Sources confirm the city's biggest sale was Bank of AmericaTower, which garnered $325 million in 1998. Kam Mateen, presidentof the Los Angles-based Cannon Commercial, says the closing for theNoel Road landmark was pushed once, but a loan modification for theassumption quickly put it back on track. "We are very optimisticabout this deal and closing more in Dallas," he tells GlobeSt.com,adding $10 million has been released to the seller. "It's a surething it's going to close."

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Mateen and his brother, Shervin, who's the company's CEO,already are negotiating with a prominent hotel company to jointventure on a boutique low-rise for the vacant land. "It's a very,very important hotel flag. We're going to put the most exclusivehotel on the vacant lot at the corner," Mateen vows.

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A fourth office tower was planned for the land at one time. "Itwould obstruct the view of Galleria II," Mateen explains. "I justthink the very best use would be a low-rise hotel of no more thanfour stories."

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Cannon Commercial is buying the crown jewels from Brooklyn,NY-based Fortis Property Group, which is being kept on as assetmanager, sans any vested financial interest, according to Mateen.Jones Lang LaSalle is staying in place to lease the towers, whichwent from 97.5% occupancy to 99% during the escrow period.

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Mateen says there is minimal lease roll in the first two years.The remaining leases have two to 10 years left on terms, he adds,pointing out the majority of the tenant base has been in place foryears.

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Mateen says the intent is a long-term hold. He says amultimillion-dollar "refreshing" is planned for the lobby of the468,750-sf, 25-story Galleria I at 13355 Noel Rd., but nothing hasbeen firmed up as yet for its sisters, the 430,045-sf, 24-storyGalleria II at 13455 Noel Rd. and 519,675-sf, 26-story Galleria IIIat 13155 Noel Rd.

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Fortis acquired the high rises in November 2006, bringing themto market last fall after driving up occupancy and raising rentsfrom $28 per sf to $30 per sf. The sale's point man was JLLmanaging director John Alvarado who, as always, was partnered withJack Crews and Evan Stone.

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Mateen says there are more contracts in hand for Dallas officeproperties, but none are equal to the Galleria in size, amount orname recognition. Cannon owns the 239,049-sf Toll Hill Office Parkat 5310 and 5440 Harvest Hill Rd., which less than one mile southof the Galleria. "We are very bullish on Dallas," Mateen says, "andwe believe in these intersections of LBJ Freeway. We have thehighest traffic in Dallas and the Galleria is the bestaddress."

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