NEW YORK CITY — MIC Capital Partners has signed an 18,214-square-foot office lease expansion in Midtown Manhattan. The division of Mubadala, a global investment firm and sovereign wealth fund of the government of Abu Dhabi, is renewing and doubling its footprint to 36,428 square feet at the Seagram Building at 375 Park Ave. Justin Aronson of CBRE represented the tenant in the lease negotiations. A.J. Camhi and Paul Milunec represented the landlord, RFR, on an internal basis.
By Nate Wilkins, associate at Munsch Hardt Kopf & Harr PC Office conversions represent one of the hottest real estate plays in the country, and Texas is undoubtedly a hotspot for those projects. According to D Magazine, in Dallas and Houston combined, there is more than 10 million square feet of vacant office space that is currently being transformed or is slated for conversion. A majority of these projects are mixed-use, meaning that office tenants will eventually be occupying the same building as residential tenants. Therefore, there are several key factors that office tenants and their landlords must consider when signing or renewing leases in the conversion projects, including utilization of common areas, use of utilities and parking allotments. What follows are some strategies for navigating office conversions as they become more prevalent in Texas over the next several years. Common Areas In a typical mixed-use property in which retail space is on the ground floor with multifamily above, landlords are prone to include lease language that states, “Tenant shall have no right to use the elevator lobbies, apartment floors and any other areas designated by landlord exclusively for residential occupants.” While standard, this language becomes troublesome when the only way …
WAXAHACHIE, TEXAS — SRS Real Estate Partners has brokered the sale of North Grove Cetner I and II, a 20,141-square-foot office and retail complex in the southern Dallas suburb of Waxahachie. The property consists of a 15,641-square-foot retail and office property that is fully leased to 11 tenants, as well as a 4,500-square-foot, single-tenant structure that is occupied by Fish City Grill. Michael Kaplan, Matthew Mousavi and Patrick Luther of SRS represented the seller, a Texas-based family office, in the transaction. The buyer was also a Texas-based family office that acquired the property in an off-market deal.
ATLANTA — CP Group has purchased Piedmont Center, a 2.2 million-square-foot office campus located off Piedmont Road in Atlanta’s Buckhead district. The Boca Raton, Fla.-based investor and landlord acquired the 14-building campus in an all-cash transaction. The Atlanta Business Chronicle reports that CP Group purchased the 46-acre office park at a foreclosure auction in partnership with Austrian bank Bawag Group for $200 million. The news outlet reported that former owner, Ardent Cos., defaulted on its loan tied to Piedmont Center from Morgan Stanley. The previous owner announced unfulfilled plans in 2023 to develop a concentration of food-and-beverage offerings at Piedmont Center dubbed Oxton, named after the “O” and “X” shape of two of the office buildings on the campus. CP Group plans to offer more food-and-beverage options at Piedmont Center, as well as expand amenities including conference facilities, fitness centers, lobbies and outdoor common areas. The firm also plans to install its suite of high-end speculative suites branded “worCPlaces” at the campus.
AVENTURA, FLA. — Newmark has arranged a $77.2 million loan for the refinancing of Onyx Tower, a 28-story office tower in Aventura, a northern suburb of Miami. The borrower, an entity doing business as Onyx Tower LLC, delivered the tower in 2023. The building is one of two towers on the site. Jordan Roeschlaub, Jonathan Firestone, Nick Scribani and Chris Lozinak of Newmark secured the financing from Barings. Onyx Tower’s amenities include a rooftop pool with ocean views, a fitness center, outdoor jogging trail, full-floor conference facilities, electric vehicle charging stations and onsite dining options. Miami-based Blanca Commercial Real Estate handles leasing at Onyx Tower, according to the property website.
THE WOODLANDS, TEXAS — JLL has arranged the sale of a 202,601-square-foot office building located at 10101 Woodloch Forest Drive in The Woodlands, about 30 miles north of Houston. The eight-story building was completed in 2009 and was vacant at the time of sale. Kevin McConn and Jeff Hollinden of JLL represented the seller, Net Lease Office Properties, in the transaction. The buyer was Howard Hughes Holdings Inc. (NYSE: HHH). The sales price was not disclosed.
SUGAR LAND, TEXAS — The City of Sugar Land, located southwest of Houston, has approved $12.5 million in funding for the renovation and modernization of the city’s downtown commercial center, known as Sugar Land Town Square. Under the terms of the funding agreement, Building B will receive upgrades to its communal office and amenity spaces, as well as its landscaping and streetscaping. In addition, Building H will see renovations to its entryway, lobby and signage, along with updates to the garden area and new furniture, fixtures and equipment. Sugar Land Town Square, which spans 32.8 acres and opened in 2003, is currently 73 percent leased across its office, retail and restaurant components.
NORTH BETHESDA, MD. — JLL has arranged the sale of a 222,000-square-foot office building located at 2101 E. Jefferson St. in North Bethesda. Jim Meisel, Dave Baker, Andrew Weir and Kevin Byrd of JLL represented the seller and procured the buyer in the transaction. Both parties requested anonymity, and the sales price was also not disclosed. Meisel says that the buyer plans to reposition the vacant office building for another use, plans of which were not released. Built in 1985, the office property is situated on 4 acres near Pike & Rose, a mixed-use development by Federal Realty Investment Trust that features more than 50 shops and restaurants and more than 750 apartments.
NEW YORK CITY — Tishman Speyer has purchased 148 Lafayette Street, a 12-story office building in Manhattan’s SoHo District, for $105.5 million. Constructed in 1913 and most recently renovated in 2017, the 153,000-square-foot building was fully leased at the time of sale to tenants such as venture capital firm General Catalyst and beauty and cosmetics firm Charlotte Tilbury. The building’s retail space is also fully leased to boxing gym Five Points Academy and clothing store 260 Sample. Adam Spies and Avery Silverstein of Newmark represented the seller, EPIC, an investment firm with offices in New York City and London, in the transaction. Blackstone provided $68.3 million in acquisition financing for the deal.
PHOENIX — Wespac Construction has broken ground for the construction of Sprouts Farmers Market headquarters, a mixed-use campus in north Phoenix. Trammell Crow Co. is developing the project, which was designed by RSP Architects. Keyser and JLL are handling brokerage services for the project. Located within CityNorth near 56th Street and Loop 101, the 180,000-square-foot campus will feature a four-story, 144,500-square-foot Class A office building, a 25,000-square-foot flagship Sprouts grocery store, 11,000 square feet of high-end retail and restaurant space and a three-story parking garage. The campus will also offer modern amenities, including an onsite gym, yoga studio, top-floor deck, Press Coffee café, culinary kitchens, tasting rooms and a garden for chef-driven meals and community events. Sprouts will transition from its current 96,000-square-foot space to the new location by August 2026.