Tallying office building
sales of 15,000 square feet or larger, Greensboro/Winston-Salem office sales figures fell during the first quarter 2012 in terms of dollar volume compared to the fourth quarter of 2011.
In the first quarter, six office transactions closed with a total volume of $14,838,725. The six buildings totaled 265,191 square feet and the average price per square foot equated to $55.95 per square foot. That compares to one transaction totaling $34,135,000 in the fourth quarter 2011. The total square footage in the fourth quarter was 271,445 square feet for an average price per square foot of $125.75.
Total office building sales activity in 2012 was down compared to 2011. In the first three months of 2012, the market saw six office sales transactions with a total volume of $14,838,725. The price per square foot averaged $55.95. In the same first three months of 2011, the market posted five transactions with a total volume of $27,365,570. The price per square foot averaged $157.33.
Cap rates have been higher in 2012, averaging 10.30% compared to the same period in 2011 when they averaged 9.88%.
One of the largest transactions that has occurred within the last four quarters in the Greensboro/Winston-Salem market is the sale of BB&T Financial Center in Winston-Salem. This 271,445-square-foot office building sold for $34,135,000, or $125.75 per square foot.