate 2121 Drusilla Lane, Baton Rouge 70809 (225) 927-2114/jimtalbot.com Dixon Realty 3535 S. Sherwood Forest Blvd., Ste. 243, Baton Rouge 70816 (225) 921-3141/dixonrealty.net Glisson Properties 3515 Capital Heights Ave., Baton Rouge 70806 (225) 448-2963/glissonproperties.com Padial Real Estate 8675 Bluebonnet Blvd., Ste. A, Baton Rouge 70810 (225) 769-9494/padialrealestate.com

TOP LOCAL EXECUTIVE(S)

NO. OF LOCAL YEAR FOUNDED RESIDENTIAL AGENTS LOCALLY MARKET AREA(S)

Robert Merrick, Richard Haase, Joseph Pappalardo, Robert Penick, Connie Kyle, Sandy Daly, Shelley Simmons

273

1917

Baton Rouge, Lafayette, Alexandria, New Orleans, Lake Charles, Houma, Thibodaux, Houston and Mississippi Gulf Coast

Larry Champagne, Johnette Champagne, Alex Polito

202

2000

Greater Baton Rouge

Suzi Gautreaux, Tim Tullos, Kristie Scivicque

114

2007

East Baton Rouge, Livingston, and East and West Feliciana parishes

Andrea McKey, David McKey, Betty Phelps

105

1989

Greater Baton Rouge and Mississippi

Matt Hughes

96

2006

Greater Baton Rouge

Wynona Squires

90

1998

Greater Baton Rouge

Paul Burns

62

1993

Greater Baton Rouge

Hollis Keene, Jonathan Dupree, Heather Kirkpatrick, Mimi Hagan, Amy Dupree, Carolyn Hopkins, Laura Dupree, Kelli Wascom, Pat Guttery, Tess Breaux

60

2015

Greater Baton Rouge

Gary Binns, Rick Gautreau, Gary Fontenot

44

2010

Greater Baton Rouge and New Orleans

Glenn Gardner, Becky Shelton, Nancy Harmann

42

1943

Greater Baton Rouge, Metropolitan New Orleans and Mississippi Gulf Coast

Shannon André

42

2007

Greater Baton Rouge and New Orleans

Lisa Landers

41

2011

Greater Baton Rouge, New Orleans and Acadiana

Diana Sutherland

37

2009

South Baton Rouge

Darren James, Jennifer James

30

2011

Baton Rouge, Denham Springs, Central and Ascension Parish

Donna Villar

23

2005

East Baton Rouge, Ascension and Livingston parishes

Jerry del Rio

16

2001

Greater Baton Rouge

E.J. Talbot

13

1994

Greater Baton Rouge

Barbara Dixon

8

1967

Louisiana and Mississippi

Mike Glisson, Michael Glisson Jr.

8

2009

Greater Baton Rouge

Martin Padial, Carlos Padial Sr.

8

1990

Greater Baton Rouge, Ascension and Livingston parishes

Information presented was provided by company representatives, and Business Report assumes the data are accurate and truthful. Not all area real estate firms are shown, only those providing requested information with eight or more local, licensed residential agents. For corrections or to be considered when the list is next updated, please contact scrump@businessreport.com.

Researched by Sierra Crump


Trust Your Most Valuable Asset With C. J. Brown REALTORS For almost 100 years our Agents have assisted more buyers and sellers in Greater Baton Rouge than any other Real Estate company. Discover the difference... give us a call Today!

Perkins Rd:

225.769.1500

LATTER

BLUM

COMPANY

cjbrown.com

225.292.1000

Livingston Parish:

225.791.1919

Real Estate Report 2016

A

Sherwood Forest Blvd:

| 31


Real estate title companies

|  Real Estate Report 2016

RESIDENTIAL

RANKINGS

Ranked by the total number of local transactions closed in 2015.

32

PREV. RANK

COMPANY ADDRESS PHONE/WEBSITE

TOP LOCAL EXECUTIVE(S)

TRANSACTIONS CLOSED FULL-TIME STAFF

CLOSING ATTORNEYS CLOSING NOTARIES

PRIMARY INSURANCE UNDERWRITERS

1

13

The Title Source of Louisiana 2900 Westfork Drive, Baton Rouge 70827 (225) 572-7822/latitlesource.com

Tyffanie Vial

12,000 7

3 3

Commonwealth Land Title

2

1

Commerce Title & Abstract Co. 2051 Silverside Drive, Baton Rouge 70808 (225) 769-8800/commercetitle.com

Walter Comeaux, Dominique "Niki" Beeson, Bing Stewart, Calvert Stone

2,623 33

8 0

Fidelity National Title Stewart Title Guaranty Security Title Guarantee

3

2

Baton Rouge Title Co. 10500 Coursey Blvd., Ste. 100, Baton Rouge 70816 (225) 291-1111/brtitle.com

Amy Lane, Adams Robert, Mark Schoen, Chris Randolph

2,395 27

4 8

Chicago Title Insurance First American Title

4

3

TitlePlus Title Co. 7389 Florida Blvd., Ste. 200B, Baton Rouge 70806 (225) 709-3500/titleplusonline.com

D. Treanor Marks, Michael Moreau, Jacques Favret

2,237 17

3 2

Old Republic Title Commonwealth Land Title

5

4

Choice Title 17517 Old Jefferson Hwy., Prairieville 70769 (225) 744-4241/choicetitle.com

Sheila Bonnette

1,470 24

4 3

Fidelity National Title First American Title

6

6

Cypress Title 1800 City Farm Drive, Bldg. 3, Baton Rouge 70806 (225) 751-9101/cypresstitle.com

Bryan Denison, Jason Dupree, Johnny McKay

1,381 9

6 6

Commonwealth Land Title First American Title WFG National Title Insurance

7

5

Champlin Title 5341 S. Sherwood Forest Blvd., Baton Rouge 70816 (225) 295-3600/champlintitle.com

Ronny Champlin, Steve Landry

1,163 10

3 5

Stewart Title Guaranty Chicago Title Insurance

8

9

Gulf Coast Title 4701 Bluebonnet Blvd., Ste. A, Baton Rouge 70809 (225) 295-8222/gctitle.com

William Adcock

809 10

2 2

Old Republic Title Commonwealth Land Title WFG National Title Insurance

9

10

Leader Title Co. 1575 Church St., Zachary 70791 (225) 654-6006/N/A

Lonny Myles, Lauri Kitchen, David McDavid Jr.

801 6

3 0

First American Title Fidelity National Title

10

7

Professional Title of Louisiana 1111 S. Range Ave., Denham Springs 70726 (225) 665-5600/ptitleinc.com

William Leach

768 3

1 2

WFG National Title Insurance First American Title Commonwealth Land Title

11

12

Accent Title 3999 S. Sherwood Forest Blvd., Baton Rouge 70816 (225) 292-2130/accenttitle.com

Benjamin Brouillette

545 20

3 2

Fidelity National Title First American Title

12

11

Preferred Title Company 9100 Bluebonnet Centre Blvd., Ste. 102, Baton Rouge 70809 (225) 766-6464/preferredtitleco.com

Patrick Miller

478 7

6 6

Security Title Guarantee Stewart Title Guaranty First American Title

13

14

The Title Co. 13702 Coursey Blvd., Bldg. 9, Ste. A, Baton Rouge 70817 (225) 751-8188/thetitlecompanyllc.com

John Waitz, Nina Faucheaux

400 4

1 2

Stewart Title Guaranty

14

16

Legacy Title 11813 Market Place Ave., Baton Rouge 70816 (225) 296-0060/legacytitlela.com

Chad Reynolds

250 4

1 1

Stewart Title Guaranty

15

18

Preservation Title 9239 Bluebonnet Blvd., Ste. B, Baton Rouge 70810 (225) 906-0440/preservationtitlellc.com

Jacques Waguespack

181 3

1 1

First American Title

16

20

Grand Title Company 10537 Kentshire Court, Ste. A, Baton Rouge 70810 (225) 769-1414/grandtitle.com

Trent Grand

80 4

3 0

Security Title Guarantee

17

NR

Lakeland Title 530 Lakeland Drive, Baton Rouge 70802 (225) 387-5005/brclosing.com

Bryan Jeansonne

30 1

1 1

First American Title

NR=Not ranked. Company representatives provided figures presented, and Business Report assumes the data are accurate and truthful. Not all area real estate title companies are included, only those providing requested information with a total of 30 or more local transactions closed in 2015. Total transactions may include government or other unlisted transactions. If you would like your company to be considered for next year’s list, or if there are any corrections or additions, please email scrump@businessreport.com.

Researched by Sierra Crump


COURTESY THE DESIGN STUDIO

The apartment boom is putting pressure on aging complexes to renovate in order to stay competitive. BY MEREDITH WHITTEN tion or have been delivered this year. But of the 3,184 units proposed for construction by the end of 2017, only about 1,200 units are likely to be built, says Wesley Moore, a partner with real estate appraisal firm Cook, Moore and Associates. “Just because apartment units are announced doesn’t mean they will be built,” Moore says. “They all have their own speculative story.” But even if none of the proposed units come to fruition, Baton Rouge will still see about 4,640 new units delivered between 2015 and 2016, or an average of 2,320 units per year. That’s still relatively high when you consider the average number of new units absorbed annually from August 2005—when Hurricane Katrina hit and led to a con-

struction boom due to relocations from the New Orleans area—through the end of 2014 was 867 units. Accounting for increasing population, decreasing household sizes and replacement of physically or functionally obsolete apartments, oversupply will likely result. This also will have an impact on aging complexes in the Baton Rouge area. The majority of the apartments built nowadays are affordable units or luxury units, most which feature way more community amenities— gyms, pools, coffee bars, meeting rooms and common areas—than the typical complexes of old. It puts added pressure on older complexes to undergo extensive renovations to stay competitive. “About 1,500 units were

Real Estate Report 2016  |

ALTHOUGH THE BATON Rouge apartment market remains strong, the dramatic increase in the number of new units completed or planned is starting to have an impact on rental trends in the area. Experts say the market will likely see higher vacancy rates, increased concessions and more competition as a result of all the new developments. This likely will hit older apartment complexes harder, as they try to compete with newer affordable and luxury units coming onto the market. In the three-year span between 2015 and 2017, the number of new units built, currently under construction or proposed is 7,824. Of these, 1,531 units were completed in 2015. Another 3,109 are either under construc-

completed in 2015, so only about one-third of the units are already in the mix. So the impact hasn’t been seen yet,” Moore says, adding most properties need renovation after 20 years just to be marketable. “We haven’t seen mass renovations taking place.” The older properties that are not well-maintained or do not invest in upgrades will see more adverse effects from the increase in new units coming into the market. “If you let your property become less functionable with technology, or you just let it get worn, you’re inevitably going to see a deteriorating tenant base,” Moore says. In some cases, older complexes will likely be torn down. Some older properties already are showing signs of struggling to maintain their vacancy rate, which has remained consistent with historical norms of slightly under 6% in Baton Rouge. “Some of the older complexes, those built in the late ’80s, are struggling to lease up,” Moore says, adding their occupancy rates remain in the upper 80 percentile for now. The pressure is going to be especially high on aging complexes near LSU—where

MULTIFAMILY INSIGHT

Out with the old

ON THE DRAWING BOARD: Developer Todd Waguespack has begun construction on Belevedere Townhomes next to the 525 Lafayette apartment complex at Main Street and River Road. The $8.5 million, four-story luxury complex is among the smaller new complexes going up in Baton Rouge, with just four multifamily units. It’s expected to be completed mid-2017, when as many as 1,200 new units could come online.

RESIDENTIAL

MULTIFAMILY

33


TAKEAWAYS RESIDENTIAL

|  Real Estate Report 2016 34

much of the luxury multifamily boom has been taking place. Moore says a number of older complexes have had difficulty preleasing for the start of the 2016-17 school year. “Some are reporting that they are 30 percent behind preleasing for 2016 compared to where they were at this time in 2015,” he says. Many of these complexes must offer concessions, typically in monetary form, such as half off the first month’s rent or one month free per year. Other concessions include waiving application fees or requiring no security deposit. However, concessions are getting harder to pin down. With rent-maximizing software, apartment complex owners and managers can change the price of renting a unit daily, depending on supply and demand. “What’s happening is concessions get embedded in the quoted rents,” Moore says. “We don’t see the more tangible concessions that we used to see. Instead, they are moving targets.” The significant increase in apartment units built or planned is tied to continued growth at LSU and the strong regional economy, particularly the industrial construction boom, which has brought in many renters in the form of temporary construction workers. But that could taper off in coming years if there’s economic uncertainty, Moore says. “With multifamily (construction), you’re building for the long haul,” he says. “They’re not building for last year’s job growth, they’re building for pro-forma job growth. We’ve had some very strong periods with our economy, but if the industrial expansion burns off in 2018, those construction workers will go somewhere else.”

THE MARKET AT A GLANCE

Preserve at Harveston Total home sales in the nine-parish region tracked by the Greater Baton Rouge Association of Realtors pushed beyond 9,000 for the first time in history last year—a total of 9,687, an 8% increase over 8,973 sales in 2014—and 2016 is thus far looking even better. Through the first quarter, sales are up 8.2% in 2016, at 2,862, up from 2,443 sales during the first three months of 2015.

Construction costs have risen in recent years as the availability of skilled construction workers has declined due to the large industrial projects underway in the Capital Region. Meanwhile, the availability of construction financing has also diminished. That means some of the announced multifamily projects may ultimately not be built, at least in the short term, until economic conditions make them more feasible.

THREE THINGS TO WATCH IN 2016

1

Consumer confidence, local jobs figures, the oil and gas industry and the state budget crisis. They’re considered to be top issues that will affect demand in the single family market for the remainder of this year and 2017.

2

Concessions are likely to become commonplace in the multifamily market. Although competitive conditions subsided in 2012 and 2013, they’re returning now because of all the new apartment units coming onto the market.

3

Watch for construction to continue at a high level while homeownership continues to fall. Nationally, apartment construction is at its highest level in 25 years and rents are up 18% since 2010. Meanwhile, home ownership is at its lowest rate (64.4% of households nationally) since 1995. For those 35 or younger, homeownership is even lower, at 36%.

The District While multifamily inventory is rising, single family inventory continues to shrink and is now at a 12-year low. In March—when a total of 3,272 residential listings were recorded—there were about 600 fewer homes on the market than there were during the month in 2015, a decline of 14.9%. The months supply of inventory—or the number of months it will take to sell all homes on the market at the current sales pace—decreased 22.4% in March to 3.8 months, indicating a seller’s market.


