Meriwether was attracted to Tigard Corporate Center's long-term income stream.
PORTLAND, OR—The desirable Tigard Triangle micro-market is an area where class-A lease rates have outperformed the rest of the Interstate-5 Corridor submarket every quarter since 2014. Meriwether Partners recently purchased Tigard Corporate Center buildings A, B and C in this micro-market, adding 123,210 square feet of class-A office to its local portfolio. The buying entity is Meriwether Tigard LLC, a private partnership that includes the principals of Meriwether, along with high net-worth individuals.
The property offers access to major arterials including Interstate 5, Highway 99 and Highway 217, and includes a structured parking garage with 357 stalls, along with surface parking. Tigard Corporate Center is directly adjacent to the recently announced expansion of Trimet's MAX light rail line along the Southwest Corridor.
Managing directors Paige Morgan and Buzz Ellis led the JLL team on the sale on behalf of its client, a global investment manager.
“Tigard Corporate Center presented an opportunity for investors to purchase a trio of well-maintained, institutional quality office assets, 100% leased on a triple-net basis with long-term income security,” said Morgan.
JLL handles property management at the property.
“Meriwether was attracted to the long-term security of the income stream, attributable to the quality of the tenant credit and the remaining term on both NNN leases,” Ellis tells GlobeSt.com. “The sale provides another data point for investors interested in suburban office in Portland, and Tigard Corporate Center's location in the Tigard Triangle underscores the value that investors place on well-maintained, stabilized office assets in that micro market.”
The three-building portfolio is 100% leased by two separate tenants–Rocky Mountain Cancer Center LLC (operated by Compass Oncology) and Consumer Cellular Inc.–and boasts a combined weighted average lease term of approximately 8.5 years.
Backed by McKesson, which operates 450 cancer treatment facilities across the country, Compass Oncology recently signed a 10-year lease on Building A and is presently under construction on an oncology center at the property. The tenant chose the central location for its access to a large population base and proximity to a group of other medical office buildings in the immediate neighborhood.
Consumer Cellular is a Portland-based wireless company that currently serves 3 million customers across the United States. Building B and C house Consumer Cellular's corporate headquarters and a call center with approximately 325 employees.
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Lisa Brown
Lisa Brown is an editor for the south and west regions of GlobeSt.com. She has 25-plus years of real estate experience, with a regional PR role at Grubb & Ellis and a national communications position at MMI. Brown also spent 10 years as executive director at NAIOP San Francisco Bay Area chapter, where she led the organization to achieving its first national award honors and recognition on Capitol Hill. She has written extensively on commercial real estate topics and edited numerous pieces on the subject.
