BALTIMORE — KBS Realty Advisors has acquired the Thames Street Wharf office building in Baltimore for $89 million. The trophy-quality waterfront office property is located at 1300 Thames St. KBS acquired the 260,651-square-foot building from Thames Street Wharf LLC, an entity controlled by Michael Beatty, president of Beatty Development Group LLC.
Beatty Development Group will serve as the manager of the LEED Gold-certified building. Bo Cashman and Jonathan Beard of CBRE represented the seller in the transaction.
“We chose to add Baltimore to our portfolio because the city is in the forefront for the investment community and has the resources to continue its growth as a valuable center for investment,” says Marc DeLuca, president of the KBS Eastern Region.
“Thames Street Wharf is a legacy asset and one of the highest-quality office buildings in Baltimore. Along with its location in a strong submarket with tremendous upside, its status as a LEED Gold building further separates it from others and enhances its appeal to tenants seeking efficiency and conservation advantages,” adds DeLuca.
Built in 2010, the Thames Street Wharf building was the first building delivered at the 27-acre Harbor Point mixed-use development. The property has floor-to-ceiling glass with scenic harbor views and is one of seven LEED Gold-certified properties in Baltimore. Current tenants at the building include Morgan Stanley and Johns Hopkins Medicine International. The property is 86 percent leased.
“The acquisition of Thames Street Wharf points to a renewed interest among major real estate players in the Baltimore region as an investment opportunity,” says Cashman, senior vice president of CBRE’s Institutional Properties Group.
Newport Beach, Calif.-based KBS Realty Advisors and its affiliated companies have completed transactional activity of approximately $30 billion via 14 separate accounts, six commingled funds, five sovereign wealth funds and five non-traded REITs. The private equity real estate company and SEC-registered investment advisor was founded in 1992.
The acquisition of the Thames Street Wharf building joins KBS’ Maryland office asset, the 321,007-square-foot One Washingtonian Center in Gaithersburg. KBS REIT III acquired the center in 2013.
— Danielle Everson