TAMPA, Fla. (May 18, 2018) – TerraCap Management, LLC (“TerraCap”), a commercial real estate investment management company based in Florida, has sold Lakeview Center, a 186,300-square-foot office property in Tampa, Florida, for $21.8 million. The buyer is TriOut Advisory Group, LLC, a Miami-based real estate investment firm.
Lakeview Center is a single-tenant property that serves as the headquarters of HealthPlan Services, Inc., the nation’s largest independent solutions provider to the insurance and managed care industries. The sale also includes the 19.3-acre site the three-story office building sits on, creating opportunities for future growth.
Existing entitlements give the new owner the ability to expand by more than 190,000 square feet, which would allow TriOut Advisory Group, LLC, to build other office buildings and parking structures. This could mean facilitating further growth by HealthPlan Services, or potentially adding other tenants.
Joe Rossi, CCIM, Executive Managing Director, and Thevenin Campton, Associate, of Investment Services with Colliers International Central Florida, worked with Claire Calzon, Executive Managing Director of Office Services with Colliers International Tampa Bay, to represent the seller, TerraCap.
The building is located near the intersection of Interstate 4 and East Dr. M.L.K. Jr. Boulevard, approximately 1.5 miles southwest of the Florida State Fairgrounds.
“The Tampa Bay market continues to be one of the most desirable markets in the nation for commercial real estate investments,” said Colliers’ Rossi. “This property is particularly attractive because of its stable long-term tenant, opportunity to grow and its convenient frontage and access adjacent to Interstate 4.”
The building, originally constructed in 1984, has undergone more than $3 million in renovations over the past five years. Renovations include a new roof, elevator refurbishments, upgraded HVAC and a new Energy Management System, which increases operating efficiencies.
“This transaction represents another example of TerraCap’s focus on creating value and maximizing investor returns by improving the physical asset and by working with top-quality leasing, property management and investment sales teams to ensure tenant satisfaction,” said Robert Gray, Managing Partner at TerraCap and Co-Founder of its commercial property investment platform.
“At purchase, the property had existing vacancy along with the impending departure of a major tenant,” said Albert Livingston, Director of Asset Management and Partner at TerraCap. “As part of our value-add strategy, we successfully stabilized the building through expansion of a credit tenant into the entire building.”
Lakeview Center is located at 6700 Lakeview Center Drive in Tampa.
TERRACAP MANAGEMENT, LLC
TerraCap Management, LLC considers thematic factors such as business formation, employment growth and population growth on a market-by-market basis, as most metros and submarkets have different economic-based industries and therefore move through their economic cycles differently. TerraCap makes moderate strategic overweighting or underweighting to markets, depending on the specific economic drivers influencing supply and demand. The Investment Manager has been in operation since 2008 with offices located in Estero, FL, Tampa, FL, and the Atlanta, GA metro area. As operators, TerraCap believes it can make decisions more efficiently while leveraging expertise from property to property.
Colliers International Group Inc. (NASDAQ: CIGI) (TSX: CIGI) is an industry-leading real estate services company with a global brand operating in 69 countries and a workforce of more than 12,000 skilled professionals serving clients in the world’s most important markets. Colliers is the fastest-growing publicly listed global real estate services company, with 2017 corporate revenues of $2.3 billion ($2.7 billion including affiliates). With an enterprising culture and significant employee ownership and control, Colliers professionals provide a full range of services to real estate occupiers, owners and investors worldwide. Services include strategic advice and execution for property sales, leasing and finance; global corporate solutions; property, facility and project management; workplace solutions; appraisal, valuation and tax consulting; customized research; and thought leadership consulting.
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