Houston – Feb. 13, 2024 – Griffin Partners, a leading Houston-based commercial real estate investment, development and property management firm, has announced the sale of Scarlet Oak, an 81,118-square-foot office/industrial flex building in southwest Charlotte, to a joint venture between Somerset Properties Inc. and ABR Capital Partners for $11 million. The property was 84 percent occupied at the time of closing.
CBRE’s Patrick Gildea, Robert Hardaway and Matt Smith represented the seller, Griffin Partners, in the transaction. Prior to the sale, Alek Salfia, Joe Franco and Kris Westmoreland with CBRE leased the property on behalf of Griffin Partners.
Built in 1981 and renovated in 2022, the flex asset is located at 8700-8702 Red Oak Blvd. It accommodates a variety of office/warehouse uses and features 17’14” clear heights and 17 dock-high, drive-in doors. The property’s recent upgrades include a new outdoor amenity space, improvements to the exterior and new paint, installation of a new backflow preventer, and resealing/restriping of its 245-space surface parking lot.
The building is part of “The Oaks” a four-building flex industrial redevelopment totaling 251,591 square feet. CBRE arranged the $9.25 million sale of another building in the portfolio, English Oaks, in November 2023.
“Our local Griffin Partners team did an amazing job turning this collection of industrial flex assets around via a full rebranding that included new roofs, upgraded mechanical systems, landscaping, exterior painting, etc. while stabilizing the tenancy for a new owner. This disposition is a testament to our on the ground team executing a concise and profitable strategy and harvesting in a difficult environment” said Andrew Montgomery, Griffin Partners’ President of Investment Management.
“Attracted to the exceptional fundamentals, we are seeing capital rally around the flex industrial space,” said CBRE’s Smith. “Scarlet Oaks marks the latest trade in a growing list of transactions over the past 18 months.”
The property sits on 12.77 acres in the northwest corner of the I-77 and W. Arrowood Rd. interchange. It provides tenants easy access to Interstates 77, 85 and 485, and is seven minutes from Charlotte-Douglas International Airport.
The Charlotte industrial market recorded $277.8 million in sales in the fourth quarter of 2023, pushing last year’s annual volume to $796.2 million, according to CBRE Research.
This disposition comes on the heels of the company’s recent acquisition of an additional nine acres at the site of its Carter Crossing industrial development.
To learn more about Griffin Partners, visit griffinpartners.com or contact Jenny Gustafson at jenny@likemindstalk.com or (713) 416-7280.
About Griffin Partners:
Griffin Partners is a commercial real estate investment, development, and property management firm founded in 1980 by Fred Griffin. Headquartered in Houston, Texas, Griffin Partners cumulatively has acquired or developed over 19 million square feet of space across more than 85 projects comprised of 124 individual properties, with an aggregate value that exceeds over $2.6 billion. The company owns and operates properties throughout Texas, Colorado, Arizona, Utah, Tennessee, and North Carolina. For more information on Griffin Partners, visit www.griffinpartners.com.
About CBRE Group, Inc.
CBRE Group, Inc. (NYSE: CBRE), a Fortune 500 and S&P 500 company headquartered in Dallas, is the world’s largest commercial real estate services and investment firm (based on 2022 revenue). The company has approximately 115,000 employees (excluding Turner & Townsend employees) serving clients in more than 100 countries. CBRE serves a diverse range of clients with an integrated suite of services, including facilities, transaction and project management; property management; investment management; appraisal and valuation; property leasing; strategic consulting; property sales; mortgage services and development services. Please visit our website at www.cbre.com.
