Hines, Oaktree Venture Acquires Two Lenexa Development Totalling 1.67M SF
- Dec 30, 2013
Hines recently announced that it has acquired two Lenexa real estate developments: the Southlake Technology Park and Lenexa Industrial Park. The acquisitions were made in a partnership with a subsidiary of a real estate fund managed by Oaktree Capital Management L.P.
The two commercial real estate parks feature 1.67 million square feet of leasable space in 40 buildings. The properties are located close to the intersection of Interstate 35, Interstate 435 and Kansas 10, the transportation and economic hub in Kansas.
Tom Danilek, Hines senior managing partner, said in a statement: “These properties represent the largest blocks of vacancy in office product in southern Johnson County. Hines and Oaktree were attracted to the industrial buildings due to the parks’ superior location at the epicenter of the flex industrial market, as well as the more than 69 acres of fully entitled land for future office and industrial development.”
Southlake Technology Park features 15 office buildings with a total of 933,000 square feet of space. The development began construction in 1987 and was completed in 2002. There still are 10 sites of vacant land totaling 53 acres available for future development along College Boulevard from Lackman Road to Renner Boulevard.
Construction on Lenexa Industrial Park started in the 1970s and was completed in 1999. The development features 25 industrial and flex buildings with a total of 736,000 square feet of space. Four additional sites totaling 16 acres are available for future development near 99th Street and Pflumm Road.
Phil Hofmann, managing director of Oaktree, said, “The Lenexa joint venture represents a terrific investment opportunity. We are committed and focused on working with Hines to maximize the value of these key Johnson County business locations.”
Ned O’Connor of Waterford Property Company will be handling the leasing of the office sector of the portfolio, Southlake Technology Park, while Mark Feitz of LaSala-Sonnenberg Commercial Realty is the broker for the industrial component, Lenexa Industrial Park. The portfolio is currently 67 percent occupied. Hines will be the property manager on both.
“We are extremely pleased that Hines has purchased two of our signature properties. It is exciting to have a partner with that kind of energy and vision in our community,” said Blake Schreck, president of the Lenexa Chamber of Commerce.
Photo Courtesy of: www.lenexa.org