Somerset Properties

Johns Creek Court

Atlanta, GA

Number of Buildings: 1

Property Size: 130,786 SF

Acquisition Date: July/2021

Sale Date: June/2025

Purchase Price: $16,850,000 ($129/SF)

Sale Price: $22,750,000 ($173/SF)

Deal Level IRR: 9.2%

Deal Level Equity Multiple: 1.41x

• A 93% occupied, single-story Class A flex office/R&D/light industrial building totaling 130,786 sf, located in a rapidly growing, highly strategic, tech-driven “live-work-play” location in suburban Atlanta, Georgia.
• Located in a high barrier to entry market in the Johns Creek and North Fulton submarket with escalating land costs reflecting increasing demand, the Property enjoys accessibility via Highway 141 to I-85, GA-400 and I-285, Atlanta’s busiest thoroughfare with over 2 million daily travelers. This direct access to the city’s interstates and perimeter loop gives Johns Creek tenants the ability to access Atlanta’s numerous employment submarkets as well as its residential areas.
• During ownership, Somerset successfully executed its business plan of re-tenanting and renewing the entire building while simultaneously lowering the overall office finish from approximately 65% at acquisition to approximately 30% at sale. The repositioning of the property from higher finish flex/office to lower finish light industrial led to a compressed cap rate at sale relative to cap rate at purchase.
• The property was sold to an institutional buyer after a competitive, fully marketed sales process, demonstrating “proof of concept” for the business plan of lowering the office finish.