ORLANDO, Fla., April 10, 2014 /PRNewswire/ -- Parkway Properties, Inc. (PKY) announced today that it has acquired Courvoisier Centre, a Class A office complex located in Miami, Florida.
Courvoisier Centre is a 346,000 square foot, two-building office complex, located in the Brickell submarket of Miami. The properties, which are located on the upscale island community of Brickell Key, offer panoramic water and skyline views from nearly every leasable space, and have a comprehensive, high-end amenity base both at the properties and nearby. In addition to undergoing a $10 million renovation in 2013, the assets include a parking infrastructure that offers a submarket-leading ratio of 2.7 spaces per 1,000 square feet of leased space. The properties are currently 83.4% occupied and are expected to generate an initial full-year cash net operating income yield of 4.5%.
James R. Heistand, Parkway's President and Chief Executive Officer, stated, "The acquisition of Courvoisier Centre supports our strategy of acquiring best-in-class assets within the strongest submarkets across the Sunbelt. The buildings' high-end amenity base, along with available parking infrastructure and water views, makes Courvoisier Centre a highly desirable asset. Further, a heavy emphasis on multifamily development within the Brickell submarket has limited the amount of available supply of Class A office assets, which has enabled Brickell to achieve the highest rental rates in Miami."
Parkway's purchase price for Courvoisier Centre was $145.8 million, or $422 per square foot. The acquisition was funded using available cash and proceeds received from borrowings under the Company's new seven-year, unsecured term loan.
Investors and interested parties may access additional information on Parkway's acquisition of Courvoisier Centre at www.pky.com under the Investors tab.
Other Financing Activity
On April 8, 2014, Parkway borrowed the full amount of its $100 million unsecured seven-year term loan. Simultaneously, the Company repaid in full the first mortgage debt secured by the Bank of America Center in Orlando, Florida, which had an outstanding balance of $34.2 million, including breakage costs.
About Parkway Properties
Parkway Properties, Inc. is a fully integrated, self-administered and self-managed real estate investment trust specializing in the acquisition, ownership and management of quality office properties in higher growth submarkets in the Sunbelt region of the United States. Parkway owns or has an interest in 50 office properties located in eight states with an aggregate of approximately 17.6 million square feet at January 1, 2014. Parkway also offers fee-based real estate services which manage and/or lease approximately 12.2 million square feet for third parties as of January 1, 2014. Additional information about Parkway is available on the company's website at www.pky.com.
Director of Investor Relations
- Parkway Properties