This Week's Atlanta Deal Sheet: Bank Takes Control Of Alpharetta Office Buildings
Georgia's fourth-largest bank has taken over a pair of Alpharetta office buildings from their owner short of going through a foreclosure process.
Synovus Bank acquired Deerfield Point and Windward Pointe 200, totaling three buildings and 340K SF, from TerraCap Management in a deed-in-lieu-of-foreclosure transaction valued at $23.7M, the Atlanta Business Chronicle reported. The move allowed TerraCap to hand back the deeds to Synovus without going through foreclosure.
Synovus' price tag represents a nearly 50% drop from what TerraCap paid for the two buildings In 2017. The Naples, Florida-based investment firm paid $28.6M for the two-building, 208K SF Deerfield Point campus at 12725 Morris Road and $18.5M for the five-story, 132K SF Windward Pointe 200 building at 5900 Windward Parkway, according to the Reonomy property database.
TerraCap financed its acquisition with a $32M mortgage from Florida Community Bank, which merged with Synovus in 2019, according to the ABC. The loan matured on June 1, 2022, according to Reonomy.
SALES
Ponce City Market owner Jamestown purchased Fountain Oaks, a 160K SF Kroger-anchored shopping center in Sandy Springs, from Edens for an undisclosed sum. The property last sold in 2013 for $27.6M, according to Fulton County documents.
The Fountain Oaks purchase occurred at the same time that Jamestown bought Tamarac Town Square, a Publix-anchored, 125K SF shopping center just south of Boca Raton, Florida, for $22.5M from Regency Centers, the South Florida Business Journal reported.
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The Walden Group purchased Brighton Farms, a 134-unit apartment complex in Newnan, for an undisclosed sum from Dallas-based Boardwalk Wealth. The last sale was to 80 Christian Dr. LP for $16.2M in 2021, according to Coweta County records.
CBRE's Malcolm McComb, Kevin Geiger, Shea Campbell, Keith Geiger, Kurt McGarry, Ashish Cholia, Colleen Hendrix and Don Hoffman brokered the sale.
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12 Stones Investment Properties purchased 1870 The Exchange SE, a 31K SF single-story office building in the Cumberland/Galleria submarket for $3.7M. Ameris Bank foreclosed on a $3.8M loan attached to the property last year from 791 Partners LLC, according to a public notice in the Marietta Daily Journal.
Bull Realty founder Michael Bull and Vice President Austin Bull brokered the transaction.
LEASES
Engineering, architectural and construction management firm Pond & Co. renewed 102K SF for its headquarters at Peachtree Ridge, a seven-story, 160K SF office building in Peachtree Corners. Pond, which has been at the building located at 3500 Parkway since 2005, takes up 64% of the building, owned by OA Development.
Transwestern Senior Managing Director Chip Roach negotiated the lease for OA.
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Armstrong Logistics has leased all of Building 4A at Georgia International Trade Center, a 733K SF distribution center that is part of the larger 1,150-acre trade center park just outside of Savannah.
NAI Global President Scott Mertz represented the tenant, while Cushman & Wakefield/Gilbert & Ezelle’s Stephen Ezelle represented the landlord, a joint venture between Stonemont Financial Group, The Davis Cos. and Chesterfield.
FINANCING
Quinn Residences added an additional $350M to its existing revolving credit facility with JPMorgan Chase Bank, increasing its borrowing capacity to $850M, according to a press release. The total credit facility is $1.5B. The single-family rental developer said the deal allows it to partner with other developers for further growth in the Southeast.
Joint lead arrangers and joint bookrunners were JPMorgan Chase, BMO Harris Bank and M&T Bank. Franklin Street Capital Managing Director Nate Weyer advised Quinn on the transaction.
DEVELOPMENT
Atlanta-based Imperium Development, in a joint venture with Stockbridge Capital Group and Leaven Capital Group, broke ground on a 212-unit apartment complex off McGinnis Ferry Road in Suwanee. The project, to be called McGinnis Ferry, is located right next to Suwanee Town Center and is slated to open for leasing in the summer of 2025.
