TIAA-CREF, Allianz Team Up for Miami Office Campus JV

By Gail Kalinoski, Contributing Editor

1000 Waterford

Allianz Real Estate of America has acquired a 49 percent stake of six office properties and two land parcels in Miami’s Waterford at Blue Lagoon from TIAA-CREF, which will remain the majority owner and operating partner with 51 percent of the joint venture.

Allianz said in a prepared statement that the gross asset value of the deal was $374.5 million. The transaction includes six class A buildings – 1000 Waterford, 5200 Waterford, 5201 Waterford, 5301 Waterford, 701 Waterford and 703 Waterford – which have a total leasing area of more than 1.4 million square feet.

Two land parcels totaling over 26 acres were also part of the deal. A new office development is planned for one parcel at 800 Waterford. The 10-story, 250,000-square-foot building is expected to be completed in 2017 and is the latest addition to the Waterford complex since 1000 Waterford was constructed in 2009.

The office complex is located at the Waterford at Blue Lagoon corporate park near Miami International Airport. It is home to over 100 multinational companies, many of which have their regional or Latin American headquarters there including FedEx, Avaya, Caterpillar and Estee Lauder Cos.

TIAA-CREF and Allianz are already partners in Four Oaks, a 1.7 million-square-foot, Class A office complex in the Galleria submarket of Houston.

“We are very pleased to expand our co-investment partnership with Allianz,” Suzan Amato, head of managed accounts and joint ventures, TIAA-CREF Global Real Estate, said in a prepared statement. “Waterford at Blue Lagoon is a stabilized, high-performing asset noted for its numerous lakes, lush landscaping and convenient location. The property being built will enhance the complex and meet the growing demand for additional office space in the Airport West commercial real estate market.”

“Allianz has a strong relationship with TIAA and the Waterford assets are excellent additions to our growing portfolio,” Christoph Donner, CEO of Allianz Real Estate of America, said in a prepared statement.

The joint venture is on behalf of TIAA’s general account and the Allianz German and French insurance companies’ general accounts.

Rendering of 800 Waterford

Allianz Real Estate of America L.L.C., based in New York, has a portfolio of over $11 billion of commercial mortgage loans and equity investments and commitments, in about 35 metro markets and spanning office, multifamily, retail and industrial sectors. It is part of Allianz Real Estate, an international real estate and asset manager within the Germany-based Allianz Group. Among its U.S. investments are a joint venture formed in May between itself, Waterton and Clal Insurance to buy up to $800 million of core and core-plus multifamily properties. Nearly a year ago, the firm announced a joint venture with Manulife Asset Management Private Markets to acquire up to $1 billion in high-quality office properties in U.S. gateway cities.

TIAA-CREF, also based in New York, is a leading financial services organization and the nation’s largest manager of U.S. institutional tax-exempt real estate assets. TIAA-CREF Global Real Estate, its real estate investment and management business, has about $59 billion in assets under management. It also has a global presence through TH Real Estate of London, which has about $30 billion in assets under management.

Recent investments include the September acquisition of 888 Brannan St., a 445,000-square-foot, Class A office building in San Francisco that serves as Airbnb’s corporate headquarters. TIAA-CREF took a 50.1 percent stake and joint venture partner Norges Bank Investment Management, manager of the Norwegian Government Pension Fund Global, has the remaining 49.9 percent stake in a deal worth about $307 million.