DALLAS—The Uptown/Turtle Creek submarket is a 24/7 live work play environment with more than 10.5 million square feet of office space, 26 multifamily projects totaling more than 7,000 units, and extensive retail and hospitality space to support these uses. The occupancy rate for office space in the area is nearly 90%.
As a result, an investor found substantial value in Uptown land. Along with recognizing a long- and short-term value creation opportunity, an extensive modernization program is planned to lead an aggressive repositioning initiative for a recent acquisition.
Chicago-based Origin Investments and its joint venture partner, Dallas-based Blackwatch Partners, have closed on the acquisition of the two-building Lee Park Tower I and II in Dallas' Uptown/Turtle Creek submarket. At acquisition, the property was approximately 60% leased.
“Lee Park Tower represents a unique acquisition opportunity in Dallas,” said Matt Ozee, vice president of acquisitions, Origin Investments. “We believe that a comprehensive modernization program can breathe new life into these buildings and pave the way for a significantly increased occupancy rate. Additionally, because of its location and low basis, we see tremendous value potential in the land alone.”
Lee Park Towers, located at 3303 Lee Park and 3626 North Hall St., is a 122,600-square-foot class-B office complex. Building I, developed in 1964, totals 48,977 square feet and features floorplates that average 9,795 square feet. Building II, developed in 1972, totals 71,583 square feet and features floorplates that average 8,180 square feet. BlackWatch will serve as the asset's property manager along with marketing and leasing the available space.
“The ideal tenants for Lee Park Tower include professional and creative services firms requiring 1,500 to 5,000 square feet,” said Scott McGarity, principal of BlackWatch Partners. “That's the current makeup of the tenant roster and the type of tenant that will be attracted to Lee Park Tower as an alternative to newly developed class-A space that is 20 to 30% more expensive.”
In addition to building maintenance that has been deferred, extensive work will be done to upgrade common areas within the buildings and the building operating systems including the elevators, within the extensive building modernization and rebranding program.
“We believe there is so much potential in Lee Park Tower,” Ozee tells GlobeSt.com. “It is a classic repositioning effort: improve the appeal and amenities of the asset to enhance its marketability and ultimately increase rents.”
Lee Park Tower is located 10 minutes from Dallas Love Field, and less than one mile from the Dallas North Tollway and IH-35/Stemmons Freeway.
DALLAS—The Uptown/Turtle Creek submarket is a 24/7 live work play environment with more than 10.5 million square feet of office space, 26 multifamily projects totaling more than 7,000 units, and extensive retail and hospitality space to support these uses. The occupancy rate for office space in the area is nearly 90%.
As a result, an investor found substantial value in Uptown land. Along with recognizing a long- and short-term value creation opportunity, an extensive modernization program is planned to lead an aggressive repositioning initiative for a recent acquisition.
Chicago-based Origin Investments and its joint venture partner, Dallas-based Blackwatch Partners, have closed on the acquisition of the two-building Lee Park Tower I and II in Dallas' Uptown/Turtle Creek submarket. At acquisition, the property was approximately 60% leased.
“Lee Park Tower represents a unique acquisition opportunity in Dallas,” said Matt Ozee, vice president of acquisitions, Origin Investments. “We believe that a comprehensive modernization program can breathe new life into these buildings and pave the way for a significantly increased occupancy rate. Additionally, because of its location and low basis, we see tremendous value potential in the land alone.”
Lee Park Towers, located at 3303 Lee Park and 3626 North Hall St., is a 122,600-square-foot class-B office complex. Building I, developed in 1964, totals 48,977 square feet and features floorplates that average 9,795 square feet. Building II, developed in 1972, totals 71,583 square feet and features floorplates that average 8,180 square feet. BlackWatch will serve as the asset's property manager along with marketing and leasing the available space.
“The ideal tenants for Lee Park Tower include professional and creative services firms requiring 1,500 to 5,000 square feet,” said Scott McGarity, principal of BlackWatch Partners. “That's the current makeup of the tenant roster and the type of tenant that will be attracted to Lee Park Tower as an alternative to newly developed class-A space that is 20 to 30% more expensive.”
In addition to building maintenance that has been deferred, extensive work will be done to upgrade common areas within the buildings and the building operating systems including the elevators, within the extensive building modernization and rebranding program.
“We believe there is so much potential in Lee Park Tower,” Ozee tells GlobeSt.com. “It is a classic repositioning effort: improve the appeal and amenities of the asset to enhance its marketability and ultimately increase rents.”
Lee Park Tower is located 10 minutes from Dallas Love Field, and less than one mile from the Dallas North Tollway and IH-35/Stemmons Freeway.
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