Corporate Ridge is a 477,500 square foot, four-building, speculative warehouse/industrial development on 27 acres near Dallas Fort Worth International Airport. As of second quarter 2010, Corporate Ridge stood at a 91% total occupancy level with eleven tenants, with capitalization provided by GE Real Estate and Bank of America.
Southlake Crossing is a speculative single-story office project located on 10.2 acres near Dallas Fort Worth International Airport in the Town of Southlake. Overall, Southlake Crossing totals 114,500 square feet in a business park setting with six separate buildings ranging in size from 13,000 to 29,000 square feet. Each of the six buildings were sold to individual investors or corporate users, all at significant profits.
Located in the Uptown area of Dallas, the Quadrangle represents a unique Champion redevelopment project. The Quadrangle includes an 8-story, 130,000 square foot office building; 40,000 square feet of garden offices; 40,000 square feet of retail space; and a 2.5 acre development parcel. Upon acquisition, Champion made significant improvements to the aesthetics and infrastructure of the project, implemented an aggressive lease-up program, restored unique water features, and enhanced overall lighting and signage at the site, thereby generating some vibrancy to this landmark asset. Champion also worked successfully through special zoning district requirements and the City of Dallas to gain approval on various design and parking variances to enhance the pedestrian-friendly characteristics at the Quadrangle. This included approvals for the integration of an 8-story, 250-unit residential component on the 2.5 acre development site, which was sold to a multifamily developer.
Liberty Plaza is a two-building office project located along the Dallas North Tollway. Fidelity Investments provided joint venture equity for this acquisition, with JP Morgan Chase providing the senior debt. Liberty I has 99,300 square feet on five floors; Liberty II has 111,500 square feet on six floors. Upon acquisition, Champion initiated an extensive landscaping, parking, signage, lobby and common area renovation at Liberty Plaza. Champion sold Liberty Plaza to a private REIT (now public) after implementation of an aggressive repositioning and lease-up program.
Parkway at Oak Hill
Parkway at Oak Hill is a two-building speculative office development of Champion, comprising 144,380 square feet. Located in Austin, Texas, Parkway at Oak Hill has significant frontage along Southwest Parkway, with Highway 290 access near MoPac Freeway. Capitalization for Parkway at Oak Hill was provided by the publicly-traded Crescent REIT and JP Morgan Chase Bank. Upon construction completion, Champion sold Parkway at Oak Hill to a private investment fund.
Landmark Center is a two-building, 257,000 square foot corporate office park situated on 20 acres along the Dallas North Tollway. Although started on a speculative basis, both buildings were leased at completion to CompUSA on a long-term basis. Landmark Center enjoys superior highway frontage, access, and visibility, with modern corporate-desired design features such as large and efficient floor plates and ample parking. Capitalization for Landmark Center was provided by Fidelity Investments.
Within the Freeport and Las Colinas office submarket near DFW International Airport, Champion developed the Nissan Campus on a build-to-suit basis under a long-term lease with Nissan. The project comprises 268,000 square feet in two connected buildings that are each three stories. The campus houses the North American divisions and operations of Nissan.
Sierra at Las Colinas
Champion acquired 92 acres of office land in the master-planned mixed-use community of Las Colinas. Champion initiated speculative development with Sierra I, a 3-story, 170,000 square foot building, ultimately leased by GTE/Verizon. Next, Champion developed Sierra II on a speculative basis as a 226,000 square foot, 4-story building. Microsoft leased Sierra II as part of a larger corporate campus that included Sierra IV, also at 226,000 square feet. The final office facility at Sierra was a 247,000 square foot building for T+M Advertising. These various office projects were designed to meet the evolving space needs of large corporate tenants, including an efficient horizontal configuration, large flexible floor plates for open planning, modern systems, ample parking, and secure access. Since being developed, all of the Sierra at Las Colinas buildings have continued to be 100% leased.
Pyramids at Park Lane
The Pyramids at Park Lane is a unique, upscale, mixed-use office and retail project located in Dallas, Texas across from the highly renowned North Park Mall. This 18-acre parcel represented one of the last remaining freeway frontage sites in this upscale residential and commercial area. The first phase included 295,000 square feet of office space in two buildings plus a 980-space parking garage. Since completion, Pyramids at Park Lane has remained at high levels of occupancy, thanks to the high-quality design and construction of the project, along with its prominent location and visibility along N. Central Expressway.
Addison Circle One
Addison Circle is a high-quality, mixed-use community located along the Dallas North Tollway, and includes apartments, retail shops, restaurants, office space, and cultural venues, all developed in several phases. The second phase encompassed $100 million of such mixed-use development, including Addison Circle One, a 10-story, 295,000 square foot speculative office building developed by Champion. With its unique walkability in a suburban location, Addison Circle One achieved a 100% occupancy level within 18 months after shell construction completion.
