Making a Contrarian Bet on Aging Trophy Office Towers

Think of a high-profile office building that was built in the late 20th century in an urban central business district: Atlanta’s CNN Center, Denver’s Granite Tower, the Miami Tower—a.k.a. the sleek, glass-sheathed skyscraper where Gloria Estefan danced on the roof in her Turn the Beat Around music video—and there’s a good chance that CP Group owns it, as it does those three.

Boca Raton, FL-based CP Group has made acquiring what it calls “tarnished trophy real estate” in CBDs the sweet spot in a “contrarian” strategy of buying well-known, aging office towers in prime locations at discount prices, modernizing them, boosting occupancy and reselling the buildings at a much higher price within five years.