Azrieli Group Purchases 1.1 Million SF Houston Office Complex
Azrieli Group Ltd. has acquired the Galleria Office Towers for $176 million or approximately $165 per square foot from Walton Street Capital. The three Class A office towers totaling almost 1.1 million square feet are part of the Houston Galleria Complex in Houston, Texas. The properties include Galleria Towers I & II and The Galleria Financial Center. The 2.4-million square foot Galleria Mall is not part of the transaction.
Azrieli is reported to have a commitment from a US financial institution for a $130 million loan to finance the purchase and projects rental income for 2011 at $14 million.
Tenants in the complex include Merrill Lynch, Citigroup Inc. and Southern Union Company who will relocate to 192,550 square feet in Galleria Towers II later this year. The project is currently approximately 88.5% leased according to CoStar.
Galleria Office Towers
Azrieli also owns Northchase Plaza and stakes in the One Riverway and Three Riverway office buildings in Houston.