Houston, TX—Dornin Investment Group, a westcoast real estate investment firm, has acquired two well-located,class B office buildings totaling 122,715 squarefeet located in Houston's Energy Corridor. Thebuildings were purchased in an off-market transaction arranged byDan Miller and Martin Hogan ofHFF at an undisclosed price. This is DorninGroup's third off-market office acquisition in Houston in the lastnine months.

Kirkwood Atrium Office Park is comprised of twodistinctive, four and five story,multitenant office buildings containing 54,319rentable square feet and 68,396 rentable squarefeet respectively for a total of approximately 122,715 rentablesquare feet. Completed in 1979, the buildingsfeature a brick veneer with glass and aluminum curtain wallexterior. The property is situated on a 3.73 acreland tract and includes a surface parking lot containing 360spaces, of which 56 spaces are covered reserved (2.98 spaces per1000). The property is prominently located at 11777 KatyFreeway on the south side of Interstate 10, Houston'sprimary east/west traffic artery providing access to Sam HoustonTollway (Beltway 8) and to all major West Houston roadways andsubmarkets.

The buildings were 83% occupied at the time ofsale which provides immediate upside potential through the lease-upof vacant space. In addition, average in-place rents for KirkwoodAtrium Office Park are approximately $17.75 per square foot whileaverage rental rates for class B buildings in this submarket areover $25.00 per square foot.