Crown West Acquires Two Office Parks for $38M

ATLANTA-Crown West Realty LLC has acquired a five-building office package for $38.6 million from an entity controlled by Orlando-based Eola Capital. The properties, Deefield Professional Centre in Milton and Peachtree Corners Corporate Center in Norcross, total 333,400 sf. Information about an assumed loan and financing used for the acquisition were not disclosed.

“We are excited to expand our Georgia portfolio with the acquisition of these quality assets,” says Ed Gargiulo, asset management head for Crown West’s eastern division, about the company’s third purchase in the Atlanta area. “The strong job growth and high-quality corporate tenants in these submarkets make modern, well-located properties attractive buys for Crown West. We look forward to making additional acquisitions with the aim of assembling at least one million sf in the Atlanta market.”

Deerfield Professional Centre includes three single-story buildings totalng 170,400 sf on 17.3 acres. The project, located at 13000 Deerfield Parkway in Milton, was constructed in 2000. The 95% leased buildings include major tenants BB&T Payroll Services, Milton’s City Hall offices and the headquarters for Exide Technologies Inc. The 5% vacancy rate at the property is well above the 16.7% reported by Grubb & Ellis for the second quarter in the North Fulton submarket.

Peachtree Corners Corporate Centre was also built in 2000 and includes two single-story buildings totaling 163,000 sf. The 21.5-acre project sits at 4775 and 4855 Peachtree Industrial Blvd. in Norcross. The 62% occupied buildings include major tenants Elekta Instruments and Toshiba America Business Solutions Inc. The property is located in the Peachtree Corners submarket of Atlanta, which currently has a vacancy rate of 17% with effective rents at $14.40 per sf, according to a Marcus & Millichap second-quarter report.