Columbia Property Trust, Inc. (NYSE: CXP) today announced that it has exited the Dallas and Phoenix markets with the recent sales of two office properties: CVS Health Tower, a Class-A office building located at 750 W. John Carpenter Freeway in the suburb of Irving, Texas, and SanTan Corporate Center, a Class-A office property located at 3100 and 3200 West Ray Road in Chandler, Arizona. Columbia will use the $109.5 million in total gross proceeds from both sales for reinvestment in its target markets.
CVS Health Tower comprises 315,000 square feet and is primarily leased to the building’s namesake, CVS Caremark, a major independent pharmacy benefit management provider, and technology leader IBM. Located in Irving’s popular Las Colinas District, the 12-story office building was built in 1999 and acquired by Columbia in 2006, at which time it was known as the Sterling Commerce building.
SanTan Corporate Center consists of two office buildings with a combined 267,000 square feet. Built in 2000 and 2003 and acquired by Columbia in 2006, both buildings are 100 percent leased. SanTan Corporate Center I is fully occupied by Toyota Financial Services, which recently signed a lease renewal to remain at the property through 2024. SanTan Corporate Center II is leased to multiple tenants, including Dialog Semiconductor, a UK-based manufacturer of semiconductor-based system solutions, and Isola USA, part of the global material sciences company Isola Group.
“We completed successful leasing programs at both these properties over the last several months, which, combined with their respective locations in solid metro submarkets, positioned each to attract high demand among potential buyers,” said Nelson Mills, president and CEO of Columbia Property Trust. “We felt the time was right to realize the value of these assets and exit both markets as we continue to sharpen our focus on a select group of CBD, high-barrier markets.”
With this sale, Columbia has successfully completed $660.5 million of dispositions in 2016, as part of its previously announced plan to sell roughly $700 million to $1 billion of non-core assets this year.
About Columbia Property Trust
Columbia Property Trust (NYSE: CXP) owns and operates Class-A office buildings in competitive, primarily CBD locations, and over half our investments are in high-barrier-to-entry, primary markets. Our portfolio includes 21 office properties containing nearly 11 million square feet and one hotel, concentrated in San Francisco, New York, and Washington, D.C. For more information about Columbia, which carries an investment-grade rating from both Moody’s and Standard & Poor’s, please visit columbia.reit.
