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An Orlando real estate group announced Monday that it has agreed to buy the 19-story office tower at 525 North Tryon St. for $47.4 million.
The buyer, Parkway Properties Inc., is the same group that said this fall it would purchase the NASCAR Plaza in Charlotte. This latest transaction had been rumored for weeks.
The 525 North Tryon tower, at the Ninth Street intersection, was built in 1998 and is now about 70 percent leased. Bank of America is a tenant, as are Delta’s Restaurant, the Centralina Council of Governments and several others.
The sale of the 406,000-square-foot building is expected to close by the end of the year. Its current owner is First States Investors 5000A LLC, according to county land records.
Parkway’s announcement Monday also outlined purchases of office towers in Houston and Atlanta.
“These three acquisition opportunities fit well within our investment strategy of acquiring high-quality assets in our targeted submarkets,” Parkway CEO James R. Heistand said in a statement. “We believe these three investments continue our portfolio transformation, as we strive to become the leading operator of office properties in our Sunbelt markets.”
With the acquisition of 525 North Tryon, Charlotte’s uptown is set to post a record year for office tower sales.
For all of 2012, the uptown market could boast a sales volume of more than $553 million, according to data compiled by CBRE Group Inc. This would beat the previous high from 2007, when roughly $500 million in uptown properties traded hands.
Experts have said the increased sales activity reflects growing optimism in Charlotte’s economic prospects, increased competition for properties in larger cities, and a belief that Charlotte’s commercial real estate market has bottomed out.
