Partners Capital—the investment arm of NAI Partners—has sold Marymont Office Park, an office property located in San Antonio. Partners Capital’s Fund I originally acquired Marymont in 2017. The 85,368-square-foot, four-building, one-story office park is situated in Northeast San Antonio directly adjacent to NE Loop 410. “We are pleased to kick off the new year with a successful exit for Fund I,” said Andrew Pappas, head of Partners Capital and Partner, NAI Partners. “Marymont Office Park was a great deal for our platform that generated attractive operating cashflow and overall value for our investors. NAI Partners’ property management team did an excellent job providing tenants with a high level of service which translated into a strong lease renewal ratio. This deal was a successful first step into San Antonio for us, and we look forward to investing in this city for years to come.” Partners Capital was represented by Carrie Caesar of Cushman & Wakefield on the transaction. The buyer was Citadel Venture Holdings in Houston. “As a result of COVID-19 many office investors are seeking assets that offer less points of contact and shared spaces,” said Caesar. “Because Marymont Park is a single-story building offering private entrances, there was a significant amount of competition. Additionally, the property was recently refreshed by Partners Capital and it offered an opportunity for the buyer to add further value.” The sale represents Partners Capital’s 19th transaction overall since its launch in 2015.

Transwestern Real Estate Services’ San Antonio healthcare services team completed the sale of 1763 Medical Way, a single-story medical office building totaling 8,055 square feet in New Braunfels, Texas. Transwestern vice president Licia Shreves and associate James Murry represented the seller, APZ Investments LLC. “The COVID-19 pandemic prompted investment interest in smaller assets from users considering owning their real estate and capitalizing on stabilized properties to provide extra cash flow,” said Shreves. “With interest rates down and pent-up demand for this asset type, owners are motivated to sell while conditions remain favorable.” Located in the rapidly growing city of New Braunfels, the Class B, multi-tenant building was 67 percent leased at the time of sale. Built in 2019, 1763 Medical Way offers superior accessibility that fit the needs for a user purchase. Leben Holdings acquired the property and will move its new private dermatology practice into the remaining space, bringing the building to 100 percent occupancy. “Physicians continue to re-evaluate their office space needs due to COVID-19 and the debt market,” said Murry. “We’ll see more owner-occupier transactions in 2021 as private practices consider the value of owning their real estate and establishing new revenue streams.” The New Braunfels medical office market vacancy rate sits at 34.5 percent, compared to the five-year average of 33.1 percent. Comprised of approximately 480,000 total square feet, the New Braunfels medical office market has seen over 169,000 square feet of new construction projects deliver in the last 27 months, presenting a great opportunity for users to lease quality space.

JLL’s capital markets team has been named to market for sale a 14.7-acre development site in the Pearl/Museum District of San Antonio, Texas. Centrally located one mile from downtown San Antonio, 2.5 miles from Alamo Heights and just a few blocks from the Riverwalk, the site is ideal for a variety of asset classes. The development site is immediately across Broadway to the east of Pearl, an iconic mixed-use development offering upscale residential living, eclectic retailers, popular eateries and office space that is home to Fortune 500 companies and major regional employers. Additionally, the site benefits from its location just two blocks from the world-famous San Antonio Riverwalk. The linear park is a popular attraction for local San Antonio residents and tourists alike. The site has excellent roadway access with a central location at the confluence of Highway 281, Interstate 35 and Broadway Street. The JLL Capital Markets team representing the seller for this offering is led by managing directors Davis Adams and Chuck King, along with senior managing director Michael Swaldi and director Garrett Gilleland. “This is a generational opportunity to acquire a site that offers scale, along with an irreplaceable location in a proven area of success for the highest quality residential, office, hospitality, restaurant, retail and entertainment development projects,” said King. “The availability of this site and the ability to develop it to its maximum potential will draw local interest and new interest from investors, companies and residents from across the nation and beyond further defining San Antonio as a world class city.” “The owners have retained JLL for our national and international reach. We are seeking a developer or investor that recognizes the significance of this opportunity and has the financial resources and vision to capitalize on the full potential of the development site,” said Adams. San Antonio has seen impressive and expanding economic activity in recent years and is currently the second fasting growing city in the country. Approximately 120 people move to San Antonio each day and the population of 1.6 million is anticipated to double by 2040, many of those being millennials. The city has been ranked as No. 1 America’s Next Boom Town by Forbes, a Tech Hotspot by Inc., and a Top 5 for Economic Performance by Brookings. New residents are drawn to the competitive cost of living which is currently 13.1 percent less than the U.S. average, the healthy job market and low business costs.