Alliance Partners Buys 482 KSF Office Tower in Nashville from Parmenter
- Nov 11, 2013
Alliance Partners HSP L.L.C., a Philadelphia-based affiliate of The Shidler Group, Honolulu, has purchased Nashville City Center, a 482,400-square-foot, 27-story office building, from Miami-based Parmenter Realty Partners, it was announced Thursday by CBRE Group, which represented the seller.
The closing took place on Oct. 31, a CBRE spokesperson told Commercial Property Executive. Financial terms of the deal were not disclosed, and Alliance declined to comment on the transaction.
In mid-September, however, while negotiations were still under way, The Tennessean reported that the purchase would be for about $103 million, or about $218 per square foot. That article also stated that Parmenter had bought the tower, at 511 Union St., for $84 million five years earlier from Nashville City Center Partnership, which had developed the building in 1988 and owned it since then.
The deal, according to The Tennessean, was also to include a 99-year lease on a 500-space parking garage being built adjacent to the tower. Parmenter reportedly agreed to add the garage as part of a 15-year lease deal with tenant law firm Waller Lansden Dortch & Davis L.L.P. Alliance Partners will now take over completion of the parking deck.
A development site above the new parking garage could eventually accommodate another office building or (more likely) high-rise residential, according to CBRE.
Nashville City Center’s tenants include, in addition to the Waller Lansden law firm, Gresham Smith & Partners, First Tennessee Bank, Keith Williams Law Group and Lindsey & Amonette PLLC. The property is 91 percent occupied, according to CBRE.
Will Yowell, Jay O’Meara and Justin Parsonnet of CBRE’s Atlanta office and Douglass Johnson and Steve Preston of CBRE’s Nashville office represented Parmenter. Jeff Ackemann, William Tyler and Scott Brady of CBRE’s Debt & Structured Finance team, part of the company’s Capital Markets group, arranged acquisition financing on behalf of Alliance Partners.