Ownership shakeup for 5 downtown Austin towers

Nov 18, 2014
Austin American Statesman

There’s been an ownership shakeup for some of downtown Austin’s biggest buildings

A partnership that owned several prominent downtown buildings has been dissolved, Parkway Properties Inc. and the California State Teachers’ Retirement System said Monday

Parkway Properties said it has acquired the California State Teachers’ Retirement System’s 60 percent stake in the 21-story San Jacinto Center, 98 San Jacinto Blvd., and the 30-story One Congress Plaza, 111 Congress Avenue, and now owns both buildings outright

Meanwhile, Parkway Properties transferred its 40 percent ownership stake in the 33-story Frost Bank Tower, 401 Congress Ave.; the 32-story One American Center, 600 Congress Ave.; and the 23-story 300 W. Sixth St. to the California State Teachers’ Retirement System

Parkway Properties said it also received $43.6 million from the California State Teachers’ Retirement System as part of the transaction

“Since acquiring our initial interest in the Austin portfolio as part of our merger with Thomas Properties Group Inc. in December 2013, we’ve successfully executed our business plan and leasing strategy, completing a total of 373,000 square feet of leasing at these five assets at some of the highest rental rates in Parkway’s portfolio,” Parkway Properties president and CEO James R. Heistand said in a written statement

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