Argosy Invests in Landmark Center
On October 10, 2014, Argosy Real Estate made a controlling investment in Landmark Center, a 131,197 square foot, six story class B office building located in the West End district of downtown Dallas, Texas. The Property was acquired off-market in a distressed sale from a fund in wind-down mode via an assumption of a CMBS loan. The Landmark Center was originally built in 1913 and was fully renovated in 2005 to reposition as high-end “creative office” space, featuring a two-story entry lobby, floors of original maple and polished concrete, exposed concrete ceilings and steel structural elements, exposed brick, and modernized mechanical systems.
The business plan is to replenish the reserves required under the existing loan to take the loan out of default, make limited capital improvements, lease up the remaining vacancies, renew the leases of selected existing tenants at market rates, and sell the Property. The West End district of downtown Dallas is a historic district with a number of offices and retail amenities located in converted brick-and-timber buildings. It operates as a distinct micro-market within the Dallas CBD, with a neighborhood feel, tenant profile, and rental rate/vacancy rate dynamic distinct from the rest of the CBD which is dominated by 1960s to 1980s vintage high rise towers.
Argosy partnered on the acquisition with Foundry Capital Partners, an owner and operator of a national portfolio of office and industrial properties.