20-Story Office Tower in Nashville CBD Trades Hands, CBRE Represents Seller

11 Jun 2018

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CBRE’s Capital Markets team has arranged the sale of 4th & Church, a 20-story, 266,054-sq.-ft. office tower located at 201 Fourth Avenue North, in the heart of Nashville’s central business district. Anchored by long-term tenant ServiceSource, a cloud-based software firm, the property was fully renovated in 2008 with lobby renovations completed in 2016. Stoltz Real Estate Partners acquired the property.

CBRE’s Jay O’Meara, Douglass Johnson, Justin Parsonnet, and Morgan Hillenmeyer represented the seller, Albany Road Real Estate Partners, in the transaction.

“This offering is a unique opportunity to own an established high-quality office asset at the heart of one of the nation’s most dynamic urban cores, with high caliber tenancy that includes a diverse group of law, financial, and technology firms,” said Mr. O’Meara, senior vice president at CBRE. “This area has seen significant and sustained rent growth and is poised for further rise with the transformation of the CBD into a vibrant live-work-play environment.”

4th & Church was 92% occupied at the time of sale. Other major tenants include IQTalent Partners, Nashville City Club, Leitner Williams Dooley Napolitan, and Parker Lawrence Cantrell & Smith, among others.

“With a vacancy rate of only 8.1%, Nashville has been ranked as one of the nation’s tightest office markets. Upheld by a strong and diverse economy, the city has consistently outpaced the national average in terms of job growth,” added Mr. Johnson, senior vice president at CBRE. “Robust market factors contribute to the extremely tight supply-demand dynamics that apply upward pressure on rental rates. 4th & Church is ideally positioned to leverage these market fundamentals into real near-term revenue growth.”

According to the 2018 Southeast U.S. Real Estate Market Outlook, Nashville is poised to see additional investment in office product, with cap rates slightly higher than the national average, and as investors migrate from low-cap primary to secondary markets with the promise of stronger returns.

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 2021 revenue). The company has more than 105,000 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.