DIGITS

Baton Rouge’s single family and multifamily markets by the numbers

$2.1 billion 11% Total sales volume in Baton Rouge area in 2015, up from $1.9 billion in 2014 and $1.77 billion in 2013

91%

Share of home sales in the Capital Region coming from East Baton Rouge, Livingston and Ascension parishes last year

2,600

6

Average sales volume increase since 2013

Number of years the average sale price has posted an annual increase through 2015

Approximate number of real estate agents reporting sales to the Greater Baton Rouge Multiple Listing Service in 2015

8,468

New apartment units completed between when Hurricane Katrina made landfall on Aug. 29, 2005, and the end of 2015

3,109

Apartment units that are under construction or completed through the first quarter of this year

3,184

Apartment units proposed for construction by the end of 2017

WHAT THEY’RE ASKING FOR AND WHAT THEY’RE GETTING

1,003

Proposed apartment units considered most likely to be built by the end of 2017

A look at average list and sale prices in East Baton Rouge, Livingston and Ascension parishes, as well as average days on market

LIVINGSTON PARISH

ASCENSION PARISH

Average list price

Average list price

Average list price

$237,386

$181,037

$238,965

Average sale price

Average sale price

Average sale price

$229,800

$178,120

$235,477

Average days on market

Average days on market

Average days on market

77

67

71

SOURCE: Research data was provided by the Commercial & Investment Division of the Greater Baton Rouge Association of Realtors and presented at the 2016 Baton Rouge Trends seminar. Residential Trends speaker was Richard Haase of Latter & Blum Inc. Multifamily Trends speaker was Craig Davenport of Cook, Moore & Associates. For more information, visit batonrougetrends.net.

Real Estate Report 2016  |

EAST BATON ROUGE PARISH

35


PROFESSIONAL

Each office independently owned and operated

LEIGH ADAMS 225-288-9037

ERIN AGUILLARD 225-806-8977

DEB BELLINGHAM 225-400-2044

CRYSTAL BOUDLOCHE 225.921.2298

MATT BRUNO 225-916-3711

LEANNE LAPLACE EVANS 225-993-9939

NINA FAUCHEAUX 225-978-7703

LESLIE HATTAWAY 225-400-1908

HAPPI HOFFER 225-921-0094

LACEY HOGSTROM 225-573-1976

TONI HOUSE 225-964-6535

LAUREN JOHNSON 225-445-5039

SHERRI POCORELLO 225-324-0655

TAYLOR ROSS 225-573-9674

EM SAUNIER 225-954-8275

CAROL SCHOEMANN 225-636-6146

ANTHONY SCHULTZ 225-978-4652

8556 Jefferson Highway, Suite A | Baton Rouge, LA 70809

KIM SEEMANN 225-288-8970


Dreaming of your next home is easy, call a RE/MAX PROFESSIONAL AGENT and dream with your eyes open!

LISA LANDERS BROKER/OWNER RE/MAX LOUISIANA BROKER/OWNER OF THE YEAR 2012 & 2015 225-921-5056

RYN JONES 225-936-4906

HELENE KURTZ 225-772-8709

JANICE SLAUGHTER STEPHANIE GILL STALTER 225-328-2022 225-573-1951

DIANNE ADAMS ASSOCIATE BROKER 225-806-8979

MELISSA LANDERS 225-266-9441

DANNA STRANGE 225-937-0636

DONNA WOLFF ASSOCIATE BROKER 225-281-8428

JILL J. LEMOINE 225-571-7695

KORI TELICH 504-559-3899

KATHARINE MATRANA 504-628-0323

SALLIE TETZLAFF 225-573-7040

225-937-6430

PATRICIA ODOM 225-413-3295

CONNIE THERIOT 225-247-7653

Not Pictured: Monica Ford, Anthony Pocorello, Mike Smith, Theresa Garcia, Janice Junkin, Becky LaBorde

www.professionalbr.com | 225-615-7755

JANE ST. AMANT

ASSOCIATE BROKER

RENEE TOWN 225-337-2140


38

GOVERNMENTAL

NO. OF LOCAL LOAN OFFICERS NO. OF FULL-TIME, LOCAL STAFF

CONVENTIONAL

STATEWIDE LOAN VOLUME NO. OF LOANS CLOSED

FHA/VA

|  Real Estate Report 2016

RESIDENTIAL

RANKINGS

Ranked by 2015 statewide loan volume.

MULTIFAMILY RESIDENTIAL

Mortgage companies

1

1

GMFS 7389 Florida Blvd., Ste. 200-A, Baton Rouge 70808 (225) 214-5000/gmfslending.com

Tee Brown, Jeff Weston, Billy Maxwell, Toby Arceneaux

$1,845,000,000 9,972

40 230

n

n

n

2

5

Assurance Financial 9029 Jefferson Hwy., Ste. 100, Baton Rouge 70809 (225) 218-9746/lendtheway.com

Kenny Hodges, Steve Ward, Terry LeBlanc

$581,512,226 2,872

30 60

n

n

n

n

3

2

NOLA Lending Group, A Division of Fidelity Bank 9247 Bluebonnet Blvd., Baton Rouge 70810 (225) 291-2100/nolalending.com

Matt LaNasa, Leigh Gilly, Alexa Garcia, Danielle Berthelot, Danyel Engels, Shannon Babin, Connor Brooks

$577,000,000 2,851

7 9

n

n

n

n

4

4

IberiaBank 4451 Bluebonnet Blvd., Ste. D, Baton Rouge 70809 (225) 923-5561/iberiabankmortgage.com

Matthew Rink, Janice Weem, Zach Martin, John "Duke" Laville, Barbee Pipes

$567,066,928 2,594

5 13

n

n

n

n

5

3

Gulf Coast Bank & Trust 7235 Jefferson Hwy., Baton Rouge 70806 (225) 932-7272/gulfbank.com

Jeff Rousseau

$543,898,592 2,689

WND WND

n

n

n

6

6

Whitney Bank 2600 Citiplace Drive, Ste. 125, Baton Rouge 70808 (225) 664-1314/whitneybank.com

Craig Coleman

$463,738,696 1,581

7 8

n

n

n

7

NR

Standard Mortgage Corporation 11616 Southfork Ave., Ste. 100, Baton Rouge 70816 (225) 924-1900/stanmor.com

Janel Tate, Katie Meiners, Jeff Martinez

$325,834,795 1,988

3 4

n

n

n

8

8

Regions Mortgage 3029 S. Sherwood Forest Blvd., Ste. 150, Baton Rouge 70816 (225) 292-1473/regionsmortgage.com

Scott McNulty

$245,557,835 1,193

10 4

n

n

n

n

9

10

PrimeLending 4992 Bluebonnet Blvd., Ste. A, Baton Rouge 70809 (225) 614-9470/primelending.com/batonrouge

Cary Lambert, Patrick Michaelson

$134,152,756 708

14 5

n

n

n

n

10

11

Area Home Lending 1737 Oakdale Drive, Baton Rouge 70810 (225) 663-2500/areahomelending.com

Jason Guerin

$129,424,554 549

7 14

n

n

n

n

11

12

BancorpSouth Bank 6100 Corporate Blvd., Baton Rouge 70808 (225) 768-1101/bancorpsouthmortgage.com

Lexy O'Brien

$85,744,252 404

8 WND

n

n

n

n

12

15

US Capital Group 4735 Perkins Road, Baton Rouge 70808 (225) 490-4996/uscapitalgroup.net

David Talbert, Bart Salim

$54,938,625 239

2 4

n

n

n

n

PREVIOUS RANKING

COMPANY ADDRESS PHONE/WEBSITE

TOP LOCAL MORTGAGE EXECUTIVE(S)

NR=Not ranked. Information presented was provided upon request from company representatives, and Business Report assumes the data are accurate and truthful. Not all area mortgage companies are shown, only those providing requested information with a 2015 total statewide loan volume of $54,938,625 million or more. If you would like your company to be considered for next year’s list, or if there are any corrections or additions, please email scrump@businessreport.com.

Researched by Sierra Crump


are received by the close of business today. • Additional revisions must be requested and may be subject to production fees. Carefully check this ad for: CORRECT ADDRESS • CORRECT PHONE NUMBER • ANY TYPOS This ad design © Louisiana Business, Inc. 2016. All rights reserved. Phone 225-928-1700 • Fax 225-926-1329

HOME SWEET

HOME LOAN What Sets Area Home Lending Apart? · Wholesale rates – we bring wholesale pricing from nationwide banks and investors to make sure you’re getting the best deal. · Lowest closing costs · Same day underwriting & approvals · Reduced documentation · More lenient guidelines · Local service · More options With home loans of every shape and size along with unparalleled personalized service, loans from Area Home Lending are fast, friendly, and very… SWEET

STILL GROWING! We are hiring experienced loan officers • Team/Friendly Office Environment • Extremely Efficient Processing + Administrative Support • Very Competitive Pay

• Full Benefits including Health/ Dental/Disability Insurance • Company Matched 401K

Send your resume in today. (All applicants kept confidential)

Purchase | Refinance | New Construction | Investment

Jason Guerin, Owner

Real Estate Report 2016

areahomelending.com 225-663-2500 Baton Rouge LA 70810

| 39


Licensed homebuilders

|  Real Estate Report 2016

RESIDENTIAL

RANKINGS

Ranked by total 2015 permit valuation in East Baton Rouge Parish.

40

BUSINESS NAME ADDRESS

PHONE

CONTRACTOR(S)

TOTAL 2015 EBR PERMITS

TOTAL 2015 EBR VALUATION

1

DSLD Homes - Gulf Coast 1220 S. Range Ave., Denham Springs 70726

(225) 791-6860

Saun Sullivan

194

$42,511,829

2

Alvarez Construction Co. 12035 Coursey Blvd., Baton Rouge 70816

(225) 293-4545

Carlos Alvarez

102

$18,926,210

3

D.R. Horton-Gulf Coast 7696 Vincent Road, Denham Springs 70726

(225) 664-1240

N/A

76

$14,619,252

4

Level Construction and Development 450 Main St., Baton Rouge 70801

(225) 338-6120

Todd Waguespack, Ryan Engquist

46

$11,370,401

5

Distinctive Homes by Watson 13687 Perkins Road, Baton Rouge 70810

(225) 751-0499

Tyler Watson

22

$6,071,274

6

Colby Constructors 10343 Siegen Lane, Bldg. 2-A, Baton Rouge 70810

(225) 802-8382

Alan Colby

18

$6,037,304

7

Fetzer Properties of Louisiana 37408 Dutchtown Crossing, Gonzales 70737

(225) 343-3844

Campbell "Bo" Fetzer

16

$5,892,624

8

Bardwell Construction Co. 7922 Wrenwood Blvd., Baton Rouge 70809

(225) 924-4058

P. Scott Bardwell

15

$4,875,113

9

Scheffy Construction 8017 Jefferson Hwy., Ste. C-4, Baton Rouge 70809

(225) 939-5435

Robert Scheffy III

11

$4,810,706

10

Stafford Homes 3233 S. Sherwood Forest Blvd., Ste. 105, Baton Rouge 70816

(225) 755-8190

Scooter Stafford

21

$4,588,070

N/A=Not available. Source: mypermitnow.org. This list does not reflect all area homebuilders, only those receiving East Baton Rouge Parish permits in 2015 with a total valuation of $2,800,000 or more, and only those builders filing permits under their business name. Business Report assumes the data are accurate and truthful. Email scrump@businessreport.com with corrections.

Researched by Sierra Crump


Licensed homebuilders

|  Real Estate Report 2016

RESIDENTIAL

RANKINGS

Ranked by total 2015 permit valuation in East Baton Rouge Parish.

42

BUSINESS NAME ADDRESS

PHONE

CONTRACTOR(S)

TOTAL 2015 EBR PERMITS

TOTAL 2015 EBR VALUATION

11

Traditions 8128 Highland Road, Baton Rouge 70808

(225) 769-3801

Ted Braud, Jackie Braud

7

$4,541,400

12

Lancaster Construction 9100 Centre Blvd., Ste. 401, Baton Rouge 70809

(225) 663-5058

Art Lancaster

27

$4,476,492

13

Clegg Builders 6434 Highland Road, Baton Rouge 70808

(225) 413-7201

Robert Clegg

19

$4,096,482

14

Carter Hill Construction 7809 Jefferson Hwy., Ste. F2, Baton Rouge 70809

(225) 923-2231

Carter Hill

7

$3,788,678

15

Site Companies 2561 CitiPlace Court, Ste. 750-124, Baton Rouge 70808

(225) 270-4598

Anthony Turnley

7

$3,616,244

16

Dupree Construction Co. P.O. Box 83807, Baton Rouge 70884

(225) 767-0609

Chuck Dupree

11

$3,194,256

17

Bernhard Norman Construction 10182 Patriot Drive, Baton Rouge 70816

(225) 308-1285

Todd Norman, Nic Bernhard

6

$3,089,000

18

Sarepta Homes 8383 Old Hammond Hwy., Baton Rouge 70806

(225) 926-7127

Bonnie Ferrell, David Ferrell

15

$3,011,608

19

Unified Construction Group 2281 S. Range Ave., Denham Springs 70726

(225) 304-4722

Thomas Watson

10

$2,809,638

20

Cagley Construction P.O. Box 82071, Baton Rouge 70884

(225) 802-8889

Nick Cagley

6

$2,800,000

N/A=Not available. Source: mypermitnow.org. This list does not reflect all area homebuilders, only those receiving East Baton Rouge Parish permits in 2015 with a total valuation of $2,800,000 or more, and only those builders filing permits under their business name. Business Report assumes the data are accurate and truthful. Email scrump@businessreport.com with corrections.

Researched by Sierra Crump


Lexington Estates A neighborhood with room to grow

COMMERCIAL

RESIDENTIAL

COMMERCIAL

Lexington Land Development

RETAIL

MULTI-FAMILY

For more information on Phase 3 Residential, Commercial, Retail or Multi-Family opportunities, contact Greg Flores at (225) 757-0250 or greg@floresconstruction.com

www.floresconstruction.com

www.residentialBR.com


Give local. Win a house. Make a difference right here in Baton Rouge. Support critically ill infants, cancer outreach and other lifesaving services at Woman’s Hospital. Get your ticket online at

womans.org/win

Built by Greg Flores Construction Lot donated by Lexington Land Development.

• House valued at more than $400,000 • 2854 Grand Way Avenue, Lexington Estates in Baton Rouge • 2,483 square feet

• 4 bedroom/3 bath • Outdoor kitchen and living area with fireplace • All stainless appliances • Landscaped yard

Drawing will be July 22, 2016

Benefiting

Raffle Sponsored by


COMMERCIAL

COMMERCIAL

INSIGHT

Open spaces

PLENTY AVAILABLE: For lease signs have become a common sight at office parks throughout Baton Rouge, such as this one on Bluebonnet Boulevard, as vacancy rates have risen by nearly 4% over the past year.

