In the News—Week of July 14, 2025
Deal of the Week
A Montana-based investor completed the $22.4 million refinance of a large commercial property located in Santa Cruz County, Arizona. The asset positioned in the rural community of Amado, supports ranching and agricultural operations. The transaction was coordinated in partnership with Stewart Title’s National Commercial Services NY office and closed by Senior Title Officer Teri Guevara. Key contributions came from Melissa Thacker on title coordination and Eric Stewart on closing logistics. This deal reflects continued investor interest in high-value land assets throughout Southern Arizona.
National
Retail booms in West Palm Beach as wealthy New Yorkers flee city
West Palm Beach is experiencing an unprecedented retail boom, with vacancy rates near zero and occupancy at record highs, Fox Business reports. This surge is primarily driven by the migration of wealthy individuals, financial executives and tech leaders to South Florida since the COVID-19 pandemic began in 2020. With approximately 90,000 new residents in Palm Beach County, the area has rapidly transformed from a seasonal destination to a year-round community. The growth is supported by Florida’s favorable tax environment and expanding economy, attracting both retailers and residents. As financial firms establish offices in the region, they bring well-compensated professionals seeking upscale lifestyle experiences, creating a self-reinforcing cycle of development and demand.
National
BlackRock adds $7.3B to CRE holdings with acquisition of ElmTree Funds
BlackRock Inc. is acquiring ElmTree Funds, a commercial real estate investment firm specializing in industrial properties, adding $7.3 billion in assets to its portfolio, MPA Magazine reports. The deal, primarily paid in stock with performance-based additional payouts, will integrate ElmTree into BlackRock’s newly formed Private Financing Solutions platform following its recent $12 billion HPS Investment Partners acquisition. This expansion aligns with CEO Larry Fink’s strategy to diversify beyond traditional investments into private markets, supporting his vision of a future “50/30/20” portfolio model of stocks, bonds and private assets. The transaction is expected to close within three months pending regulatory approval.
National
Good times for Class A office space in Fort Worth, hard times for Class B
Fort Worth’s office market in mid-2025 shows a stark division between thriving Class A spaces and struggling Class B properties, Fort Worth Inc. reports. Employment growth of 15.3% since 2020 has driven demand for premium offices, despite overall vacancy rising to 18.8%. Average rent stability at $28.36 per square foot masks Class A increases to $30.68, representing a 7.4% rise over three years. New construction of 275,000 square feet (65% preleased) is underway. JLL predicts continued “flight-to-quality” relocations and rising rents through 2026.
National
Longtime Portland developer faces legal action over $63 million loan
A major real estate lender is seeking foreclosure on a prominent Portland developer’s downtown office building, Willamette Week reports. Metropolitan Life Insurance Company filed a lawsuit against John W. Russell, claiming breach of contract on a $63 million loan for the “Black Box” building at 200 SW Market St. The dispute arose after a large tenant reduced their space, and Russell allegedly failed to make payments into a reserve account intended for improvements to attract new tenants. Despite multiple notices from the lender, Russell reportedly did not address the default issues, though he characterized the lawsuit as “old news” and stated “nothing will change.” Russell, 80, has been a developer for more than 50 years.
Arizona
Toyota spending $50 million to improve vehicle testing facility near Wittmann
Toyota has announced it is spending $50 million on improvements to its Arizona Proving Grounds, AZ Big Media reports. The upgrades include a 5.5-mile oval track and an off-road park. The facility, formally named the Arizona Mobility Test Center at Toyota Arizona Proving Grounds, has been available to other companies for vehicle testing since 2021 and hosted 37 organizations. Located near Wittmann, the 11,650-acre facility features 77 miles of testing surfaces and will soon include a dedicated space for developing advanced driver assistance technology.
Arizona
Developers break ground on $92 million AC Hotel Marriott/Westin at CityNorth
LaPour Partners and Holualoa Companies have broken ground on a $92 million dual-branded Marriott hotel in Phoenix’s CityNorth development, AZ Big Media reports. The hotel will feature 240 rooms split between AC Hotel by Marriott and Element by Westin brands. The eight-story property will offer meeting space, a saline pool and sustainable design elements that meet GreenKey Certification standards. Strategically located near major corporate headquarters and the expanding Mayo Clinic, the hotel aims to serve the growing hospitality needs of the Loop 101 corridor.
