Blackstone Group has sold another bundle of office properties from its recently acquired Equity Office Properties Trust (EOP) portfolio. The San Francisco office of real estate developer/owner Hines acquired a portfolio of 15 projects containing 32 office buildings totaling roughly 2.5 million sq. ft. in the metro Sacramento, Calif. region.
Various Hines-managed funds will acquire portions of the portfolio. The Sacramento Bee, a local newspaper, reports that the portfolio sold for $760 million. The portfolio was acquired from the Blackstone Group, which acquired these properties as part of its $38 billion acquisition of EOP. Hines plans to and manage the properties.
“We believe that the acquisition of this portfolio simultaneously solidifies and greatly enhances Hines’ presence in the Sacramento region, an area with outstanding economic growth prospects and excellent real estate fundamentals,” says Hines Vice President Cameron Falconer.
“This acquisition represented a singular opportunity given the portfolio’s high quality, Class-A space, which is well suited for the tenant base, and the various buildings’ ideal central locations,” adds Falconer.
Included in the sale is the Wells Fargo Center, located in downtown Sacramento, and five assets in the heart of Roseville, all located on Douglas Blvd. The 30-story Wells Fargo Center has 502,887 sq. ft. of office space. It was completed in 1992 and is 97% leased.