PHOENIX — Scottsdale Investment Management has purchased a 38,238-square-foot office building in West Phoenix for an undisclosed sum. The property is located at 8800 N. 22nd Ave. It is fully occupied by the Department of Economic Security’s Family Assistance Administration division, which coordinates programs to support Arizona families in need. The space was built in 1986. Mindy Korth, Kirk Kuller and John Barnes of Colliers International and Greg Bamford of Bamford Southwest represented the locally based seller in this transaction.
IRVING, TEXAS — KBS Strategic Opportunity REIT, a private, California-based investment firm, has acquired two office properties totaling 442,039 square feet in Irving. The 18-story 125 East John Carpenter and six-story 5100 North O’Connor are a combined 84 percent leased. Both properties are located near the Gables Water Street mixed-use development and the Irving Music Factory, both of which offer retail, restaurant and entertainment options. The sellers were not disclosed.
RALEIGH, N.C. — A partnership between Somerset Properties and Alex. Brown Realty Inc. (ABR) has sold Spring Forest Business Center, a three-building flex and office park in Raleigh, for $17.8 million. Chris Norvell, Scot Humphrey and Patrick Nally of HFF represented the seller in the transaction. Stolz Real Estate Fund VI purchased the asset. Located at 3100, 3150 and 3200 Spring Forest Road, the property is within walking distance to more than 15 restaurants and lifestyle amenities. Spring Forest Business Park, constructed between 1984 and 2002, totals 156,036 square feet and features floor-to-ceiling glass windows, patio areas, eight dock doors, four drive-ins and the ability to accommodate uses including office, research and development, showroom, call center or warehouse. The office park was 94.7 percent leased at the time of sale to 10 tenants including Critical Health Systems Inc., Allstate Insurance Co., Adreima and Liberty Home Care.
The Greater Philadelphia office market is seeing a few exciting development projects and steady interest in investment opportunities. Southern New Jersey The office sector in Southern New Jersey has exhibited overall strong fundamentals, underpinned by increased new investments from outside of the Greater Philadelphia region and economic inflows to support local economic expansion. The U.S. economy continues to grow moderately and add jobs, with the national unemployment rate dropping to a 16-year low. These conditions are helping to generate demand that is reverberating throughout the real estate sector, especially for office space. Office leasing activity has been on an upswing in 2017. The overall tone is positive, and vacancy rates have been stable for the past few quarters, hovering just above 10 percent. The second quarter posted approximately 395,155 square feet of new leases and renewals. This is a 24 percent increase in activity from the first quarter and an incredible 58 percent increase compared to the second quarter a year ago. New leases represented approximately 43.4 percent of all deals for the quarter. Notable deals ranged from 5,000 to 31,000 square feet. The office investment and sales market is also showing increased activity. Buyers continue to take advantage of …
RIVER EDGE, N.J. — NAI James E. Hanson has brokered the sale of an office building located at 10 Elizabeth St. in River Edge. Crestview Associates sold the 16,500-square-foot property to NJCF Property for an undisclosed price. The buyer, a check cashing service based in Chicago, plans to renovate the property to bring the building, which was constructed in 1983, up to modern standards. Andrew Somple and Anthony Cassano of NAI Hanson represented the seller in the deal.
PLANO, TEXAS — CBRE has negotiated a 55,000-square-foot office lease expansion for Alkami Technology, a provider of online and mobile banking solutions, at 5601 Granite Parkway in Plano. The company will now occupy approximately 90,000 square feet and two additional floors within the 14-story, 362,000-square-foot building. Jeff Ellerman, Clay Vaughn and Preston Lynn of CBRE represented the tenant, which employs about 275 people in its Dallas office, in the lease negotiations.
BINGHAM FARMS, MICH. — Farbman Group is renovating its Bingham Office Center in Bingham Farms, about 20 miles northwest of Detroit. Farbman Group owns and manages the 500,000-square-foot property, which is located at 30600, 30700 and 30800 Telegraph Road. Renovations include new lobbies with new floors, furniture, lighting and an updated lounge area. Additional updates throughout the property will include freshly painted corridors, upgraded Wi-Fi and an updated seating area. The renovation project is slated for completion in December.
SANTA CLARA, CALIF. — CBRE Global Investors has acquired The Campus @ 3333 – Phase III, a 940,564-square-foot, four-building office campus located at 3333 Scott Blvd. in Santa Clara. Situated within the prestigious Silicon Valley district, the property was acquired on behalf of a joint venture between Korea Post and another undisclosed client. The sales price and seller were undisclosed, but media outlets are reporting that Menlo Equities and Beacon Capital Partners, co-developers of The Campus, sold Phase III for $610 million. The newly constructed LEED Silver-certified campus is fully leased to Palo Alto Networks, a cybersecurity firm, and serves as its headquarters. The property features a dedicated 30,485-square-foot amenity building with a full-service cafeteria, conference center, outdoor amphitheater, dedicated open space, outdoor dining and collaborative meeting space, 200 electric vehicle charging stations, bicycle storage, a grass picnic area and access to a fitness center. “The San Jose market has experienced broad-based growth primarily driven by the rapid and sustained technology boom in Silicon Valley,” says Gardner Ellner, senior director of Commercial Acquisitions-Americas at CBRE. “As a result, vacancy rates have dramatically declined to the lowest levels since 2000, and tenants are actively moving to submarkets such as Santa Clara …
ALEXANDRIA, VA. — KLNB LLC has brokered the $8.3 million sale of 5904 Richmond Highway, a 78,000-square-foot office building in the Washington, D.C., suburb of Alexandria. Joshua Simon of KLNB represented the buyer, a joint venture between Rock Creek Property Group and Avanti Holdings Group LLC. Simon will also handle the building’s leasing assignment. The newly renovated property is located within walking distance to Huntington Metro Station and Mount Vernon Trail. Suites within the building range in size from 1,800 to 15,780 square feet. At the time of sale, 5904 Richmond Highway was 65 percent leased, with five office suites available to lease.
SOMERSET, N.J. — Rhodium Capital Advisors has acquired an office building located at 100 Franklin Square Drive in Somerset for $5.8 million. The 107,000-square-foot office building is occupied by a mix of healthcare, education, insurance, technology and legal firms. Rhodium plans to spend $2.4 million for tenant improvements and leasing commissions for existing and new tenants, as well as $350,000 on building-wide capital improvements. Slava Vaynberg of Cushman & Wakefield represented Rhodium in the acquisition. Sol Kinraich and Ryan Goldstein of MLK Real Estate Capital arranged the debt financing, while Jeffrey Zwick & Associates acted as Rhodium’s legal counsel.