San Antonio Business Journal - December 9, 2005 by Tricia Lynn Silva
A Dallas-based developer, who is bullish on San Antonio, has teamed up with a local real estate pro to acquire a large parcel of land on the Northwest Side for a planned multimillion-dollar development.
Shaul Baruch, in partnership with local developer Craig Glendenning, recently closed on 382 acres of land at the northwest corner of Interstate Highway 10 and Camp Bullis Road.
The deal was finalized a little over a week ago, says Baruch, who owns Baruch Properties.
Plans for the project call for a mix of single-family, multifamily and commercial construction, says Glendenning, who is the president of Post Oak Development of Texas Inc.
"The tract has some of the most enjoyable views anywhere," says Baruch, who points out that he has been all over the world. "I've seen many areas; this is one of the best."
Glendenning puts development costs for the project at around $25 million.
The development duo are also boasting a new equity partner with their latest venture -- Montgomery, Ala.-based The Colonial BancGroup Inc.
Colonial BancGroup is a holding company that includes, among its subsidiaries, Colonial Bank NA.
Baruch and Glendenning have yet to christen their latest project with a name, although Baruch quips that those involved with the project have referred to it as The New Dominion.
Indeed, the homes in the project will likely be along the same price range as those in The Dominion. At present, about 232 of the tract's 382 acres have been set aside for single-family development. Glendenning expects that homes would start at about $400,000.
Town homes are planned for another 80 acres in the development, Glendenning adds. These units would likely start in the low $130,000s.
The balance of the land, 70 acres, is to be set aside for a mix of retail and office development, according to Brenda Kelly-Rowe, associate principal and land development unit manager for the local office of Carter-Burgess.
In all, the project could accommodate upwards of 100,000 square feet of retail space, adds Kelly-Rowe, whose firm is handling engineering and master-planning services for the project.
On the office side, the emphasis will be on developing professional condominiums -- namely for medical-office users/owners, Glendenning says.
With this latest deal, the duo of Glendenning and Baruch now own almost 1,200 acres of land around the Loop 1604/I-10 corridor -- one of the city's hottest retail and residential thoroughfares.
In March of this year, the duo closed on 685 acres of land of off Kyle Seale Parkway, about two miles north of Loop 1604 for a project called Sonoma Verde.
About four months later, Glendenning and Baruch purchased 100 acres at Babcock Road and Luskey Boulevard for a project they have officially named The Heights of Crown Ridge.
"This is such a good area," says Baruch, who points to the high-profile projects in the corridor -- such as The Shops at La Cantera, The Rim retail center and Fiesta Texas. "Everybody loves it; it is the hottest area."
Indeed, this sector certainly was attractive to Colonial BancGroup, says Tony Stephenson, area president for the Dallas division of Colonial Bank.
As a rule, Colonial BancGroup is selective about the real estate ventures in which it chooses to act as an equity partner. In fact, the Baruch/Glendenning deal marks Colonial's first project ever in Texas, adds Stephenson, who says that besides being sold on the land, his firm was also sold on Baruch himself.
Glendenning's and Baruch's latest deal may, however, be a little off the beaten path in terms of medical development, according to Carl Bohn, a senior associate with locally based REOC Partners and an expert in health care-related land deals.
The tract lacks a critical mass of acute-care facilities, Bohn says.
On the other hand, given the growing number of rooftops in the area, this site could be attractive to providers such as family physicians and dentists who want to be close to their patients, he adds.
And the acute-care component could soon be on the way. Says Glendenning: "We intend to recruit a hospital to this property. We've made a spot especially for a hospital."
Meanwhile, the critical mass of homes and new shopping surrounding Glendenning's and Baruch's recent purchase make their residential and retail plans a pretty safe bet, says Ernest Brown, who is the executive vice president and managing director for the local arm of Grubb & Ellis Co.
And the area has a growing job market feeding more residential and commercial growth -- thanks to employment epicenters created by several corporate campuses and the South Texas Medical Center.
Adds Brown: "That part of the world is going to continue to light them on fire.