Texan Firm Makes a Splash in Napa
Fort Worth-based Trademark is planting a flag in wine country, announcing its first project in California: Napa Center, a 153k SF retail and hospitality district in the heart of Napa. Zapolski Real Estate bought the aging Napa Town Center site last year and just brought on Trademark as an equity partner and leasor to complete the $25M overhaul. Trademark CEO Terry Montesi says their retail and mixed-use portfolio in the Lone Star State, including La Palmera in Corpus Christi and Market Street-The Woodlands in the Houston area, show they're up for the job; in all, they've developed more than 10M SF worth over $1.2B. ("Texas: If you can make it there, you'll make it anywhere." -- Buck Sinatra.)
The foot-friendly shopping mecca, opening fall 2015, will contain 40 retailers and restaurants and the 185-room ARCHER Napa, a four-star luxury hotel (and downtown's biggest) to be developed and operated by LodgeWorks Partners. (Their inaugural property, the ARCHER Hotel New York, is scheduled to open Q1 2014 in Midtown Manhattan.) ZRE and Trademark also have another JV cooking: Last month the duo bought the Gordon Building on First Street, a 20k SF historic property next to Napa Center they plan to develop together. (Is it just us, or is the child in the lower right trying to steal that giant acorn?)
ZRE principal Todd Zapolski says Napa's evolved from small-town suburbia to an upscale regional boutique market. "The new Napa," he calls it. He's in the Big Apple today wooing potential retailers for Napa Center, with rents likely going for $3.50 to $6/SF. He's not going after "the Pradas of the world" but rather high-quality, approachable names. Construction won't start on the Gordon Building until Napa Center delivers in late 2015. Todd and Terry are kicking around ideas of converting the site for residential, office or more retail use.