Continental Capital Acquires 4-Building Office Portfolio in Raleigh-Durham
- Oct 14, 2014
Continental Capital Partners has acquired four office buildings in Raleigh-Durham, totaling 278,059 square feet, from the Dilweg Cos. for a reported $37.3 million.
“These four buildings are situated in some of the strongest submarkets in Raleigh-Durham,” Anthony Dilweg, Dilweg Cos.’ CEO, told Commercial Property Executive. “They offer a great upside for Continental Capital Partners, and we look forward to seeing the CCP team execute their strategic plan.”
The portfolio consists of Park Forty Plaza, a 122,311-square-foot building located at 1000 Park Forty Plaza Drive, built in 1986; RDU Center II, a 61,616-square-foot office building located at 3131 RDU Center Drive, and constructed in 1998; and NorthPark I and II, with a total of 94,123 square feet, located at 11635 and 11640 North Park Drive and built in 1996 and 2000 respectively.
“We are very excited about expanding our footprint in Raleigh-Durham,” Jeremy McLendon, Continental Capital Partners’ managing partner, said in a company release. “We are very bullish on this market and look forward to repositioning these assets.”
The Dilweg Cos. originally acquired these four properties as part of a 12-building portfolio acquisition in August and made a profit of nearly 18 percent on its investment.
According to Dilweg, the Raleigh-Durham office market is drawing national attention and the portfolio sale was a great opportunity to show its investors how the company executes as a team, while realizing solid returns.
“Strong fundamentals, rent forecasts and positive net absorption are bringing more investors into the market,” he added. “These factors ultimately led to our decision to exit this portion of the portfolio that we recently acquired.”
Gains from the sale, when coupled with the Dilweg Cos.’ investor relationships, is expected to help the company increase its presence in the Southeast.
“We are very interested in continuing the expansion of our office portfolio in the Southeast,” Dilweg concluded. “Our target markets include Raleigh-Durham, Charlotte, Atlanta and Nashville.”