atlanta | ga · 2018. 10. 25. · for sale 1,148 sf to 15,603 sf oﬃ ce condos located on the...

FOR SALE

1,148 SF to 15,603 SF offi ce condos

located on the Southeast Beltline

Dany Koe

Assistant Vice President

+1 404 892 7248

[email protected]

Brasfi eld Overlook

934 Glenwood Avenue SEATLANTA | GA

OFFERING MEMORANDUM

Colliers International

1230 Peachtree Street | Suite 800

Atlanta, GA 30309

P: +1 404 888 9000

Connor Ball

Associate

+1 404 877 9211

[email protected]

934 Glenwood Avenue Offering MemorandumEXECUTIVE SUMMARY

THE OPPORTUNITY

Colliers International (“Colliers”) has been retained on an exclusive basis

to facilitate the sale of an offi ce condo interest (the “Condo”) located in the

Brasfi eld Overlook (the “Building” or “Property”) building, located at 934

Glenwood Avenue in Atlanta’s Glenwood Park neighborhood. The Seller is

soliciting investor owners, and would execute a two year sale-leaseback on

its 1,148 up to 15,603 quare foot offi ce space (high level terms and conditions

contained herein) then vacate the premises. This then allows a future investor

to renovate the existing space and position it for a sale to another user or lease

long-term to a tenant.

This unique opportunity allows an investor to acquire a primely positioned

investment in one of Atlanta’s hottest and fastest growing neighborhoods.

As one of the preeminent neighborhoods benefi ting from Atlanta’s in town

revitalization, Glenwood Park has seen a surge in population growth over the

last decade. This has brought high-income earners and young families to the

neighborhood and sent home and other real estate prices soaring to record

levels.

934 Glenwood Avenue Offering MemorandumINVESTMENT HIGHLIGHTS

THE LOCATION

The immediate area is extremely well-amenitized, with walkable amenities

such as Kroger, Vickery’s Bar & Grill, and Gunshow. In addition, major new

developments continue in the area, notably led by Madison Yards, a $250

million SF mixed-use development, highlighted by a Publix and AMC Theatre,

which will also include 550 residences, 80,000 square feet of loft offi ce

space, and 160,000 square feet of retail. Atlanta Dairies, adjacent to Madison

Yards, will deliver an additional $125 million mixed-use project consisting of

300+ apartments, retail, 13,000 square feet of offi ce space, and a music venue

with rooftop hangout. The revitalization of the nearby thoroughfare Memorial

Drive continues to drive population growth and real estate values, along with

bringing additional restaurants and amenities to the area.

Access and connectivity greatly benefi t the Property. Access to I-20 is

less than one-half mile from the Building. Other major streets, such as the

aforementioned Memorial Drive, combined with premium access to I20, allow

Building users to readily access the entire metro Atlanta, off ering ease of

access to Downtown, Midtown, Buckhead, and Atlanta’s Hartsfi eld-Jackson

International Airport, the world’s busiest passenger airport.

The Building sits on the Northeast corner of Bill Kennedy Way and Glenwood

Avenue. The intersection marks the beginning of the Atlanta Beltline’s

Southeast segment, expected to deliver at the end of 2018.

The Brasfi eld Overlook Condo interest provides an opportunistic investor the

ability to achieve a value-add return through the acquisition of a boutique, non-

commoditized space.

Originally the home of Williams Brothers Concrete,

Parkside Partners purchased the building from Green

Street Properties in shell condition in June 2004.

Part of the award winning Glenwood Park mixed-use

development, Parkside completed the adaptive re-use

into an offi ce condominium with units for sale from 800

to 11,000 SF. Dramatically changing the exterior of the

building allowed it to blend naturally into this unique new

community that was conceived from the ground up as

an authentic live/work neighborhood. Brasfi eld Overlook

was 100% sold within a twelve-month period.