State budget concerns and a battered oil industry are contributing to a cool down in the Baton Rouge office market. BY MEREDITH WHITTEN “As the state’s petrochemical industry goes, so go all sectors of real estate.” Additionally, state budget concerns have contributed to the office market slowdown. “There’s an air of nervousness about the state budget,” Pesnell says. The average quoted rental rates for both Class A and Class B office spaces has remained flat. Occupancy rates for the first quarter of 2016 dropped to 85.7%, down from 89.3% in 2015. Most of the decrease is attributed to vacancies that resulted from The Advocate relocating to a new headquarters on Siegen Lane and IBM completing its downtown offices.

But although the office market slowdown has significantly limited the number of new tenants entering the market, it’s not expected to lead to a glut of sublease space in Baton Rouge. “The recent collapse in oil prices has adversely impacted the market. However, the result has been primarily the lack of new or expanded business interest,” says Jonann Stutzman, an agent/broker with NAI/Latter & Blum Commercial in Baton Rouge. “Some national office users have contracted their presence in the market on relatively short notice, and some continue to consolidate in order to achieve maximum

efficiencies and economies of scale.” Additionally, little new office construction—particularly Class A—is occurring in Baton Rouge, where quality sites are in short supply and land and labor costs are high. “This is a market that does not tend to overbuild the office sector and, as a result, rental rates generally remain strong and at worst go flat during times of economic slowdown,” Stutzman says. Pesnell agrees. “To create a tenant’s market there has to be competition for space, and there’s just not a lot of supply out there,” he says. This is exacerbated by the

Real Estate Report 2016  |

FOR A GLIMPSE of the current state of the Louisiana economy, just look at the Baton Rouge office market. After being fairly active for most of 2015, the regional market— which has approximately 6.6 million square feet of office space—slowed and became flat at the end of 2015, a trend that has not let up in 2016. Branon Pesnell, executive vice president of Beau Box Commercial Real Estate, says this slowdown is primarily attributable to statewide economic conditions. “Our state economy is so dependent on oil. That’s not so much the case in Baton Rouge, but there’s still a trickle-down effect,” he says.

43


THE MARKET AT A GLANCE Though new office development has slowed due to lack of available space, the Jefferson Highway area near Towne Center has a number of projects underway, including City Farm and 6700 Jefferson.

IBM offices

Tenants continue to seek efficient office spaces with ample parking options and large, open floor plans. Properties featuring such amenities are seeing more activity and leasing more quickly than traditional office spaces. National brokers and tenants still perceive Baton Rouge to be a small market with tremendous potential for negotiating aggressive deals and a variety of space options. But they’ve found that low vacancy rates and limited space options leave them with little negotiating room for new deals or renewals.

ALLIE APPEL

TAKEAWAYS COMMERCIAL

|  Real Estate Report 2016 44

dearth of large office block space options, as well as smaller spaces in Class A offices. Pesnell says tenants continue to look for openspace floor plans as well as spaces with high parking ratios, for which much of Baton Rouge’s office supply—particularly office buildings constructed in the 1980s—is not suited. Tenants also are steering away from spaces considered functionally obsolete in today’s technology-based office environment. The limited options of quality space in a slow market mean negotiations still favor the landlord in most submarkets. “Landlords in Baton Rouge have not tended to give a lot of incentives. Deals in Baton Rouge typically are pretty simple,” Pesnell says. For example, landlords have been able to keep tenant improvement allowances to around $1 to $2 per square foot for each year of the lease’s term. Stutzman adds that the general multitenant office market has been affected by tenants taking advantage of low interest rates and building new owner-occupied office buildings. “In my recent experience, landlords and tenants are negotiating lease deals in good faith due to the balance of market conditions in the Baton Rouge area,” she says. The office market is expected to remain flat for at least the rest of 2016, with the bulk of leasing activity coming from expansions and relocations from within the Baton Rouge market. “Until we see some stability in the oil markets, I think we’re in for a long ride,” says Pesnell, who anticipates a slow market for the next 12 to 18 months.

THREE THINGS TO WATCH IN 2016

1

Negotiations still favor landlords in most submarkets. But if the office market continues to slow, landlords who have been able to push rates in areas with high demand and desirable amenities may lose some of their edge in making deals and could begin offering some concessions— which have historically only been offered on a limited basis.

2

Some state agencies plan to move to state-owned facilities as a result of state budget concerns. This could lead to some in-demand large office block space opening up, particularly in downtown Baton Rouge over the coming year.

3

If the price of natural gas remains low, industrial sector activity will likely continue to drive demand for office space, which would keep the Baton Rouge economy buoyant enough to endure the existing slowdown. Meanwhile, if oil prices stabilize and grow, the office market could finish 2016 in a much better place than where it has started.


DIGITS

Baton Rouge’s commercial market by the numbers

BATON ROUGE OFFICE MARKET OCCUPANCY RATE

100%

95%

90%

85%

80% 2005

2006

2007

2008

2009

2010

2011

2012

2013

2014

2015

2016*

* Through the first quarter

WHERE THEY’RE AT Class A and Class B office occupancy by area in 2016

94%

90%

67%

91%

87%

ACADIAN/COLLEGE

DOWNTOWN

FLORIDA/AIRLINE

SHERWOOD FOREST

ESSEN/BLUEBONNET

THE BIG DEALS

Recent office building sale of note

THE GOING RATE

$20M

Franciscan Missionaries, the parent company for the Our Lady of the Lake Regional Medical Center in Baton Rouge and four others in Bogalusa, Lafayette, Gonzales and Monroe, paid $18.3 million for Amedisys Inc.’s 110,000-square-foot facility and property on South Sherwood Forest Boulevard and $1.7 million for furniture, fixtures and equipment. The deal, which closed in December, also includes a clause allowing the hospital system to purchase IT equipment from Amedisys for about $3 million.

$10.5M $9.5M

A group of local investors paid $9.55 million for the roughly 70,500-square-foot building at 9100 Bluebonnet Centre Blvd. in October. At the time of the sale, the towering glass office building with visibility from Interstate 10 was 100% occupied, with 18 tenants. Built in 1985, the building is located just off Bluebonnet Boulevard, behind the Wyndham Garden Baton Rouge hotel.

ACADIAN/COLLEGE

ACADIAN/COLLEGE

DOWNTOWN

DOWNTOWN

FLORIDA/AIRLINE

FLORIDA/AIRLINE

SHERWOOD FOREST

SHERWOOD FOREST

ESSEN/BLUEBONNET

ESSEN/BLUEBONNET

$22.10 $15.00 $23.29 $16.24 N/A

$13.29

$19.15 $16.56 $22.65 $15.50

|

SOURCE: Research data was provided by the Commercial & Investment Division of the Greater Baton Rouge Association of Realtors and presented at the 2016 Baton Rouge Trends seminar. Commercial Trends speaker was Branon Pesnell of Beau Box Commercial Real Estate. For more information, visit batonrougetrends.net.

Class B average office rental rate per square foot

Real Estate Report 2016

9100 Bluebonnet Centre

A Milwaukee-based real estate investment trust purchased the two-story, 24,000-square-foot office building at 9118 Bluebonnet Centre Blvd. in April 2015. The building was constructed in 2003 and is home to Comprehensive Pain Management.

Class A average office rental rate per square foot

45


Commercial contractors

|  Real Estate Report 2016

COMMERCIAL

RANKINGS

Ranked by total 2015 East Baton Rouge permit valuation.

46

BUSINESS NAME ADDRESS

PHONE

CONTRACTOR(S)

TOTAL EBR PROJECTS

TOTAL EBR VALUATION

1

Arkel Constructors 1048 Florida St., Baton Rouge 70802

(225) 344-1023

Johnny Fife

21

$15,243,000

2

Lincoln Builders of Baton Rouge 11567 Mercantile Drive, Baton Rouge 70809

(225) 706-5038

Ronnie Myers, Daryl Williams, Keith Keller, Ayres Bradford, Lynn Hutchinson

4

$15,200,000

3

The Lemoine Co. 15555 Airline Hwy., Baton Rouge 70817

(225) 383-3710

Leonard "Lenny" Lemoine

5

$13,950,000

4

Milton J. Womack 8400 Jefferson Hwy., Baton Rouge 70809

(225) 924-8050

Joseph Hill

13

$12,589,000

5

Faulk & Meek General Contractors 3595 I-10 Frontage Road, Port Allen 70767

(225) 383-4505

David Faulk, John Meek

12

$10,837,000

6

Cangelosi Ward General Contractors 9512 Brookline Ave., Baton Rouge 70809

(225) 927-7258

Robert Ward, David Cangelosi

12

$10,121,120

7

Block Builders 39279 Tommy Moore Road, Gonzales 70737

(225) 930-9960

Jason Keller

27

$5,720,000

8

Haddad Construction Co. 728 Highlandia Drive, Baton Rouge 70810

(225) 751-5380

Phillip Haddad III

4

$5,450,000

9

Charles Carter Construction 1565 Choctaw Drive, Baton Rouge 70805

(225) 357-9698

Rennie Carter, Daniel Landry, Chris Landry

9

$3,885,900

10

MAPP Construction 344 Third St., Baton Rouge 70801

(225) 757-0111

Michael Polito

3

$3,714,000

Source: mypermitnow.org. This list does not reflect all area commercial builders, only those receiving East Baton Rouge Parish permits in 2015 with a total valuation of $2,223,021 or more, and only those contractors filing permits under their contractor business name. Valuations for nonpermitted state projects are not included. Business Report assumes the data are accurate and truthful. Email scrump@businessreport.com with corrections.

Researched by Sierra Crump


Commercial contractors Ranked by total 2015 East Baton Rouge permit valuation.

BUSINESS NAME ADDRESS

PHONE

CONTRACTOR(S)

TOTAL EBR PROJECTS

TOTAL EBR VALUATION

Stuart & Company General Contractors 4320 Jeffrey Drive, Baton Rouge 70816

(225) 293-8650

Christopher Stuart, Duane Mizell, Tyler Tramonte

3

$3,535,000

12

Buquet & LeBlanc 18145 Petroleum Drive, Baton Rouge 70809

(225) 753-4150

Bill Firesheets

7

$3,500,000

13

Deumite Construction 10849 Perkins Road, Ste. A, Baton Rouge 70810

(225) 769-2948

Scott Deumite, Carl Fenn

6

$3,351,940

14

Harvey Honore Enterprises 10840 Highland Road, Baton Rouge 70810

(225) 769-6370

Harvey Honore Jr.

1

$2,800,000

15

Acadiana Group 18522 Magnolia Bridge Road, Greenwell Springs 70739

(225) 261-9365

Jeff Couvillion

3

$2,570,000

16

Dantin Bruce Construction 4220 Bluebonnet Blvd., Ste. B, Baton Rouge 70809

(225) 615-8170

Brian Dantin, Ross Bruce

2

$2,460,000

17

J Reed Constructors 9882 S. Perdue Ave., Baton Rouge 70814

(225) 201-8826

Reed Luneau

3

$2,414,400

18

J. F. Juge Construction Co. 37276 Commerce Lane, Ste. C, Prairieville 70769

(225) 677-5480

Joseph Juge, Jared Juge

1

$2,400,000

19

Capitol Construction 11997 Airline Hwy., Baton Rouge 70817

(225) 751-0386

Benjamin Fontana

2

$2,249,000

20

Salco Construction 8484 Athens Ave., Baton Rouge 70814

(225) 927-3970

Jeff Torrance, Matthew Torrance, Louis Miremont

7

$2,223,021

Researched by Sierra Crump

|

Source: mypermitnow.org. This list does not reflect all area commercial builders, only those receiving East Baton Rouge Parish permits in 2015 with a total valuation of $2,223,021 or more, and only those contractors filing permits under their contractor business name. Valuations for nonpermitted state projects are not included. Business Report assumes the data are accurate and truthful. Email scrump@businessreport.com with corrections.

Real Estate Report 2016

11

47


INSIGHT COMMERCIAL

|  Real Estate Report 2016 48

ZOOM

Much brighter there THE COMMERCIAL and residential growth spurt experienced in downtown Baton Rouge in recent years shows no signs of slowing down. On Third Street alone, two new hotels are currently in the works: the redevelopment of the former Louisiana National Bank Building into The Watermark and construction of a new Courtyard Marriott. Also on Third Street, The Onyx Residences mixed-use development is expected to be complete in August—and redevelopment of the Commerce Building continues. Nearby, the Belvedere Townhomes project is also moving forward. The new developments will complement a number of significant projects that have been completed downtown since early 2015, including the IBM building, 525 Lafayette, 500 Laurel and 440 on Third. The number of businesses downtown increased to 642 in 2015, up from 579 just five years previous, according to the Downtown Development District, while occupancy of Class A and B office space rose to 92% last year, up from 80% in 2012. Perhaps reflective of the area’s bright future, the historic CocaCola sign was also officially relit in April.


TIM MUELLER

Real Estate Report 2016  |

49


Engineering firms

|  Real Estate Report 2016

COMMERCIAL

RANKINGS

Ranked by total number of local, licensed professional engineers.

50

PREV. RANK

FIRM ADDRESS PHONE/WEBSITE

MANAGING PRINCIPAL(S)

NO. OF LOCAL, LICENSED P.E. NO. OF LOCAL E.I.T.

MAJOR PROJECTS

1

2

Ford, Bacon & Davis 12021 Lakeland Park Blvd., Baton Rouge 70809 (225) 292-0050/fbd.com

Rick Moore, Ray Sherman

2

1

CDI Engineering 4041 Essen Lane, Ste. 100, Baton Rouge 70809 (225) 663-4601/cdicorp.com

Matt Rouse, Jeffrey McLean, Donald Nedanovich

66 WND

3

3

Wink Engineering 8585 Archives Ave., Baton Rouge 70809 (225) 932-6000/winkengr.com

A. E. "Andy" Farris, Jr., P.E., Kevin D. Steed, P.E.

61 12

WND

4

4

GEC Inc. 8282 Goodwood Blvd., Baton Rouge 70806 (225) 612-3000/gecinc.com

Robert Boagni, Verdi Adam

58 8

I-49 design build CE&I I-10 Williams Blvd. to Veterans Blvd. Engineering services for coastal protection

5

5

CB&I 4171 Essen Lane, Baton Rouge 70809 (225) 932-2500/cbi.com

Edgar Ray

6

7

Stantec Consulting Services 500 Main St., Baton Rouge 70801 (225) 765-7400/stantec.com

Michael McGaugh, Steve Boudreaux, Michael Bruce

22 10

Essen Lane widening Perkins Road widening The Water Campus

7

9

Hargrove and Associates 4150 S. Sherwood Forest Blvd., Ste. 210, Baton Rouge 70816 (225) 227-2000/hargrove-epc.com

Will Kiser, Rob Garrison

21 12

WND

8

6

AECOM 7389 Florida Blvd., Ste. 300, Baton Rouge 70806 (225) 922-5700/aecom.com

Mike Richardson, Dennis Reece, Robert Schmidt

19 4

Baton Rouge Loop CPRA 2017 Coastal Master Plan Various USACE projects

9

8

Duplantis Design Group 4307 Bluebonnet Blvd., Ste A, Baton Rouge 70809 (225) 751-4490/ddgpc.com

David Duplantis

17 3

Stirling Properties, Ambassador Town Center, Lafayette Dow packaging center and distribution warehouse FedEx distribution centers

9

HNTB Corp. 10000 Perkins Rowe, Ste. 640, Baton Rouge 70810 (225) 368-2800/hntb.com

John Basilica, David Flanders

17 2

TramLinkBR streetcar Paths to Progress program La. 1 bridge design (Golden Meadow to Leeville, La.)

