Granite Properties has sold its 100 City View office building in suburban Atlanta for $50.4 million to OA Development, an Atlanta-based firm. The deal reflects renewed investor interest in select office properties, even as the broader sector continues to face challenges.
The 254,000-square-foot building fetched a price of about $198 per square foot, which is significantly higher than the metro Atlanta second-quarter average of $136 per square foot. Despite this premium, the purchase price is only about one-third of what it would cost to construct a similar new property today.
OA Development financed the acquisition with a $32.5 million loan from Grant Street Funding. The building, located at 3330 Cumberland Boulevard South East and built in 2000, underwent $7 million in recent upgrades and is currently 91 percent leased. Murata Electronics, the American subsidiary of a Japanese manufacturer, is the anchor tenant with a 50,000-square-foot lease signed last year. There are a total of 26 tenants occupying the building, which is situated less than two miles from The Battery Atlanta mixed-use development.
Cushman & Wakefield managed the sale process with a team led by Samir Idris, David Meline, and Burch Mixon—the same group that handled Pennant Park’s sale to the Braves earlier this year.
According to marketing materials, leasing activity in the Cumberland and Galleria submarket was 24 percent higher than pre-pandemic levels, outperforming other parts of metro Atlanta where office absorption remains sluggish.
Josh Videlefsky, partner at OA Development, said: “well-located, high-performing assets as institutional capital remains sidelined.”
Brian Granath, also a partner at OA Development, added that “predictable income and opportunity for capital appreciation” are key features of 100 City View as market conditions improve.
OA Development continues to manage other holdings that have not performed as well; among them is 100 Ashford Center in Dunwoody, which may be demolished due to ongoing vacancies.
Atlanta’s office sales market saw transaction volume rise by 277 percent quarter-over-quarter in Q2—although overall activity remains below previous peaks when financing was more readily available.
