Blackstone, Zeller Are Making The Biggest Suburban Office Deal Of The Year
When we asked Zeller Realty president Ari Glass at our capital markets panel last month if his firm had any other suburban deals in the works, he said, "stay tuned." Yesterday, news broke that Zeller, which bought Schaumburg's Woodfield Preserve Office Centre last month in a $74M deal, was buying a three-building office complex in Oak Brook.
Zeller is putting the final touches on acquiring Commerce Plaza, a 515k SF office complex, from Blackstone Group for $125M. When completed, this will be the biggest suburban office deal of 2016 and the largest since Blackstone and Wells Fargo bought Deerfield's Corporate 500 Centre from GE Capital Real Estate for $154M last year.
Commerce Plaza also has a GE Real Estate Capital connection. It was part of seven suburban office buildings totaling 4.2M SF that Blackstone and Wells Fargo bought from GE last year in a blockbuster $23B deal. Blackstone allocated $90.2M toward Commerce Plaza, Crain's reports.
Zeller is getting a Class-A office complex in one of the suburbs' most stable office markets. Commerce Plaza is 95% occupied and its location near Oakbrook Center mall adds value to it. You can ask Zeller director of acquisitions Bill Rogalla all about the deal when he speaks at Bisnow's State of the Suburbs" event, 7am Aug 23 at The Westin Lombard Yorktown Center. [Crain's]