14

Sigma Engineers and Constructors 11585 Lake Sherwood Ave. North, Baton Rouge 70816 (225) 810-3100/sigmaec.com

Daniel Kais, Robert Olivier

17 2

UR1 & UR2 Scrubber piping design, fertilizer facility Installation of 15MW generator, petrochemical facility Pipe supports installation and design

12

15

Forte and Tablada 9107 Interline Ave., Baton Rouge 70809 (225) 927-9321/forteandtablada.com

Ann Trappey, Chad Bacas, Joey Coco, David Leslie, Will Fontenot

16 6

Old Hammond Hwy. - Segment 1 I-49 connector Statewide bridge rating

13

11

Evans-Graves Engineers 9029 Jefferson Hwy., Ste. 200, Baton Rouge 70809 (225) 926-1620/evans-graves.com

John Graves

15 1

Sugar Mill Plantation subdivision Port Cameron Picardy-Perkins connector

14

11

Engineers and Constructors International 2638 S. Sherwood Forest Blvd., Ste. 100, Baton Rouge 70808 (225) 293-7768/eci-la.com

Renee Stevenson

14 2

Sasol, Louisiana Formosa Plastics, Texas

15

17

Sigma Consulting Group 10305 Airline Hwy., Baton Rouge 70816 (225) 298-0800/sigmacg.com

Miles Williams

12 1

East Baton Rouge SSO program management Jones Creek roadway improvements I-10 widening, Lafayette Parish

16

17

Furmanite America(1) 4000 S. Sherwood Forest Blvd., Ste. 200, Baton Rouge 70816 (225) 293-4000/frm-ts.com

Elias Hage, John Mekari, Aziz Saber

10 5

Major Texas refinery rebuild Ammonia plant upgrades Chemical plant relocation and upgrade

NR

GeoEngineers 11955 Lakeland Park Blvd., Ste. 100, Baton Rouge 70809 (225) 293-2460/geoengineers.com

David Sauls, David Eley, Blake Cotton, Jim Aronstein, Charlie Eustis

10 5

The Water Campus U.S. 90 at La. 318 design build East Timbalier Barrier Island restoration

21

H & K Engineering 2644 S. Sherwood Forest Blvd., Ste. 200, Baton Rouge 70816 225) 448-5500/hkengr.net

Paul Hough, Larry Kyzer

10 5

Urea expansion Valero, St. Charles Rubicon

76 26

47 WND

NR= Not ranked. WND=Would not disclose. P.E.=Professional Engineers. E.I.T.=Engineering Interns. Information presented was provided upon request by company representatives, and Business Report assumes the data are accurate and truthful. Not all area engineering firms are shown, only those providing requested information with 10 or more local, licensed professional engineers. If you would like your company to be considered for next year’s list, or if there are any corrections or additions, please email scrump@businessreport.com. (1) 2015 data. Company was unable to provide updated information at the time of publication.

Refining projects, La., Texas Chemical projects, La., Texas Multiple sites, engineering alliances Major fertilizer plant expansions Large capital and T/A refinery projects Marine, rail and truck terminal projects

Gorgon LNG Cameron LNG Axiall Lotte Ethane Cracker

Researched by Sierra Crump


Commercial real estate firms Ranked by number of local, licensed commercial agents. PREV. RANK

FIRM ADDRESS PHONE/WEBSITE

TOP LOCAL EXECUTIVE(S)

NO. OF LOCAL YEAR FOUNDED COMMERCIAL AGENTS LOCALLY MARKET AREA(S)

1

NAI Latter & Blum Commercial 10455 Jefferson Hwy., Ste. 200, Baton Rouge 70809 (225) 295-0800/latter-blum.com

Robert Merrick, Robert Penick, Joseph Pappalardo, Richard Haase, Karl Landreneau

42

1917

Greater Baton Rouge, Lafayette, Alexandria, Lake Charles, New Orleans, Mississippi Gulf Coast and Houston

2

2

Beau Box Commercial Real Estate 5500 Bankers Ave., Baton Rouge 70808 (225) 237-3343/beaubox.com

Beau Box

22

2004

Louisiana, Mississippi and Alabama

3

8

SVN | Graham, Langlois & Legendre(1) 6160 Perkins Road, Ste. 200, Baton Rouge 70808 (225) 367-1515/svngll.com

Steve Legendre, Justin Langlois, Ben Graham

16

2014

East Baton Rouge, West Baton Rouge, Ascension, Livingston, Iberville and St. Tammany parishes

4

4

Saurage Rotenberg Commercial Real Estate 5135 Bluebonnet Blvd., Baton Rouge 70809 (225) 766-0000/sauragerotenberg.com

Hank Saurage, Edward Rotenberg

14

2011

Louisiana and Mississippi

5

5

Mike Falgoust & Associates 10202 Jefferson Hwy., Bldg. C, Baton Rouge 70809 (225) 778-5858/mfacre.com

Randy Herring, Scot Guidry, Robert "Grey" Hammett Jr.

12

2010

Louisiana and Mississippi

15

Property One 3636 S. Sherwood Forest Blvd., Ste. 110, Baton Rouge 70816 (225) 292-0001/propertyone.com

Paul Dastugue, Quentin Dastugue

12

1985

Southeast Louisiana

7

7

Maestri-Murrell 9018 Jefferson Hwy., Baton Rouge 70809 (225) 298-1250/mmcre.com

Benjamin Stalter, Lawrence Maestri, George Murrell, Linda Jackson

11

1989

Baton Rouge, Lafayette, Lake Charles, Shreveport, New Orleans and Mississippi

8

12

Donnie Jarreau Real Estate, A Latter & Blum Company 4225 Perkins Road, Baton Rouge 70808 (225) 753-3573/donniejarreau.com

Donnie Jarreau

8

1998

Greater Baton Rouge

8

Padial Real Estate 8675 Bluebonnet Blvd., Ste. A, Baton Rouge 70810 (225) 769-9494/padialrealestate.com

Martin Padial, Carlos Padial Sr.

8

1990

Greater Baton Rouge, Ascension and Livingston parishes

2

Realty Executives South Louisiana 15615 Airline Hwy., Ste. B, Prairieville 70769 (225) 677-7772/southlouisianagroup.com

Gary Binns, Rick Gautreau, Gary Fontenot

8

2010

Greater Baton Rouge and New Orleans

10

Adam Campo Real Estate(2) 3535 S. Sherwood Forest Blvd. Ste. 201, Baton Rouge 70816 (225) 295-3035/adamcampo.com

Adam Campo

7

2007

Greater Baton Rouge

12

Gully, Phelps & McKey 5025 Bluebonnet Blvd., Baton Rouge 70809 (225) 925-2300/gullyphelpsmckey.com

Betty Phelps, David McKey, David Trusty

7

1989

Greater Baton Rouge, south Mississippi

18

Keller Williams Realty–Red Stick Partners 8686 Bluebonnet Blvd., Baton Rouge 70810 (225) 768-1800/kw.com

Larry Champagne, Johnette Champagne, Alex Polito

7

2000

Greater Baton Rouge

14

12

Jim Talbot Real Estate 2121 Drusilla Lane, Baton Rouge 70809 (225) 927-2114/jimtalbot.com

E.J. Talbot

6

1994

Greater Baton Rouge

15

6

Keller Williams Realty Premier Partners 291 Veterans Blvd., Denham Springs 70726 (225) 664-1911/denhamsprings.yourkwoffice.com

Matt Hughes

5

2006

Greater Baton Rouge

16

15

Tom Mackey Real Estate Services 9336 Interline Ave., Baton Rouge 70809 (225) 751-8847/tommackeyproperties.com

Chris Daigle, Ashley Mackey

4

1978

Greater Baton Rouge, Livingston and Ascension parishes

17

18

1st Team Realty 3745 Choctaw Drive, Baton Rouge 70805 (225) 806-6923/1stteamrealty.com

Harold Williams

3

2012

Louisiana

18

Stirling Properties 8550 United Plaza Blvd., Ste. 303, Baton Rouge 70809 (225) 926-4481/stirlingprop.com

Martin Mayer

3

1975

Gulf South region of Louisiana, Mississippi, Alabama and Florida

22

Dixon Realty 3535 S. Sherwood Forest Blvd., Ste. 243, Baton Rouge 70816 (225) 921-3141/dixonrealty.net

Barbara Dixon

2

1967

Louisiana and Mississippi

18

RE/MAX First 4750 Sherwood Common Blvd., Baton Rouge 70816 (225) 291-1234/brhomesfirst.com

Wynona Squires

2

1998

Greater Baton Rouge

11

19

Information presented was provided by company representatives, and Business Report assumes the data are accurate and truthful. Not all commercial real estate firms are shown, only those providing requested information with two or more local, licensed commercial agents. For corrections or to be considered when the list is next updated, please contact scrump@businessreport.com. (1) Formerly listed as Sperry Van Ness | Graham, Langlois & Legendre (2) 2015 data. Firm was unable to provide updated information at the time of publication.

Researched by Sierra Crump

Real Estate Report 2016  |

1

51


RD.

N. FOSTER DR.

RD. GS RIN L SP L E ENW GRE

CHOCTAW DR.

BLVD. LOBDELL

ACADIAN THRWY

DOWNTOWN FLORIDA BLVD.

ACADIAN THRWY

S.

DR.

A BLVD.

FLORID

D

BLVD.

SHERWOOD FOREST FO

ST

ER

JEF

FE

DR

.

RS

ON

. WY EH LIN AI R

B

GOVERNMENT ST.

FLORIDA

CHOCTAW

HW

Y.

C

NICHOLSON DR.

COL

LEG

ED R.

ACADIAN/COLLEGE

ONEAL LN.

A

SHERWOOD FOREST BLVD.

COTT

PRES

OLD HAMMOND HWY.

VD. E BL RAT PO R O

COU

RSE

LN. EN ND

ESS

LA

RD

.

HWY.

.

COURSE

Y BLVD.

ESSEN/BLUEBONNET BU

AN

JEF

RB

FE

KD

ON

RS

R.

SIE

GEN

BLU

LN.

EBO

NNE

. WY

R.

ND

LSO

HO

NIC

T BL VD.

EH

LIN

AIR

STA

Y.

RIN

HW

GL

N.

GH

RSON

BLVD

DR

.

C

LEE

HI

JEFFE

NET

D.

BLVD.

SR

Y BL VD.

SHERWOOD FOREST

KIN

BON

PER

BLUE

MISSISSIPPI RIVER

COMMERCIAL

DIRECTORY

Class A Office Space

HIG

HLA

BUR

|  Real Estate Report 2016

BAN

52

THIS FOLLOWING GUIDE attempts to list all of the leasable Class A office space in Baton Rouge. The city has been divided into four areas and mapped to show key streets. Included in Class A office space are buildings measuring more than 60,000 square feet with full service management and higher end finishes. Excluded from the listings are office/ warehouses, individual condominiums and retail facilities that might include office space. Our sources for this information are the Greater Baton Rouge Association of Realtors 2016 Trends report and Branon Pesnell of Beau Box Commercial Real Estate. This information was deemed to be as complete and accurate as possible as of March 3, 2016. It is inevitable that some commercial space has been overlooked, but no omission is intentional. These listings are intended only to be a general guide as to the amount of space available in the area and the rental rates quoted for those spaces.

ND

RD.

ND

HLA

HIG

.

RD

K DR

.

BUILDING NAME/ ADDRESS

Each of the buildings is listed by its name or, if no name is used, by its street address.

RENTAL CONTACTS

This column provides information on whom to contact for additional information. In some cases, owners may manage the building and lease space. Or owners may contract with a management company to oversee maintenance and handle space negotiations. The contact listed is the current agent as of March 3, 2016.

SQUARE FOOTAGE AVAILABLE

This figure refers to the amount of leasable square footage available.

RATES/OCCUPANCY

Lease rate is a negotiable figure naming a dollar amount per rentable square foot. Price represents a fair estimate of value, with other influential factors such as market competition and amenities included. Occupancy rate refers to the amount of space occupied by current tenants.


