ATLANTA—The Peachtree, a 345,244-square-foot class A office building in Midtown Atlanta, just secured a $48.6 million senior acquisition loan. 1355 Peachtree Owner snapped up the office buildings, which is 91.7% occupied.

The buyer is affiliated with Banyan Street Capital and funds managed by Oaktree Capital Management. An affiliate of DRA Advisors sold the Atlanta office building.

"The Midtown market is recovering strongly after lagging behind Buckhead and the perimeter," John Randall, managing director with PCCP, tells GlobeSt.com. "We see a nice mark to market opportunity embedded in Midtown office right now. "

Over the the past three quarters, he says, the amenity-rich Midtown submarket has experienced nearly 720,000 square feet of positive net absorption. NCR, Kaiser Permanente, Worldpay, and Sage Software are among the companies that have relocated from the suburbs into Midtown.

Built in 1989, The Peachtree is located at 1355 Peachtree Street Northeast between 16th and 17th Streets on the northern side of Midtown. The asset includes two nine-story wings on the north and south sides of a 20-story tower, all of which surround a 10-story atrium in the building's center. The office buildings are two blocks to the Arts Center MARTA Station, along with dining, hospitality, residential. and cultural destinations.

"PCCP's senior loan enabled the buyer to acquire the asset and also provides funds for future capital improvements and leasing costs," says Randall. "Banyan Street Capital is a best-in-class office property owner and operator with extensive experience in the Midtown market. The firm's proactive management along with the asset's prime location will be attractive to tenants seeking high-profile space in the Atlanta market."

DRA invested over $3 million of capital into the Midtown Atlanta office space in the last three years. Specifically, DRA spent to upgrade portions of the lobbies, improve common areas, enhance on-site amenities, and modernize the elevators in each wing. That helped buoy occupancy, which has increase 60,000 square feet to hit 91% in the past six months.

The headline says Midtown office got "another nod." Just days ago, Midtown I & II, two core class A office buildings totaling 794,110 square-feet in the Innovation District of Midtown Atlanta, also traded hands.