Goldman Sachs Affiliate Buys Office Portfolio for $710M
- Jan 25, 2019
An affiliate of Goldman Sachs—Broad Street Principal Investments LLC—has acquired an 11-property office portfolio for $710 million. Unico Investment Group LLC sold the Unico Partners I portfolio, which comprises 27 buildings throughout Seattle and Denver.
The portfolio includes repositioned historic and newly constructed properties. The seller will retain a stake in the portfolio and continue to operate and manage it on behalf of the buyer. The deal represents the closing of Unico’s first institutional discretionary fund Unico Partners I, which concluded in 2014 after raising $265 million in equity.
The portfolio includes 10 creative office assets and one parking garage. The properties are 85 percent leased to more than 190 tenants with long-term leases. Unico has invested $87 million in improvements across the buildings. The group includes:
- Smith Tower, Seattle
- 1505 Fifth Ave., Seattle
- Yale + Thomas, Seattle
- Grand Central block and Butler Garage, Seattle
- DC Building, Denver
- 2nd + Josephine, Denver
- Platte Street portfolio, Denver
- Circa Building, Denver
- 555 Zang, Denver
- Pearl East, Denver
Unico’s Senior Vice President of Asset Management Scott Brucker led the disposition team. Eastdil Secured’s Managing Directors Jason Flynn and Paul Nelson represented Unico in the transaction.
“Understanding our receptivity for the right situation, Eastdil Secured contacted a small subset of groups with the capability for a deal of this magnitude and complexity—large firms with global platforms. We received excellent interest,” Jonas Sylvester, president of Unico, told Commercial Property Executive, when asked about what types of investors considered the portfolio and the level of activity it received.
Last month, a joint venture between Goldman Sachs Asset Management Private Real Estate and Pendulum Property Partners acquired Axis for $83.1 million, a 302,000-square-foot Class A office campus in Anaheim, Calif.
Images courtesy of Unico Investment Group