Daily RecordDaily RecordVol. 104, No. 029 • oNe SectioN FRIDAY, DECEMBER 23, 2016 www.jaxdailyrecord.com

FINANCIAL NEWS &

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By Max Marbut Staff Writer

For the first time since it was estab-lished more than 13 years ago, Volunteers in Medicine Jacksonville is planning what organizers hope will become a signature event to raise the public’s awareness of the Downtown full-service medical clinic.

The inaugural “Women with Heart” lun-cheon presented by Florida Blue is Feb. 8 at the Florida Blue conference center in Deerwood.

“We think Volunteers in Medicine is one of the best-kept secrets in Northeast Flor-ida. We need to engage people and share our mission,” said Cindy Stoddart Cooper, director of partnerships and community engagement.

The inaugural Dorion-Burt Heart Award, named after the clinic’s co-found-ers Dottie Dorion and Dr. Jim Burt, will be presented to philanthro-pist Delores Barr Weaver.

Cooper said Weaver in the past year awarded two $100,000 challenge grants to the non-profit that provides free medical treatment for people who have jobs, but no health insurance, and make too much money to qualify for government-subsidized health care.

“The working uninsured is one of our most vulnerable populations. What we pro-vide is not an entitlement. It’s not a hand-out, it’s a hand up,” said Cooper.

The clinic at 41 E. Duval St. is funded by grants and corporate and individual contri-butions. It receives no federal support.

Patients are seen by appointment five days a week including Saturdays and must meet employment and income require-ments.

In the past year, more than 230 medical and non-clinical health care professionals volunteered their time and skills to provide more than $1.2 million in free treatment.

That includes physicians, nurse practi-tioners, registered nurses, dentists, dental

Public legal NoticeS begiN oN Page 9 PubliShed for 27,090 coNSecutiVe weekdayS

TRAXALL CONTINUED ON PAGE 3

The owner and developer of Daily’s convenience stores sold 13 gas stations and convenience stores, including eight in Duval County, last week.

None of the properties sold was a Daily’s, the flagship brand of First Coast Energy LLP.

Records show the eight Duval stores, of which seven were Shell stations and one was the Sunoco brand, sold for $14.4 million.

The buyer was Northeast Petro Holdings 1 LLC of Aventura. Northeast Petro Holdings is led by Sergio Delmico, who also is

manager of MNV Energy LLC, which already owns at least two Jacksonville Shell stations at 5971 Ramona Blvd. and 818 Dunn Ave.

MNV operates 24 BP, Chevron, Shell and Mobil branded stores in Florida, reported Convenience Store News in March.

“This is the business model of reinvesting money in other areas,” said First Coast Energy spokeswoman Andrea Kane.

She said it was nothing strate-gically unique because the com-pany frequently buys and sells sites.

The Duval properties sold were at 7890 103rd St., 11150 Lem Turner Road, 5676 University Blvd. W., 2500 Mayport Road, 3511 Emerson St., 1922 and 2197 Kings Road and 1539 S. Third St. in Jacksonville Beach.

Jacksonville-based First Coast Energy operates 35 Daily’s stores

in Jacksonville, St. Augustine, Gainesville and Broward County.

It also owns, operates and supplies fuel to about 200 sites, including the Daily’s stores, Shell and some Sunoco stations and some new sites in North Caro-lina.

First Coast Energy also is spon-soring Daily’s Place, the amphi-theater and covered flex field at EverBank Field that is expected to open in May.

Kane said the property sale had no connection to the invest-ment in Daily’s Place.

Hines buys land for apartments

The Hines global real estate firm bought property last week to develop apartments at its South-side property near St. Johns Town Center.

S-15 Land Holdings LLC, theHines group that bought almost 69 acres along Gate Parkway in October, sold about 10 acres Fri-day to Hines’ Southside Multi-family LLC company for almost $7.2 million.

First Coast Energy sells 8 Duval sites

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Aircraftbusinessexpandsto area

By David Chapman

Tracking maintenance on cars can be easy.

An engine light may come on. There could be a note in the automobile’s user guide that suggests a tune-up every 25,000 miles or new tires at 40,000 miles.

Plenty of people often don’t follow sched-ules, though, letting suggested updates go until it becomes imperative to look at what’s needed and cringe at the costs.

Airplanes, however, are different.There can be no procrastination — the

Federal Aviation Administration requires benchmarks be met or the plane can quick-ly be grounded.

Traxxall Technologies specializes in keeping tabs on those maintenance sched-ules, as required by the FAA. The Montre-al-based company recently opened its first U.S. office in Orange Park.

The expansion came from a significant growth in clients.

Not the big jetliners that fly out of air-ports like Jacksonville International Air-port — those companies have their own enterprise resource programs.

Instead, think corporate and public safe-ty fleets that share the air.

They’re ones that seek out companies like Traxxall, which provides aircraft main-tenance tracking and inventory manage-ment systems.