IBM

AREA A

(DOWNTOWN)

RIVERSIDE NORTH TOWER

ONE AMERICAN PLACE

CITY PLAZA

CHASE SOUTH TOWER BATON ROUGE

Address: 450 Laurel St. Square feet: 207,572 Square footage available: 0 Occupancy rate: 100% Lease rate per square foot: $21.50 Agent/Phone: Gary Black/(225) 383-0424 Address: 445 North Blvd. Square feet: 166,473 Square footage available: 6,159 Occupancy rate: 96.3% Lease rate per square foot: $21.50 Agent/Phone: Gary Black/(225) 383-0424

LOUISIANA CAPITOL BUILDING

Address: 900 N. 3rd St. Square feet: 75,000 Square footage available: 0 Occupancy rate: 100% Lease rate per square foot: $21.50 Agent/Phone: Branon Pesnell/(225) 237-3343

Chase South Tower

IBM

Address: 525 Lafayette St. Square feet: 140,651 Square footage available: 6,267 Occupancy rate: 95.5% Lease rate per square foot: $30 Agent/Phone: Mike Siegel; Randall White/(504) 581-5005

|

Address: 400 Convention St. Square feet: 255,344 Square footage available: 7,150 Occupancy rate: 97.2% Lease rate per square foot: $28.50 Agent/Phone: Gary Black/(225) 383-0424

Address: 451 Florida St. Square feet: 333,000 Square footage available: 67,687 Occupancy rate: 79.7% Lease rate per square foot: $20 Agent/Phone: Michele Casi/(337) 316-0277

Real Estate Report 2016

II CITY PLAZA

Address: 301 Main St. Square feet: 333,306 Square footage available: 54,109 Occupancy rate: 83.8% Lease rate per square foot: $20 Agent/Phone: Branon Pesnell/(225) 237-3343

53


COMMERCIAL

DIRECTORY

Lease rate per square foot: $22 Agent/Phone: Ty Gose; Jonann Stutzman/ (225) 445-0473; (225) 295-0800

AREA B

CITIPLACE CENTRE III

(ACADIAN/COLLEGE)

ACADIAN CENTRE

Address: 2431 S. Acadian Thruway Square feet: 74,589 Square footage available: 0 Occupancy rate: 100% Lease rate per square foot: $21 Agent/Phone: Ty Gose; Jonann Stutzman/ (225) 445-0473; (225) 295-0800

CITIPLACE CENTRE I

Address: 2600 Citiplace Drive Square feet: 82,023 Square footage available: 3,482 Occupancy rate: 95.7% Lease rate per square foot: $23 Agent/Phone: Ty Gose; Jonann Stutzman/ (225) 445-0473; (225) 295-0800

Address: 6100 Corporate Blvd. Square feet: 42,659 Square footage available: 0 Occupancy rate: 100% Lease rate per square foot: $23 Agent/Phone: Ty Gose; Jonann Stutzman/ (225) 445-0473; (225) 295-0800

ACADIA TRACE

Address: 2237 S. Acadian Thruway Square feet: 121,000 Square footage available: 0 Occupancy rate: 100% Lease rate per square foot: $20 Agent/Phone: N/A

CORPORATE ATRIUM (XEROX)

Address: 5555 Hilton Ave. Square feet: 76,447 Square footage available: 12,974 Occupancy rate: 83% CITIPLACE CENTRE II Ad proof Issue Date: RER 2016 #1 Lease rate per square foot: $20 Address: 6300 Corporate Blvd. • Please respond by e-mail or fax with your approval or minor revisions. Agent/Phone: Ty Gose; Jonann Stutzman/ • AD WILL RUN31,516 AS IS unless approval or final revisions Square feet: are received by the close of business today. (225) 445-0473; (225) 295-0800 Square footage available: 0 • Additional revisions must be requested and may be subject to production fees. Occupancy rate: 100%

Carefully check this ad for: CORRECT ADDRESS • CORRECT PHONE NUMBER • ANY TYPOS

CORPORATE CENTER

Address: 5757 Corporate Blvd. Square feet: 48,000 Square footage available: 0 Occupancy rate: 100% Lease rate per square foot: $22 Agent/Phone: Rob Hebert/(225) 922-4212

REPUBLIC FINANCE

Address: 7031 Commerce Circle Square feet: 27,000 Square footage available: 9,000 Occupancy rate: 66.7% Lease rate per square foot: $24 Agent/Phone: George Kurz/(225) 925-0600

2370 TOWNE CENTER

Address: 2370 Towne Center Blvd. Square feet: 66,000 Square footage available: 0 Occupancy rate: 100% Lease rate per square foot: $25 Agent/Phone: N/A

5551 CORPORATE

Address: 5551 Corporate Blvd. Square feet: 52,142 Square footage available: 0 Occupancy rate: 100% Lease rate per square foot: $21 Agent/Phone: George Kurz/(225) 925-0600

This ad design © Louisiana Business, Inc. 2016. All rights reserved. Phone 225-928-1700 • Fax 225-926-1329

, REAL ESTATE MANAGEMENT, LLC

Sales • Leasing • Counseling • Property Management

Client Focused Representation. Baton Rouge 225-381-0105 New Orleans 504-525-0190

|  Real Estate Report 2016

www.snappyjacobs.com

54

snappy@snappyjacobs.com


AREA C

(ESSEN/BLUEBONNET)

BLUEBONNET CENTRE

Address: 9100 Bluebonnet Centre Blvd. Square feet: 71,656 Square footage available: 0 Occupancy rate: 100% Lease rate per square foot: $24 Agent/Phone: Debbie Harvill/(225) 297-7888

I UNITED PLAZA

Address: 4041 Essen Lane Square feet: 94,204 Square footage available: 0 Occupancy rate: 100% Lease rate per square foot: $24 Agent/Phone: Scott Macdonald/(225) 201-0142

II UNITED PLAZA

Acadian Centre

Address: 8550 United Plaza Blvd. Square feet: 197,010 Square footage available: 4,335 Occupancy rate: 97.8% Lease rate per square foot: $24 Agent/Phone: Scott Macdonald/(225) 201-0142

Sophisticated Commercial Real Estate Representation

McGlinchey Stafford’s trusted team helps companies navigate real estate deals and economic incentives, structuring transactions that protect clients’ interests and close on time. We provide representation in virtually all areas of commercial real estate and strive to streamline projects so our clients can focus on what matters most: their business. We call it practicing where the business of real estate and law intersect.

mcglinchey.com

Real Estate Report 2016  |

Where Business & Law Intersect

THIS IS AN ADVERTISEMENT. Authorizing Attorney: J-P Perrault, Baton Rouge. McGlinchey Stafford PLLC in AL, FL, LA, MS, NY, OH, TX, and DC. McGlinchey Stafford LLP in CA.

55


DIRECTORY COMMERCIAL

III UNITED PLAZA

VIII UNITED PLAZA

IV UNITED PLAZA

IX UNITED PLAZA

V UNITED PLAZA

XII UNITED PLAZA

Address: 8545 United Plaza Blvd. Square feet: 60,389 Square footage available: 0 Occupancy rate: 100% Lease rate per square foot: $21.50 Agent/Phone: George Kurz/(225) 925-0600 Address: 8555 United Plaza Blvd. Square feet: 71,547 Square footage available: 7,692 Occupancy rate: 89.2% Lease rate per square foot: $24 Agent/Phone: N/A

Address: 8641 United Plaza Blvd. Square feet: 57,932 Square footage available: 0 Occupancy rate: 100% Lease rate per square foot: $24 Agent/Phone: Scott Macdonald/(225) 201-0142 Address: 8687 United Plaza Blvd. Square feet: 97,000 Square footage available: 0 Occupancy rate: 100% Lease rate per square foot: $19.50 Agent/Phone: N/A

Address: 8591 United Plaza Blvd. Address: 8549 United Plaza Blvd. Square feet: 58,365 Square feet: 154,000 Square footage available: 0 Square footage available: 0 Occupancy rate: 100% Occupancy rate: 100% Lease rate per square foot: $22 Lease rate per square foot: $24 Issue Date: RER Ad proof #2Agent/Phone: Scott Macdonald/(225) Agent/Phone: George Kurz/(225) • Please respond by e-mail or fax with your approval or minor revisions. 925-0600 201-0142 • AD WILL RUN AS IS unless approval or final revisions are received by the close of business today. • Additional revisions must be requested and may be subject to production fees.

Jacobs Plaza

Carefully check this ad for: CORRECT ADDRESS • CORRECT PHONE NUMBER • ANY TYPOS This ad design © Louisiana Business, Inc. 2016. All rights reserved. Phone 225-928-1700 • Fax 225-926-1329

Before Building or Remodeling Visit Our Show Room

|  Real Estate Report 2016

Serving Baton Rouge for over 30 Years.

56

Sub-Zero

Miele

Wolf

Kitchen Aid

Asko

Whirlpool

Monogram

Electrolux

Bosch

Frigidaire

Thermador

GE

Dacor

Speed Queen

2677 Nicholson Drive 225.344.6793 • ApplianceDistLA.com


ESSEN CENTER

Address: 5353 Essen Lane Square feet: 113,000 Square footage available: 87,063 Occupancy rate: 22.9% Lease rate per square foot: $22 Agent/Phone: Norman Bacon/(225) 767-2556

Global Strength...

JEFFERSON BRENTWOOD

Address: 8440 Jefferson Hwy. Square feet: 63,625 Square footage available: 0 Occupancy rate: 100% Lease rate per square foot: $21 Agent/Phone: Milton Womack/(225) 924-8050

LOUISIANA SCHOOL EMPLOYEE RETIREMENT

Built on Local Market Leadership

Commercial Real Estate Services OFFICE

Address: 8660 United Plaza Blvd. Square feet: 112,253 Square footage available: 0 Occupancy rate: 100% Lease rate per square foot: N/A Agent/Phone: N/A

JACOBS PLAZA

Address: 4949 Essen Lane Square feet: 192,600 Square footage available: 0 Occupancy rate: 100% Lease rate per square foot: N/A Agent/Phone: N/A

RETAIL

Baton Rouge

225.295.0800

CB&I PLAZA

Address: 4171 Essen Lane Square feet: 240,000 Square footage available: 0 Occupancy rate: 100% Lease rate per square foot: N/A Agent/Phone: Gary Black/(225) 383-0424

Local/Global Market Coverage Income Property Analysis Site Selection Special Asset Solutions Auction Services Energy Audits/LEED Accredited Building Processes

INDUSTRIAL

New Orleans Alexandria Lafayette Lake Charles

504.569.9312 318.483.1515 337.267.4100 337.310.7333

latterblum.com

PERKINS ROWE

Address: 10202 Perkins Rowe Square feet: 126,328 Square footage available: 29,978 Occupancy rate: 76.3% Lease rate per square foot: $24.50 Agent/Phone: Scott Macdonald/(225) 201-0142

MULTIFAMILY

welcomes

7920 BLUEBONNET

Donnie Jarreau REAL ESTATE, INC. PROPERTY MANAGEMENT

to its family of companies

Real Estate Report 2016  |

Address: 7920 Bluebonnet Blvd. Square feet: 152,000 Square footage available: 126,378 Occupancy rate: 16.9% Lease rate per square foot: $20 Agent/Phone: N/A

57


COMMERCIAL

DIRECTORY

AREA D

4000 Sherwood

(SHERWOOD FOREST)

4000 SHERWOOD

Address: 4000 S. Sherwood Forest Blvd. Square feet: 78,183 Square footage available: 3,596 Occupancy rate: 95.4% Lease rate per square foot: $20 Agent/Phone: Ty Gose; Jonann Stutzman/ (225) 445-0473; (225) 295-0800

COURT PLAZA

Address: 10500 Coursey Blvd. Square feet: 57,486 Square footage available: 144 Occupancy rate: 99.7% Lease rate per square foot: $18.95 Agent/Phone: N/A

WESTFORK BUILDING

Address: 2900 Westfork Drive Square feet: 105,720 Square footage available: 0 Occupancy rate: 100% Lease rate per square foot: $18.50 Agent/Phone: Jonathan Walker/(225) 810-3294 N/A=Not available | SOURCE: TRENDS in Baton Rouge Real Estate Seminar; TRENDS Office Section Chairman Branon Pesnell

Make the move to home ownership. We can make it happen. Whether you’re a first-time homebuyer, looking to upgrade to a new home or simply interested in lowering your monthly payments, Essential has the loan programs that are right for you. Fast, convenient application process 100% financing on some loan types Decisions made locally

|  Real Estate Report 2016

Flexible terms

58

Variety of loan programs

Invested in you.

ESSENTIALFCU.ORG | 888.369.2207


in the

City

of

RETAI L

About Us

Spend Time With Us

Shop and Dine With Us

On the shores of beautiful False River, New Roads is a warm, friendly city that radiates Southern charm. We’re known for our rich history, natural beauty, and outdoor recreational fun.

Enjoy outdoor fun like boating, skiing, fishing, and paddle boarding. Attend entertaining events and festivals. Visit our Skate and Splash Park. New Roads has family fun for all.

Experience our unique boutique, specialty gift, and antique shops. Enjoy award winning restaurants which feature a flavorful blend of the area’s Creole, Cajun, and Southern heritages.

NewRoads.net

|

(225) 638-5360

|

211 W. Main Street

|

P. O. Box 280

|

New Roads, LA 70760


L I V E, P L AY & P RO S PE R in the

City

of

July 3-4, 2016 4th of July Music Festival & Boat Parade September 9-10, 2016 Ernest J. Gaines Book & Film Festival October 14-16, 2016 Harvest Festival on False River Live Bands, Food, Crafts & Carnival Rides harvestfestivalonfalseriver.com

November 18-20, 2016 Holiday Market at the Mill Antiques, Art & Collectibles marketatthemillnewroads.com

December 3, 2016 A New Roads Christmas Santa & Christmas Parade, Carnival Rides March 2017 Spring Street Car Show newroadscarshow.com

April 6-8, 2017 Market at the Mill

Antiques, Art & Collectibles marketatthemillnewroads.com

April 29, 2017 Crawfish Jams Live Music & Boiled Crawfish


RETAIL

RETAIL

INSIGHT DON KADAIR

SHUTTERED: The closure of Macy’s earlier this year has left Cortana Mall with two anchor tenant vacancies, and mall owners are now exploring non-retail options to fill the 243,000-square-foot store.

Looking for a brand new start Cortana Mall’s owners are pinning their hopes of a resurrection on their ability to attract nontraditional tenants. BY RYAN BROUSSARD of vacancies within the mall. Moonbeam knows Cortana’s days as a major shopping center are all but over, and it’s now looking for nontraditional tenants like Virginia College—which has occupied a 63,000-square-foot space in the mall since 2010—to fill the retail void in the oncemighty mall. “Cortana will never be what it used to be, and there are a number of different reasons,” says Shawl Pryor Sr., senior vice president of Moonbeam. “Many of the malls today are

repurposing themselves and bringing in nonretail users, such as colleges and offices and call centers.” Several smaller spaces in the mall are now leased to tenants like the U.S. Post Office, the Council on Aging and military recruitment offices, and more re-tenanting is likely. That’s not to say that Moonbeam is not still pitching national retail chains— the company vigorously continues doing so—but the massive amount of

space available is a better fit for non-retail uses, Pryor says. Schools, business offices and medical offices are at the top of Moonbeam’s list of possible partners that might take a chance on moving into Cortana. “We think that by bringing in one office, it will also help to not just reinvigorate the mall, but also the surrounding neighborhood,” Pryor says. “We hope to be the catalytic project that could rebirth that Airline (Highway) area.”