BEFORE

AFTER

934 Glenwood Avenue Offering MemorandumPROPERTY SPECIF ICATIONS

BUILDING SPECIFICATIONS

Building Type Offi ce Condominium

Building Address 934 Glenwood Ave SE

Total SF 25,577 SF

Opportunity 1,148 SF to 15,603 SF

Year Built 1980

Year Renovated 2005

Parking Spaces28 dedicated spots

14 covered spaces, 14 in gated lot

Additional Parking Street

Building Exterior Brick / Masonry

934 Glenwood Avenue Offering MemorandumLOCATION MAP

Georgia State

Capitol

Oakland

Cemetery

Grant Park

The JaneLarkin on

Memorial

Madison

Yards

Brasfi eld

Overlook

Memorial Ave Memorial Ave

197,000 VPD197,000 VPD

Summerhill

Glenwood Ave

Glenwood Ave Glenwood

Place

Atlanta

Dairies

Memorial Ave Memorial Ave Memorial Ave Memorial Ave

S

outh

side B

eltline

Tra

il

S

outh

side B

eltline

Tra

il

South

side B

eltline T

rail

South

side B

eltline T

rail

S

outh

sid

e B

eltline

Tra

il

S

outh

sid

e B

eltline

Tra

il

934 Glenwood Avenue Offering MemorandumLOCATION AERIAL

D

ekalb Ave

Dekalb Ave

D

ekalb Ave

Dekalb Ave

Glenwood Ave

Glenwood Ave

Glenwood Ave

Glenwood Ave

Memorial A

Memorial Ave

Memorial Ave

Memorial Ave

Brasfi eld

OverlookJackson

High School

S

outh

side B

eltline T

rail

S

outh

side B

eltline T

rail

197,000 VPD197,000 VPD

M

ore

land A

ve

M

ore

land A

ve

M

ore

land A

ve

M

ore

land A

ve

S

ine T

rail

S

outh

sid

e B

eltline T

rail

Atlanta

Dairies

915 Glenwood

(300+ Apartments)

Madison

Yards

934 Glenwood Avenue Offering MemorandumLOCATION AERIAL

1101,148 sf

1002,148 sf

1502,331 sf

1701,320 sf

934 Glenwood Avenue Offering MemorandumFIRST LEVEL FLOOR PLAN

2601,148 sf

2701,148 sf

2506,384 sf

934 Glenwood Avenue Offering MemorandumSECOND LEVEL FLOOR PLAN

934 Glenwood Avenue Offering MemorandumSUITE 100

934 Glenwood Avenue Offering MemorandumSUITE 260 + 270

934 Glenwood Avenue Offering MemorandumEXTERIOR PROPERTY PHOTOS

934 Glenwood Avenue Offering MemorandumINTERIOR PROPERTY PHOTOS

Trade Areas (in miles) - 1Trade Areas (in miles) - 3Trade Areas (in miles) - 5

934 Glenwood Avenue Offering MemorandumEAST ATLANTA OFFICE STATISTICS

DEMOGRAPHICS

1 3 5

Total Population 14,513 142,258 331,905

Median Age 35.9 33.9 33.3

Average Household Income $85,640 $77,630 $81,629

% with College Degree 33.3% 28.5% 26.1%

Number of Buildings 64

Existing Square Feet 401,757

Net Absorption (YTD) 45,624

Vacancy Rate 4.0%

Average Gross Rent per Square Foot $34.23

Data Source: Costar

Neighborhoods Surveyed: East Atlanta, Ormewood Park, Grant Park, Cabbage Town, Reynoldstown

98.7 102.3111.0

118.5 118.6

142.3148.1 149.2

177.4

228.2

A T L A N T A , G A D A L L A S , T X M I A M I , F L CH I CA G O , I L P H I L A D E L P H I A , P A

L O S A N G E L E S , CA

B O S T O N , M A W A S H I N G T O N , D . C .

