The buildings at 3700 and 3800 Classen Blvd. are 70% leased.Zach Martin, adviser with Sperry Van Ness' Oklahoma City office,tells GlobeSt.com that the new owner, Oklahoma Property InvestorsII LLC, will put thousands of dollars into cosmetic upgrades forboth buildings. "The upside is that there is space to lease up androom to grow the rent rates," says Martin, who brokered thetransaction between the buyer and seller, IDK Investors LLC. Martinalso has the leasing assignment.

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Martin says upgrades will include landscaping, common areas andlobbies in addition to renovations via tenant improvements. He saysthe class B office buildings are in good shape, but do need somefreshening up.

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Martin partnered with Sperry Van Ness managing director TimStrange on the transaction. "The Classen Street area had fallen toabout a C-minus area, but now it's coming along," Martin says,adding the ownership change was well timed with the market. "OCU,the adjacent college, is expanding and the city of Oklahoma isdoing a streetscape project along Classen Blvd."

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The submarket's office vacancy is hovering just above 9% whilerental rates are creeping slowly upward. "That type of activity isindicative of the great things that are happening in that part oftown," Martin says.

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Situated on slightly more than three acres, the buildings werebuilt in 1981 and renovated in 1995. Lead tenants are the OklahomaDepartment of Corrections and Oklahoma Water Resources Board.

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