When Regent Partners purchased Concourse Corporate Center from TIAA-CREF two years ago, inclusive of the majestic King and Queen buildings, they paid over $300 million. And now that the Central Perimeter submarket has emerged from the recent recession as arguably Atlanta’s most-active, Regent Partners and investment Partner GEM Realty Capital are looking to unload the asset. Given that Cousins just went under contract to purchase Northpark Town Center, located just down the street from Concourse Corporate Center, for about $380 million, most are expecting that the Concourse complex could see offers between $480 million and $500 million.
Although $500 million does seem to be a pretty dramatic increase from the $300 million it was purchased for two years ago, a lot has changed. Since that time, Regent has increased the occupancy of the complex from 83% to 92%. The Central Perimeter submarket is seeing rents above $30 PSF in its nicest buildings, an unheard of figure in this submarket two years ago. There have also been a significant amount of infrastructure improvements throughout this submarket that are easing traffic and access concerns as its vacancy rates continue to decrease.
Concourse Corporate Center could be put on the market as early as the end of the year.Share