Pillar Commercial JV Sells North Dallas Office Building

Lincoln Legacy Two. Image courtesy of Newmark

Larson Capital Management has acquired Lincoln Legacy Two, a 130,371-square-foot office property in Plano, Texas. Newmark represented the seller, a partnership between Dallas-based Pillar Commercial and Artemis Real Estate Partners, based in Washington, D.C., Collin County records show.

Newmark also arranged acquisition financing for Larson Capital Management. The property last traded in late 2018, at the time the current sellers secured a $25 million loan, originated by Metropolitan Life Insurance Co., for the investment, according to CommercialEdge data.

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Lincoln Legacy Two occupies 2.6 acres at 5810 Tennyson Parkway and includes 27,404-square-foot floorplates and a four-level parking structure with 544 spaces at a ratio of 4.12 spaces per 1,000 square feet. Built in 2014, the five-story office building features a lobby, tenant lounge and a fitness center.

According to CommercialEdge data, the tenant list includes digital fundraising agency NextAfter, financial advisor firm Buckingham Strategic Wealth and LiquidAgents Healthcare, among other tenants. At the time of the sale, the property was 90 percent leased. Year-over-year office vacancy across the Dallas-Fort Worth market dropped 180 basis points, reaching 17.3 percent in March.

Lincoln Legacy Two is adjacent to the Dallas North Tollway and within 2 miles of Sam Rayburn Tollway. Dallas-Fort Worth International Airport and downtown Dallas are some 22 miles away.

Past transactions

Pillar Commercial is an active investor in the Metroplex. In January, the company purchased One Preston Centre, a 76,741-square-foot office property within Dallas’ Preston Hollow submarket. In March, the firm sold the fully leased 3939 Belt Line Road, an office building totaling 117,173 square feet in Addison, Texas.

In the first quarter of 2022, office transaction volume across the Dallas-Fort Worth metro has surpassed $1.1 billion, while nationally, investors closed $18.9 billion in office transactions during the same timeframe, CommercialEdge data shows. In April, Rubenstein Partners entered the Metroplex with the acquisition of 5600 Headquarters Drive, the former PepsiCo campus in Plano, Texas.