KS Partners Picks Up 8 Bldgs. in Hartford Area
After 12 years of ownership, New Boston Fund Inc. sold its eight-building, 620,372-square-foot office portfolio in Rocky Hill, CT, to a joint venture led by KS Partners for $65 million or $105 per square foot.
The collection consists of Corporate Ridge Office Park and I-91 Tech Center. Corporate Ridge is comprised of three Class A office buildings totaling 507,000 square feet: 500 Enterprise, 55 Capital Blvd. and 175 Capital Blvd. The five remaining single-story buildings at I-91 Tech Center total 113,000 square feet and consist of flex and office space on Brook Street.
“A significant pricing inefficiency currently exists for suburban office properties and interest rates are at historic lows, making this an opportune time to buy," said Kambiz Shahbazi, founder and president of KS Partners. “This off-market opportunity to acquire a portfolio of prominent properties at well below replacement cost will allow KS Partners to realize strong current returns on its investment while having the potential for substantial long-term value appreciation.”
It is KS Partners' largest acquisition to date. Barclays Capital of New York provided the financing.
The assets were built in the late 1980s and were 87 percent leased at the time of sale. The tenant roster includes Nationwide Insurance, AT&T, United Healthcare, MetLife, The American Cancer Society, Liberty Mutual, Verizon, Zurich Insurance and AECOM.
John McCormick, Patrick Mulready, Michael Puzzo and Jeffrey Dunne of CBRE represented New Boston.
See CoStar COMPS #2580065 for more information.