VOL. 132 | NO. 197 | Wednesday, October 4, 2017
CBRE to Handle Leasing for Southwind Office Center
By Patrick Lantrip
In September, Group RMC purchased the seven-building office park, totaling 465,000 square feet property from Highwoods Properties Inc. in a $39 million deal. (Submitted)
Group RMC Corp., the new owners of Southwind Office Center, have tapped CBRE’s Ron Kastner and Patrick Reilly to handle leasing services for the recently acquired asset.
In September, Group RMC purchased the seven-building office park, totaling 465,000 square feet, from Highwoods Properties Inc. in a $39 million deal. CBRE’s Johnny Lamberson and Terry Radford represented Highwoods the seller in the transaction.
“It’s been several years since an assignment this large has changed hands in the market, and we are up to the challenge of increasing the occupancy of this asset,” Kastner, senior vice president with CBRE's Advisory & Transaction Services | Office Investor business in Memphis said.
Additionally, Cushman & Wakefield/Commercial Advisors will provide property management services for the office park, which includes 3400 Players Club Parkway, 3340 Players Club Parkway, 3350 Players Club Parkway, 8245 Tournament Drive, 8275 Tournament Drive Building B, 8275 Tournament Drive Building C, and 8295 Tournament Drive.
Located along the TPC Southwind golf course near the FedEx World Headquarters campus in the Highway 385 submarket, available office space in the park will range from 500 to 75,000 square feet.
According to the Shelby County Assessor of Property, the sites are spread out across more than 30 acres and were appraised for about a combined $46 million.
Since Highwoods developed, owned, managed and handled leasing for the Southwind Office Park prior to the sale, this makes the first time the property will be leased and managed by third-party companies.
Brendan Maiorana, senior vice president, finance and investor relations at Highwoods’ Raleigh, North Carolina headquarters, told The Daily News at the time of the sale that while this transaction is a bit bigger than an average one-off deal, it was part of the company’s annual quota of sales.
“We routinely sell assets throughout our portfolio just as a normal course of business every year,” Maiorana said. “Our guidance for asset sells for 2017 is a range of $105 million up to $150 million, so this is just part of that total.”
Notably, Highwoods’ Memphis office still owns and operates the Triad Centre office buildings and Crescent Center, which are both located near the intersection of Poplar Avenue and Ridgeway/Shady Grove Road. Maiorana said his company has no immediate plan to sell any of those high-performing properties.
The transaction marks Group RMC’s first foray into the Memphis market, according to its website.