Real Estate Report 2016  |

SINCE PURCHASING the struggling Cortana Mall three years ago for $6 million— when occupancy was at a dismal 54%—Nevada-based Moonbeam Equities has had a hard time filling empty spaces. The firm was dealt a major blow in January when Macy’s announced plans to shutter its anchor location at Cortana as part of a national closure of 40 stores. The exit of Macy’s has left the 1.4 million-square-foot mall with two anchor spaces to fill, along with a number

59


DON KADAIR

TAKEAWAYS RETAIL

| Real Estate Report 2016 60

Two Baton Rouge real estate brokers who specialize in retail both agree that Moonbeam’s plan to move toward nontraditional tenants is a sound one. Charlie Colvin, a broker with Beau Box Commercial Real Estate, says bringing such tenants into older enclosed malls is a model that has been successful for several reasons, one of which is that it’s much cheaper to renovate an existing space for office use than building new. He says he would focus recruitment efforts on retail office, colleges, call centers and trade schools. Businesses looking for high-density office in particular would be a good fit given the large amount of parking space the mall has. Evan Scroggs, a broker with NAI/Latter & Blum, brings up another possibility for the big empty anchor spaces: distribution centers. Some spaces already have big rig docks built in for deliveries. “The infrastructure’s in place for that kind of stuff,” Scroggs says. Moonbeam may also benefit from Together Baton Rouge’s vision to turn vacant mall space into a center to serve north Baton Rouge’s medically underserved. The group recently pitched the idea—based on the success a rundown mall in Jackson, Mississippi, has seen with the model—to the Metro Council, which reacted favorably. “To me, this is the answer,” Councilwoman Tara Wicker said of the idea during a presentation at a May 18 meeting. “I don’t believe you will have to do a whole lot of heavy lifting to convince people this is the right thing to do.” Scoggs says another option for Moonbeam is to transition some of the vacant space at Cortana for industrial use,

SUCCESS STORY: Virginia College, which has occupied a 63,000-square-foot space in the mall since 2010, is the kind of non-retail tenant Cortana Mall is seeking to attract as its life as a major retail center draws to a close. similar to other new construction in the area. “I think they should take a cue from that,” he says. Retailers are becoming more specialized, and department stores are shrinking, Pryor says. So to retain existing retailers in struggling shopping centers, property management companies are thinking outside the box for ways to attract foot traffic. It’s a strategy that has worked for Pryor and other companies. He points to the Spectrum Plaza in Spring, Texas, and Greeley Mall in Greeley, Colorado, as two locations at which Moonbeam has recruited nontraditional tenants to help turn those malls around. In Texas, Moonbeam added a medical tenant and grocery store to an outdoor strip mall; occupancy now is nearing 100%, Pryor says. In Colorado, the company brought in At Home, a home furnishings store that is not normally in a mall setting, as one of the new anchor tenants in an old department store space, he adds. Moonbeam has also recruited seasonal stores such as Spirit Halloween—a holiday wholesale company that opens for several months a year—to temporarily fill anchor spaces.

Along with attracting nontraditional tenants, stabilization of existing tenants is also a key strategy for Moonbeam at Cortana. Moonbeam has created an incubator-like environment, allowing entrepreneurs—like the owners of the Café at Cortana—to move into available spaces at below market rates. However,

blighted areas surrounding the mall, which may discourage some would-be patrons from visiting and existing tenants from staying, remains a challenge. Whether or not the focus on nontraditional tenants will ultimately succeed remains to be seen. Even if it does, the process will not be quick. Pryor is hesitant to give the company’s timeline for repurposing vacant spaces at Cortana. However, he notes the company has commitments from five retail chains—three national names and two regional players—to move into the mall if Moonbeam can sign one large office tenant. One national chain wants 20,000 square feet, while another wants 10,000 square feet, he says. “There’s a lot more interest in the property in the last year than we’ve seen in the first two years,” Pryor says.

THE MARKET AT A GLANCE: Hammond Aire Plaza

• After years of being in legal limbo, the Greens at Millerville on Interstate 12 and Millerville Road is finally beginning to take shape with Buc-ee’s, the RV Shop, Golden Corral and other businesses signing on as tenants as construction begins on the 56-acre site. • Out-of-state investors are shopping in Baton Rouge for good deals on profitable retail centers to purchase as investment property. New York real estate investment trust G&I VIII Hammond LLC bought the Hammond Aire Plaza along with a Lake Charles center for $59.9

million in December. That sale was followed a few months later by Houston investors buying out Phil Witter’s interest in the 440,000-square-foot Towne Center for an undisclosed price. • Traditional neighborhood developments continue to grow around East Baton Rouge Parish, with the Settlement at Shoe Creek in Central breaking ground in June, businesses signing on to surround Rouses in Long Farm and Richard Carmouche’s twin TNDs—The Grove and Willow Grove—continue their expansion between Siegen Lane and Bluebonnet Boulevard.


THREE THINGS TO WATCH IN 2016:

1

Economic development in north Baton Rouge, or the lack thereof, has become a hot topic in community and political circles this year. Multiple groups are working on plans and incentives to attract new businesses to the neighborhoods north of Florida Boulevard.

2

How will Rouzan rebound after losing the Alamo Drafthouse movie theater? That’s the question for developer Tommy Spinosa, who was set to build the Rouzan Village Center—a 200,000-square-foot mixeduse complex inside the traditional neighborhood development—around

the theater chain. In March, Spinosa confirmed that his lease had ended with the Beaumont, Texas-based franchisee group planning to develop the theater, Cojeaux Cinemas, and that all involved parties were no longer talking. Cojeaux representatives have said they are still interested in the Baton Rouge market and are looking for alternate locations.

The site of Rouzan Village Center

3

As the renaissance in Mid City continues, several projects are moving forward with various retail components, like Square 46 on Government Street, Studio Park on Jefferson Highway and the old Entergy site on Government Street.

DIGITS 132

COURTESY POSH BOUTIQUE

Baton Rouge’s retail market by the numbers

Shopping centers in East Baton Rouge, Livingston and Ascension parishes Posh Boutique

Square footage of shopping center space built since 2006

North Gates Retail

Vacancy rate at shopping centers built since 2006

Vacancy rate at shopping centers built between 1985 and 1995

Acadian Village

Vacancy rate at shopping centers built between 1980 and 1984

Vacancy rate at shopping centers built before 1980 SOURCE: Research data was provided by the Commercial & Investment Division of the Greater Baton Rouge Association of Realtors and presented at the 2016 Baton Rouge Trends seminar. Retail Trends speaker was Jonathan Walker of Maestri-Murrell Inc. For more information, visit batonrougetrends.net.

Real Estate Report 2016  |

891,890 2.09% 4.88% 24.18% 11.86%

Square footage of Baton Rouge’s three lifestyle centers: Perkins Rowe, Mall of Louisiana and Towne Center

ALLIE APPEL

985,122

Towne Center

DON KADAIR

8.89%

Overall vacancy rate among the 8.57 million square feet of leasable space at Baton Rouge Perkins Rowe retail centers—not including Perkins Rowe, Mall of Louisiana, Cortana Mall and Towne Center—up from 7.95% a year ago.

61


are received by the close of business today. • Additional revisions must be requested and may be subject to production fees. Carefully check this ad for: CORRECT ADDRESS • CORRECT PHONE NUMBER • ANY TYPOS This ad design © Louisiana Business, Inc. 2016. All rights reserved. Phone 225-928-1700 • Fax 225-926-1329

THE POWER OF LANDSCAPE

|  Real Estate Report 2016

We don’t just maintain landscapes. We grow them!

62

225.267.5732 | www.mgminc.com


A taste of Texas

BUC-EE’S: This Lake Jackson-based company makes a big splash wherever it opens a location, with huge stores averaging between 60,000 and 80,000 square feet and claims of having the world’s cleanest restrooms. But news that Buc-ee’s plans to open in The Greens at Millerville in mid-2017 was gigantic, as it marks the company’s first location outside of Texas. The Buc-ee’s in Baton Rouge will cover a 15-acre parcel and include 90 gas pumps.

INSIGHT

COURTESY MAIN EVENT ENTERTAINMENT

RENDERING BY LEVINSON ALCOSER ASSOCIATES, COURTESY BUC-EE’S LTD

RETAIL

BATON ROUGE HAS become a popular spot for out-of-state companies to break into the Louisiana market—especially those hailing from the Lone Star State. Here’s a quick glance at some of the Texasbased companies that have recently opened in Baton Rouge or plan to:

MAIN EVENT ENTERTAINMENT: Based in Dallas, this company operates family entertainment centers across the country that feature bowling, laser tag, arcade, food and drinks. Main Event has agreed to lease a 49,810-square-foot space at the Siegen Lane Marketplace near Interstate 10, with an expected opening sometime in 2017. Founded in 1998, Main Event has 24 locations throughout the U.S.

COWBOY CHICKEN: This Dallas-based restaurant was founded in 1981 and has seen significant growth throughout Texas since it began franchising in 2009. Specializing in wood fired rotisserie chicken, it has roughly 20 locations, of which only three are located outside the Lone Star State (others are in Birmingham, Alabama, and Lincoln, Nebraska). The Baton Rouge location in the Siegen Place retail center at 6555 Siegen Lane opened in late March.

MOOYAH BURGERS, FRIES & SHAKES: The local franchisee of this Plano-based restaurant plans to open a second location later this year in Baton Rouge—and with good reason. Since opening his first restaurant in the Siegen Place retail center in 2013, Chuck Kerr says it has become the highest grossing MOOYAH restaurant in the country, with roughly $9,800 a day in sales. He plans to open the second location on Lee Drive between LSU and the new Lee Magnet High.

MOVIE TAVERN: This Dallas-based company began screening films locally last August after completing a $6 million renovation of the former United Artists Citiplace theater. Though Baton Rouge wasn’t its first Louisiana location (the Covington location opened about a year previous), it was the first to bring the full-service, in-theater dining experience to the Capital City. Movie Tavern opened its third Louisiana location in Juban Crossing in March.

YOUR PARTNER IN

PR GRESS DEMCO gives your business the power to grow.

demco.org

Real Estate Report 2016  |

/DEMCOLouisiana

63


Architecture firms

RETAIL

RANKINGS

Ranked by number of licensed, local architects. PREV. RANK

Robert Coleman III, Gary Gilbert, Marvin Ragland Jr., Dale Songy, Joe Saffiotti, Wendy Lee

15 WND

NOTABLE ARCHITECTURAL PROJECTS

1

1

2

2

Holly & Smith Architects 208 N. Cate St., Hammond 70401 (985) 345-5210/hollyandsmith.com

Michael Holly, Jeffrey Smith, Mark Beckers, Pierre Theriot, Ryan Faulk, Kevin Morris, Robert Boyd, Rohit Sood

11 24

Southeastern La. University Student Union Franklinton Readiness Center SLU Computer Science & Technology Building

3

Tipton Associates 449 Westmoreland Drive, Baton Rouge 70806 (225) 387-0101/tipton-associates.com

Bryon Hume, Daniel Zito, Kenneth Tipton Jr.

11 33

LA Tech University student housing (JV) Ruston Re-Imagined, city comprehensive plan LSU Honors College renovations

4

4

GraceHebert Architects 501 Government St., Ste. 200, Baton Rouge 70802 Gerald "Jerry" Hebert II, Adam Fishbein, Raymond "Jody" Gascon III, Kriste Rigby, David Hebert (225) 338-5569/gracehebert.com

10 29

Lee High School St. George Catholic Church LSU Student Recreation Center

5

6

Remson Haley Herpin Architects 200 Government St., Ste. 100, Baton Rouge 70802 Sam Herpin, Trula Remson (225) 383-0002/rhharchitects.com

9 12

The Advocate office building Knock Knock Children's Museum Willow Grove Town Center

4

WHLC Architecture 1744 Oakdale Drive, Baton Rouge 70810 (225) 767-1530/whlcarchitecture.com

Russell Washer, Mike Hill, Rick Lipscomb, Rex Cabaniss

9 25

Biscayne Beach Condominiums, Miami Baton Rouge General Medical Center Thibodaux Regional Wellness Center

6

Fusion Architecture 3488 Brentwood Drive, Ste. 101, Baton Rouge 70809 (225) 766-4848/fusionarchitecture.com

Kyle Kramer, Brad Guerin, Brandon Cooper

8 15

SUNO Arts and Humanities building Ochsner Louisiana East Baton Rouge Parish School System

10

Holden Architects 500 Laurel St., 5th Fl., Baton Rouge 70801 (225) 389-0077/holdarch.com

Thomas Holden

8 10

WND

9

8

Bradley-Blewster & Associates 8026 Picardy Ave., Baton Rouge 70809 (225) 769-7040/bradley-blewster.com

W. Carroll Blewster, C. Lynn Bradley

7 15

Our Lady of the Lake Heart & Vascular Institute LSU Medical Education and Innovation Center Our Lady of the Lake Emergency & Trauma Center

10

NR

DNA Workshop(1) 235 S. 14th St., Baton Rouge 70802 (225) 224-3363/dna-workshop.com

Dyke Nelson

6 12

440 on Third 500 Laurel Inman Mills, Inman, South Carolina

11

10

BCB Architects 3718 Government St., Baton Rouge 70806 (225) 343-2267/bcbaia.com

Henry Carville, Richard Brown, Jim Pugh, Matt Daigrepont

5 8

BRCC – The McKay Automotive Technology Center LSU new residence halls (Cypress Hall and Spruce Hall) BRCC Collision Center

9

Chenevert Architects 315 Third St., Ste. A, Baton Rouge 70801 (225) 334-9907/chenevertarchitects.com

Norman Chenevert, Mark Baum

5 10

640 Main St. Benny's Car Wash, Siegen Lane 200 Laurel St. additions and renovations

13

Cockfield Jackson Architects 6711 Perkins Road, Baton Rouge 70808 (225) 761-1680/cjarchitects.com

Tommie Cockfield, Stephen Jackson

5 9

EBR Main Library (JV) St. John the Baptist Catholic Church renovations and additions LSU Tiger Stadium locker room renovation

13

Domain Architecture 8316 Kelwood Ave., Baton Rouge 70806 (225) 216-3770/domain-dsgn.com

Michael Buturla, Sit Wong, Joseph Wild

5 17

St. Amant High School Freshman Academy St. George Fire Department master planning and design Lamar Advertising national architect

13

Crump Wilson Architects 5721 S. Sherwood Forest Blvd., Baton Rouge 70816 (225) 387-2307/crumpwilsonarchitects.com

Michael Wilson, Robert Boudreaux, Shawn Fisher, Carrie Knight

4 14

Episcopal High School: Innovative Learning Centers BASF, Missouri: Research and Development Laboratory Dresser Rand: office building and fabrication shop

10

Ritter Maher Architects 2987 Government St., Baton Rouge 70806 (225) 383-4321/rittermaher.com

Scott Ritter, Stephen Maher

4 11

LOPA (Louisiana Organ Procurement Agency) Pinnacle Orthopedics Gordon McKernan law office

13

The Architectural Studio(2) 409 N. Seventh St., Baton Rouge 70802 (225) 215-1777/architect7.com

Lance Malley, James Dodds

4 10

Lipsey's new distribution center Floating cabins, Bayou Segnette State Park La. State Capitol HVAS replacement, repairs and renovations

15

|  Real Estate Report 2016

OWNER(S)

Coleman Partners Architects 3377 North Blvd., Baton Rouge 70806 (225) 387-4414/cparch.com

7

64

NO. OF LICENSED, LOCAL ARCHITECTS NO. OF LOCAL STAFF

FIRM ADDRESS PHONE/WEBSITE

LSU Patrick F. Taylor Hall Office for Water Institute of the Gulf Bayonne at Southshore Apartments

NR=Not ranked. WND=Would not disclose. JV=Joint venture. Not all area architecture firms are shown, only those providing requested information with four or more licensed, local architects. Information presented was provided upon request by company representatives, and Business Report assumes the data are accurate and truthful. If you would like your company to be considered for next year’s list, or if there are any corrections or additions, please email scrump@businessreport.com. (1) Formerly listed as Dyke Nelson Architecture (2) 2015 data. Firm was unable to update information at the time of publication.

