Office Properties Income Trust has finalized a deal to buy Twelve24, a new 16-story, roughly 345,000-square-foot office building in Atlanta’s Central Perimeter submarket, for $195 million, not counting closing costs, it said on Monday.
The seller is Trammell Crow Company, which opened the project last year. The Dallas-based developer has leased up 96 percent of the building to staffing company Insight Global, which uses it as its corporate headquarters. Twelve24 has a weighted average lease term of 14.2 years, according to OPI.
A Massachusetts-based real estate investment trust, OPI also said in this week’s announcement that it acquired Chicago’s 531,000-square-foot 1K Fulton office property for $355 million.
“These two Class A office properties squarely fit our objective of owning, operating and leasing properties that are primarily leased on a long term basis to tenants with high credit quality characteristics,” OPI President and Chief Operating Officer Chris Bilotto said in a statement.
Twelve24 is located at 1224 Hammond Drive, just east of the Dunwoody MARTA Station. It is connected to the station via a sky bridge, as well as a new Hyatt Place hotel developed by TCC and Concord Hospitality Enterprises to the north.
The office building’s amenities include a fitness center, outdoor patio, cafe, ground-floor retail, and more than 1,000 parking spaces.
Iron Hill Brewery & Restaurant agreed to lease about 7,500 square feet of ground-floor retail space within Twelve24 in 2019. It lists the location as coming this summer on its website.
OPI is managed by the operating subsidiary of The RMR Group Inc., while Trammell Crow Company is a subsidiary of CBRE Group.
The latter was represented in its sale by CBRE Vice Chairman Will Yowell, Vice Chairman Will Pike, and Senior Investment Sales Analyst Devon Huseman.