How it works: Owners must track main-tenance to ensure different parts of an airplane only travel so far before coming in for review or replacement. Traxxall essen-tially builds a template for each aircraft and loads customer data.

From there, the company works with owners, notifying them when service will be needed to ensure plenty of time to schedule maintenance.

Traxall isn’t responsible for actually doing the work — that’s on the owner.

“We can’t turn wrenches on aircraft,” said Jeff Dougherty, a maintenance analyst leading the Florida office.

However, Dougherty and most of the office’s five employees have that kind of background.

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Interior work has begun on the Cowford Chophouse Downtown at East Bay and Ocean streets. Above, the concrete floor on the ground level has been poured. Also, the first- and second-floor kitchens are framed in and electric and ventilation sys-tems are installed. Upon completion, the restaurant will feature a two-story dining room as well as a rooftop terrace bar and lounge. Danis Construction is providing the construction services for the project and Design Cooperative is performing architectural services. Exterior work still to be done includes installation of the his-toric windows, masonry and cast stone.

Work progresses on Chophouse

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VOLUNTEERS CONTINUED ON PAGE 3

Luncheonto benefitclinic in

DowntownTraxxall tracks inventory,maintenance for planes

Volunteers in Medicinealso will honor Weaver

Page 4 • Friday, December 23, 2016 • Financial News & Daily Record

Hines Managing Director Lane Gardner said Thursday a Hines entity will develop the apart-ments. Construction should start in the first quarter.

There is no name for the apart-ments or the property as a whole, which went through the regula-tory process under “Mill Dam Branch.”

Hines has been talking to city reviewers about a six-building, 306-unit apartment community on the 10 acres within the project.

Gardner anticipates the name for the apartments and the proj-ect will be rolled out in the first quarter.

TD Bank in Jacksonville issued an almost $32.9 million construc-tion loan and security agreement to Southeast Multifamily on Fri-day. The street address for that loan is listed as 7385 Park Village Circle.

A plan in review for the mul-tifamily project shows six four-story residential buildings, a club-house and pool, a car wash and maintenance building, and a dog park and dog wash.

Plans indicate there will be 150 one-bedroom, 132 two-bedroom and 24 three-bedroom units.

The Preston Partnership LLC of Atlanta is the design firm.

The apartment parcel is in the center of the project, between an internal roadway and Interstate 295.

That acquisition is the first phase of the more than 100-acre development.

Hines plans residences, retail stores, a hotel, offices, services, parks and green space. The com-pany has said it expects to com-plete the project in phases over six to eight years.

The company has developed several area properties, including the 2,200-acre Palencia commu-nity north of St. Augustine and The Markets at Town Center at St. Johns Town Center, north of Butler Boulevard.

Gramercy trust buys Imeson Park warehouse

Gramercy Property Trust expanded its Jacksonville port-folio last week as it bought the GE Distribution Center in North Jacksonville.

New York-based Gramercy Property Trust paid $22.5 million for the nearly 470,000-square-foot building on more than 24 acres at 600 Whittaker Road in the Imeson International Industrial Park.

Property records show the building was developed in 1995. Gramercy said the tenant’s lease term is nearly three years.

Texas-based US Industrial REIT III, owned by affiliates of USAA Real Estate Co., bought the build-ing in 2010 for $18.9 million.

Gramercy bought it through GPT Industrial Group Owner I LP.

The deed was executed Dec. 15 and recorded Wednesday with the Duval County Clerk of Courts.

The building was part of a $521 million portfolio purchase by

Gramercy.On Friday, the company

announced it closed on the acqui-sition of a 17-property, 10.3 mil-lion-square-foot Class A ware-house portfolio.

It comprised bulk warehouses in what Gramercy considers key logistics markets through the U.S.

It also assumed about $198 mil-lion of secured debt.

The assumption agreement recorded in Jacksonville shows the Imeson property indebted-ness at $11.4 million.

The portfolio acquisition boost-ed Gramercy’s 2016 investment volume to more than $1.3 billion.

Gramercy’s name is taking a higher profile in Jacksonville as the company rebrands the Bank of America office park in South-side as Gramercy Woods.

Gramercy bought the 90-acre office park and is repositioning it for more tenants.

Bank of America remains the anchor and has consolidated, opening two office buildings for lease to other tenants.

Among the new tenants, Aetna will move there in 2017 from the Downtown Southbank and anchor a building.

In a news release Friday, Chief Investment Officer Nicholas Pell said the industrial acquisition is “a key building block” in its port-

folio recycling plan. About 70 percent of the projects

it owns are industrial property, up from 47 percent a year ago. Office properties have declined to 25 percent from about 48 percent.

CBRE adds manager for health care projects

CBRE Group Inc. announced Thursday it expanded its Jackson-ville project management division in the health care sector by hir-ing project manager Lester Del Rosario.

