After making two trophy office buys last year, Durham, NC-based Dilweg Cos is making its next big ATL move. This time in red-hot Buckhead.
Dilweg has struck a deal to buy Atlanta Plaza, the 632k SF Buckhead tower that recently became home to RentPath, for $140M, or $222/SF, according to Commercial Real Estate Direct. We reached out to Dilweg's Douglas McRae and Jerry Banks, who declined to comment on the story.
But it's no secret that the value-add buyers—who last year purchased both Royal Centre in Alpharetta for $85.2M and Centennial Tower in Downtown Atlanta to the tune of $68.8M—have been on the hunt for more Atlanta properties.
“Atlanta is very competitive right now on the buy side. But there seems to be a decent amount of value-add on the market and we're looking at each one that comes out,” Douglas says.
But the duo did elaborate more on a string of space demo permits filed for Centennial Tower. The firm has created a handful of spec suites on an entire floor, a move that Douglas says is compelling for small companies looking for a quick move in a modern setting—exposed ceiling rafters and concrete flooring give the office space a youthful company look.
The gambit appears to be paying off. They've already inked deals with two small firms, including Lattimer Communications. “We expect the leasing velocity to pick up pretty quickly,” Douglas (here) says.
