Investcorp Sells Former Home Depot Headquarters in Atlanta’s Vinings District for $120M
ATLANTA — Investcorp has sold an office campus in Atlanta’s Vinings district that formerly housed the world headquarters of The Home Depot back in the 1990s. The global asset management firm sold the property, known as Paces West, to a joint venture between Farallon Capital Management LLC and Crocker Partners for $120 million. Crocker Partners served as the asset and property management team in partnership with Investcorp since late 2015.
Situated along Paces Ferry Road in Atlanta’s Cumberland/Galleria office submarket, the 646,471-square-foot property comprises two buildings connected via a pedestrian bridge. Amenities include two full-service cafes, a renovated fitness center, conference facilities, dry cleaners, a car wash service, onsite ATM and electric car charging stations.
Paces West has served as the administrative headquarters for Piedmont Healthcare, an Atlanta-based health system with 11 hospitals and 650 facilities, since 2002.
Jay O’Meara, Justin Parsonnet, Will Yowell, and Ryan Reethof of CBRE represented Investcorp in the sale. Since acquiring Paces West in 2015, Investcorp has boosted its occupancy from 85 percent to 93 percent, according to CBRE.
“Paces West has withstood the test of time due to its quality, amenities, large flexible floor plates, and location in one of Atlanta’s most authentic and unique neighborhoods in Vinings,” says O’Meara.
Jonathan Rice and C.J. Kelly of CBRE’s Debt & Structured Finance team arranged financing for the buyer. The new ownership plans to make significant improvements to the property’s common areas and amenities over the next 12 months.
Based in Boca Raton, Fla., Crocker Partners owns or manages 2.5 million square feet of office space in metro Atlanta and 11 million square feet portfolio-wide. The company is currently Florida’s largest office landlord.
Farallon Capital Management LLC is a global institutional asset management firm founded in 1986 that manages approximately $27 billion for institutions, including college endowments, charitable foundations and pension plans, as well as high-net-worth individuals. Farallon Capital employs approximately 210 employees and is headquartered in San Francisco with offices in London, Singapore, Hong Kong, Tokyo and São Paulo.
Investcorp is based in Bahrain and has its U.S. headquarters in New York City. Since 1996, the firm has acquired more than 600 properties with a combined value of more than $16 billion.
— John Nelson