Union Investment has bought the Granite Park VII office property in Dallas from Granite Properties for around €140m.
The German fund manager said it bought the building with 30,000sqm office space - from the developer of the Granite Park campus - on behalf of the open-ended real estate fund Unilmmo: Europa.
The campus currently comprises six commercial properties out of a planned total of eight. The Granite Park VII office building was completed in 2017 and is fully let on a long-term lease to US government-sponsored entity, Fannie Mae.
Matthew Scholl, the head of Union Investment Real Estate’s investment management in the Americas, said: “Having acquired a 40,000sqm property at 2000 McKinney Avenue in 2016, this acquisition is our second major office transaction in the Dallas area.
“This is consistent with our strategy of investing in fast-growing and dynamic submarkets, as well as established CBD locations, provided our investment criteria are met. Our focus is on stable long-term rental income, which is ensured by the long lease with Fannie Mae.”
Following this acquisition, Union Investment now holds 18 office properties in the US with a total value of around €4.2bn.
Willis Kim, the head of US West Coast and Canada at Union Investment Real Estate, said: “The Legacy submarket is one of the most dynamic and interesting markets in the US and the development of the Granite Park campus is a good example of how fast growth and a sustained high-quality user experience can be combined.
“Together with the excellent construction quality of Granite Park VII, this creates great investment conditions for us.”
