Clarion, Griffin JV Acquires 533 KSF San Antonio Office Building
- Dec 08, 2014
A joint venture between Clarion Partners, of New York, and Griffin Partners, of Houston, has purchased the Bank of America Plaza, a 28-story, 533,465-square-foot office building in downtown San Antonio, Clarion announced late last week.
The purchase price was not disclosed, and as of press time neither JV partner had responded to Commercial Property Executive’s request for further information.
The tower, at 300 Convent St., was designed by Skidmore, Owings & Merrill and completed in 1983. It’s currently 91 percent occupied by tenants in the finance, legal and government sectors.
CBRE marketed the building on behalf of the seller, Talcott Realty Investors L.L.C., of Hartford, Conn., which had purchased the tower in September 2001, the San Antonio Business Journal reported in June.
The announcement of the purchase noted the ongoing revitalization of downtown San Antonio, including “commercial renovation, new construction and beautification projects aimed at enhancing the live/work environment of the area.”
“San Antonio offers a strong economy and employment growth has been higher than the national average,” said Brian Watkins, a managing director at Clarion Partners, in a release.
“This strategic investment reinforces our convictions about the staying power of Texas and more importantly San Antonio’s long-term growth outlook,” added Andrew Montgomery, an executive vice president at Griffin Partners.
“Broad-based hiring will strengthen tenant demand for office properties in the San Antonio metro, tightening vacancy to the lowest point in more than five years,” according to a third-quarter report from Marcus & Millichap. The report points to the possibility that Google Fiber could be close to signing a 20-year lease and to USAA, a major local employer, moving 150 personnel to the One River Walk building downtown.
Local office-using employment is expanding 2.5 percent this year, while the San Antonio inventory of office space will grow only 1.3 percent.