OPI Snags Atlanta Office Property for $195M
Office Properties Income Trust (OPI) has acquired Twelve24, a 345,917-square-foot office property in Atlanta. The sales price was $195 million. The seller was Trammell Crow Co.
The property is currently 96% leased to Insight Global as its corporate headquarters and 98% leased overall, with a weighted average lease term of 14.2 years. The property was constructed in 2021, includes direct access to MARTA and features a number of amenities, including a fitness center, outdoor patio, café, ground-floor retail and a total of 1,023 parking spaces. The property is located at 1224 Hammond Drive in Atlanta’s Central Perimeter submarket which is the largest employment center in Greater Atlanta and home to Fortune 500 headquarters for Mercedes, State Farm and Nasdaq.
OPI also acquired 1K Fulton, a 531,190-square-foot office building in Chicago for $355 million. The company used cash and drew approximately $350 million under its unsecured credit facility to fund these acquisitions. OPI plans to sell additional non-core properties as part of its capital recycling program to repay drawings under its credit facility used to fund these acquisitions.
OPI is managed by The RMR Group LLC.