Hangover Opportunity Fund LLC has sold a 66,885-square foot office campus in Irving to an oil-and-gas company in an all-cash transaction, ending a four-year hold and recouping on its significant investment into structural and exterior repairs to the trio of buildings. No price for the transaction was released and the name of the energy company was not released.
The single-story brick structures are situated on nearly 4.6 acres at 6301, 6321 and 6341 Campus Circle Dr. E in Irving. The buildings total 21,290 sf, 22,245 sf and 23,350 sf.
“There is not a lot of opportunity for owner/occupants in this submarket for buildings in this size point,” says Clint Holland, acquisitions director for locally based SkyWalker Property Partners, the fund’s manager.
The buyer of record is TPS Realty LLC. The plan is to relocate the oil-and-gas company’s headquarters to 6321 Campus Circle E. There will be office space available for lease in the other two class B office buildings, which presently have two tenants.
The Campus Circle campus is located close to TX 114 and the President George Bush Turnpike, offering easy freeway access in all directions to the entire region. It was developed in 1985 as a multi-tenant office project.
The Hangover Fund has owned the property since November 2013, buying it from the lender as a value-add investment because of its condition at the time. There was one tenant, who vacated shortly thereafter. SkyWalker Property Partners immediately began a $350,000 capital improvement campaign to repair foundations and underground plumbing, re-landscape the campus and create speculative office suites.
Initially, a repositioning strategy focused on the project’s historical multi-tenant use was put into play. Six months ago, that was changed to a “for sale” listing targeting owner/occupants.
“We had eight prospects looking at the space over a two-month period and three bids once we shifted our strategy to owner/occupants,” Holland said. “The overall timing was right with the region’s steadily increasing rents and changes in the tax laws.”
TPS Realty’s all-cash offer set it apart from competing bids. It was just 45 days from contract to closing, marking the fourth disposition in the past year for the Hangover fund.
Matt Hurlbut of Transwestern Dallas represented the seller. Zack Stevens of NAI Robert Lynn negotiated for the buyer.