Suburban Atlanta Office Lands 40 KSF Tenant
- Jul 25, 2018
The Dilweg Cos. has signed a new lease at 250 E. Ponce, a 141,582-square-foot office mid-rise northeast of Atlanta. Utility Associates agreed to occupy approximately 40,000 square feet of the Class A building over a term of eight years.
Avison Young’s Kirk Rich represented the landlord in the transaction, while Bart Lester of Oakhurst Realty Partners acted on behalf of the tenant. Dilweg retained Avison Young to oversee leasing operations for the asset in August 2017.
Dilwig acquired the property in August 2016 for $28.4 million, according to Yardi Matrix. The seller in that transaction, Rialto Capital Management, picked up the asset in 2013 through a foreclosure action against Covenant, the prior owner.
Well-positioned, recently upgraded
Located at 250 E. Ponce De Leon Ave. in Decatur, Ga., the building rises eight stories in the city’s downtown area. The property opened its doors in 1962, and Dilweg completed renovation work in 2017. A number of other office assets are situated within half a mile of the mid-rise, including approximately 720,000 square feet of Class A space.
“Decatur is becoming a great place for larger companies to seek space,” Rich, principal with Avison Young, said in prepared remarks. “Traditionally, it’s been a small, local entrepreneurial market, but with Ponce City Market eight minutes away and a lack of creative community space in town, businesses are now migrating to Decatur.”
Prior to the new lease, Utility Associates occupied 26,880 square feet of the structure under a sublease agreement. The building, now 81 percent leased, is home to a mix of other tenants, including Wells Fargo, ELS Educational Service and Emory University and is 81 percent leased.
Image courtesy of Yardi Matrix