S A N F RA N CI S CO ,

CA

N E W YO RK , N Y

US National Average: 100

COST OF LIVING INDEX - TOP 10 US MSAs

Sources: Atlanta Metro Chamber, American City Business Journal

C2ER Cost of Living Index, 2016 Annual Averages

Most Traveled Airport in the

World (104 million passengers in

2016)

#1

Metro Area for Quality of Engineering Universities

#2

State for Overall Cost

of Doing Business#3

U.S. City for Offi ce-Using Job

Growth#4

City Poised to Become

Tomorrow’s Tech Mecca

#3

State for Doing Business

(4th consecutive year)

#1

Metro Area for Competitiveness

in the IT & Communications

Industry#2

Largest Population Gaining Metros#4

Current Population: 5.9 Million People

Population Growth: 1.5 Million Since 2000

Projected Population: 8 Million by 2040

MSA Rank: 9th in the Nation

Fortune 500 Companies: 15 (Ranked 3rd in Nation)

Job Growth: 46,000 (12 Mo. Ended May 2018)

Unemployment Rate: 4.0%

GDP: $393 Billion

Cost of Living: 1.3% Below National Average

Median HH Income: $62,700

NOTABLE ATLANTA & GEORGIA RANKINGS

934 Glenwood Avenue Offering MemorandumATLANTA OFFICE MARKET

MARKET OVERVIEW

This cycle in the Atlanta offi ce market has been characterized by a near barren speculative development pipeline, allowing fundamentals to shift in

favor of landlords. Vacancy has fallen to normalized levels, and rental rates have seen strong appreciation—25% or higher in most submarkets since

the beginning of 2014.

3.7M

SF Under Construction

(70% Pre-Leased)

12.9%

Direct Vacancy Rate

$24.94

Gross Asking Rental Rate

27.3%

Rent Growth Since YE 2013

ATLANTA OFFICE FUNDAMENTALS

7.0%

9.0%

11.0%

13.0%

15.0%

17.0%

-4.0

-3.0

-2.0

-1.0

.0

1.0

2.0

3.0

4.0

5.0

2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 YTD

Squa

re F

eet (

in M

illio

ns)

Total Deliveries Net Absorption Vacancy %


> With its fi fth consecutive quarter of positive net leasing activity, Atlanta’s

offi ce market remains steady at Mid-Year 2018. Second quarter’s

absorption of 341,000 square feet brings the year-to-date total to just

over 876,000 square feet which is more than twice the amount

absorbed at this time last year.

> The largest of these was Mercedes-Benz which moved into its 225,000

square foot facility in Central Perimeter. The German auto-maker

offi cially opened the doors to its new offi ce early in the quarter,

relocating from its temporary tenancy at Sterling Pointe II. The move

represents an overall net occupancy gain of almost 121,000 square

feet.

> Rental rates in Atlanta reached yet another record high. The gap

between average Class A rents in Atlanta’s priciest submarkets grew

even more this quarter as Midtown saw a 2.6% increase in quoted

rents. With leasing momentum remaining stable, confi dent landlords

will continue to push rental rates even higher through the end of the

year.

> The continued pace of offi ce leasing over the past six months has

resulted in quality job growth, including the metro area’s strongest May

employment increase in seven years. These factors raise the overall

positive outlook for Atlanta’s offi ce market throughout 2018.

876,000 SFNet Absorption Through 2Q18

Up 6.2%Year-Over-Year

Offi ce Rents7 Years

Atlanta’s StrongestMay Employment Increase

Market IndicatorsRelative to prior period

ATLQ2 2018

ATLQ3 2018*

VACANCY

NET ABSORPTION

CONSTRUCTION

RENTAL RATE

CAP RATES -

*Projected

Summary StatisticsAtlanta Offi ce Market

ATLMarket

ATLClass A

ATLClass B

Vacancy Rate (Direct) 12.9% 13.2% 13.6%

Change From Q1 2018 0.1% 0.2% -

Year-Over-Year Change 0.3% 0.5% 0.2%

Absorption YTD (Thousands Square Feet)

876 729 -47

Construction Deliveries YTD (Thousands Square Feet)

1,522 1,502 20

Under Construction(Millions Square Feet)