Researched by Sierra Crump


are received by the close of business today. • Additional revisions must be requested and may be subject to production fees. Carefully check this ad for: CORRECT ADDRESS • CORRECT PHONE NUMBER • ANY TYPOS This ad design © Louisiana Business, Inc. 2016. All rights reserved. Phone 225-928-1700 • Fax 225-926-1329

The Lighting Industry is Growing Commercial · Industrial

Why EcoLite LED? Providing the most efficient approach to LED, EcoLite utilizes the highest quality and most efficient components available in the industry. EcoLite Executives have more than 20 years of combined expertise and have completed more than 5500 energy retrofit projects. With offices and sales agents throughout North America, Caribbean, Latin America, and India, EcoLite provides the highest quality LED products, razor edged competitive technology and incomparable warranty.

New and Retrofit Solutions Office Buildings • Retail Parking Lot Fixtures • Medical Car Dealerships • Petrochemical Manufacturing Facilities Hospitals • Airports • Municipal Convenient Stores • Gas Stations Assembly Buildings • Governmental • Free Energy Audit Proposals • 100% No Out of Pocket Leasing Program • Factory Direct Pricing • Guaranteed Energy Savings Insurance Policy • Rebate & Tax Incentive Experts • Standard 10 year Product & Labor Warranty

The Industry’s Only Standard 10 Year Product And Labor Warranty From Bankers Warranty Group

Visit our website and shop for EcoLite LED products at: ECOLITELED.COM

CORPORATE OFFICES: HOUSTON, TEXAS · BATON ROUGE, LOUISIANA · KOLKATA, INDIA

Real Estate Report 2016  |

For more information regarding a free energy audit proposal Contact us at: Info@EcoLiteInternational.com OR 1-844-LED SWAP (533-7927)

65


Property management firms

RETAIL

RANKINGS

Ranked by total square footage managed locally. PREV. RANK

1

1

2

2

3

3

4

4

5

8

6

6

7

7

8

5

FIRM ADDRESS PHONE/WEBSITE

SQUARE FOOTAGE (LOCALLY) SQUARE FOOTAGE (STATEWIDE)

NO. OF PROPERTY MANAGERS LOCAL/STATEWIDE TOTAL STAFF LOCAL/STATEWIDE

Valerie Lewis, Lanny Lewis

10,124,649 10,124,649

6/6 25/25

Joseph Pappalardo Sr., Debbie Harvill, Laura White

8,960,150 18,497,067

18/43 45/304

George Murrell, Linda Jackson, Lawrence Maestri

6,251,284 6,578,428

10/12 143/172

Mike Wampold

3,539,025 4,442,769

10/12 117/135

Beau Box, Brent Garrett, Branon Pesnell, Patti Pizzolato

2,460,562 2,670,255

2/3 10/12

Mark Hebert, George Kurz

2,300,000 2,300,000

2/2 14/14

Martin Mayer

2,264,992 12,825,985

3/14 23/198

Chris Daigle, Ashley Mackey, Tom Mackey

1,800,000 1,800,000

7/7 7/7

TOP LOCAL EXECUTIVE(S)

Lewis Companies 9828 Bluebonnet Blvd., Ste. F, Baton Rouge 70810 (225) 766-8802/lewis-companies.com NAI Latter & Blum Property Management 10455 Jefferson Hwy., Ste. 100, Baton Rouge 70809 (225) 297-7888/latterblumpm.com Maestri-Murrell Property Management 9018 Jefferson Hwy., Ste. B, Baton Rouge 70809 (225) 298-1240/mmcre.com Wampold Companies 4171 Essen Lane, Ste. 450, Baton Rouge 70809 (225) 215-1800/wampold.com Beau Box Property Management 5500 Bankers Ave., Baton Rouge 70808 (225) 237-3343/beaubox.com Kurz & Hebert Commercial Real Estate P.O. Box 80301, Baton Rouge 70898 (225) 925-0600/kurzhebert.com Stirling Properties 8550 United Plaza Blvd., Ste. 303, Baton Rouge 70809 (225) 926-4481/stirlingprop.com Tom Mackey Real Estate Services 9336 Interline Ave., Baton Rouge 70809 (225) 751-8847/tommackeyproperties.com

Issue Date: Real Estate Report Ad2 proof #2

WND=Would not disclose. Not all area firms are shown, only those providing requested information and managing 1,800,000 square feet or more locally. Information presented was provided uponrespond request from company or representatives. Business Report assumes data are accurate and truthful. If you would like your company to be considered for next year’s list, or if • Please by e-mail fax with your approval or minortherevisions. there any corrections email or scrump@businessreport.com. • ADareWILL RUN AS orISadditions, unless please approval final revisions

NOTABLE LOCAL PROPERTIES

Fieldhouse Condominiums University View Condominiums University Villas Homeowners Jefferson Place Boardwalk Apartments 4000 S. Sherwood CDI Centre Zachary Parkside Apartments Highland Club I & II CB&I Plaza II City Plaza City Plaza Sherwood Plaza Retirement Systems building Bluebonnet Square Shopping Center Corporate II 5551 Corporate Wrenwood Offices Perkins Rowe Stirling Millerville United Plaza I, II, VIII and XII Seven Oaks Longwood Court Natchez Trace Researched by Sierra Crump

are received by the close of business today. • Additional revisions must be requested and may be subject to production fees.

Carefully check this ad for: CORRECT ADDRESS • CORRECT PHONE NUMBER • ANY TYPOS This ad design © Louisiana Business, Inc. 2016. All rights reserved. Phone 225-928-1700 • Fax 225-926-1329

TO THE CITY OF

Central LOUISIANA

|  Real Estate Report 2016

WE’RE OPEN FOR BUSINESS • RATED 2ND-BEST SCHOOL SYSTEM IN LOUISIANA

66

EASILY ACCESSIBLE – JUST MINUTES FROM I-12, THE AIRPORT, DOWNTOWN • UNIQUE QUALITY OF LIFE DEVOTED TO WORKFORCE DEVELOPMENT • LACBD SITE SELECTOR AVAILABLE

C E N T R A L E CO N O M I C D E V E LO P M E N T | 2 2 5 . 2 61 . 5 9 8 8 | WWW. D I S COV E R C E N T R A L . N E T


INDUSTRIAL


C

M

Y

CM

MY

CY

CMY

K


INDUSTRIAL

INDUSTRIAL

DON KADAIR

INSIGHT

GOING BIG: Epic Piping, the pipe fabrication company created in early 2015 by Bernhard Capital Partners, is wrapping up construction on its state-of-the-art, 268,000-square-foot manufacturing and production facility in Livingston Parish. The company is spending $45.3 million to develop the facility, which will be air conditioned throughout, on a 70-acre site.

Insulated so far The Capital Region industrial market is holding steady despite the energy sector downturn. BY MARIA CLARK gas activity and its continued budget shortfalls. So far, the local industrial market—which includes distribution facilities, warehouse and storage properties— has not felt a significant impact from declining oil and gas prices, according to some of the leading realtors in the market. “We are not as affected by the drop in oil prices because we don’t have as many oil services companies here,” says Mathew Laborde, an

agent with Beau Box Commercial Real Estate. “The industrial market saw this big increase in demand for space after Hurricane Katrina. There was all this hype. Recently, because of all this economic expansion, there was also a lot of hype. You can see how a market could buy into the hype. But we didn’t overbuild. We built as much space as needed.” Vacancy rates have remained level over the last two years. In 2015 there was

a 7.6% vacancy rate, or approximately 2.03 million square feet of vacant industrial space, in the the Capital Region. Roughly 24.8 million square feet of industrial space is currently occupied or rented in the region. In 2015 the market did not experience any material change in vacancy rates, Laborde adds. The amount of space being added to the industrial market was equal to the amount of space being absorbed, approximately

Real Estate Report 2016  |

THE LAST FIVE years have been described as a boom period for Louisiana’s industrial market, with dozens of multimillion-dollar expansions announced, underway or completed along the petrochemical corridor between Baton Rouge and New Orleans. But the industrial real estate market in the Baton Rouge area may be entering a period of uncertainty as the state juggles the impact of a prolonged decline in oil and

67


ASSOCIATED PRESS

THE MARKET AT A GLANCE

New industrial construction in the Capital Region hit a four-year peak in 2014, at about 969,000 square feet, but fell back to about 205,000 square feet last year. Industrial real estate experts say that’s to be expected, though, as office-warehouse construction in the area has historically been project-driven for owneroccupied or preleased buildto-suit spaces, with very limited speculative building. The market has seemingly followed the wave of the plant expansion boom, which began around 2010 and is more or less wrapping up this year. There was roughly 83,900 square feet of space under construction at the end of last year.

Fewer than 50 sales of industrial properties measuring larger than 5,000 square feet were recorded in 2015. The relatively low sales figures mean properties in growth areas that have been built within the past decade are commanding premium prices, with the average sale price last year at $82 per foot for properties between 5,000 and 20,000 square feet in the southern portion of East Baton Rouge, Ascension, West Baton Rouge and Iberville parishes. Older, mature areas, however—such as the South Choctaw corridor in Baton Rouge—are not seeing prices rise, staying at about $25 to $30 per square foot.

Globally, the volume of commodities produced and mined across all industries is expected to increase, which will likely keep trading values distressed—though there’s been some encouragement recently with benchmark crude rising above $50 per barrel for the first time in seven months. But if oil and gas exporters continue to miss profit projections into the coming year, the local vacancy rate may tick up slightly, though a dramatic shift is not expected. The relatively strong dollar also continues to make export trade for U.S. companies less competitive.

THREE THINGS TO WATCH IN 2016

1

Vacancy rates are expected to remain stable going into 2016 at industrial spaces larger than 5,000 square feet. Over the last two years vacancy rates in the greater Baton Rouge area have remained at about 7.5%. These spaces include office-warehouse, distribution and manufacturing properties.

2

Construction job growth is expected in the coming year due to three industrial Livingston Parish projects alone: Epic Piping’s 268,000-square-foot manufacturing and production facility, Martin Brower’s 100,000-square-foot distribution center and an as-yet unnamed 140,000-square-foot beverage distribution center. The projects, as well as Shell’s $717 million expansion at its plant in Geismar and others, are expected to keep the market stable at least through the first half of next year.

3

Company decisions on announced projects will be key in 2016. Due to weakness in the energy sector, a number of large plant projects were either idled or canceled altogether in 2015. Meanwhile, a number of companies have put off final investment decisions on projects, including the four additional phases of Nucor’s planned $3.4 billion iron and steel plant in St. James Parish. Capital expenditures could also be curtailed in the coming year due to new business taxes approved by Louisiana lawmakers this year.

STOCK PHOTO

TAKEAWAYS INDUSTRIAL

| Real Estate Report 2016 68

440,000 square feet. “The companies on hold are taking more space than they did at the beginning of the year,” says Laborde. “This means they are either expanding or leasing new spaces, or it could be that there are new companies entering the market.” Real estate experts add that it may still be too early to determine how the market will respond to the state budget deficit, which could affect the availability of tax incentive packages that have helped secure many of the multimillion-dollar expansion projects in the energy and petrochemical industries. “We may have given away too much incentivewise to get these companies to do business here. It’s hard to take away incentives that have been given to them over a long time,” says Scot Guidry, with Mike Falgoust & Associates. “Oil and gas ultimately impacts everything, but when combined with new expenses to business and industry then I’d say yes, it was sort of the hammer that closed in a market that may have been slowing. However, it’s important to remember that aside from this, our area and state hold critical items important to these companies.” For example, Louisiana historically been able to attract companies because of access to natural and manmade infrastructure such as the Mississippi River, railways, and Interstates 10 and 12. Additionally, there is the draw of pipelines and feedstock “with cheap natural gas being the biggest draw,” says Guidry. “Gas is the feedstock that they use to make product and for some generate their respective plants. It’s not all bad, as there are still projects underway and in construction.”


DIGITS

Baton Rouge’s industrial market by the numbers These numbers apply to industrial space larger than 5,000 square feet including office-warehouse and distribution and manufacturing properties as of year end 2015 in the greater Baton Rouge area.

15%

$7 – $8.50

Local industrial vacancy rate at the peak of the recession at the end of 2010

Average industrial lease rate per square foot for prime land in East Baton Rouge Parish

7.6%

$2 – $3

Local industrial vacancy rate at the end of 2015

Average industrial lease rate per square foot for prime land in West Baton Rouge Parish

6.8%

$4 – $5

U.S. industrial vacancy rate at the end of 2015

DON KADAIR

Average industrial lease rate per square foot for prime land in Ascension Parish

WHAT THEY’RE PAYING

Average industrial lease rates per square foot in 2015

$3.50 - $4.50

5,000 to 15,000 square feet of flex space

5,000 to 15,000 square feet of older office warehouse space

$8.50 - $9.50

$3 - $4.50

$5.50 - $7

5,000 to 15,000 square feet of new office warehouse space

20,000 or more square feet of older bulk warehouse

20,000 or more square feet of newer bulk warehouse

SOURCE: Research data was provided by the Commercial & Investment Division of the Greater Baton Rouge Association of Realtors and presented at the 2016 Baton Rouge Trends seminar. Industry Trends speaker was Scot Guidry of Mike Falgoust & Associates Commercial Real Estate. For more information, visit batonrougetrends.net.

Real Estate Report 2016  |

$8 - $12

69


INDUSTRIAL

INSIGHT

Certified for success STATE AND LOCAL economic development agencies have pushed in recent years to ratchet up the number of Louisiana Economic Development Certified Sites, or parcels of available land that are designated as being development-ready for industrial or manufacturing use. Of the 66 certified sites in the state, 27 are in the Capital Region— most on or near the Mississippi River. Here’s a look at some of the LED Certified Sites in the Capital Region.