Previously known as Redbird Distribution Center, Crosspoint 20/30 is a 510,400 square foot high-quality industrial distribution building located in the emerging South Dallas submarket. While it was sitting vacant, Champion acquired the building off-market at a significant discount to replacement cost. Upon acquisition, Champion initiated a major repositioning program, re-branding the property as Crosspoint 20/30 and undertaking a major asset renovation that included a change to the loading configuration to be a cross-dock. Champion then executed a lease for the entire building with Owens Corning Corporation, which allowed for a sale of the property to an institutional investor.
Champion acquired Travesia Corporate Park in Austin, Texas through a foreclosure sale process. Travesia was a speculative office development located on FM 1325 near the MoPac/1 Extension, State Highway 45, and Interstate 35. Travesia includes three single-story buildings totaling 175,950 square feet. Champion acquired the vacant property at a significant discount to replacement cost, and then implemented an aggressive leasing strategy, ultimately achieving an 80% occupancy level before selling the property to an institutional investor.
Energy Square Complex
A joint venture of Champion and Lincoln Property Company acquired the Energy Square Office Complex, which included several office buildings comprising 975,000 square feet along N. Central Expressway in Dallas, proximate to SMU, the Bush Presidential Library, and nearby affluent residential neighborhoods. The prior owner of Energy Square had encountered liquidity, capital funding, and loan maturity issues, which allowed Champion and Lincoln to quickly underwrite and acquire Energy Square at an extremely attractive cost basis and existing return level for a 70% leased, well-located, high-quality office complex in Dallas. Champion and Lincoln re-positioned and renovated the complex back to Class “A” market status, which led to significant leasing momentum.
At acquisition, Champion re-branded this 229,000 square foot, 9-story, vacant office building as Tower 2600. The building had been occupied for the prior 10 years by AT&T, which vacated upon their lease expiration. The owner defaulted on its loan, which allowed Champion to acquire the property off-market through a complicated short-sale transaction with the owner and the special servicer. Champion then completed a significant renovation of the building’s garage, lobbies and common areas. Thereafter, Champion leased-up Toer 2600 to 97% occupancy.
Champion acquired a 4-building, 800,000 square foot, high-quality corporate office campus in the Richardson suburb of Dallas. Champion first acquired a vacant 7-story office building that was rebranded as 1011 Galatyn Parkway; thereafter, Champion acquired the other three 5-story buildings in a sale-leaseback portfolio transaction. Champion leased Galatyn Campus to 100% occupancy with Bank of America and State Farm Insurance ahead of selling the entire portfolio to an institutional investor.
Champion acquired 12720 Hillcrest Drive, a 168,000 square foot, 10-story, partially-leased office building in the vastly improving LBJ office submarket of Dallas. Upon acquisition, Champion implemented a wide-scale re-positioning effort. Re-branded as Hillcrest Tower, the building underwent an extensive multi-million dollar renovation that included new and modern lobby finishes, an elevator modernization program, common area upgrades, enhanced landscaping, and the construction of make-ready offices for smaller tenants.
Champion acquired the 3500 Maple Avenue office project via foreclosure auction sale on the steps of the Dallas County Courthouse. With its prominent 18-story presence within the Uptown & Turtle Creek office submarket of Dallas, 3500 Maple is a 376,000 square foot, high-quality building that had fallen into distress due to an ownership structure that had limited ability to invest needed capital into the property. Champion completed a significant multi-million dollar renovation, re-development, and re-tenanting of the building, bringing it back to Class “A” status under the new brand name of “Parkside Tower”.
The APEX Building
Located in the Richardson/Plano office submarket of Dallas along the President George W. Bush Turnpike, The APEX is a 190,000 square foot, 3-story, corporate office facility. The APEX benefits from prominent freeway visibility and excess land that can be used for additional parking. Previously occupied by NetScout, the building was re-branded by Champion and extensively upgraded with a tenant lounge, fitness center, conference center, and dining café. Champion expects to achieve stabilized occupancy at The APEX by year-end 2020.
4851 LBJ Freeway
4851 LBJ Freeway is a 190,000 square foot, 12-story office building located in the historically strong LBJ/Galleria submarket of Dallas. Upon acquisition, Champion implemented a re-positioning and re-leasing program that included several million dollars in common area and systems upgrades to the building, along with adding make-ready office suites. With the LBJ Freeway expansion construction now completed, coupled with extensive visibility from two major freeways (Interstate 635 and Dallas North Tollway), 4851 LBJ has experienced strong leasing demand and significant rental rate increases over the past few years.
4000 Horizon Way
Located in the Las Colinas office submarket of Dallas and originally developed for a corporate user, 4000 Horizon Way is a 293,000 square foot, two-story office building with several above-standard features, including a parking ratio in excess of 6.5 spaces per 1,000 square feet. Currently 100% leased, 4000 Horizon Way provides stable near-term cash flow with long-term value appreciation potential through either a lease renewal or a re-leasing and re-positioning program focused on securing one or more corporate tenants in the historically strong Las Colinas office submarket.
