Jacksonville Office Fetches $51M

One Enterprise Center, a 319,000-square-foot, 22-story Class A office building at 225 Water St. in Downtown Jacksonville, Fla., has been sold for $51.4 million. The seller, One Enterprise Financial Associates L.L.C., and Sendar Jacksonville L.L.C.–both entities controlled by Harbor Group International L.L.C.–was represented by CB Richard Ellis Inc.’s New York institutional group and Jacksonville office. The sale includes the assumption of $41.6 million in debt from Wachovia. The property, also known as Wachovia Tower, had been purchased by Harbor Group in January 2004 for $38.3 million. “We are pleased with the performance of Wachovia Tower and feel we added a great deal of value to the property through our aggressive leasing effort,” Harbor Group president T. Richard Litton said in a prepared statement. “After nearly five years of successful ownership, we saw an opportunity to execute our exit strategy….” The building, which is more than 98 percent occupied, shares a four-story atrium lobby with the four-diamond luxury 353-room Omni Hotel, a 4-star restaurant and a 1,029-space parking garage. The tower was built in 1985. “One Enterprise Center averages less than 10 percent rollover over the next four years and a very stable in-place income,” Jeffrey Dunne of CBRE’s New York institutional group said in the statement. “The headquarter-quality finishes, extensive amenity package and strategic CBD location should provide the buyer with solid returns and appreciation for the long term.” A private real estate investment and management firm, Harbor Group International controls a portfolio of worldwide assets valued at more than $2.4 billion, including over 8 million square feet of commercial space and more than 12,000 apartment units.