[SA] Hundreds of acres near 1604 and Bulverde on market

[sirkingwilliam]

• Bulverde Corner - 250,000 Square Feet
• Bulverde Marketplace - 750,000 Square Feet

http://www.mysanantonio.com/business...s.2cfb14a.html

Hundreds of acres near 1604 on market

Web Posted: 02/05/2008 02:30 AM CST

Creighton A. Welch
Express-News Business Writer

Traffic around U.S. 281 and Loop 1604 could get even worse soon. First American Commercial Property Group announced Monday a listing of 520 acres of land near 1604 between the freeway and Interstate 35.

The acreage, which First American is calling Bulverde Oaks, is one of the largest parcels to be listed recently and is divided into four major tracts. It's zoned for a variety of commercial uses, but 164 acres are reserved for green space because the property is over the Edwards Aquifer recharge zone.

"I believe it's the largest amount of land closest to 281 that's for sale," said Landon Kane, a partner with First American, which is listing the land for $83.4 millionfor Capital Foresight Ltd., a California investment company that purchased the property in March.

"We are extremely excited about this project because it will represent the next big area of expansion east from 281 and along Loop 1604."

Two of the listing's tracts are along the east side of Bulverde Road (77 and 81 acres); one is on the north side of Loop 1604 against Judson Road (257 acres, of which 93 are developable); and one is south of Loop 1604 (105 acres).

"It could conceivably be one major development," Kane said.

Or it could become different projects, which might include office space, apartments, retail or churches. Apartments seem to be most necessary.

"There are very few multifamily projects in the area," Kane said. "There's really no reason for it, and there's a need for it."

Even though the land could be broken up — there are 14 parcels available ranging from 2 to 73 acres — a developer could buy all the land.

"One hundred acres for one project alone is big," said Ross Partlow, an adviser with Sperry Van Ness, a San Antonio commercial real estate company. "A good multifamily project could be done on 15 to 20 acres."

The land prices range from $3.50 per square foot to $18 per square foot.

This much land for sale at one time is becoming rare in Bexar County, especially close to major highways and intersections.

"Most everything inside and around 1604 has been developed," said Michael Moore, president of the Greater San Antonio Builders Association.

Two major retail and commercial intersections already have been created along Loop 1604, at U.S. 281 and Interstate 35. Now, growth is starting to take place in between.

"The stretch along Loop 1604 between the two hubs is the likely target for future growth," said Kimberly Gatley, senior vice president and director of research with NAI REOC Partners, a San Antonio real estate company.

Some of the development happening in between those hubs includes The Legacy, a mixed-use development; the new Tesoro Corp. 500,000-square-foot headquarters; and a 750,000-square-foot retail center called Bulverde Marketplace, developed by HPI Real Estate Services and Investments Inc.

Bulverde Oaks is also near the Cibolo Canyons master-planed community which includes the future 1,002-room JW Marriott resort and two PGA golf courses.

Despite all the commercial development under way, Partlow says there are enough homes in the area to support even more commercial growth.

"I think there's some commercial opportunity there," he said. "There will still be some people looking to fill a void. I think there are definitely some great (potential) multifamily tracts there. Some of them are in highly desirable areas."