KBS Sells Four-Building, 100% Leased, 372,763-Square-Foot Class A Industrial/Flex Park in Austin, TX

SouthPark Commerce Center, a 372,763-SF, Class A
 industrial/flex park located at the southeast corner
 of Interstate 35, State Highway 71 and U.S. 290
 in southeast Austin, TX

Giovanni (Gio) Cordoves

AUSTIN, TX – KBS, one of thelargest investors in premier commercial real estate in the nation, announced it has sold SouthPark Commerce Center, a four-building, 100% leased, 372,763-square-foot Class A industrial/flex park in Austin, Texas, to BentallGreenOak on behalf of an institutional investor.

“Austin is a high-growth, burgeoning industrial market that has continually led the nation in economic and population growth over the last decade and throughout the pandemic,” says Giovanni (Gio) Cordoves, Western regional president for KBS. “KBS recognized this early on, initially acquiring the property in 2005.”

 Austin has been classified as a best place to live in the U.S. by U.S. News & World Report from 2017-2020.

 

Tina M. Ross

Several national publications have given the city high rankings for its job market, soaring tech salaries, nation’s high-tech hub, best city to start a business, best city to live in America and best market for real estate investment in 2020.

In addition, the Austin market attracts major tech companies such as Apple, Amazon, Facebook, Google, Oracle, and Tesla, further contributing to this ongoing growth and making it increasingly appealing to investors, notes Cordoves.

 Amanda Kennedy

 

“Due to our expertise in the Austin office market, we have a hyperlocal pulse on this region,” says Cordoves.

 

Brad Merz

“This insight led us to acquire premier office assets 515 Congress and Domain Gateway as well as SouthPark Commerce Center and adjacent SouthTech Business Center, another high-quality industrial asset.

 

 "Our recognition of this market’s potential, combined with the superior quality of SouthPark Commerce Center and our strategic management of this property enabled us to enhance its value over time.”

The property’s ideal location is just one of the factors that has attracted numerous creditworthy tenants to it, according to Brett Merz, asset manager for SouthPark Commerce Center and senior vice president of KBS.

 

“KBS employed its noteworthy diversification strategy to bring a broad-based tenant roster to SouthPark Commerce Center,” says Merz.

 

“Many global and national companies call this asset their home in the Austin market. The fact that it has been 100% leased since 2015 speaks to the high-quality of this asset and the strength of KBS’ asset management program.”

Dustin Volz

The industrial real estate sector has remained strong throughout the pandemic, with average rental rates increasing nationwide 4.2% since Q1 2020.

While vacancies fluctuated over the last year, the overall industrial vacancy rate has decreased to 5.2% as leasing momentum and demand for industrial space continues to surge.

 

Built in 1998, SouthPark Commerce Center features a 24-foot clear height with 36% office finish.

 

The property is situated inside SouthPark Commerce Business Park, one of the top business parks in the Austin market.

Dom Espinoza

Its best-in-class location at the southeast corner of Interstate 35, State Highway 71 and U.S. 290 in southeast Austin places the center within 10 miles of some of the largest demand drivers in the region. 

Those include Austin’s CBD, Austin-Bergstrom International Airport, the University of Texas at Austin and the 5-million-square-foot Tesla GigaFactory currently under construction.

 

SouthPark Commerce Center is accessible to many major roadways and within a 30-minute drive of Hays County, one of the fastest-growing large counties in the nation with 47% population growth from 2010 to 2019.

Bruce Fischer

Senior Managing Directors Trent Agnew and Dustin Volz, Director Dom Espinoza and Analysts Josh Villareal and Wesley Gilmer with JLL Capital Markets represented KBS in the disposition.

 “It’s hard to find an industrial property of scale as compelling as SouthPark Commerce Center in infill Austin,” says Agnew.

“The asset attracted considerable attention from a wide mix of potential buyers including institutional advisors, private capital and closed-end private equity funds.”

Howard Chu

 Attorneys Bruce Fischer, Howard Chu, and Tina Ross, and paralegal, Amanda Kennedy, of global law firm Greenberg Traurig, LLP’s Orange County and Texas offices represented KBS as legal counsel in the disposition.

 “We enjoyed working with KBS on the successful disposition of SouthPark Commerce Center,” says Fischer, Greenberg Traurig’s Chair of the West Coast Real Estate Practice and Co-Managing Shareholder of the Orange County Office, who led the Greenberg Traurig team.

 

SouthPark Commerce Center is located at 4401 Freidrich Lane in Austin, Texas.

 Josh Villareal

About BentallGreenOak

 

BentallGreenOak is a leading, global real estate investment management advisor and a globally-recognized provider of real estate services.

 BentallGreenOak serves the interests of more than 750 institutional clients with expertise in the asset management of office, industrial, multi-residential, retail and hospitality property across the globe. 

Wesley Gilmer

BentallGreenOak has offices in 24 cities across twelve countries with deep, local knowledge, experience, and extensive networks in the regions where we invest in and manage real estate assets on behalf of our clients in primary, secondary and co-investment markets. 

BentallGreenOak is a part of SLC Management, which is the institutional alternatives and traditional asset management business of Sun Life.  

CONTACT:

 Micaela Fehrenbach 

mfehrenbach@brower-group.com

 www.bentallgreenoak.com

www.kbs.com.