CBRE said it projects steady growth in the sector, citing $269 million in medical facility expan-sions and more than 563,000 square feet of new construction space.

Del Rosario, with more than 12 years of experience in the health care sector, has managed more than $125 million of acute care projects and medical office proj-ects.

CBRE said Del Rosario was a senior project manager of plan-ning design and construction for Ascension Health and also has managed projects for Baptist Health, among others.

kmathis@jaxdailyrecord.com@MathisKb(904) 356-2466

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Houston-based Hines, a global real estate company, intends to devel-op a mixed-use project at southwest Butler Boulevard and Interstate 295. An apartment site is in the center of the property.

Gramercy Property Trust included photos of the warehouse it bought in Jacksonville in a presentation of its North America Logistics Port-folio. The 600 Whittaker Road property is leased as a GE Distribution Center.

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By Dara Kam The News Service of Florida

With the state’s pot indus-try poised to explode, Florida health officials have agreed to issue another medical marijuana license — the state’s seventh — to a Central Florida nursery that lost out to a competitor by a fraction of a percentage point last fall.

The Department of Health inked the agreement with McCrory’s Sunny Hill Nursery — after nearly a year of protracted and expensive litigation — before Administrative Law Judge Eliza-beth McArthur could issue a rul-ing and as health officials tried to work out a deal over another license in a separate challenge.

In the settlement, posted this week on the Division of Admin-istrative Hearings website, state health officials acknowledged the Lake Wales-based McCrory’s should have received a Cen-tral Florida license awarded in November to Knox Nursery.

Of the seven applicants in the region, a three-member panel evaluating the applications gave McCrory’s an aggregate score of 5.5417, just a fraction below Knox, whose score of 5.5458 earned the Lake Mary-based grower a license.

McCrory’s contended one of the reviewers, who identified the nursery as “superior to all other applicants” in one component, erroneously gave the nursery a score of “6” instead of a “7.”

If the rank had been assigned correctly, McCrory’s “would cor-rectly receive the high score and been the highest scoring appli-cant in the central region,” the nursery’s lawyers wrote in May.

The administrative challenges are rooted in a 2014 law that initially called for one license to be awarded in each region of the state for nurseries to grow, process and distribute medical marijuana.

That law allowed limited types of non-euphoric cannabis for some patients and was expand-ed early this year to allow full-strength pot for people who are terminally ill.

The agency’s attempts to resolve the administrative chal-lenges by granting new licenses come as lawmakers prepare to grapple with a vastly expanded medical marijuana market in the state, the result of a constitutional amendment approved by voters last month.

Backers of Amendment 2 have maintained the limited number of licenses allowed in Florida would not provide the access to marijuana treatment anticipated by authors of the proposal or by voters who overwhelmingly signed off on the measure.

State economists estimate 500,000 patients could be eligible

for the treatment, but industry observers predict that number could be even greater because the amendment gives doctors leeway to order pot for illnesses not specifically identified in the amendment.

One of the state’s marijuana vendors last week told a Senate panel the state will have a more-than-adequate pot supply when the amendment is fully imple-mented later next year, adding that her company alone could provide marijuana treatment for 650,000 patients.

Under the agreement, health officials signed off on a license for McCrory’s and the grower promised to drop administrative and court challenges. Both sides agreed to pick up the tab for their own legal fees and costs.

Known as “GrowHealthy,” McCrory’s last year joined forces with three other nurseries and purchased a 180,000-square-foot facility in the hopes of getting a license.

The number of licenses avail-able to businesses interested in growing, processing or sell-ing pot products is expected to be one of the most contentious issues lawmakers face as they contemplate implementation of the constitutional amendment during the legislative session that begins in March.

Four of the state’s six medi-cal marijuana license holders are now producing pot treatments. According to GrowHealthy CEO Don Clifford, patients receiving full-strength marijuana — cur-rently limited to terminally ill patients — are restricted to pur-chasing five days’ worth of treat-ment due to a supply shortage.

A week before they told McAr-thur the state had struck a deal with McCrory’s, lawyers for the health department asked Admin-istrative Law Judge John Van Laningham to relinquish con-trol of a separate challenge by two applicants that lost out on a Southwest Florida license to Alpha Foliage.

On Dec. 6, lawyers represent-ing the two challengers — Plants of Ruskin and Tornello Land-scape, also known as “3 Boys Farm” — and the state told Van Laningham they had reached a settlement and asked him to close the case. The following day, Van Laningham granted the request.

But nearly two weeks later, no settlement had been filed. According to an agency spokes-woman, the challengers “are working on potential terms of the settlement to present to the department.”

Van Laningham had virtually guaranteed he intended to rec-ommend health officials grant an additional marijuana license after deciding Alpha did not meet the legal criteria for a license it received from the state.

State awards 7thmarijuana license

after legal challenge