Area brokers in a position to know tell GlobeSt.com the railroad outbid at least six other buyers for AT&T's 23-year-old, 379,000-sf Promenade I office building on Peachtree and 14th streets. Norfolk Southern has contracted to buy the 12-story property for $28 million or about $73.88 per sf, the company confirms. The closing date hasn't been determined.
Norfolk is scouting the area for other buildings to house the balance of its staff. The 300 workers will be moving in the fall from One Georgia Center, a 26-year-old Cousins Properties Inc. asset on West Peachtree Street.
AT&T, meanwhile, after making a decision earlier in the year to sell its regional office at Promenade I, plans to move some of its employees next door to Promenade II and to other nearby offices, the company confirms.
Norfolk Southern has been trying to sell its four Downtown buildings on Spring Street, along with 33 acres behind Phillips Arena, for the last five years. The railroad had hoped the state Department of Transportation would buy its property to develop a train station in the city center. But DOT officials confirm the agency is not budgeted for such a transaction.
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