4 Million SF of Class A Office Hits Market

ATLANTA—Columbia Property Trust, formerly Wells REIT II, is marketing a portfolio of 17 class A office properties in 12 markets across 11 states. The office portfolio spans nearly 4 million square feet.

“Marketing this portfolio is another significant step in our strategy to support value growth for our shareholders,” says Nelson Mills, president, CEO and director for Columbia. “Divestiture of these properties will align with our strategy by enabling us to more selectively focus on our desired markets and to reinvest in other properties where we believe we have the best opportunity to use our expertise to enhance value.”

Here are the specs: The Columbia Property Trust Credit and Income Portfolio is free and clear of debt and offers a balanced rollover schedule. The portfolio is 91.4% occupied. The average remaining lease term is 7.4 years.

“This portfolio offers investors a rare opportunity to acquire a critical mass of geographically diverse, high quality office assets that would otherwise require significant time and expense to accumulate,” says CBRE vice chairman Will Yowell, who is marketing the portfolio for the seller. “Given its compelling asset quality, tenant credit, and lease terms, we anticipate significant interest in this exceptional portfolio.”

The office properties are largely single-tenant buildings. The office assets are leased corporate giants like Coca-Cola Refreshments, JP Morgan Chase, General Electric Company, Wells Fargo, Aetna Life Insurance, IBM, and United Healthcare.

“All of these were important assets for Columbia as we built our portfolio over the past nine years,” says Kevin Hoover, Sr., vice president of Real Estate Transactions for Columbia. “I believe the same qualities that originally attracted us to them—stabilized, class A buildings leased long-term to respected corporations—continue to make them attractive to the marketplace.”