 

 

Suburban Atlanta shopping center sells for $37.6 million

 

 

Roswell Market Place, 10800 Alpharetta Highway
 Roswell, GA

 

ATLANTA, GA – JLL Capital Markets announced it has closed the $37.6 million sale of Roswell Market Place, a fully leased, 95,522-square-foot shopping center anchored by Sprouts Farmers Market in the Atlanta-area community of Roswell, Georgia.

Jim Hamilton

JLL represented the seller, Branch Properties, LLC. East Coast Acquisitions acquired the property.

 

Roswell Market Place is located at 10800 Alpharetta Hwy. in Roswell, one of the highly most sought-after and affluent suburban Atlanta communities.

 

The average household income within a five-mile radius of the property is more than $142,000.

 

 The area is surrounded by explosive residential growth, including 300 new multi-housing units and 298 townhomes less than 0.5 miles from the property. 

 

Completed in 1986 and most recently renovated in 2015 and 2016, the fully leased retail property is anchored by Sprouts Farmer’s Market, one of the fastest-growing retailers in the U.S.

Brad Buchanan 

It is also home to a diverse, internet-proof tenancy that includes Starbucks, Chipotle, Subway, Hollywood Feed, Another Broken Egg Cafe, Bad Daddy’s Burger Bar and Tin Drum.

 

The JLL Capital Markets Investment Sales Advisory team that represented the seller was led by Senior Managing Director Jim Hamilton, Senior Director Brad Buchanan and Associate Andrew Kahn. Hamilton and team have a long history with Roswell Market Place, having facilitated its sale to Branch Properties in 2018.

Andrew Kahn.

JLL Capital Markets is a full-service global provider of capital solutions for real estate investors and occupiers. 

The firm's in-depth local market and global investor knowledge delivers the best-in-class solutions for clients — whether investment advisory, debt placement, equity placement or a recapitalization. 

The firm has more than 3,700 Capital Markets specialists worldwide with offices in nearly 50 countries.

 

For more news, videos and research resources on JLL, please visit our newsroom.

 

CONTACT:

 Kimberly Steele

JLL Senior Associate

 Public Relations

Phone: +1 713 852 3420

Email:  Kimberly.Steele@am.jll.com

 

branchprop.com.

 

eastcoastacq.com.

Old Three Hundred Capital secures $61.4 million in financing for the acquisition of the Muir Lake Apartments near Austin, TX

Muir Lake Apartments, located at 12600
Avery Ranch Boulevard, Cedar Park, TX

 

 AUSTIN, TX – JLL Capital Markets announced it arranged a total of $61.4 million in acquisition financing for Muir Lake Apartments, a multi-housing property located in Cedar Park, near Austin, Texas.

Nicholas Yarnall

 JLL worked on behalf of the borrower, Old Three Hundred Capital (“OTH”), to secure the $61.4 million acquisition financing through Walton Street.

JLL also secured an undisclosed amount of equity through Arrowmark Commercial Real Estate Partners.

"We could not be more excited to acquire what we believe is Austin's most unique multi-housing property,” said OTH Co-Managing Partner Nicholas Yarnall.

William Gottfried

 

“The lakefront location, incomparable amenity set, and unique Spanish Coastal Architecture position this asset to stand out from the crowd once we complete our interior value-add program.

"We see significant opportunity to capture appreciation, given the amenity set and proximity to major economic drivers in the city, with the Domain, new major employment campuses and more, just minutes away."

 Built in 2014, Muir Lake Apartments totals 332 one- and two-bedroom units. The property sits on 46.1 acres and is 96% leased.

Marko Kazanjian

The highly-amenitized complex features exclusive Muir Lake canoeing, kayaking and boating access, a swimming pool with sundeck, grills and a fireplace lounge, fitness center, yoga room, indoor spa, steam room, sauna, fully fenced dog park, and business center.

Located at 12600 Avery Ranch Blvd., the apartments are situated along a 30-acre lake with over 2,000 feet of greenery and lakeside frontage.

Cedar Park has experienced a 45% population increase since 2010 due to its proximity to downtown Austin and other major economic and social drivers.

Chris McColpin 

 The property is also within a five-minute drive from over 3 million square feet of shopping and is positioned just 10 minutes from The Domain, Austin’s “Second Downtown.”

 "This acquisition reinforces our belief in the future of North Austin and the surrounding suburbs,” adds OTH Co-Managing Partner William Gottfried. 

“Muir Lake presented a rare opportunity to acquire a Class A value-add asset in the fastest growing area of one of the fastest growing cities in the country.

"This deal marks our fourth acquisition in the last nine months here in our home market of Central Texas, adding more than 1100 units and $175M in assets under management during that time.

Andrew Cohen

"Marko and Chris at JLL have done a phenomenal job helping us grow our business and we look forward to many future transactions together."

 The JLL Capital Markets team representing the borrower was led by Senior Directors Marko Kazanjian and Chris McColpin and Analyst Andrew Cohen.

 “Given the excitement of the Austin multi-housing market, we procured over a dozen competitive debt quotes and appreciate Walton Street’s efforts to stand out as a partner with OTH and Arrowmark,” says Kazanjian.

“This marks our second time transacting with Arrowmark in the last nine months and we value their collaboration as we look to continue OTH’s growth.”

  For more news, videos and research resources on JLL, please visit our newsroom.

 CONTACT:

 Natalie Passarelli

JLL Senior Associate

 Public Relations

Phone: +1 224 477 7307

Email:  Natalie.Passarelli@am.jll.com