New York City JVs Top Region's Record With 1M-SF Trophy Purchase

DALLAS-In a complicated packaged play, the State Teachers Retirement System of Ohio has banked a record-setting price for the 1.1-million-sf JPMorgan International Plaza, passing the three towers to two New York City-based partnerships. Sources are reporting the combined price hit a $275-million to $290-million strike zone, besting the record by at least $25 million.

JPMorgan International Plaza I and II went to a partnership between David Walentas as majority owner and Fortis Property Group while the third tower, viewed as the value-add to the deal, was handed off to the Mizrachi-Alcaly Group and Fortis, Jonathan Landau, Fortis’ lead executive responsible for the packaging, tells GlobeSt.com. Landau says the deal was brought to him by Dennis Trimarchi of the Schenectady, NY-based Trimarchi Management after he had worked out a contract with the pension fund, which teamed with Dallas-based Wilcox Development Co. to develop the marquee property at 14201, 14221 and 14241 Dallas North Tollway between 1999 and 2002. “He found us and asked us if we were interested,” Landau says, “and we were.”

Landau says Walentas’ acquisition far exceeded the rumored $275 per sf for the 351,248-sf and 405,603-sf towers, both of which have JPMorgan Chase as the sole occupant through 2018. “It’s akin to a bond deal,” Landau says, citing a likely long-term hold for Walentas’ first acquisition in Dallas/Fort Worth. “The tower I and II acquisition by Walentas is a price that hasn’t been realized in Dallas to date.”