Southern Company Gas Relocating HQ In Largest Atlanta Lease Of 2024
The natural gas division of the nation’s third-largest electric utility is on the move.
Southern Company Gas, a division of the Southern Co., has leased more than 260K SF at Midtown Center II, the eight-story, 282K SF building at 725 W. Peachtree St., sources familiar with the transaction tell Bisnow.
The deal means Southern Company Gas will vacate its home at 10 Peachtree Place, a half-mile north of its future Midtown Center campus.
The company occupies 255K SF at 10 Peachtree Place, a 20-story, red-granite-clad tower owned by DWS-owned RREEF Property Trust, according to records with the Georgia Secretary of State. The move would leave the nearly 35-year-old building vacant.
The relocation is the largest office lease in Atlanta so far this year, eclipsing Manhattan Associates’ 209K SF headquarters renewal at Wildwood office park in Cobb County.
CBRE Investment Management owns the two-building, 800K SF Midtown Center campus, sandwiched between Peachtree and West Peachtree streets. It acquired it in 2015, when the asset management subsidiary was called CBRE Global Investors, for $260M.
Spokespeople for Southern Co. and CBRE declined to comment, as did JLL Senior Managing Director Leigh Martin, who represents Southern Co. Representatives for PGIM didn't respond to messages seeking comment.
Southern Company Gas — which operates Atlanta Gas Light, Virginia Natural Gas, Northern Illinois Gas Co. and Chattanooga Gas — is the latest major Atlanta company to move its headquarters this year.
Piedmont Healthcare of Atlanta inked a 164K SF lease in April at 271 17th St. in Atlantic Station, planning to consolidate three offices, including its campus in Cobb County, into one location and shrink its footprint by more than 50%.
Newell Brands, which owns brands like Rubbermaid, Oster and Sharpie, plans to relocate nearly 1,000 workers from its headquarters at 6655 Peachtree Dunwoody Road to 181K SF at the Queen Building in Sandy Springs.
CORRECTION, JUNE 14, 11:45 A.M. ET: While property records show the owner of 10 Peachtree Place is BTI Ten Peachtree Place LP registered to PGIM, state records show the entity that owns the property has transferred ownership to RREEF Property Trust. The story has been updated.
