Endeavor completes 92,000-SF lease with GSA and retains HFF to market Austin office property for sale

DALLAS, TX, Mar. 2, 2009 – The Dallas office of HFF (Holliday Fenoglio Fowler, L.P.) announced today it has been retained to market for sale the GSA-leased Southpark Office Center (middle right photo) in Austin, Texas.

Endeavor Real Estate Group completed a 10-year, 92,000-square-foot lease to the GSA on behalf of the Internal Revenue Service in late 2008.

HFF’s Dallas investment sales team is marketing Southpark Office Center without a formal asking price free and clear of debt.

Southpark Office Center is located on Interstate 35 just south of its intersection with Ben White Blvd (Hwy 71) and just west of Austin Bergstrom International Airport. The 122,000-square-foot property was completely redeveloped by Endeavor in 2008. The GSA lease encompasses 75% of the property with the remaining space being available for lease
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“The IRS lease represents one of the largest leases executed in Austin in the past year and further establishes the Southpark area as a regional hub for the IRS, which now occupies approximately one million square feet in the immediate area, and during its peak season supports 2,700 employees,” said Jamil Alam (top left photo) of Endeavor Real Estate Group.

“The decision to sell the asset at this time is in keeping with our original strategy, which entailed re-developing the property and then leasing it to an investment-grade credit tenant.

"The group that ultimately acquires the Southpark will benefit from stable cash flow from the GSA lease as well as the upside associated with the attractive remaining vacancy in the property.”

Endeavor Real Estate Group owns, manages and leases four million square feet of office and industrial space in Central Texas plus more than three million square feet of retail space, with more under construction.

Contacts:

Jamil Alam, Principal, Endeavor Real Estate Group, (512) 682-5575, JAlam@ENDEAVOR-RE.com
Andrew S. Levy, HFF Senior Managing Director, (214) 265-0880. alevy@hfflp.com
Kristen M. Murphy, HFF Associate Director, Marketing, (713) 852-3500, krmurphy@hfflp.com