OKLAHOMA CITY — Tanenbaum Equity Partners (TEP), a subsidiary of Oklahoma City-based Gardner Tanenbaum, has purchased a portfolio of 42 federally leased properties in 11 states for $106.5 million. Most of the buildings, which collectively total 573,000 square feet, were constructed as build-to-suits for government agencies such as the Social Security Administration, the Department of Homeland Security and the Veterans Administration. A Dallas-based team of Sunny Sajnani, Todd McNeill and Brandon Wilhite of Marcus & Millichap Capital Corp. arranged acquisition financing through Arkansas-based Centennial Bank on behalf of TEP. A Colliers International team led by Geoff Ficke represented TEP in the sale. The seller was CoreCivic, according to the Nashville Business Journal.
HOUSTON — JLL has arranged two loans totaling $40 million for the refinancing of 5300 Memorial and 10497 Town & County, two office buildings totaling 302,980 square feet in Houston. The properties respectively span 153,671 and 149,309 square feet and were 93 and 91.5 percent leased at the time of the loan closings. John Ream led a JLL team that arranged the floating-rate financing through East West Bank on behalf of the borrower, metro Philadelphia-based Equus Capital Partners.
AUSTIN, TEXAS — California-based Menlo Properties has acquired 7000 West at Lantana, a 136,075-square-foot office complex in southwest Austin. The property was built in 1999 as part of the Lantana master-planned community. Dallas-based Starwood Capital Group sold the asset for an undisclosed price. Mike McDonald, Ryan Stevens and Celeste Fowden of Cushman & Wakefield brokered the deal.
CHANDLER, ARIZ. — YMC Arizona Properties, a private investment group based in Los Angeles, has purchased Portico Place I and II, a two-building office property located at 2121 and 2195 W. Chandler Blvd. in Chandler. Milwaukee-based Irgens sold the complex for $21.7 million. Situated in the South East Valley, Portico Place I and II offers 89,182 square feet of office space, with lease rates ranging from the high $20s to low $30s per square foot. Erik Marsh of Kidder Mathews represented the buyer in the deal.
By Claire Blevins and Collin Devaney, NAI Brannen Goddard We’ve all seen the depressing commercial real estate news stories about the state of the office market, with words like “bleak,” “hazy” or “obsolete” in the headlines. Questions surround every major market, including Atlanta — a metro market known for its dependable economy and robust demand. Admittedly, Atlanta has had its struggles during the pandemic, like slow leasing activity and rising rental rates, but not everything is doom and gloom. New City Properties, in the middle of breaking ground on Mailchimp’s new headquarters, announced it was upping the budget to prepare for future pandemics, including setting money aside for technology that is not even available yet. Other developers are choosing to prioritize private green space over expensive machinery. Midtown’s new Norfolk Southern headquarters, opening by the third quarter of 2021, takes advantage of its 3.4-acre lot by developing a campus-style hub filled with parks and a rooftop garden. Employees who utilize these outdoor spaces decrease the risk of airborne transmissions, as well as promote healthy habits. Not every office building has the room for large outdoor forums, so other owners are doing away with cubicles and building out private offices. Or …
Commercial real estate sentiment has returned to pre-pandemic levels, according to NAIOP’s fall 2021 survey. Those views are good news for the commercial real estate industry generally, and the metro Atlanta office market is helping to provide some impressive specifics behind the rising optimism. At 2 million square feet of office space, Atlanta led the country in positive absorption in third-quarter 2021, approximately 700,000 square feet ahead of No. 3 market New York City, according to Colliers International research. Atlanta’s relatively low costs, attractive weather, growing demographics and educated labor force are big advantages for the city’s economy and office market. Metro Atlanta ranked No. 8 for year-over-year job growth in August among the largest U.S. metro areas with an increase of 124,300 new jobs, according to the U.S. Bureau of Labor Statistics. Atlanta recorded an unemployment rate of 3.1 percent that month for the market, 210 basis points lower the national figure. Atlanta also ranks No. 8 nationally for tech talent, according to CBRE, with total tech occupations having increased 15.2 percent from 2015 to 2020. Savills cited Atlanta’s highest growth rate for technology-related graduates in the country, a big draw for innovative companies looking to relocate to or …
HOUSTON — Younan Properties Inc., a Los Angeles-based subsidiary of global private equity firm Younan Co., has acquired Two Westlake Park, a 455,000-square-foot office building located in Houston’s Energy Corridor. The building was constructed on 5.4 acres in 1982 and is situated within Westlake Park, an office development that spans more than 2.8 million square feet across 58 acres. Dan Miller and Marty Hogan of JLL represented the seller, PIMCO, in the transaction. Younan Properties was self-represented.
CHANDLER, ARIZ. — VanTrust Real Estate has completed the construction of Phase II at Chandler Corporate Center in Chandler. Situated on 12 acres at 4100 W. Chandler Blvd., the 118,000-square-foot speculative office building complements the property that was developed in the first phase. The first-phase building was leased to Allstate Insurance and subsequently sold to Strategic Office Partners in 2019. Designed by Butler Design Group of Phoenix, the building features a two-story glass entrance, 58,000-square-foot floor plates and an abundance of glass. Stevens-Leinweber Construction served as general contractor for the project, which Colliers International is marketing for lease.
BOULDER, COLO. — Tritower Financial Group has completed the disposition of 3200 Walnut, a four-building interconnected campus located at 1825, 1865, 1885 33rd St. and 3200 Walnut St. in Boulder. Invesco Real Estate acquired the asset for an undisclosed price. The tenant — formerly Array BioPharma, which Pfizer acquired in 2019 — has occupied the 151,384-square-foot campus for 19 years. John Jugl of Newmark represented the seller in the deal.
TUCSON, ARIZ. — Meridian, in partnership with an institutional investor, has acquired El Dorado Medical Plaza for an undisclosed price. Located at 1400 N. Wilmot Road, the three-story property features 187,690 square feet of Class B medical office space, plus surgery and hospital services. Meridian plans to implement a renovation program for the property, with completion slated for the end of 2021. Ben Tashakorian, David Benjamin, Trent Carvolth, Bradley Peters and Kelly O’Dea of Marcus & Millichap represented the seller, Houston-based Clarion Properties. Meridian was self-represented in the deal.