A 260,000-square-foot light industrial property has changed hands in Southeast Austin, which has become something of a hot spot for warehouses. KBS sold the SouthTech Business Center at 2101 East St. Elmo Road to a 1031 investor represented by MIG Real Estate, according to an April press release.
The property is in an Opportunity Zone in the Franklin Park neighborhood, just southeast of the intersection of IH-35 and Route 71, about 7 miles west of the Austin-Bergstrom International Airport.
Travis County records show that California Bank and Trust—a division of Zions Bancorporation—provided a $34.5 million loan for the purchase, CommercialEdge's Commercial Property Executive reported.
The 20.2-acre campus was completed in 2002 and has four buildings, all with 21-foot clear heights and 145-foot truck court depths and climate-controlled warehouses. The property also includes about 750 surface parking spaces.
CommercialEdge data shows that KBS bought the property for $18.6 million in 2005, making capital investments that contributed to an increase in the average length of tenant occupancy to more than five years, said the company's Brett Merz.
SouthTech Business Center had an average annual occupancy of 97 percent over the past decade, according to CPE, with a roster that includes Collectic Home, U.S. General Services Administration, Republic National Distributing, Movair, and MedtoMarket. The property was 93 percent leased at the time of sale.
Trent Agnew, Charles Strauss, Lance Young, and Brooke Petzold of JLL represented KBS in the transaction.
