We reported on July 17th that State Farm was in talks to purchase Hammond Exchange, where it had recently leased more than 250,000 SF of office space. The deal has finally been pushed through; State Farm purchased the 10-story Hammond Exchange from owner GE Capital for about $44 million, or $178 PSF. The purchase includes not only the office tower but also 13 acres of undeveloped land adjacent to the building; this adds fuel to the debate on State Farm’s plans to build a Cox-like campus in Central Perimeter. Hammond Exchange’s location is perfect, as there in an additional 30 acres near the parcel that could be purchased by State Farm for office development in the future.
Hammond Exchange has gone through dramatic changes in the last 18 months. Over a year ago, previous owner Novare was forced to give the building back to the lender to avoid foreclosure. GE took over the asset and faced a huge issue – the building was completely vacant. Since that time, State Farm and JLL have worked together to bring the building to 100% leased, including deals done with State Farm and CHEP.Share