BALTIMORE--(BUSINESS WIRE)--Alex. Brown Realty, Inc. (ABR) and Somerset Properties announce the acquisition of the Raleigh Flex Portfolio in Raleigh, North Carolina. ABR Chesapeake Fund V, a value-add real estate fund sponsored by ABR, invested $21.1 million in the joint venture. Financing for the acquisition was provided by Citizens Bank of Pennsylvania.
The portfolio includes two flex industrial/office business parks totaling 635,000 square feet. Spring Forest Business Center includes 3 buildings totaling 156,000 square feet located on a 15-acre campus in the North Raleigh/Capital Boulevard submarket northeast of downtown Raleigh. EastRidge at Perimeter Park is spread over a 40-acre campus in the RDU/Research Triangle Park submarket west of downtown Raleigh and includes 8 buildings containing a total of 479,000 square feet.
“These are both high quality assets with excellent access that appeal to a diverse tenant base,” stated Mark White, CIO of Somerset Properties. “We plan to make select capital improvements at EastRidge, which will further enhance leasing prospects,” added White. The portfolio is currently 83% leased to 24 tenants.
“We believe the Raleigh market will continue to benefit from the expansion of research and development in the area, driven in large part by the region’s high quality colleges and universities,” commented Tom Burton, ABR’s CIO. “We are pleased to again be partnering with Somerset who has a long and successful track record in the Carolinas,” added Burton. The acquisition represents the second joint venture between ABR and Somerset.
“Given our attractive basis and strong in-place income, the portfolio is anticipated to achieve excellent returns for our investors,” noted John Prugh, president and CEO of ABR.
Alex. Brown Realty, Inc. (ABR) is a privately owned real estate investment manager organized in 1972 and headquartered in Baltimore, Maryland. ABR co-invests with joint venture partners in a broad spectrum of property types located throughout the United States. www.abrealty.com
Somerset Properties is a full-service real estate investment and operating company with a twenty year track record of creating value for investors through acquisitions, development, property management, leasing, marketing, and capital markets expertise. Somerset Properties manages commercial real estate assets consisting of over 6 million square feet with a gross asset value of roughly $700 million. The firm is managed by a team of forty real estate professionals under the direction of Anthony Brady and Mark White, career real estate specialists with over thirty years of experience in all facets of commercial real estate investing. To learn more, visit www.somprop.com.