Leasing at Hines Tower Reaches 70% 10 Months Before Completion

Hines' project manager John Robbins tells GlobeSt.com he anticipates the building will be 'substantially leased, above 90%" when it opens in April 2006. Robbins declined to disclose the length of the lease or its value.

However, Midtown office brokers familiar with the building and the submarket tell GlobeSt.com the lease is probably for 15 years at an effective rent of $20 per sf. That would put the estimated value of the lease at $5.1 million. Robbins says that on a net-rent basis, the asking rates at 1180 Peachtree range from $20 to $22.50 per rentable sf. Tenants also pay operating expenses of about $9.60 per rentable sf.

Earnest Partners, a global investment advisor, will be relocating from offices at 75 14th St., directly across from the 1180 Peachtree tower which is at the corner of Peachtree and 14th streets. Earnest Partners is the second firm to sign an office lease at 1180 Peachtree. The local law firm of King & Spalding LLP is the anchor tenant, leasing 440,000 sf on 18 floors, including the top 15 floors, as GlobeSt.com previously reported. In January, Hines signed restaurateur Bob Amick to a 13,000-sf lease.

The tower is being built adjacent to the Atlanta Symphony Orchestra's planned Symphony Hall. The 41st floor of 1180 Peachtree was topped out last week. The building is financed and owned by National Office Partners Limited Partnership, a partnership of the California Public Employees' Retirement System (CalPERS) and Houston-based Hines.