March 22, 2017— Chicago-based Origin Investments has acquired Keystone 100, an approximately 62,300-square-foot, Class A office building within Keystone Office Park in Durham, North Carolina, from Herndon, VA-based American Real Estate Partners for an undisclosed purchase price.
Keystone 100 is a two-story office building located at 630 Davis Drive, within Keystone Office Park. The broader Keystone Office Park is a three-building business park conveniently situated close to Interstates 40 and 540 and the Triangle Expressway, providing easy access to downtown Raleigh, downtown Durham, Cary, Chapel Hill and the Raleigh-Durham International Airport.
This location is particularly appealing to Origin Investments because of its immediate proximity to the Research Triangle Park. Additionally, a major mixed-use project, led by Atlanta-based Pollack Shores, is under construction directly across Hopson Road. When completed later this year, it will provide immediate walkability to retail amenities. The property also benefits from numerous surrounding academic institutions, including Duke University, The University of North Carolina Chapel Hill and North Carolina State University.
Tenants occupying space at Keystone 100 include ZTE, Inno Clinical, State of North Carolina and Oriel Therapeutics. Upon acquisition, Origin will complete a building modernization program to update the lobby, fitness center and other common area and amenity spaces.
According to David Welk, Managing Director of Acquisitions for Origin Investments, the characteristics of this acquisition are in keeping with the firm’s investment platform.
“We look for modern, well-located assets like Keystone 100 that can be successfully repositioned in the local market,” Welk said. “The continued growth of the Research Triangle marketplace warrants the investment we are making in acquiring and further modernizing Keystone 100.”
“We are excited about and committed to the Research Triangle area,” Welk concluded. “It remains an area where strong growth potential is being forecasted and realized.”
The investment opportunity at Keystone 100 is similar to Origin’s investment in 2015 when it acquired 2605 Meridian Parkway, a 73,446-square-foot, Class A office building in the Research Triangle market. After acquiring that asset at 72 percent leased, Origin completed a modernization program and re-tenanting of the property, including the relocation of Avaya and its 43,500-square-foot requirement to the building. Origin now owns three office assets in the West Raleigh and Durham markets.
The HFF investment sales team representing the seller was led by director Scot Humphrey, senior managing director Ryan Clutter and associate director Chris Lingerfelt. HFF’s debt placement team representing the buyers was led by director Cory Fowler.
“Keystone Office Park is one of the region’s premier business parks and we were pleased to see such high institutional interest in this asset,” commented Humphrey.[button href=”http://www.origininvestments.com” style=”flat” size=”medium” color=”#1e73be” target=”_blank”]FOLLOW ORIGIN INVESTMENTS [/button] [button href=”http://www.americanrepartners.com” style=”flat” size=”medium” color=”#1e73be” target=”_blank”]FOLLOW AMERICAN REAL ESTATE PARTNERS[/button]