The Office Market
With the willing seller’s change of strategy, the vast bid/ask spread of the last several years began to tighten from a buyer’s and seller’s prospective. The largest office sale of the year was the US Bank Building in Overland Park for $38.2 million ($198 per square foot) at a 7.52% cap rate, bought by Whiterock Acquisition Corporation.
Other smaller office sales included the Greenview Office Building in Prairie Village, Kansas, to the Price Brothers, the user sale of a Bank Building in Overland Park, Kansas, to Arvest Bank, and 7501 Tiffany Springs Parkway, in a distressed sale to a local investor. While there was significantly increased investment activity in the market, institutional and private investors continued to show favoritism for Johnson County and the Country Club Plaza. As referenced in years past, South Kansas City, Lee’s Summit, Independence and Blue Springs stay on investors’ radar when quality product becomes available.
Stay tuned to read more blog posts on Kansas City CRE investments and gain more insight into Industrial and Retail, Muli-Family markets and more.
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