Raleigh Office Park Trades for $113M
- Apr 04, 2008
Highwoods-DLF Forum L.L.C., a joint venture between Highwoods Properties Inc. and German fund DLF, has just purchased The Forum, a 635,000-square-foot office complex in Raleigh, N.C. The partnership paid approximately $113 million for the Class A property.Sited on a 19-acre parcel, The Forum boasts a location in the coveted Six Forks submarket of North Raleigh. The office park encompasses five structures, the first four of which are 92 percent leased. Forum V, which is not quite one year old, is 82 percent leased. Highwoods will oversee leasing and management of the buildings. The company’s portfolio of owned and partially owned assets in Raleigh now encompasses 48 properties totaling 4.5 million square feet.The joint venture, 25 percent of which is owned by Highwoods, secured a $67.5 million secured loan at a fixed rate of 5.13 percent for the purchase. Additionally, Highwoods pitched in $11.5 million for its stake in the joint venture. The Raleigh-based REIT has partnered with DLF and other European investors on a bevy of occasions in the past. All told, those investments total $600 milion and account for about 4 million square feet of space in five markets.