1. ALLSTAR SITE

204 acres Features: All utilities except wastewater are located on site. Has propane, propylene, natural gas, liquefied petroleum gas and hydrogen pipelines either on site or immediately adjacent. Sale price: $6,097,327.60

2. BATON ROUGE AVIATION BUSINESS PARK

125 acres Features: Owned by the cityparish and located within a Foreign Trade Zone. Adjacent to airport runway and all utilities are within close proximity. Lease rate: $762,300 annually

3. DONALDSONVILLE TECHNOLOGY AND INDUSTRIAL PARK 52 acres Features: Owned by the town of Donaldsonville, all utilities are on site. Zoned for industrial use and includes liquid CO2 and ammonia pipelines. Sale price: Negotiable

4. DOW LOUISIANA OPERATIONS WEST

883 acres Features: Has pipelines available on site including nitrogen, CO2, hydrogen, natural gas, ammonia, ethylene, propylene and benzene, among others. Sale price: $13,243,050

5. GATEWAY II

83 acres Features: All utilities except wastewater are located on site. Has propylene, natural gas, liquefied petroleum gas, and ethane pipelines either on site or immediately adjacent. Sale price: $6,984,293.12

14

9

13 12

6. GRACE FARMS EAST

457 acres Features: Bordered to the south by Interstate 10, with frontage, at an interchange with close proximity to both Lafayette and Baton Rouge labor markets. All utilities are within proximity. Sale price: $12,946,020

15

2

110

76

1

9. KENT SITE

902 acres Features: All utilities and dual Kansas City Southern railways on site. Adjacent to existing polymer facilities and plants. Sale price: $15,334,000 with no rail frontage or $22,550,000 with rail frontage

10. LIVINGSTON INDUSTRIAL PARK 94 acres Features: Owned by Livingston Parish, all utilities and rail spur are either on site or immediately adjacent. Sale price: $4,140,000

17

|  Real Estate Report 2016

16

3

site is master planned, including architectural typology, as a research and technology site for a specialized companies. Sale price: Negotiable Lease rate: Negotiable

12. NEW ROADS INDUSTRIAL PARK 72 acres Features: KCS railways line. All utilities are on site with the exception of electricity, which is in close proximity. Sale price: $1,760,400

13. NRG INDUSTRIAL PARK

640 acres Features: Immediately adjacent to the Big Cajun II power plant. Significant water and wastewater infrastructure and available capacity. Rail spur and natural gas transmission lines are within proximity. Sale price: $15,360,000 Lease rate: Negotiable

14. POINTE COUPEE PARISH PORT AND INDUSTRIAL PARK

45 acres Features: Port infrastructure and a dock, providing great marine logistical access to the Atchafalaya and Mississippi rivers. Lease rate: $66,855 annually

15. POINTE COUPEE POWER PARK 1,542 acres Features: Adjacent to a natural-gas-fired power plant and has more than 4.8 miles of Mississippi River frontage. Sale price: $30,069,000

16. POINTE SUNSHINE MEGASITE 987 acres Features: Three miles of Mississippi River frontage for deepwater access. Zoned for industrial use and includes both 16- and 20-inch diameter natural gas pipelines. Sale price: $40,000,000

17. WATERLOO

11. LSU INNOVATION PARK 200 acres Features: All utility infrastructure. The

SOURCE: Baton Rouge Area Chamber

70

10

5

515 acres Features: Immediately adjacent to Grace Farms East site. All utilities are within proximity. Sale price: $14,029,300

55 acres Features: Owned by Iberville Parish, the site is within proximity to Dow’s Plaquemine chemical plant. Except wastewater, all utilities are on site. Sale price: $1,209,560

12

11

4 8

7. GRACE FARMS WEST

8. IBERVILLE INDUSTRIAL & TECHNOLOGY PARK

10

10

156 acres Features: An active deepwater dock with rail access. Natural gas, ethylene, ammonia, chlorine and hydrogen pipelines on site, among others. Lease rate: $7,794,000 annually


LIGHTING THE WAY

TO SUCCESS

NEW CONSTRUCTION

FACILITY MAINTENANCE

RENOVATIONS

SITE LIGHTING MAINTENANCE

DESIGN/BUILD

LIGHTING RETROFITS

STANDBY GENERATORS

SERVICE CALLS

225.387.5017 • WWW.CHUSTZELECTRIC.COM • 515 ALLENDALE DR., PORT ALLEN, LA 70767


New construction projects in 2016

|  Real Estate Report 2016

INDUSTRIAL

RANKINGS

Ranked by permit valuation in East Baton Rouge Parish.

72

OWNER

ADDRESS

VALUATION

SQUARE FOOTAGE DESCRIPTION

1

Park 7 Apartments

222 E. Boyd Drive

$41,568,202

560,442

New construction of a six-story apartment building

Park 7 Group

2

Tapestry Park Apartments

7857 Jefferson Hwy.

$13,900,000

161,991

New construction of a four-story apartment building

Arlington Construction Services

3

Brightside North Condominiums

1362 Brightside Drive

$11,500,000

12,752

New construction of apartment building in existing complex

Kent Design Build

4

Brian Harris Automotive

11955 Airline Hwy.

$9,500,000

39,375

New construction of automobile dealership showroom and service bay

Carriere-Stumm Construction

5

THRIVE Academy

2585 Brightside Drive

$7,036,000

43,740

New construction of a three-story residential dormitory for charter boarding school

The Lemoine Company

6

Main Street Townhomes

111 Main St.

$7,000,000

7,961

New construction of a four-story apartment complex

The Lemoine Company

7

Watermark Baton Rouge

150 Third St.

$6,480,000

90,177

Renovation of an existing office building into a hotel

Milton J. Womack

8

Woman's Hospital

100 Woman's Way

$5,518,000

13,852

Addition of third floor to an existing two-story hospital

Arkel Constructors

9

Sequoia Investments

3854 American Way

$4,872,000

75,243

Renovation of existing office building Arkel Constructors

10

Hawthorne Heights Apartments

2136 Lobdell Blvd.

$4,500,000

9,119

Renovation to 28 existing apartment Beaurayne Builders buildings

11

East Baton Rouge Parish Schools Department of Transportation

6013 Choctaw Drive

$4,400,000

23,925

New construction of a school bus service center

Charles Carter Construction

12

Seaman Development Corp.

6060 Siegen Lane

$3,665,000

38,984

New construction of an upholstered furniture and retail sales building

HGR Construction

13

Liberty Lagoon

111 Lobdell Ave.

$3,600,000

6,126

New construction of a restroom and concession building for existing water park

Wharton-Smith

14

Beauregard Quarters

141 Napoleon St.

$3,523,000

40,959

New construction of a four-story, 25-unit multifamily housing structure GSD Development Co.

15

MMR Group

16073 Airline Hwy.

$3,100,000

29,084

New construction of a two-story office building

16

Arkel Constructors

1020 Florida St.

$2,500,000

26,317

Interior demolition and renovation of Arkel Constructors two, two-story office buildings

17

Cinemark Perkins Rowe

10000 Perkins Rowe

$2,360,000

37,737

Renovation of existing movie theater MAPP Construction

18

Old Dominion Freight Lines

9762 S. Perdue Ave.

$2,000,000

5,479

Addition of dock to existing train freight terminal

D.F. Chase

19

Fresenius Medical Care

1280 O'Neal Lane

$1,500,000

9,232

New construction of an outpatient dialysis facility

Thrash Construction Services

Blue Cross and Blue Shield of Louisiana

5525 Reitz Ave.

$1,500,000

5,265

Renovation to lobby and entrance of Faulk & Meek General building Contractors

Listed are new 2016 construction projects of $1,500,000 or more permitted as of May 12, 2016 in East Baton Rouge Parish. Source: mypermitnow.org. Business Report assumes the data are accurate and truthful. Email scrump@businessreport.com with corrections.

CONTRACTOR

Big River Construction and Remodeling Co.

Researched by Sierra Crump


PRIME REAL ESTATE

KEEP UP with the latest real estate, business and politics news from Business Report. And if you are looking for a prime location for your company’s advertising message to reach top decision-makers, we have it online and in print.

Business Report

Daily Report AM/PM

Book of Lists

Real Estate Report 2016

|

For more information email Sharon Wright at swright@businessreport.com or call at 225-928-1700

73


Industrial construction firms

|  Real Estate Report 2016

INDUSTRIAL

RANKINGS

Ranked by number of local employees.

74

PREV. RANK

COMPANY

ADDRESS PHONE/WEBSITE

TOP LOCAL EXECUTIVE(S)

NO. OF LOCAL EMPLOYEES

GROSS REVENUE 2015

1

1

Turner Industries Group

8687 United Plaza Blvd., Baton Rouge 70809 (225) 922-5050/turner-industries.com

Roland Toups, Thomas Turner, Billy Guitreau

11,304

$2,971,007,676

2

2

Performance Contractors

9901 Pecue Lane, Baton Rouge 70810 (225) 751-4156/performance-br.com

Art Favre, Kevin Courville, Brent Boé, Julius Mabile, Lee Jenkins, Willie Lefever, Christian Fast

5,500

$1,530,000,000

3

NR

Brown & Root

2600 CitiPlace, Ste. 500, Baton Rouge 70808 (225) 778-7655/brownandroot.com

Andy Dupuy, Fred McManus, Lee Barnett

4,900

$625,000,000

4

4

Cajun Industries

15635 Airline Hwy., Baton Rouge 70817 (225) 753-5857/cajunusa.com

Todd Grigsby, Mike Moran, Milton Graugnard, Shane Recile

3,000

$560,000,000

5

3

EXCEL Group

8641 United Plaza Blvd., Baton Rouge 70809 (225) 408-1300/excelusa.com

David Roberts, Jeff Smith

2,500

$405,000,000

6

9

ISC Constructors

20480 Highland Road, Baton Rouge 70817 (225) 756-8001/iscgrp.com

Edward Rispone, Jerry Rispone

1,800

$329,000,000

5

MMR Group

15961 Airline Hwy., Baton Rouge 70817 (225) 756-5090/mmrgrp.com

James Rutland, Tom Welborn, Grady Saucier

1,800

$705,000,000

8

8

The Newtron Group

8183 W. El Cajon Drive, Baton Rouge 70815 (225) 927-8921/thenewtrongroup.com

Newton Thomas, Bruce Beard, John Schempf

1,300

$440,000,000

9

6

Boh Bros. Construction Co.

12203 Airline Hwy., Baton Rouge 70817 (225) 753-0100/bohbros.com

Jeff Plauche

1,200

$288,000,000

10

7

CB&I

4171 Essen Lane, Baton Rouge 70809 (225) 932-2500/cbi.com

Edgar Ray

1,084

$12,900,000,000

11

10

Pala Group

16347 Old Hammond Hwy., Baton Rouge 70816 (225) 272-5194/palagroup.com

Jorge Tarajano, Scott Barringer, Gay Young

550

$101,009,000

12

11

Barriere Construction Co.

11328 Cedar Park Ave., Baton Rouge 70809 (225) 753-1121/barriere.com

George Wilson, Peter Wilson, Bert Wilson, Matt Lammon, Robert Senglemen, Matt Woods, Jim Breland, Doug Olsen, David Mayer, Heath Wahden, Chris Williams, Jason Latiolais

520

WND

13

13

Westgate

1355 Beaulieu Lane, Port Allen 70767 (225) 749-2635/westgatellc.com

John Thigpen, Tim Thigpen

400

$35,250,000

14

11

Group Industries

P.O. Box 83560, Baton Rouge 70884 (225) 752-2500/group-industries.com

David Arrighi Sr., Shane Kirkpatrick, Kevin Gourgues, Donn Peterson

350

$85,500,000

15

14

Volks Constructors

17474 Old Jefferson Hwy., Prairieville 70769 (225) 673-3236/volksconstructors.com

Lawson King, LaAnn Adams, Steve Munsell, Karl Beadle, Chetta Hudson

316

$40,696,330

16

16

Trade Construction Co.

17043 Joor Road, Zachary 70791 (225) 654-7741/tradeconstruction.com

Brennan Easley, Andi Kirkpatrick

260

WND

17

15

TOPCOR Companies(1)

12025 Industriplex Blvd., Baton Rouge 70809 (225) 753-7067/topcor.com

James Baker, Guy Lewis

250

WND

18

17

Beard Construction Group

3970 Rosedale Road, Port Allen 70767 (225) 387-2339/beardconstructiongroup.com

James Beard, Keith Coleman, L. Grant Witty, Matt Milton

249

$53,000,000

19

18

Plant Performance Services (P2S)

635 La. 30, St. Gabriel 70776 (225) 756-8992/p2sworld.com

Mack Bozarth

150

WND

20

19

The Lemoine Co.

15555 Airline Hwy., Baton Rouge 70817 (225) 383-3710/lemoinecompany.com

Leonard "Lenny" Lemoine

75

$185,405,018

21

NR

Coastal Industries

4825 Jamestown Ave., Baton Rouge 70808 (225) 766-0244/coastalbuilds.com

Kelly Sills, Dennis Mannino

40

$6,300,000

20

Southern Power Systems(1)

8501 Joor Road, Baton Rouge 70818 (225) 261-7807/sopower.com

Troy Rispone, Emile Faust, Rudy Bachmann

40

WND

21

Ascension Roofing and Fabrication

2140 S. Philippe Ave., Gonzales 70737 (225) 647-3576/ascensionrsm.com

Rebecca Evans-Mouk

36

WND

23

NR=Not ranked. WND=Would not disclose. Information presented was provided upon request by company representatives, and Business Report assumes the data are accurate and truthful. Not all area industrial construction firms are shown, only those providing requested information with 36 or more local employees. If you would like your company to be considered for next year’s list, or if there are any corrections or additions, please email scrump@businessreport.com. (1) 2015 data. Firm was unable to provide updated information at the time of publication.

Researched by Sierra Crump


Stately elegance

with all the charm of home

PE

CU

EL

AN

E

Situated on the winding stretch of historic Highland Road at Pecue Lane, Valhalla is an exclusive gated neighborhood featuring twenty half-acre estate lots. With an oak-lined boulevard shading the streets and a private lake, residents of Valhalla will enjoy a quiet retreat from the city just a short drive away from the heart of south Baton Rouge. There’s no better time than now to own a piece of history and call Valhalla home.

H HIG

L AN

DR

OAD


Profile for Baton Rouge Business Report

2016 Baton Rouge Real Estate Report  

Real estate continues to be a critical economic driver in the Capital Region. We bring it all together for you in this special issue dedicat...

2016 Baton Rouge Real Estate Report  

Real estate continues to be a critical economic driver in the Capital Region. We bring it all together for you in this special issue dedicat...

Recommendations could not be loaded

Recommendations could not be loaded

Recommendations could not be loaded

Recommendations could not be loaded