Parkway Temporarily Buys Two in Houston
Parkway Properties has crafted a creative deal in which it’ll acquire two Houston buildings… and immediately sell them. They’re in a 2.1M SF portfolio of 19 office buildings Parkway is purchasing as part of a transaction to acquire three Class-A office buildings in Tampa, Fla. That deal is slated to close in Q4, but Parkway already has an agreement (and $10M of earnest money) in hand from a buyer to flip these 19 buildings. CEO Jim Heistand (pictured, left, with Parkway managing director Mike Fransen at a 2013 Bisnow event) says they’re being sold because they’re not consistent with the firm’s current investment strategy. Parkway is paying $475M for all 22 buildings, and is getting $237M for the 19-building disposition.