The rapid expansion of WeWork Cos. shows no signs of slowing.
The New York co-working giant has agreed to lease 118,000 square feet in the new $450 million West Midtown project The Interlock.
The announcement, released Dec. 4, was expected. In October, WeWork was said to be in advanced discussions with the project’s lead developer, Fairburn, Ga.-based S.J. Collins. Georgia Tech, which is expanding deeper into West Midtown, picked S.J. Collins as Interlock’s master developer.
WeWork is already working closely with Tech at another project in Midtown called Coda, where it has signed a 67,000-square-foot lease. Tech could use the co-working space as a landing spot for startups coming out of its Advanced Technology Development Center in Tech Square.
The school may try a similar model at The Interlock. WeWork will occupy three floors at the West Midtown project — its largest lease yet in Atlanta.
The entire Interlock development will include 200,000 square feet of office space, along with stores, apartments, single-family housing and a hotel.
In Atlanta, WeWork has set a target for 15 to 20 locations by the end of 2020. That will make Atlanta the company’s largest market in the Southeast.
WeWork is already occupying 185,000 square feet across Atlanta office projects, said Keith Pierce, research manager for real estate services firm Transwestern. “They will double their total presence in Atlanta when The Interlock is completed, and I doubt they’re done,” Pierce said.
Greystar moving to Midtown
Greystar Real Estate Partners LLC is relocating from the Atlanta Perimeter to Midtown.
The multifamily real estate company will lease 25,000 square feet at One Peachtree Pointe. The project is part of Dewberry Capital’s Midtown portfolio.
Greystar is moving from 10 Glenlake Parkway, South Tower.
Greystar joins several other companies recently deciding to leave the suburbs for Midtown including Whole Foods Market Inc., which is moving its regional office from Roswell to Colony Square.
Greystar has become a bigger player in Midtown’s new apartment wave, with its project at 1400 West Peachtree St., for example. Much of its work was also focused inside the Perimeter, where its Atlanta portfolio is weighted. That includes properties including Midtown, Buckhead and Decatur and Chamblee.
The lease at One Peachtree Pointe is the latest win since Dewberry formed a new venture with longtime Atlanta developer Jim Meyer, one of Atlanta’s most respected developers. Top priorities for the partnership were leasing up Midtown towers including Peachtree Pointe and Campanile and adding substantial street-level retail on Peachtree Street.
The partnership landed Pandora Media Inc. at Campanile earlier this year, bringing 250 software development jobs to the project.
In the Greystar lease at Peachtree Pointe, Dewberry was represented by Capital Real Estate Group’s John Thornton and Bennett Gottlieb. Development services were provided by Atlantic Capital’s Meyer and Chad Meyer. Liz Love at Jones Lang LaSalle represented Greystar.
Perfect Game leaving LakePoint
Perfect Game Inc., a showcase for many future college and pro baseball players and a regional draw for Bartow County’s LakePoint Sporting Community, is leaving the project.
The Cedar Rapids, Iowa-based scouting service plans to secure new baseball facilities in Georgia, according to a news release. It’s part of a larger national expansion.
Perfect Game will move its tournaments from LakePoint in 2020.
The decision comes as investors behind the massive project work to regain financial footing. In June, eight groups affiliated with the development filed a Chapter 11 reorganization plan in federal bankruptcy court in Atlanta. The restructuring was created with the project’s main investor, California-based hedge fund manager Rimrock Capital.
Perfect Game anchors the 1,300-acre project in Emerson Ga., which is just off Interstate 75 northwest of Atlanta near Cartersville.
LakePoint continues to move through its reorganization plan, the project’s operators say. The group behind the project has been evaluating key business arrangements, including Perfect Game, Dan Berman, representative for LP Investments I, a Rimrock affiliate, said in a statement to Atlanta Business Chronicle.
On Dec. 4, Rimrock Capital announced it landed a top amateur showcase tournament and scouting service Prep Baseball Report. The company will enter into a long-term partnership with Rimrock to operate LakePoint’s baseball complex.
Bartow County’s 1,300-acre LakePoint Sporting Community fell into bankruptcy after it needed more funding for a faster expansion of the stores, restaurants and hotels to support its thriving amateur athletic tournament business, Atlanta Business Chronicle reported earlier this year.
Rimrock is using global real estate company Jones Lang LaSalle Inc. to craft a new blueprint for the nearly 900 acres left to develop.
Real Talk, a collection of Atlanta real estate briefs
New managing directors at Savills
Savills Studley Inc. has brought on two new managing directors.
Phil Carabillo will focus his practice on corporate solutions including account management, business intelligence, and workplace strategy. He most recently served nine years as vice president of U.S.real estate at international staffing firm Randstad U.S., where he managed a corporate portfolio of 1,099 offices.
Rob Toner, an interior design expert and workplace strategist, joins the project management group as managing director. Toner spent 10 years at Cox Enterprises Inc., as director of operational services.
“As the Savills Studley Atlanta office continues to experience rapid growth, it is vital that we cultivate a dynamic and diverse workforce to meet the regional demands of our clients,” said Atlanta Market Leader Chris White.
Savills Studley is the city’s eighth-largest commercial real estate brokerage, posting gross dollar volume sales and leasing transactions of almost $1.6 billion last year out of the Atlanta office, according to Atlanta Business Chronicle Book of Lists. The company is headquartered in London.
RG Real Estate buys Decatur’s Commerce Plaza
RG Real Estate added a familiar Decatur office building to its portfolio.
The firm bought Commerce Plaza in downtown Decatur for $8.1 million. The 10-story building is a value-add investment and will get a full renovation including new common area and exterior finishes, along with upgrades to mechanical systems.
RG Real Estate was represented in the transaction by President Ryan Goldstein and Vice President of Finance Doug Eakin. The firm will lease and manage the building at 755 Commerce Drive.
RG Real Estate has purchased more than $30 million in office and medical properties over the past 12 months, including Savoy Business Center in Atlanta’s Central Perimeter.
Commercial Real Estate Editor, Atlanta Business Chronicle
Originally Published on December 7, 2018 at 05:39AM
Article published originally via “wework” – Google News https://www.bizjournals.com/atlanta/news/2018/12/07/real-estate-notebook-wework-expansion-greystar.html