A Georgia-based information technology firm is moving its headquarters closer to Atlanta by buying an eight-story office building just north of the city.
Innova Solutions recently acquired the 1455 Lincoln Parkway building in Dunwoody, where the company plans to occupy the top two floors. The nearly 187,000-square-foot-building was sold by Florida-based Parmenter Realty Partners at an undisclosed price, according to a news release by the deal’s brokerage firm CBRE.
The sale comes during slow and trying times for metro Atlanta’s office market, which is grappling with record-high availability, tepid leasing and a slowdown in transactions. Nearly a third of all office square footage in metro Atlanta was available to rent at the end of December, which has prompted some half-empty buildings to see their values begin to stagnate or decline.
The lack of activity — coupled with high interest rates and a tight refinancing market — has prompted multiple prominent office towers to go through foreclosure, with real estate experts expecting more distress on the horizon.
“Having a successful transaction in this environment involves patience and professionalism,” Nima Ghomghani, senior vice president of CBRE’s Atlanta Office Advisory and Transactions Services Group, said in the release.
By acquiring 1455 Lincoln Parkway near I-285, Innova becomes one of the few tenants to spur action in the office market. The company employs about 300 workers at its current headquarters at 2400 Meadowbrook Parkway in Duluth, which the firm will vacate to move to Dunwoody.
Parmenter Realty Partners bought 1455 Lincoln Parkway for $22 million in 2015, and DeKalb County most recently appraised the property at $31.5 million last year. Built in 1986, the mid-rise will be 82% occupied once Innova moves into its new space, which totals 50,000 square feet. Bridger Properties is in charge of the building’s leasing.
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