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ORLANDO-Siemens Westinghouse Power Corp. will be paying office rent to a new owner this month.

The 226,000-sf building, fully occupied by the Orlando-based division of Siemens AG of Munich, has been purchased by Falcon Real Estate Investment Co. of New York which paid $35.76 million or $158 per sf for the one-year-old property at the Quadrangle Office Park in east Orange County.

Chicago-based Alter Group developed the building for $40 million or $177 per sf. Alter had planned a three-building, 525,000-sf office park at the site near the University of Central Florida campus.

Falcon’s acquired asset is adjacent to Siemens’ existing 250,000-sf headquarters building and another 225,000-sf building.

For Siemens, the sale of the office building comes as the division lays off 71 staffers in its one-year-old call center operations called Siemens Shared Services.

The company also confirmed in a published report it may not add another 637 high-paying jobs to the call center as part of a national consolidation.

By decreasing its workforce, Siemens is losing $1.8 million worth of county and state tax breaks over six years. The tax incentives were due to start in 2004. Orange County had agreed to contribute incentives valued at $367,000; the state, $1.4 million.

Also expected to close before year end is the sale of the 100,000-sf electronics plant operated in suburban Lake Mary, FL by Siemens Information & Communications Networks Inc. of Boca Raton, FL.

San Jose, CA-based Sanmina-SCI Corp. contracted in April to buy the telecommunications equipment plant for an undisclosed price. However, area brokers familiar with the property told GlobeSt.com at the time the asset would go for about $25 million.

The estimated hard replacement cost of the structure is about $200 per sf or $20 million, area construction industry estimators who have worked on comparable projects, tell GlobeSt.com on condition of anonymity. The high-tech equipment inside the building is valued at a minimum $5 million, area brokers who cover the telecommunications sector tell GlobeSt.com.

The plant’s staff of 300, down from 1,100 in January of this year, is expected to remain in place under new ownership. The plant employed 1,440 in October 2001, the company previously verified in prepared statements.

GlobeSt.com couldn’t reach Sanmina-SCI or Siemens officials at publication deadline to verify the contracted price or learn when the deal will close.

Sanmina Corp. and SCI Systems Inc. merged Dec. 6, 2001. Jure Sola and Eugene “Gene” Sapp are co-chairmen/CEOs of Sanmina-SCI Corp. Sapp is the former chairman/CEO of SCI. Sanmina is an electronics contract manufacturer operating 100 plants in 23 countries.

Nan B. McCormick and Ronald J. Rogg of CB Richard Ellis Inc./Orlando were the sole brokers in the Siemens Westinghouse building transaction.

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