Jacksonville Office Trades for $107M

JACKSONVILLE, FL—Kansas City-based commercial real estate developer VanTrust has sold Town Center One & Two, a 374,123-square-foot, class A+ office asset here, to TPG Real Estate, a San Francisco-based REIT. The property sold for $107.1 million. Cushman & Wakefield’s Capital Markets Group, as the exclusive advisor, arranged the disposition of the property.

“Jacksonville continues to be a magnet for business relocations and expansions, which fueled solid gains in population and employment, C&W Senior Director Karl Johnston tells GlobeSt.com.

“The unemployment rate fell to 2.7% in November, down 50 basis points year-over-year, for an impressive job growth rate of 3.4% in conjunction with solid job numbers throughout 2019, adding 24,400 jobs year-over-year,” he continues. “The tight labor market showed that the area remained a job generator, which had a positive impact on office demand, especially in the Professional & Business Services sector.”

Town Center One & Two sits on approximately 25 acres at 5555 and 5335 Gate Parkway. Town Center One is a five-story, 155,423-square-foot multi-tenant building that was 94% leased at the time of sale. Notable tenants include Availity, UBS Bank and Insight Global. Town Center Two is a six-story, 218,700-square-foot single-tenant building fully leased to Web.com.

Town Center One & Two features high ceilings; an above average parking ratio of 6 per 1,000 square feet; and large, efficient and flexible floor plates. A state-of-the-art common area with a cafe and conference center is located in Town Center Two, while Town Center One features a tenant amenity hub on the first floor.

Positioned in the heart of the rapidly expanding Deerwood Park micro-market, the property is adjacent to the Southside Quarter mixed-use development and immediately south of the renowned St. Johns Town Center, an open-air retail and dining destination.