Franklin Street Properties Corp. Sells Three Office Buildings Near Atlanta for $219.5M
CUMBERLAND AND DUNWOODY, GA. — Franklin Street Properties Corp. (NYSE American: FSP) has completed the sale of three office buildings in metro Atlanta, known as One Overton Park, One Ravinia Drive and Two Ravinia Drive, for $219.5 million.
Built in 2002 by Hines, One Overton Park is a 387,267-square-foot office building with 15 floors. The office building is located within Overton Park, a 34-acre mixed-use community in Cumberland, just northwest of Atlanta. Tenants include CBIZ, Gas South and Randstad.
One Overton Park’s amenities include a fitness center, dry cleaners, full-service auto salon, café and sundry shop, men’s and women’s locker rooms, conference center, H. Stockton’s clothing store, shoe care salon and a full-service financial center. The architects for the building were Pickard-Chilton Architects and Roy Ashley & Associates.
One Ravinia Drive, totaling 386,603 square feet, and Two Ravinia Drive, totaling 442,130 square feet, both rise 17 floors in Dunwoody, a city just north of Atlanta. The two buildings are part of the 42-acre Ravinia development that features three office buildings with 1.6 million square feet of space, a 500-room hotel, conference center and 5,000 parking spots.
Hines developed the two buildings in 1985 and 1987, respectively, with architects Kevin Roche and John Dinkeloo and Associates serving as designers. Hines currently manages all three properties in the portfolio.
Tenants at One Ravinia Drive include T-Mobile and Cedar Document Technologies, while tenants at Two Ravinia Drive include Berkley Insurance Co. and Document Technologies Inc.
Franklin Street Properties Corp. expects to record an aggregate gain of approximately $23 million in the second quarter of 2021 in connection with the sale. The buyer was not disclosed.
“The proceeds from this sale represent a significant portion of our previously announced 2021 disposition guidance in the range of $350 million to $450 million in aggregate gross proceeds,” says George Carter, the chairman and chief executive officer of Franklin Street Properties. “As previously announced, the proceeds are intended to be used primarily for debt reduction.”
Franklin Street Properties Corp., based in Wakefield, Massachusetts, is a real estate investment trust (REIT). Hines is global real estate investment, development and management firm based in Houston. Franklin Street Properties Corp.’s stock price closed on Thursday, May 27 at $5.17 per share, down from $5.68 a year ago, a nearly 10 percent decrease.
— Julia Sanders