Overlook Block Becomes Available: First in 30 Years
The Overlook at Las Colinas was home to a publicly traded company that recently vacated and as a result, an 80,000-square-foot block has become available for the first time in almost 30 years.
IRVING, TX—The Overlook at Las Colinas, a 95,000-square-foot building, was home to a publicly traded company that recently vacated. As a result, an 80,000-square-foot block at 251 O’Connor Ridge Blvd. has become available for the first time in almost 30 years, listing brokers observe.
The building has a large contiguous space that is ideally suited to an owner-occupant and historically well leased, say Younger Partners managing principals Scot Farber, Tom Strohbehn and Sean Dalton, who are handling the exclusive listing for the owner. Dalton, along with Younger Partners broker Byron McCoy, handle leasing for The Overlook.
“It is an excellent time for a buyer to take advantage and lock in rates in the current low interest rate environment we are in,” Farber says. “This space would allow an owner-occupant to take control of long-term office needs while reducing occupancy cost and, depending upon current space requirements, provide opportunities for third-party leasing and the creation of supplemental income in a market where average lease rates have eclipsed $25 per square foot.”
Among the building’s appeal is its location and view corridors, extensive historical capital improvements including shallow bay depths with minimal common area factor, flexible layouts with complementary outdoor spaces/patios, access to area transportation networks and significant discount to replacement cost of approximately $250 per square foot.
“The combination of surging market lease rates and favorable debt terms have made building acquisition a beneficial pursuit for companies wanting to create value,” Strohbehn adds.
The Overlook is set against the backdrop of the Four Seasons Resort and Club in one of Dallas’ strongest submarkets, Las Colinas. It has outdoor patios and green spaces, and is located just across from the Las Colinas Urban Center with amenities including the Toyota Music Factory, Gables Water Street, a variety of hotels, dining options and a growing base of apartment developments in a live/work/play environment, Dalton says.
“Las Colinas has been the most active office submarket from a net absorption standpoint through the first quarter of 2019, recording 321,945 square feet of positive net absorption,” Steve Triolet, Younger Partners research director, tells GlobeSt.com. “Over the past few quarters, several large corporations have been taken large blocks of space within the submarket including Allstate Insurance, Exeter Financial, Nokia, DealerSocket and WeWork, among others.”