Cushman & Wakefield | CRESCO brokers Rico Pietro and Jim Krivanek represented New York-based Somera Road Inc. in their search for a value-add investment in Cleveland. After significant consideration, Somera Road acquired the former Ohio Means Jobs Headquarters located at 1020 Bolivar Road in downtown Cleveland and plans to transform the historic office building into modern, creative office space to meet the demands of the growing Cleveland market.
Somera Road has been steadily adding Northeast Ohio properties to their investment portfolio, working alongside Pietro and Krivanek to find the best value-add properties in the region. The Bolivar property is an ideal fit for the firm’s investment profile, and is slated to undergo a significant upgrade and capital improvements under new ownership,
“Somera Road has been investing in the Cleveland area for a long time,” said Matt Schagrin, Vice President of Asset Management at Somera Road. “We’re particularly excited about this building because traditionally, creative office space has lagged in Cleveland versus other markets. There are unique office projects happening in surrounding areas, but in general, there has not been a lot of creative office space supply in the downtown market, despite the significant growing demand in the area. This building will become the largest creative office space conversions to date in downtown Cleveland.”
The 140,000 square foot office building is located in the designated Downtown Cleveland Opportunity Zone, which refers to an economically-distressed community where new investments may qualify for preferential tax treatment. There has been over $6 billion invested in Downtown Cleveland over the past 5 years, according to OpportunityCLE.com. Somera Road views the area’s activity as a solid indicator of the market’s growth trajectory, driven by residents’ and employees’ desire to live and work downtown.
“The steady growth of outside investments is a testament to investors’ confidence in our market. Opportunity Zones may amplify that effect,” said Cushman & Wakefield | CRESCO Managing Director Nate Kelly.
The building is comprised of three office floors, with 36,000 square feet of office space per floor, and plenty of raw space for the new owners to renovate. Included in the site is ample parking – three times the typical parking ratios in downtown Cleveland, including a 400 space covered parking garage. The developers have already begun to upgrade the building’s amenities, including a new lobby and rooftop patio that will overlook Progressive Field. The plan calls for preserving exposed brick and beams to create a modern, industrial aesthetic.
The building’s central location makes it an ideal space for many different types of tenants seeking proximity to all the downtown activity, situated at the intersection of the Gateway and Playhouse Square Districts. The building’s rooftop overlooks Progressive Field and is easy walking distance to the Q, Playhouse Square, East Fourth Street and the highly anticipated nuCLEus Development.
“Somera Road’s instincts for investments and vision for their properties make an impact in Greater Cleveland,” said Krivanek. “We’re thrilled to be a part of a project and a team with such impact.”
“Cushman & Wakefield | CRESCO have been a trusted partner from the beginning,” continued Schagrin. “Rico Pietro and Jim Krivanek are incredibly well positioned to help us grow this project – and have outstanding reputations and relationships in the market. We’re already seeing a ton of activity and look forward to bringing our vision for the building to fruition.”
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