Parkway Properties Inc. received a $200 million previously announced equity investment from TPG and completed the purchase of Hearst Tower, a 972,000-sq.-ft. office tower in Charlotte, N.C. for $250 million.
In addition, Parkway completed the previously announced sales of The Pinnacle at Jackson Place and Parking at Jackson Place for a combined gross sales price of $29.5 million.
As a result of the investment by TPG, Parkway’s board of director accepted the resignations of existing members, including Daniel P. Friedman, Michael J. Lipsey, Leland R. Speed and Troy A. Stovall. TPG has the right to appoint four directors to the board, and has so far appointed Kelvin Davis, Avi Banyasz and Adam Metz.
“We are pleased to have completed these important steps in the evolution of Parkway as we continue to position ourselves for long-term growth,” said Parkway President and CEO Jim Heistand in a statement. “We remain firmly committed to improving operations and cash flow, and on pursuing new acquisitions to grow the company. With TPG’s financial commitment and strategic partnership, we will continue to take advantage of attractive opportunities such as Hearst Tower, as we strive to become one of the leading owners of high-quality office properties in select submarkets throughout the fast-growing Sunbelt region.”