Cousins Properties Inc. acquired Promenade Two, a 774,000-sq.-ft. class-A office building in Atlanta for $134.7 million in cash. The building is located in the Midtown submarket and is 58 percent leased. An anchor tenant at the property recently vacated its space. The rest of the building’s tenants come with leases that won’t expire until 2016.

“Promenade Two provides us with a unique opportunity to acquire a trophy asset well below replacement cost and with the potential for exceptional value creation,” said Larry Gellerstedt, president and CEO of Cousins. “We now have a trophy offering in all three urban submarkets along the Peachtree Corridor, furthering our strategic goal of upgrading the portfolio as we recycle out of older, stabilized assets.”

In the first half of the year, the collective vacancy rate for the Atlanta submarkets of Midtown, Pershing and Brookwood fell 110 basis points compared to the same period in 2010, to 18.9 percent, according to Marcus & Millichap Real Estate Investment Services, an Encino, Calif.-based brokerage firm. Effective rents stood at $20.87 per sq. ft.