Meritex Expands Joint Venture Holdings in Atlanta with New Acquisition
- Aug 03, 2012
In a move to further expand its joint venture holdings in the Atlanta area, Meritex has recently acquired a 106,945-square-foot office/ warehouse project in Norcross. Resource Real Estate Partners, LLC represented Meritex in the acquisition and has been retained as the leasing agent for the property.
The multi-tenant, value-add property—located at 5965 Peachtree Corners East—is currently 70 percent occupied by nine tenants. “We are excited about this addition to our portfolio in Atlanta. Its location in the vibrant and close-in Norcross-Technology Park submarket will appeal to a wide range of businesses and our Atlanta team looks forward to serving them,” commented Dan Ward, director of investments for Meritex in Atlanta.
While the property is well-located and highly functional, it has suffered from deferred maintenance. Accordingly, Meritex plans on repositioning the asset by investing capital to enhance landscaping, install a new roof, and renovate suite interiors.
Meritex—a private real estate investment and management company that acquires, develops, owns and operates commercial real estate (primarily institutional grade, multi-tenant industrial properties)—has now expanded its joint venture relationship with a major institutional investor by increasing its holdings in Atlanta to more than 1,000,000 square feet following this latest purchase.
A recent Marcus & Millichap report on the local office market shows that a second consecutive year of improvement in the Atlanta office market is at hand as space demand grows and developers sit on the sidelines. The firm predicts that new buyers will enter the Atlanta market this year, primarily targeting lender-owned assets offered at prices low enough to enable investors to realize a gain in value over a three- to five-year period. Additional opportunities will likely emerge as banks and life companies move troubled assets off balance sheets.
Image Courtesy of Meritex
Click here for more market data on Atlanta.