Dave Spence sells pharma HQ for $12.2M

The North County headquarters of Legacy Pharmaceutical Packaging has been sold for $12.2 million.

The buyer was New York-based Royal Oaks Realty Trust, which owns more than 3.6 million square feet of property across 13 states.

The sale, which closed Aug. 14, includes a 15-year leaseback agreement with Legacy, which services the branded, generic, wholesale and major retail pharmaceutical markets. Lease rates in North County average $4.30 per square foot, according to the most recent data from CBRE.

Hal C. BallBig Sky Properties Principal Dave Spence, a one-time Republican gubernatorial candidate who also serves as CEO of Legacy, was represented by Hal Ball of Hilliker Corp. in collaboration with Vince Vatterott and Jason Simon of Westwood Net Lease Advisors. Hilliker had represented Big Sky when it acquired the property in 2013 for $6.5 million.

The sale follows a multimillion-dollar investment from Legacy, which said it spent:

  • $6 million over the past two years adhering to new track and trace rules from U.S. Food and Drug Administration
  • Over $20 million on equipment and clean rooms since 2014
  • $1.5 million in property improvements since 2013
  • and $350,000 on a locker, bathroom and cafe remodel that wrapped in April.
  • Legacy, founded in 2004, produces over 800,000 units a day, company officials said.

Legacy Pharmaceutical operates in the 189,555-square-foot distribution facility at 13333 Lakefront Drive in unincorporated north St. Louis County. Similar properties nearby have sold for roughly the same price as Legacy’s over the past two years, according to real estate data firm Reonomy.

St. Louis Business Journal

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Hilliker Corporation has served St. Louis since 1985, having brokered over 10,000 transactions. As the area’s largest locally-focused commercial real estate broker, we know our region intimately. From new construction to historic properties, we help our entrepreneurial clients become part of a great tradition.

If you’re ready to buy, sell, or lease commercial real estate in the St. Louis area, Hilliker Corporation is poised to help you find the property that suits your unique needs, plans, and dreams.

Schedule an appointment today.

How Hilliker Thrives in the Cutthroat Commercial Real Estate World

The independent, Brentwood-based firm credits a hyperlocal approach with national connections for its success in face of its heavy-hitter competitors.

Ben M. HillikerWhen Ben Hilliker started his real estate firm more than 30 years ago, he could count his competitors on one hand.

Today, Hilliker Corp. is among more than two dozen commercial real estate firms, including corporate heavyweights such as CBRE, Cushman & Wakefield and JLL, in the St. Louis metropolitan area vying for listings.

“We haven’t tried to stand out. We’ve simply done what we feel is best for our clients, and in turn, for us,” Hilliker said.

Hilliker, founder and CEO, leads the firm along with President H. Meade Summers III, Senior Vice President and Principal Hal Ball, Vice President and Principal Scott Martin and Vice President and Principal Will Aschinger.

Brentwood-based Hilliker Corp. is not known for multimillion-dollar, blockbuster deals. Though it sells up to 20 properties a month, its deals often stay below the $10 million mark.

But that’s where Hilliker has found a niche that’s kept it successful despite corporate-owned competitors.

Key to its strategy, Hilliker said, is putting the agents’ success before the company, staying out of investment and development to avoid any conflict with clients, and guiding clients through every step, including tasks like rezoning. Hilliker’s agents average more than 15 years of experience in real estate.

In addition, market expansion has been an area of focus. The company has broadened its footprint from doing deals mostly in the city to now reaching into the corners of Jefferson and Franklin counties.

In the past five years, the firm has added five brokers and moved to a bigger office at the Magna Place building on Brentwood Boulevard in 2013.

And in 2011, it hit a milestone with its acquisition of Westwood Net Lease Advisors, which specializes in 1031 tax-exchanges and caters to buyers seeking triple net leases, where tenants are responsible for the property’s expenses.

The deal helped diversify Hilliker. Most of Westwood’s clients are local individual investors, typically in their 60s. Westwood connects its buyer-clients to properties with “recession-proof” tenants such as dialysis centers, dollar stores, fast food and fast-casual restaurants, daycares and even car washes, said Westwood President Chris Schellin.

In 2017, vice presidents Vince Vatterott and Jason Simon closed on a $92.6 million deal for its client to acquire the Dow Chemical headquarters building in Midland, Michigan, marking Westwood’s largest deal ever.

Hilliker often will sell a property for a client who will then use Westwood to reinvest those proceeds into another property.

“We’re giving sellers an avenue to the national marketplace, (and) we’re bringing national players to the St. Louis market,” Schellin said. “It’s a win-win for everybody.”

Several years ago, Hilliker Corp. tapped Westwood to help with long-term client Dave Spence. No longer a majority owner of parent company Alpha Packaging — one of St. Louis’ biggest privately held companies — Spence wanted to sell Alpha Plastics Co.’s facility in Overland.

Together with Vatterott, Hilliker Corp. renegotiated a lease with Alpha to make the property more attractive, and in early 2015 New York City-based Gramercy Property Trust closed on its acquisition of the facility for $10.6 million, according to St. Louis County records.

“We couldn’t have orchestrated that better. And we’ve found more and more situations like that (because of Westwood),” Hilliker Corp.’s Hal Ball said. “We’ve found this in-between zone that’s been exciting for all of us.”

Read the Full Article HereSt. Louis Business Journal

 

Hilliker Corporation has served St. Louis since 1985, having brokered over 10,000 transactions. As the area’s largest locally-focused commercial real estate broker, we know our region intimately. From new construction to historic properties, we help our entrepreneurial clients become part of a great tradition.

If you’re ready to buy, sell, or lease commercial real estate in the St. Louis area, Hilliker Corporation is poised to help you find the property that suits your unique needs, plans, and dreams.

Schedule an appointment today.

Hilliker Serves Up Healthy Helpings

Hilliker Corporation, announced last Friday, that they have helped seal the deal to bring one of Chicago’s favorite eateries to the St. Louis area.

Potbelly Sandwich Shop will move into the former home of The Fatted Calf, located at 12 S. Beminston Ave., in Clayton by the end of this October.

12 S. Bemiston Ave., Clayton, MO

The Fatted Calf was established in 1966 and was a local landmark for more than 40 years. Now, the entire 2,445 square foot space will be completely renovated including a new front façade with a more modern appeal.

Hilliker Corporation’s Powell Kalish represented the building owner in the five year lease commitment. NAI Desco represented Potbelly.

This is the second St. Louis location for the famed Chicago original. The Potbelly menu will feature healthy toasted sandwiches, salads and sides with plenty of vegan options.

Powell Kalish, Hilliker Corp.

Franchise owners for both St. Louis stores are Todd and Angela Stimson and Dr. Lawrence and Monica Boveri. The partners opened their Creve Coeur location t 11615 Olive Blvd, in August of 2012. They have plans to open two more Potbelly Sandwich Shops in St. Louis by 2015.

Potbelly Sandwich Shop was originally started in Chicago in 1977 and has 270 locations nation-wide.

“We picked Clayton for our second location because we already have a huge fan base among business people who are familiar with this Chicago favorite,” owner Todd Stimson says. “Customers love our experience, and it’s a natural fit for our neighborhood shop to be located in Clayton.”

According to Stimson, there are 88 Potbelly Sandwich Shops in the Chicago area and company plans to open a store each year in the St. Louis area for a total of 10 to 15 locations.