Tampa office park sold for $73 million
By Ashley Gurbal Kritzer
Tampa Bay Business Journal
Published: Aug 15, 2016

Johnson & Johnson, hailed as one of the city's biggest economic development wins in recent years, has a new landlord.

The joint venture that bought Hidden River Corporate Park as part of a giant portfolio deal in late 2014 has sold the property to a Boston investment group, according to a Hillsborough County deed filed Friday.

The sale was led by CBRE Group Inc. Christian Lee in Miami and Dale Peterson in Tampa. Members of CBRE's marketing team included Jose Lobon, Marcos Minaya, Andrew Chilgren and Amy Julian.

Farley White paid $73 million for the three-building, 424,460-square-foot office park, according to public records. A Johnson & Johnson (NYSE: JNJ) division leased 111,000 square feet, or five floors, in Hidden River One in 2015.

The deal, which the deed says closed on Thursday, breaks down to about $170 per square foot.

CorAmerica Capital LLC provided a $47 million mortgage for the acquisition, according to property records.

Banyan Street Capital and Oaktree Capital Management purchased the buildings as part of a 19-property portfolio that Parkway Properties Inc. (NYSE: PKY) spun off when it purchased the Corporate Center buildings in Tampa's Westshore business district.

Property records show the 2014 sales price for all three buildings was a total of $60 million, but those figures likely represent allocations within the portfolio and not the true value of the properties at the time of the sale.

In addition to Johnson & Johnson, Hidden River has also landed a three-year, 75,000-square-foot lease with Citigroup Inc. (NYSE: C). That's likely a temporary lease while Citi sorts out its real estate plans in Tampa - it's said to be looking for 1 million square feet, including new development.

Hidden River appears to be Farley White's first acquisition outside of its home region of New England. The company owns and operates a 2.5-million-square-foot portfolio in New Hampshire, Massachusetts and Connecticut.

Ashley Gurbal Kritzer is senior reporter for the Tampa Bay Business Journal.