Canadian Condo Converter Wins Face-Off With $16M-Plus Bid

The partners of the privately held, Times 3 Developments Ltd., came to Dallas last night to finalize plans to add $1.2 million to $1.4 million of upgrades to the 3314 Knox St. development, nestled into a high-end, eclectic pocket of retail and residential product. The architect will be finalized today and the realtor most likely put in place Wednesday, Thomas Bales, Times 3 president, tells GlobeSt.com about his $16-million-plus win. Dallas-based Lincoln Property Co. is remaining as the manager of a four-year-old building constructed with a condo play in mind. Upgrades to the lobby, corridors and exterior will be done by fall.

"The key will be to get the sales program going as quickly as possible," Bales says. Sales will begin this week, with discounted rates offered to tenants of the 92%-leased Travis at Knox. Units average 1,947 sf; the rent median is $2,775 per month. Sales, Bales says, will be tagged on average at $250 per sf. "We are hoping to be moved out of there in 12 months," he says about the strategy at work for a single-asset buyer of record, Travis at Knox LP.

Jeffrey L. Price and William Simmons with Dallas-based Apartment Group did a broad sweep of the market with a no minimum-ask listing to rally upward of 20 offers for the Dallas-based joint venture seller, Sarofim Realty Advisors and Columbus Realty. "The location, the views and the square footage are the things that sold it," Price says. "It just sets up really, really well for a conversion." Tom Burns with Hendricks & Partners' Dallas team and Greg Austin in the Houston office brought the buyer to the table.

Bales says Times 3 is looking for more condo conversion opportunities in Dallas/Fort Worth and Austin. His buying criteria is newer product and less than 100 units. Travis at Knox caught Bales' eye not just for the location in a pedestrian-friendly redeveloped area, but also for its ready-to-go condo state with only three one-bedroom units. "People will rent one-bedroom units, but when they buy they want two bedrooms," he says.