FOR IMMEDIATE RELEASE
January 28, 2003
HARBOR GROUP INTERNATIONAL PURCHASES
DOWNTOWN
BALTIMORE CLASS A OFFICE TOWER
Harbor Group International (HGI) of Norfolk,
Virginia, has acquired the 380,000 square foot, 25-story
First Union Tower in downtown Baltimore, Maryland . Affiliates
of HGI, in a joint venture with a corporate investor, purchased
the property from Crow Holdings and partners at a purchase
price of $50,200,000.
“
First Union Tower is a Class A building anchored
by a prominent bank in a great downtown market,” said
Jordan E. Slone, Harbor Group International Chairman
and CEO. “Such buildings are a key
component of Harbor Group International’s
acquisition strategy.”
The property represents HGI’s first major acquisition of 2003.
In 2002, the company acquired nearly $200 million in real estate divided
among more than 2,000 multifamily units and nearly 1 million square feet
of office property. Also in 2002, HGI successfully sold 10 properties
for $60 million. The purchase of First Union Tower was part of
a tax deferred exchange.
Built in 1985, the property is currently 92% occupied. First Union
Bank occupies about 50% of the building on a long-term lease. In
addition to First Union, the property’s tenant roster includes
the law firm of Whiteford Taylor & Preston, the law firm of McGuire
Woods Battle & Boothe, and Salomon Smith Barney. Trammell Crow
Company’s Baltimore office is a tenant in the building and will
continue to lease and manage the property.
The property is located in the heart of the Central Business District
along one of the major arteries downtown. Major attractions in the property’s
immediate neighborhood include the Baltimore Inner Harbor, the Convention
Center, City Hall, the Orioles’ Camden Yards baseball stadium,
the Baltimore Ravens football stadium, and the National Aquarium.
First Union Tower was designed by RTKL and is clad in polished Spanish
rose granite and copper tinted windows. The first four levels over the
ground floor lobby and retail area provide for 209 parking spaces.
The overall Baltimore office market contains approximately 54.9 million
square feet and is currently 13.7% vacant. The Central Business
District is home to approximately 16.3 million square feet of office
space and reports a 10.4% vacancy rate. Asking rents in downtown
Baltimore average approximately $25.25 per square foot.
Harbor Group International currently owns $850 million worth of properties
in 15 states in the United States as well as in three different countries. For
more information, visit the company’s website at www.harborgroupint.com
.
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