A joint venture between Lutz Real Estate Investments and pension fund advisor Capri Capital Advisors has purchased a 133,279-square-foot, class A commercial condominium in the central business district of St. Petersburg, Fla.
The value of the transaction was $15 million.
Parkway Properties, a real estate investment trust, sold the eight-story property, which is located at 100 Central Station. The building consists of commercial space on the first and second floors, and six floors of structured parking above.
At the time of sale, the property was occupied by Progress Energy, which converted the first two floors of the building to class A office space in the late 1990s, and has a lease that expires in 2008. In early 2007, Progress Energy is moving into its new headquarters that it is building just down the street. The window of time between Progress Energy’s move and the end of its lease gives the new property’s owners more than a year to reposition and market Central Station to potential users — most likely, retailers, office users or healthcare organizations.
Lutz Real Estate Investments plans to make a significant capital investment in the property, the exact nature of which was not disclosed.
“The greater Tampa Bay area is a market where we see great opportunity, particularly in the growing 24/7 live-work-play downtown areas,” said Tony Landa, vice president of acquisitions, Lutz Real Estate Investments. “We are continuing to specifically pursue acquisitions in both Tampa and St. Petersburg as part of our overall Southeast strategy.”