An affiliate of Cleveland-based investment firm Boyd Watterson just paid $12.4 million to acquire a Maitland office building being retrofitted for the Orlando office of the Federal Bureau of Investigation.
The investment firm acquired the property at 480 S. Keller Rd. through its GSA strategy fund, which focuses on government-leased real estate assets.
Executive vice president for Bishop Beale Duncan, Kyle Wood, told GrowthSpotter the building is nearly complete with renovations that are being tailored for the incoming tenant.
The seller, Insight Financial Credit Union, hired Bishop Beale Duncan to lease the building. Wood listed the property and is also contracted to manage its build-out for the new occupant.
“We got about two months left,” Wood said.
Citing a non-disclosure agreement, Wood declined to identity the name of the tenant, but in 2017 several officials with the FBI told the Orlando Sentinel the bureau was signing a 15-year lease at the building to accommodate more needs for its Orlando operations.
In addition, GrowthSpotter reported earlier this year that the FBI was planning to move out of its current whereabouts on the top floor of the four-story Maitland Center Office Park building, completed in 1983, at 850 Trafalgar Court.
Its new location along Keller Road spans about 36,650 square feet and was built in 2003. According to marketing material available online, the three-story building is undergoing upgrades to feature smart technologies and high security designs throughout.
Insight Financial Credit Union acquired the property in late 2001 for $1.8 million.
The 3.2-acre site lies northwest of where West Kennedy Boulevard and I-4 intersect, and sits within the Maitland submarket, which contains more than six million square feet of suburban office space.
The area is home to satellite offices for a number of the region’s largest employers, including Adventist Health System, Abbott Laboratories Inc. and Spectrum.
Over the last couple of years, big investment firms have targeted properties in the Maitland office market.
Earlier this year, a fund that invests on behalf of Tony James, the vice chairman of private equity firm, Blackstone Group, paid $33.5 million for the Reserve at Maitland office complex.
Around the same time, a real-estate investment trust formed by a joint venture between KBS Realty Advisors and the Singapore conglomerate Keppel Corp. paid $48.5 million for 230,371-square-foot Maitland Promenade I building.
And just last month, an entity tied to real estate developer and investor James Warmack paid $22 million for a trio of office buildings in Maitland.
The seller, Parkway Property Investments, initially purchased the low-rise office buildings last year for $16 million, meaning the latest transaction reflected an increase in value by about 37.5 percent in nearly 15 months.