Nashville CBD Office Tower Fetches $44M
- Jun 13, 2018
CBRE Capital Markets arranged the sale of 4th & Church, a 266,054-square-foot, Class A office tower in downtown Nashville, Tenn. Albany Road Real Estate Partners sold the asset for $43.9 million to Stoltz Real Estate Partners, according to public records. Additionally, the buyer assumed an active $28 million CMBS loan attached to the property, held by U.S. Bank and dating back to 2014, per Yardi Matrix data.
Located at 201 4th Ave. N., in the city’s financial district, the 20-story property formerly known as the SunTrust Building was constructed in 1967 and underwent a comprehensive renovation program in 2008, with lobby renovations completed in 2016. Anchored by long-term tenant ServiceSource, 4th & Church was 92 percent leased at the time of sale. Other notable tenants include IQTalent Partners, Nashville City Club, Leitner Williams Dooley Napolitan and Parker Lawrence Cantrell & Smith.
Tight office market
The CBRE team of Jay O’Meara, Douglass Johnson, Justin Parsonnet and Morgan Hillenmeyer represented the seller in the transaction. The property last changed hands in April 2014, when Albany Road Real Estate Partners acquired it for $33.7 million from Sterling American Property, Yardi Matrix shows. In a recent deal, CBRE represented a partnership between DRA Advisors and Trinity Capital Advisors in the disposition of 400 South Tryon in Charlotte, N.C.
“With a vacancy rate of only 8.1 percent, Nashville has been ranked as one of the nation’s tightest office markets. Upheld by a strong and diverse economy, the city has consistently outpaced the national average in terms of job growth,” Johnson said in prepared remarks. “This area has seen significant and sustained rent growth and is poised for further rise with the transformation of the CBD into a vibrant live-work-play environment,” O’Meara explained.
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