The asset, located within the 7,000-acre Research Triangle Park, is 100% leased to Reichhold, Inc. The global supplier to the composite and coatings industry uses the building at 2400 Ellis Rd. as its world headquarters. An Orix spokeswoman tells GlobeSt.com Reichhold's lease runs through 2013; however, she declined to disclose the rental rate.
This acquisition is Orix's first foray into the Research Triangle. The spokeswoman explains 2400 Ellis Rd. is a solid performing property that fits the company's investment strategy, holding properties for approximately five years.
"This acquisition is consistent with our strategy to acquire high-performing assets in class A locations across the country," Orix Real Estate Capital's president and CEO David Brown says in a statement. "Reichhold is a solid tenant, and the research park of a well-established location."
The class A property features office space, wet/dry laboratory space, a cafeteria and a fitness center, according to Orix. Eric Wollan, senior vice president-acquisitions, led the Orix acquisition team. Charles Olsen of New York City-based Redac, Inc. represented the seller.
The Research Triangle Park boasts 145 companies with more than 40,000 employees. It is the primary economic driver in the Raleigh-Durham MSA, according to Orix. A third quarter office report by Grubb & Ellis puts the asking class A office rent at $18.13 per sf; a third quarter industrial report by Grubb & Ellis places the asking rent for research and development/flex space at $9.19.
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