A partnership that includes a Swiss-based global investment firm has bought WeWork Place in downtown Tampa and four West Shore office centers for more than $156.9 million.
Properties involved in the mega-deal have a total of 756,138 square feet of rentable space and include big-name tenants like Progressive, American Express, Amscot and Invitation Homes.
The sellers, Commercial Florida Realty Partners and New York-based Angelo, Gordon & Co., acquired the properties in 2015 and 2016, and spent more than $12 million on capital improvements.
"We added significant value by securing new tenants and expanding and renewing existing tenants'' George Sacks of Commercial Florida said in a release. “As a result, we increased the portfolio’s value beyond the expectations of our financial partner (Angelo Gordon).”
The properties are:
- WeWork Place, a 20-story tower at 501 E Kennedy Blvd. recently named for the beleaguered New York-based firm that leases coworking spaces. Despite mounting losses and a failed attempt at going public, WeWork recently took over three floors of the tower and plans to expand onto two more in December. Other tenants in the building, which last sold two years ago for $42-million, include Florida’s attorney general, private law firms and GE Capital.
- Westshore Corporate Center, a 12-story Class A office tower at West Shore Boulevard and Interstate 275.
- Cypress Centers I, II and III and a 6-acre parcel of land where a six-story building to be called Cypress Center IV is planned. The existing centers are south of W Cypress Street and east of N Reo Street.
Cushman & Wakefield handled the sale to PG-PKY Fairway JV, LLC, an Orlando-based affiliate of Parkway Properties in partnership with Partners Group. Based in Baar, Switzerland, Partners Group is a private equity firm with $91 billion in real estate and other assets under management.