3.5 3.2 0.3

Asking RentsPer Square Foot Per Year

Average Quoted $24.94 $28.90 $19.26

Change From Q1 2018 0.4% 0.1% 1.3%

Year-Over-Year Change 6.2% 3.7% 4.8%


This Off ering Memorandum was prepared by Colliers International (“Colliers”)and has been reviewed by the Owner. It contains selected information pertaining to the Property and does not purport to be all-inclusive or to contain all of the information that a prospective purchaser may desire. All fi nancial projections are provided for general reference purposes only and are based on assumptions relating to the general economy, competition, and other factors, which therefore are subject to material change or variation. An opportunity to inspect the Property will be made available to prospective purchasers. In this Off ering Memorandum, certain documents, including leases and other materials, are described in summary form and do not purport to be complete nor, necessarily, accurate descriptions of the full agreements involved, nor do they constitute a legal analysis of such documents. Interested parties are expected to independently review all documents. This Off ering Memorandum is subject to prior placement, errors, omissions, changes, or withdrawal without notice and does not constitute a recommendation, endorsement, or advice as to the value of the Portfolio by Colliers. Each prospective purchaser is to rely upon its own investigation, evaluation, and judgment as to the advisability of purchasing the Portfolio described herein. Owner and Colliers expressly reserve the right, at their sole discretion, to reject any or all expressions of interest or off ers to purchase the Property and/or to terminate discussions with any party at any time with or without notice. Owner shall have no legal commitment or obligation to any purchaser reviewing this Off ering Memorandum or making an off er to purchase the Property unless a written agreement for the purchase of the Portfolio has been fully executed, delivered, and approved by the Owner, and any conditions to Owner’s obligations thereunder have been satisfi ed or waived. Colliers International is not authorized to make any representations or agreements on behalf of the Owner. This Off ering Memorandum is the Property of Colliers and may be used only by parties approved by Colliers. The Property is privately off ered, and by accepting this Off ering Memorandum, the party in possession hereof agrees (i) to return it to Colliers and (ii) that this Off ering Memorandum and its contents are of a confi dential nature and will be held and treated in the strictest confi dence. No portion of this Off ering Memorandum may be copied or otherwise reproduced or disclosed to anyone without prior written authorization of Colliers and the Owner. The terms and conditions set forth above apply to this Off ering Memorandum in its entirety.

Colliers International (“Colliers”) has been authorized to present this off ering to qualifi ed buyers. The prospective purchaser will be selected by the Seller in consultation with Colliers on the basis of, among other things:

1. Offi ering price,

2. Financial strength,

3. Level of descretion to invest funds,

4. Experience closing similar transactions,

5. Industry reputation

Upon receipt of thes Off ering Memorandum, the prospective purchaser agrees to hold the information contained in this document in strict confi dence.

Following the distribution of materials, Colliers will be available to assist prospective investors with property inspections and questions regarding information contained in the Off ering Memorandum.

All off ers to be responed to on an “as-received” basis. All bids should include:

1. Party(ies) responsible for various closing costs.

2. A detailed outline of prospective purchaser’s required deliverables for due diligence prposes.

3. A detailed description of the purchaser, its source of capital for the acquisition, and its level of discretion to invest funds.

4. A detailed schedule of the approval process for such capital source.

934 Glenwood Avenue Offering MemorandumTRANSACTION GUIDELINES & LIMITING CONDITIONS

934 Glenwood Avenue SEOFFERING MEMORANDUM

This document has been prepared by Colliers International for advertising and general information only. Colliers International makes no guarantees, representations

or warranties of any kind, expressed or implied, regarding the information including, but not limited to, warranties of content, accuracy and reliability. Any interested

party should undertake their own inquiries as to the accuracy of the information. Colliers International excludes unequivocally all inferred or implied terms, condi-

tions and warranties arising out of this document and excludes all liability for loss and damages arising there from. This publication is the copyrighted property of

Colliers International and/or its licensor(s). ©2018. All rights reserved.

Colliers International

1230 Peachtree Street | Suite 800

Atlanta, GA 30309

P: +1 404 888 9000

Dany Koe

Assistant Vice President

+1 404 892 7248

[email protected]

Connor Ball

Associate

+1 404 877 9211

[email protected]

atlanta | ga · 2018. 10. 25. · for sale 1,148 sf to 15,603 sf oﬃ ce condos located on the...

Documents