The Tollway Towers office complex is located in the North Tollway submarket of Dallas and includes two buildings comprising 342,000 square feet. Upon acquisition, Champion implemented a re-positioning and re-leasing program that included a curtainwall renovation, parking garage improvements, adding make-ready office suites, and new tenant amenities such as a lounge and fitness center.
KPMG Plaza at Hall Arts
The prominent KPMG Plaza at Hall Arts office building is located in the Arts District area of Uptown Dallas. Developed by Hall Financial Group, this iconic 19-story office building comprises 455,0000 square feet of Class “AA” space leased to several quality tenants, including KPMG, Jackson & Walker, and Bell Nunnally. Working closely with Civitas Capital as its partner, Champion creatively structured this investment to have a stable and lasting cash flow stream that would appeal to conservative-minded foreign investors. This originally included a master lease of vacant space by the prior owner, Hall Financial Group, the assumption of attractively-priced EB-5 mezzanine financing, and senior debt and joint venture equity from various South Korean institutional investors. After just a few years of ownership and upon reaching leasing stabilization, Champion and Civitas sold this iconic building to another foreign investment company based in Spain.
Champion formed a joint venture with Killearn Properties to own and develop 100 acres of industrial land located in southern Atlanta in Eagle’s Landing business park. Champion initially developed a 435,000 square foot speculative warehouse on 21 acres. This project was 100% leased to Bugle Boy Industries upon completion. Champion then developed a 400,000 square foot warehouse, which was ultimately leased to Advanced Distribution Systems on behalf of Nabisco Foods. Both of these buildings were sold to an institutional investor. Champion later developed a 505,000 square foot building under a fee-based advisory agreement with a major U.S. insurance company.
GE Real Estate and Champion formed a joint venture to acquire the LIT Portfolio, which encompassed 13 separate properties with a total of 2.6 million square feet of space located in Dallas, Memphis, Chicago, and Boston. The seller was ING Clarion out of their much larger Lion Industrial Trust portfolio of assets. Champion implemented several value-creation leasing and marketing strategies for this portfolio in just the first year of ownership. Within a year of owning the portfolio, the institutional investment community continued to be active buyers of high-quality industrial assets, so Champion made the decision to sell the portfolio. This $114.1 million disposition transaction included the assumption by the buyer of the existing life company loan that Champion/GE originally secured at portfolio acquisition.
Champion acquired 50 acres of industrial land along Highway 78 in Memphis, Tennessee, five miles southeast of the Memphis Airport. The Memphis industrial market is a major regional, national, and even international distribution hub. Champion implemented several value-add strategies, such as master site planning, speculative development, adding formal entry landscaping and signage, and securing foreign trade zone status. Champion completed a 268,000 square foot warehouse facility that Ingram Entertainment acquired, and then a 629,000 square foot warehouse that SubmitOrder leased. Champion later developed Memphis TradeCenter III at 1,039,000 square feet, leasing it to Johnson & Johnson and Diamond Comics
Regency Business Park
Champion acquired 90 acres of industrial land located along State Highway 360 just south of Dallas Fort Worth International Airport. This property was the only remaining large, contiguous, rail-served land site in the Great Southwest Industrial District. Champion implemented several value-add strategies, including master site planning, speculative and build-to-suit developments, individual parcel sales, and securing local tax abatements and foreign trade zone status. Champion completed a 470,000 square foot distribution center for GE Appliances, and a 405,780 square foot speculative warehouse facility. Champion later developed Regency 3, a 385,000 square foot facility for Republic Beverage.
Nestle / Build to Suits
For Nestle, Champion developed a new, modern, national distribution network consisting of seven regional warehouses aggregating more than 5.5 million SF at a total cost of $243 million. These facilities were constructed in Dallas/Fort Worth, Atlanta, Chicago, Fort Wayne (IN), Northern California, Allentown (PA), and Southern California. These seven projects ranged in size from 524,000 SF to 1,045,000 SF of new, modern distribution space. Development of this new consolidated distribution network for Nestle was the first of its kind in the U.S. and encompassed a wide variety of services, including site acquisition, land use approvals, facility design, construction, financing, and occupancy/move-in coordination. Champion also provided Nestlé with various asset management and financial services, such as the disposition of its prior distribution facilities, which included more than 30 owned or leased properties. In addition, Champion handled the overall structuring, negotiation, and closing of three separate leveraged sale-leaseback transactions involving all of these new Nestle facilities at a total equity and debt financing consideration of $243 million. In addition to this significant fee-based work for Nestle, Champion has completed approximately $300 million of additional project development assignments for corporate clients such as Matsushita, Perrier, Hunt-Wesson, Mondavi, and Nissan. These corporate office and warehouse facilities have ranged in scope/size from $13 million to $80 million, with geographic locales spanning the coasts from New Jersey to California, and including Eastern Pennsylvania, Chicago, Atlanta and Dallas in between.