Historic Adaptive Reuse Buildings Sell for $9.9 Million in Central Durham
Historic Adaptive Reuse Buildings Sell for $9.9 Million in Central DurhamFoster Street Sale
| March 11, 2020
CBRE has facilitated the sale of 323 and 401 Foster Street, two mixed-use, adaptive reuse buildings totaling 27,725 square feet in the heart of downtown Durham, NC. The historic properties were constructed in the 1930s and are occupied by a mix of office, medical, and retail uses including Duke University, Hemosonics, Rise Biscuits, Urban Durham Realty, and Evoke Studio Architecture. Weaver Capital Partners and the Seng Company sold the properties to Arcos Properties for a purchase price of $9.8 million.
CBRE|Raleigh’s Ben Kilgore and CBRE’s Patrick Gildea, Matt Smith, Mike Burkard, Steve Shields, and Grayson Hawkins were the exclusive marketing agents.
“Office tenants view their space as a recruitment and retention tool in an incredibly tight employment market. These tenants place significant value on the authenticity of the buildings, and the amenity base of the neighborhood. Creative space gives companies an edge over more traditional office environments,” said Mr. Smith, senior associate at CBRE.
323 Foster Street was constructed in 1932 as a one-story garage for Clark and Sorrell, one of Durham’s largest automotive mechanic shops. The Clark and Sorrell Garage was added to the National Register of Historic Places in 2000. 401 Foster Street was constructed around 1930 as a post-and-beam warehouse. During mid-2005, the building was redeveloped and termed 401 Arts. The popularity of the venues housed in 401 Foster Street helped create an energetic space extending from the YMCA to the Durham Central Park Farmers' Market.
“It is always enjoyable working on projects in such a dynamic neighborhood environment. Central Park has a wonderful blend of uses and is seeing a tremendous amount of interest from local and regional investors and developers. The character of the buildings is unique and makes them very attractive to retail and office users alike,” said Mr. Burkard, senior vice president at CBRE.
The properties are both versatile historic buildings consisting of small suites and on-site parking. They are located in the vibrant Central Park neighborhood surrounded by an abundance of entertainment, restaurant, and retail amenities.
CBRE|Raleigh is a CBRE office serving the Triangle region and is a joint venture between local principals and CBRE Group, Inc. The firm assists real estate owners, investors and occupiers by offering strategic advice and execution for property leasing and sales; property, facilities and project management; corporate services; debt and equity financing; investment management; valuation and appraisal; research and investment strategy; and consulting. In 2019, the Raleigh office completed $2.7 billion of sales and leasing transactions. Please visit our website at www.cbre.us/raleigh.
About CBRE Group, Inc.
CBRE Group, Inc. (NYSE:CBRE), a Fortune 500 and S&P 500 company headquartered in Los Angeles, is the world’s largest commercial real estate services and investment firm (based on 2019 revenue). The company has more than 100,000 employees (excluding affiliates) and serves real estate investors and occupiers through more than 530 offices (excluding affiliates) worldwide. CBRE offers a broad range of integrated services, including facilities, transaction and project management; property management; investment management; appraisal and valuation; property leasing; strategic consulting; property sales; mortgage services and development services. Please visit our website at www.cbre.com.