As planned, the Dallas-based Behringer Harvard Funds Friday pocketed the deed to 5050 Quorum. The asset sold for $68 per sf, the top offer in a "best and final" round for a 46%-empty office building in the Quorum/Bent Tree submarket of Dallas.
"There were no issues and no re-trades," John Alvarado, senior vice president of investment sales for Dallas-based Trammell Crow Co., tells GlobeSt.com. The buyer had built-in a couple automatic extensions with additional earnest money when the original contract was placed. "They performed perfectly well and did everything they were supposed to do," he stresses. He adds the buyer was caught up simultaneously working four transactions and needed the extra time to close.
The Fort Worth-based Crescent has sold the third office property this year in its homeport and second in a week in the submarket. The 146,000-sf Addison Tower, a class A property with vacancy upside, passed to Griffin Partners of Houston, a first-time buyer in North Texas. In a press release today, Crescent says the double sales generated net proceeds of about $18 million. The funds were applied to the REIT's revolving credit facility. For previous story, click here.
Unlike its other sales, Crescent stays at the helm to manage and lease 5050 Quorum. The class A office space is being marketed at $16 per sf to $16.50 per sf.
Alvarado represented Crescent in both sales. Behringer Harvard had Brad Behringer and Terry Kennon handling negotiations. The acquisition was financed from the Behringer Harvard Short-Term Opportunity Fund I LP.
Crescent, though, isn't done selling in Dallas. It has declined comment on published reports it's looking for joint venture partners for three Dallas trophies: Fountain Place, Trammell Crow Center and the Crescent. Crescent's vice chairman and CEO John Goff repeatedly has said he's positioning the company to be a manager via JV partnerships in larger holdings and pruning the portfolio of all class B and select class A office assets. Activity this year has brought sales in Denver, Houston and Dallas and acquisitions in Las Vegas and California.
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