San Francisco investor snags another big Austin office building

Jun 11, 2014
Austin Business Journal

San Francisco-based real estate investment firm Drawbridge Realty Trust continues to increase its footprint in Austin with the acquisition of OS Austin, a large office building in Southwest Austin


Drawbridge paid $42.5 million to the seller, CBRE Global Investors. Based on public records, it would appear to be a good deal. The Travis Central Appraisal District last valued the 164,700-square-foot building at $45.97 million


Added bonuses: The property is 100 percent leased to Overwatch Systems Ltd. and includes 48.1 acres of land, which could support another 120,000 square feet of office space and a parking structure


The property at 5301 Southwest Parkway originally was built in 2007 as Overwatch’s corporate headquarters. Overwatch is an operating unit of Textron Inc. (NYSE: TXT)


Drawbridge also owns Headway Circle, 1624 Headway Circle; wet labs and offices at 3208 Red River St. downtown; Sierra Technology Center, 3100 Alvin Devane Blvd.; and Stonecreek Park, 330 Duval Road, in the Austin market


The company is one of the few that specializes in life science buildings and wet-lab facilities, though the newest acquisition is conventional office space


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