Kolter Wraps Up Portfolio Sale

DALLAS-The Canadian-based Kolter Corp. yesterday sold the last two buildings out of eight brought to market at the beginning of the year to a Dallas private partnership, GlobeSt.com has learned.

Ken Bruder of the Bruder Co. in Dallas is the lead player in the investment group acquiring the 162,346-sf Meadows Building at 5646 Milton St. and 62,492-sf Alpha Building at 5339 Alpha Rd. Due to the holiday, the selling price wasn’t available nor was the buyer. The assets have a combined assessment of $9.1 million.

The Kolter portfolio was marketed by a team in the Dallas office of Holliday Fenoglio Fowler. In May, the Chicago-based Transwestern Investment Co. bought the 908,588-sf Energy Square, reportedly paying in the mid-$65-million range for the divvied up portfolio. That same month, Younan Properties Inc. of North Hollywood, CA paid $18 million for the 303,720-sf Graystone Center. A month later, a pair of Northpark East office buildings sold for an undisclosed amount.

The nine-story, 48-year-old Meadows Building, sitting on 3.8 acres, is 84.4% leased. The Alpha Building is a four-story structure, built in 1980, that is 27.7% occupied by six tenants.

The closing is just one of a handful that was on the docket to be finished by year’s end. George Roddy Sr., president of Roddy Information Services in Addison, tells GlobeSt.com that it now appears that many of the deals in the pipeline will close after the calendar flips. The fourth-quarter numbers have yet to be tabulated, but third-quarter sales were down 4% from the prior year. Typically, the last quarter brings a flood of closings, but Roddy’s predicting the deals will instead crest in the first quarter.

Selling prices have remained fairly constant in the research firm’s year-to-year analysis. Office building sales were the leader, up 12% for 319 closings at the third-quarter close versus 285 sealed deals in 2002. Industrial sales fell second with a gain of 9% or 473 closings in comparison to 434 in the prior year. Multifamily sales pulled third place with 249 sales versus 236 in 2002. The retail sector logged 363 closings or an 11% decline from the 407 recorded last year.