TWO Capital Partners Pockets $53M From Office Campus Sale
The assets last changed hands six years ago.
TWO Capital Partners has closed the sale of Park 37, a nine-building office campus in Greenville, S.C. Represented by Stream Realty Partners, the seller got $53.3 million for the assets.
The campus last changed hands in 2016, in a portfolio transaction. TWO Capital Partners paid $38.5 million to Terra Capital Partners for Park 37 and Harbinger Park, a 160,000-square-foot Greenville campus, CommercialEdge data shows.
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Located at 100-750 Executive Center Drive, immediately north of the interchange between interstates 385 and 85, Park 37 is roughly 7 miles from Greenville’s CBD and some 25 miles west of Spartanburg, S.C.
The nine two- and three-story buildings offer approximately 400,000 square feet of office space on 34 acres. Built in the 1980s, the assets were rebranded and underwent a wide-ranging renovation process in 2018. The upgraded business park includes a fitness center, an 8,000-square-foot conference center, a lounge and an on-site restaurant.
The assets are 76 percent leased to a diverse tenant roster including UPS, the U.S. Corps of Engineers, the South Carolina Manufacturing Extension Partnership, as well as non-profit organizations, financial advisors and engineering firms, according to CommercialEdge data. CBRE oversaw the leasing process under the former owner.
The Stream Realty Partners team that represented TWO Capital Partners included Executive Managing Director Jared Londry, Senior Vice President Mack Freudenstein and Senior Associate Alex Olofson.
A stable market
Greenville is becoming increasingly attractive to investors looking for opportunities in secondary markets with population and job growth, Londry said in prepared remarks, adding that affordability contributes to the area’s appeal.
Unemployment in the Greenville area was back to a low 2.7 percent in November of last year, after a record high rate of 11.7 percent in April 2020, data from the Bureau of Labor Statistics shows.
According to an Avison Young report, the Greenville office market was stable going into 2022, with a vacancy rate of 10.2 percent and rents up 1.8 percent for the year, to $23.24 per square foot.
Despite Greenville having 1.4 million square feet of office space in various stages of development and redevelopment—according to the same report—with the majority of projects slated to break ground in 2023, existing office properties have a significant window of opportunity to solidify their tenant base.
