Parkway Properties To Acquire Premiere Suburban Office RE In $475M Portfolio Deal

Parkway Properties Inc. is under contract to acquire some of the most premiere suburban office real estate in Tampa Bay. Orlando-based Parkway said that it plans to buy Corporate Center I, II and III at International Plaza, totaling nearly 1 million square feet. The Corporate Center buildings are home to some prominent corporate citizens in the Bay area, among them Bloomin’ Brands, Carlton Fields Jorden Burt and T. Rowe Price Group. Parkway said it is buying these properties along with 19 others in six states, totaling more than 2 million square feet, though it intends to sell off those assets after closing. The total portfolio price is $475 million, and the deal is expected to close in the fourth quarter. The seller of the properties has gone to great lengths to keep their identity confidential. Each building is owned by a different corporate entity, some of which appear to be affiliates of New York-based Interventure Capital Group, a family trust for the family of Prince Abdul Aziz bin Fahd of Saudi Arabia, according to CoStar Group. HFF LP represented the seller in the transaction.

“This transaction is an example of Parkway’s ability to creatively structure a deal that will enable us to enhance critical mass in a targeted submarket at an attractive cost basis,” Jim Heistand, Parkway president and CEO said in a statement. “The Corporate Center at International Plaza assets are within the strongest performing submarket in Tampa. The assets are currently well below market occupancy, and we believe we can leverage our existing regional operating platform to add value to the assets and replicate our recent leasing success within the Westshore submarket.”