Oxford Development Sells Trophy Office High-Rise
- Jan 26, 2016
Pittsburgh–Shorenstein Properties of San Francisco has acquired One Oxford Centre, an iconic 45-story office and retail mixed-use complex located at 301 Grant St., in the heart of downtown Pittsburgh.
HFF marketed the 1.1 million-square-foot property on behalf of the seller, Oxford Development Co. The purchase price is believed to be about $149 million, or approximately $135 per square foot, the Pittsburgh Post-Gazette reported. HFF also worked on behalf of the new owner to place an acquisition loan with Helaba and CIBC Capital Markets.
Built in 1983, One Oxford includes 879,000 square feet of Class A office space, 59,000 square feet of retail and a separate eight-story garage with 840 parking spaces.
The building, which also features the Rivers Club—a 73,000-square-foot fitness, dining and social club—is currently 81 percent leased. TriState Capital Holdings, BPU Investment Management, HFF and the law firms of Buchan Ingersoll & Rooney and Clark Hill PLC are among the property’s tenants. The skyscraper also serves as the headquarters for Oxford Development.
Shorenstein is now planning to renovate the building, which has been designed by Hellmuth, Obata & Kassabaum. The project will include mechanical and building systems upgrades, as well as lobby and common areas improvements.
This transaction marks the company’s first acquisition in Pittsburgh.
John Pelusi, Jr. led the HFF investment sales team as executive managing director, along with Mark Popovich, senior managing director. Pelusi and Popovich also led the HFF debt placement team, along with Mike Tepedino, executive managing director.
“HFF has been involved with the capitalization of One Oxford Centre since its construction in 1983,” Pelusi said in prepared remarks. “It is only fitting that Shorenstein, a nationally renowned and prolific office owner with 25 million square feet under ownership, is acquiring this landmark, Class A office building, which was the vision of Ed Lewis of Oxford Development Co.”
Shorenstein is making the acquisition through Shorenstein Realty Investors Eleven, a $1.22 billion commingled fund formed in 2014. The company was founded by late real estate developer and investor Walter Shorenstein. Shorenstein was an adviser to Presidents Lyndon B. Johnson, Jimmy Carter, and Bill Clinton.
Image courtesy of Oxford Development Co.