$23 million sale of and arranges financing for two suburban Charlotte office buildings closed by HFF
CHARLOTTE, NC – Holliday Fenoglio Fowler, L.P. (HFF) announced today that it has closed the sale of and arranged financing for Carmel Park I and II, two office properties totaling 170,128 square feet in suburban Charlotte, North Carolina.
HFF marketed the properties on behalf of the seller, Carmel Park II Limited Partnership, which is managed by PICOA, Inc. CapRidge Partners, LLC purchased Carmel Park I and II for $23 million. Additionally, HFF placed a floating-rate acquisition loan for the buyer with JP Morgan Chase & Company.
Carmel Park I and II are situated on 11.5 acres at 11111-11121 Carmel Commons Boulevard in the Ballantyne/South Charlotte submarket. This location is near major thoroughfares including NC-51, Interstates 77 and 485, and U.S. Routes 74 and 521, all providing access to the entire Charlotte region. Public transit is available via the Carmel Road Express bus line within walking distance of the property as well as The Lynx light rail at the South Boulevard Station. Carmel Park I has 84,734 square feet of space and Carmel Park II has 85,394 square feet. Overall, the properties are 80 percent leased to tenants, including Pulte Group, Gentiva Health Services, M3 Engineering and Commercial Defeasance, LLC.
The HFF investment sales team representing the seller was led by senior managing director Ryan Clutter.
HFF’s debt placement team was led by senior managing director Travis Anderson, director Jim Curtin and associate director Cory Fowler.
“We received significant interest in Carmel Park as capital continues to flow into the Charlotte market seeking quality investments. Office rents are now growing rapidly in most areas of Charlotte helping to really push pricing for sellers and create solid investment opportunities for buyers. This trade represents a terrific ‘win-win’ for both sides of the transaction,” commented Clutter. “We believe rents will continue to grow in most Charlotte submarkets and as the cost of capital remains very attractive, the current strong selling environment will continue into 2016.”
CapRidge co-founder Tom Stacy says his group is excited for Carmel Park to be their first acquisition in the market.
“We are thrilled to enter Charlotte with the acquisition of Carmel Park,” Stacy said. “These are quality buildings in an attractive location, and we’re looking forward to implementing our value-add strategy, starting our renovations and delivering exceptional service to tenants at the building and throughout the market.”
According to Stacy, CapRidge co-founder Steve LeBlanc is especially excited to return to the Charlotte market and continue CapRidge’s expansion into the Southeast since he previously lived in the area for many years when he served as CEO of Summit Properties.
About PICOA, Inc.
Specializing in niche markets that fall between large institutional investors on the one hand and “mom and pop” investors on the other, PICOA, Inc. has successfully completed transactions ranging from $5 million to $50 million in total cost throughout the United States. PICOA, Inc. is headquartered in Los Angeles, California.
About CapRidge Partners
CapRidge Partners is a value office investor and manager headquartered in Austin, Texas. CapRidge serves the major Texas markets along with select growth markets in the Southeast, Southwest and Mountain West. Founded in 2012 by Steve LeBlanc and Tom Stacy, two proven leaders in real estate, investments and commercial operations with nearly 40 years of combined experience, the company is dedicated to providing superior services to its investors and clients.
HFF and HFFS (HFF Securities L.P.) are owned by HFF, Inc. (NYSE: HF). HFF operates out of 22 offices nationwide and is a leading provider of commercial real estate and capital markets services to the U.S. commercial real estate industry. HFF together with its affiliate HFFS offer clients a fully integrated national capital markets platform including debt placement, investment sales, equity placement, advisory services, loan sales and commercial loan servicing. For more information please visit hfflp.com or follow HFF on Twitter @HFF.
Holliday Fenoglio Fowler, L.P., acting by and through Holliday GP Corp., a North Carolina licensed real estate broker.