Hines/Oaktree Venture Acquires South Towne Corporate Center in Sandy, UT
(SALT LAKE CITY) – Hines, the international real estate firm, announced today that in a joint venture with a subsidiary of a real estate fund managed by Oaktree Capital Management, L.P. (Oaktree), it has acquired South Towne Corporate Center in Sandy, UT, from KBS Realty Advisors. The two-building, 248,352-square-foot Class A office complex is located off of Interstate 15 just 15 miles south of downtown Salt Lake City and the Salt Lake City International Airport. The property is 99 percent leased to tenants including: Cadence; CoreLogic; E*Trade; New York Life; and Seamless. Hines has assumed property management responsibilities on behalf of the joint venture.
KBS Realty Advisors was represented in the transaction by Eastdil Secured.
This is the second asset purchased by the Hines/Oaktree venture. In 2011, it purchased Alton Corporate Plaza, a two-building office property in Irvine, CA.
South Towne Corporate Center is comprised of: 150 Civic Center Drive, which contains six stories, 124,046 square feet and was completed in 2000; and 200 Civic Center Drive, which contains six stories, 124,306 square feet and was completed in 2006. Each building has an adjacent parking structure with a total of 592 stalls, plus surface parking for an additional 733 vehicles.
Director Dusty Harris, who heads Hines’ Salt Lake City development and investment office, said, “As evidenced by its tenancy, architecture and location, South Towne Corporate Center is a best-in-class asset in the growing Sandy South Towne submarket. Hines is pleased to expand its presence in Utah, and we will continue to seek acquisition and development opportunities in the area.”
“We look forward to working with Hines on such a high-quality project as South Towne Corporate Center,” said Mark Jacobs, senior vice president at Oaktree. “The project has many attractive features that will allow us to compete very favorably in the market.”
Oaktree Capital Management, L.P. is a leading global investment management firm focused on alternative markets, with approximately $77.9 billion in assets under management as of March 31, 2012. The firm emphasizes an opportunistic, value-oriented and risk-controlled approach to investments in distressed debt, corporate debt (including high-yield debt and senior loans), control investing, convertible securities, real estate and listed equities. Headquartered in Los Angeles, the firm has over 650 employees and offices in 13 cities worldwide. For more information, visit www.oaktreecapital.com.
Hines has been active in the Utah market since 1988 when the firm acquired the historic Kearns Building in Salt Lake City. Hines is a privately owned real estate firm involved in real estate investment, development and property management worldwide. The firm’s historical and current portfolio of projects that are underway, completed, acquired and managed for third parties includes 1,192 properties representing more than 482 million square feet of office, residential, mixed-use, industrial, hotel, medical and sports facilities, as well as large, master-planned communities and land developments. With offices in 110 cities in 18 countries, and controlled assets valued at approximately $22.9 billion, Hines is one of the largest real estate organizations in the world. Visit www.hines.com for more information.