JLL Capital Markets completes sale of 11 property portfolio near Kansas City
Long-term lease commitment from University of Kansas Health System spurs sale.
KANSAS CITY, February 19, 2019 – JLL Capital Markets Midwest experts announced the sale and financing of the Southlake Portfolio, consisting of 11 Class A and B office buildings near Kansas City, for $88 million today. The portfolio encompasses 784,557 square feet of office space.
JLL Capital Markets International Director Bruce Miller, Managing Directors Jim Postweiler, Peter Harwood and Senior Vice President Derek Fohl led the sales and marketing efforts for the portfolio on behalf of the seller, funds managed by Oaktree Capital Management L.P., Hines and Waterford Property Company. JLL Managing Director Keith Largay arranged acquisition financing on behalf of the buyer, City+Ventures, a first-time buyer in the market. Morgan Stanley provided the financing.
“We've had our eye on the Kansas City Metro for a while and felt like the Southlake portfolio was a great fit for us,” said Chris Erickson, City+Ventures, Co-Founder. “It had the perfect balance of long-term stability and value add opportunity. We look forward to bringing some new energy to the property.”
The Southlake Portfolio provides long-term stability with the recent lease commitment from University of Kansas Health System which was announced early last year. The properties also offer substantial upside through additional leasing, given the properties’ current occupancy level in the low 80% range.
“Increased occupancy rates and the local thriving economy are driving investor interest in office properties like those included in this portfolio,” said Fohl. “This was the perfect opportunity to transition these assets to new ownership and welcome City+Ventures to the market.”
JLL Capital Markets is a full-service global provider of capital solutions for real estate investors and occupiers. The firm’ in-depth local market and global investor knowledge delivers the best-in-class solutions for clients — whether a sale, financing, repositioning, advisory or recapitalization execution. In 2017 alone, the firm’s 2,400 Capital Markets specialists completed $170 billion in investment sale and debt and equity transactions globally.
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JLL (NYSE: JLL) is a leading professional services firm that specializes in real estate and investment management. Our vision is to reimagine the world of real estate, creating rewarding opportunities and amazing spaces where people can achieve their ambitions. In doing so, we will build a better tomorrow for our clients, our people and our communities. JLL is a Fortune 500 company with annual revenue of $16.3 billion, operations in over 80 countries and a global workforce of over 90,000 as of December 31, 2018. JLL is the brand name, and a registered trademark, of Jones Lang LaSalle Incorporated. For further information, visit jll.com