The San Francisco Rreef took the class A prize to market in February--without an ask. Thirty would-be buyers lined up for a chance at the 13-story office building at 13727 Noel Rd. in the far North Dallas submarket, says Russell Ingrum, senior vice president with CB Richard Ellis Inc.'s Dallas office. "We had a pretty good mix of institutional, private capital and offshore capital," he says, citing the infill location and density of the office submarket as magnets for the high number of offers.
Ingrum tells GlobeSt.com that Metzler was in the same striking zone as several other bidders, but got Rreef's nod from its persistence and "the opportunity to do other transactions together." Rreef, which bought the holding three years ago from Houston-based Hines, wanted to sell the asset to close out a fund, according to Ingrum, who as always teamed with CBRE senior vice president Gary Carr to steer the sale. The Seattle-based Metzler NA's western region acquisitions director Steven Hissong was the lead for the buy side.
The six-year-old building, positioned on one acre of prime infill land, has 11 tenants. "It's fully stabilized with good quality tenants." Ingrum says. "There's not much exposure to the market for the next five years." Should a vacancy arise, the structure has all the right stuff to backfill the space, he adds.
With the building fully leased for the long haul, Peloton Real Estate Partners is in a stand-down mode on the assignment. Capstar Commercial Real Estate Services in Dallas is the property manager.
© Arc, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to TMSalesOperations@arc-network.com. For more information visit Asset & Logo Licensing.