Transwestern Brokers Sale of 1.03 Million SF in Huntsville, Alabama
April 22, 2020
Huntsville, ALA. – Transwestern Real Estate Services (TRE) announces it has brokered the disposition of six office properties in Huntsville, Alabama, for more than $80 million. Transwestern Managing Directors John Bell and Kevin Markwordt facilitated the transaction totaling 1.03 million square feet on behalf of the undisclosed seller.
One of the largest office park sales in the Southeast, the transaction consists of six institutional-quality properties:
- Northrop Grumman Headquarters, a four-story, Class A building totaling 110,275 square feet, is located at 301 Voyager Way NW within Huntsville’s Cummings Research Park.
- Intuitive Center I and II, located at 5030 Bradford Drive within Huntsville’s Cummings Research Park, comprises two Class A, two-story buildings totaling 133,967 square feet.
- Research Place, located at 5000 Bradford Drive within Huntsville’s Cummings Research Park, includes three one-story buildings totaling 274,657 square feet.
- Research Office Park Center, consisting of four one-story buildings totaling 236,453 square feet, is located at 7037 – 7067 Madison Pike NW within Huntsville’s Cummings Research Park.
- Lakeside Office Center, located at 620 Discovery Drive within Huntsville’s Cummings Research Park, includes two Class A, three-story buildings totaling 121,839 square feet.
- Regions Center, located at 200 Clinton Ave. NW in downtown Huntsville, is a Class A, 11-story tower totaling 154,297 square feet.
“Occupied by a significant number of long-standing, credit tenants, this portfolio offered impeccably maintained assets well below replacement cost with predictable upward trending, in-place cash flow within the city’s most in-demand submarkets,” said Bell. “We received an impressive amount of national and international interest from investors drawn to the opportunities these diverse properties present.”
Currently 97% occupied, the portfolio includes notable tenants Northrop Grumman Space & Missions Systems, Regions Bank, Toyota Motor North America Inc., and BAE Systems.
Cummings Research Park, home to five of the office buildings in the portfolio, is the second-largest research park in the country and the fourth largest in the world. The buildings benefit from proximity to more than 300 companies, including Fortune 500, local and international high-tech enterprises, U.S. space and defense agencies, to thriving business incubators, and competitive higher education institutions.
Regions Center in downtown Huntsville is ideally positioned within the city’s central live-work-play district. The iconic office tower offers abundant walkable amenities, immediate access to exclusive surrounding neighborhoods and exceptional market presence.
“Huntsville is an emerging growth market on the radar of major investors worldwide,” said Markwordt. “Companies like Facebook, Toyota and Mazda have invested billions in new infrastructure, adding thousands of jobs. The city has proven its ability to outperform competing markets and weather economic downturns due to its balanced and diverse economy.”
Home to more than 72 federal agencies, including the U.S. Army, NASA’s Marshall Space Flight Center, the FBI and the Bureau of Alcohol, Tobacco, Firearms and Explosives, Huntsville is known as a national center for space and defense technology. The city’s economy is further fueled by telecommunications, biotechnology, manufacturing and automotive industries. As a major tech hub, Huntsville has the highest concentration of engineers in the country, along with major contractors Lockheed Martin, Boeing, Raytheon and Airbus.
About Transwestern Real Estate Services
Transwestern Real Estate Services (TRE) adds value for investors, owners and occupiers of all commercial property types through a comprehensive perspective and by providing solutions grounded in sound market intelligence. Part of the Transwestern companies, the firm applies a consultative approach to Agency Leasing, Asset Services, Occupier Solutions, Capital Markets, and Research & Investment Analytics.
The privately held Transwestern companies have been delivering a higher level of personalized service and innovative real estate solutions since 1978. An integrated approach formed from fresh ideas drives value for clients across commercial real estate services, development, investment management and opportunistic programs for high-net-worth investors. The firm operates through 34 U.S. offices and global alliances with BNP Paribas Real Estate and Devencore. Learn more at transwestern.com and @Transwestern.