Cousins Acquires Fort Worth Tower as Part of $1.1B Deal
- Aug 05, 2013
By Amalia Otet, Associate Editor
Cousins Properties Inc. has entered into an agreement to purchase 777 Main St., a 980,000-square-foot Class A office tower in Fort Worth, from a joint venture operated by Crescent Real Estate Holdings L.L.C.
As part of the deal, the Atlanta-based REIT will buy Greenway Plaza, a 10-building, 4.4 million-square-foot office portfolio, in Houston. The properties will be acquired for an aggregate purchase price of approximately $1.1 billion, to be paid in cash, according to official statements.
“Greenway Plaza and 777 Main St. are an excellent fit with our portfolio, as they are high-quality urban properties with embedded NOI growth and future development potential,” said Larry Gellerstedt, president & CEO of Cousins. “Not only do we expect this transaction to be transformative and accretive, it immediately expands our Texas platform and provides substantial geographic diversification at a significant discount to replacement cost.”
The acquisition is expected to close by mid-September 2013.
Located in the southeast quadrant of Fort Worth’s CBD, the 40-story green glass-paneled office building is home to a mix of quality tenants, including Jacobs Engineering Group Inc., FTS International Services L.L.C., The Petroleum Club as well as many law firms and energy companies. The year-end occupancy for the property is projected at 72 percent.
Cousins has also undertaken a major renovation of an iconic skyscraper in Downtown Dallas that the company bought in August 2012, according to The Dallas Morning News.
Dubbed 2100 Ross, the 33-story, 844,000-square-foot, Class A office building is located at Ross Avenue and Pearl Street, just steps from the new Klyde Warren Park, which connects the Arts District to Uptown.
Cousins has signed leases totaling more than 210,000 square feet, bringing the building to 81 percent occupancy, up from 67 percent at the time of purchase.
Photo credits: Crescent