PHILADELPHIA, Jan. 22, 2013 /PRNewswire/ -- Rubenstein Properties Fund, L.P. (Rubenstein) announced the year-end disposition of two significant Southeast U.S. office assets following the execution of Rubenstein's value-added office investment strategy.
The two transactions involved 64/66 Perimeter Center East (64/66 PCE), located in Atlanta's Central Perimeter District, and NASCAR Plaza in Charlotte's Central Business District. The combined sales total approximately $218,000,000 on 974,000 sf of office space. David Rubenstein, Senior Managing Partner said, "The acquisition, management, stabilization and subsequent sale of these assets epitomize the Fund's value-added approach to real estate investing."
The following is a summary of the two dispositions, both executed in December 2012:
NASCAR Plaza, Charlotte, North Carolina – Rubenstein, in partnership with local operator Trinity Capital Advisors ("Trinity"), sold NASCAR Plaza, a 390,000 square foot Class A, LEED Silver certified building located in the Charlotte CBD, for approximately $100,000,000. Rubenstein and Trinity acquired the newly constructed and 40% occupied NASCAR Plaza in December of 2010 through a simultaneous note purchase and deed-in-lieu of foreclosure. Rubenstein and Trinity then successfully leased the building to 88% occupancy in less than 24 months. David Rubenstein said, "The key components of our strategy were to acquire the new Class A asset, in an improving section of the Charlotte CBD, at a competitive basis which would allow us to aggressively lease the property. We also believed NASCAR Plaza's accessibility and high visibility would appeal to corporate relocations. That thesis was proven out by the building's ability to land the approximately 140,000 sf relocation of Chiquita Brands."64 and 66 Perimeter Center East, Atlanta, GA – 64/66 PCE, totaling 584,000 sf consisting of two Class A office buildings and a data center component, was recently sold for $118,500,000. Rubenstein initially purchased the Atlanta Property as a part of a 3,500,000 sf portfolio in February 2007. In 2010 Rubenstein executed a substantial repositioning and renovation project including interior, exterior and mechanical elements of the property and later added fitness and dining amenities. As a result, Rubenstein recently achieved 96% occupancy after attracting a 500,000 sf lease with a Fortune 50 company. Rubenstein has now finalized the execution of its value-added business plan through the disposition of the asset. "When we purchased 64/66 PCE we planned for the possibility that we would experience a big block of vacancy, and we were confident that our skill in the renovation, repositioning and leasing of office buildings, combined with a strategic location in a submarket with many Fortune 500 companies, would provide us with the opportunity to achieve our investment goals. We are very pleased to have successfully executed our value-added strategy by repositioning, and stabilizing the property and then closing on a sale to an institutional investor," said David Rubenstein. About Rubenstein Partners Rubenstein Partners, founded in September 2005, is a private real estate investment management and advisory firm with operations throughout the Eastern United States. The firm is lead by David Rubenstein and a group of senior real estate executives, and is focused on directing and managing value-added office real estate investments, primarily in the Eastern United States ( www.rubensteinpartners.com).