Two office buildings in Dallas’ sought-after Uptown neighborhood has sold to two different investors after Dallas-based Quadrant Investment Properties divided the two-building, 170,476-square-foot portfolio it placed on the market this year.
The buildings — 2811 McKinney and 3400 Carlisle — were roughly 90 percent occupied at the time of the recently closed deals. The McKinney office building sold to Canadian-based Western Securities Ltd., while the Carlisle building sold to Oklahoma City-based Hall Capital.
Terms of the acquisition were undisclosed. However, Quadrant Founder Chad Cook said it was a good deal for the real estate investment firm.
“It was a good deal and it worked out well, but it took a lot of work from our leasing team,” Cook told the Dallas Business Journal.
When Quadrant initially acquired the two Uptown office buildings in April 2014, they were about 98 percent leased to 40 tenants ranging from local to regional to national companies.
At the time, the in-place rental rates were 13.4 percent below the market rents, which gave Quadrant an opportunity to push rental rates.
In Uptown, the average office rental rate sits at $40.48 per square foot, which is a premium compared with the overall North Texas rental rate of $25.54 per square foot.
Meanwhile, Rhino Medical Services has decided to expand its headquarters by a full floor within the Bank of America Building in north Arlington. This will increase its North Texas footprint by 40 percent to a total of 13,678 square feet at 2000 E. Lamar Blvd.
Theron Bryant of Coldwell Banker Commercial Advisors DFW represented the landlord, Oklahoma City-based AOB Lamar LLC, in the direct deal.
Here’s a look at some other recently closed real estate deals:
- Colony Northstar Advisors has expanded and renewed its existing office space for a total of 17,069 square feet at 13727 Noel Road in Dallas. Daniel Rudd and Billy Varenkhamp of Colliers International, along with Gianni LaBarba of Cresa Partners, represented Colony Northstar. Lauren Napper, Trey Smith and Chris Taylor of Cushman & Wakefield represented the landlord, Galleria North Tower II.
- Digital Realty Trust Inc. (NYSE: DLR) has acquired 16 acres of land at the southwest corner of Holford and Ferris streets in Garland. Rick Hughes of Cushman & Wakefield represented the San Francisco-based data center provider in the deal. The landlord is Blandenstricker Ltd. The city of Garland recently offered Digital Realty Trust an economic incentive deal to build a $1 billion data center campus— the biggest project in Garland’s history.
- Engineering firm ECS has expanded and extended its lease for a total of 14,415 square feet of office space in Metrocrest II Business Center at 3033 Kellway in Carrollton. Cushman & Wakefield’s Emily Hoffman represented the company in the deal. Bryon McCoy of Dallas-based Younger Partnersrepresented the landlord, Kellway Property Group.
- J&B Construction has acquired a 25-acre parcel of land near FM 156 and FM 1384 in Denton County, with plans to subdivide the land and sell off smaller tracts upon completion of remediation. Nick Talley of Dallas-based Bradford Commercial Real Estate Services represented the seller, New Jersey-based Maersk Inc. in the deal.
- Callbox Storage — which was recently cited by the Dallas Business Journal as a North Texas real estate company to watch— has expanded and renewed its lease for a total of 52,000 square feet of industrial space at 4051 N. State Highway 121 in Grapevine. Gary Collett and Shannon Johnston of Cushman & Wakefield represented the company in its real estate deal.
- Michaelson Real Estate Group LLC in a venture with an undisclosed private equity investor have acquired a 126-unit apartment community at 11620 Audelia Road in Dallas for $10.1 million. The Jacksonville, Florida-based real estate group represented itself in the deal. Michaelson Real Estate now operates nine apartment communities in Texas.
- Founders Properties LLC has acquired a 114,655-square-foot building occupied by Blue Cross Blue Shield at 780 Shiloh Road in Plano for an undisclosed sum. Jack Fraker, Ryan Thornton, Jonathan Bryan and Randy Baird of CBRE represented the seller, Westcore Properties, in the deal.