SAN ANTONIO, TX-A local investor has acquired two office buildings totaling about 325,000 square feet from a partnership owned by Urdang Value-Added Fund LP and Griffin Partners. The purchase price was not disclosed, but similar buildings in the area have sold for $120 to $140 per square foot.

The buyer, Segundo Navarro Office LLC, was one of several investors who expressed interest in the class A office buildings during the six months they were on the market, according to Todd Mills of CB Richard Ellis’ local office. He represented the sellers in the transaction.

“This is one of the top projects in north central San Antonio,” Mills tells GlobeSt.

The partnership sold the two buildings after attaining the objectives of its business plan, says David Spoont, senior vice president, finance and dispositions, for Urdang Capital Management Inc., the real estate investment specialist for BNY Mellon Asset Management. “We improved the property and then put it on the market late last year when we saw increasing demand for high-quality office space,” he notes.

The properties, located near the San Antonio airport at 10101 &10100 Reunion Place, were acquired by the real estate partnership in late 2003. At the time of the acquisition, only one building, the 194,399-square-foot Union Square I, was on the site.

After acquiring the building, the Urdang investment fund and Griffin completed improvements, including the installation of a new heating and air conditioning system. They also constructed the 131,186-square-foot Union Square II on the property.

“We focused on improving the maintenance and operations of the property,” notes Edward Griffin, president of Griffin Partners. “Our proactive marketing efforts and strong tenant relations enabled us to retain a strong base of tenants and expand on it. The construction of the second building was well timed to capitalize on improving market conditions.”

At the time of the sale, the combined occupancy rate for the two buildings was nearly 95%. Lead tenants include: Lewis Energy, Mass Mutual and Argonaut Insurance.