Velocis has purchased Sugarloaf Corporate Center, a three-building, 256,180-square-foot office park in Duluth, Ga. AEW Capital Management sold the asset that had been in their possession since 2015. At the time, the property traded for $37.6 million, per Yardi Matrix data.
Located at 2160-2180 Satellite Blvd., the complex is 4.4 miles southeast of downtown Duluth, right off Interstate 85. Hartsfield-Jackson Atlanta International Airport is within a 40-minute drive. The property is on a 20-acre site, within a 62-acre master-planned office park in the heart of Gwinnett County. Completed between 1998 and 2001, the Class A four-story buildings are 98 percent leased to 30 tenants including Regus, Wells Fargo and The John Maxwell Co.
The new owner intends to implement significant upgrades at the property. The planned enhancements include improving the outdoor amenity area, adding on-site food service and replacing the roof for one of the buildings.
According to Velocis, Sugarloaf Corporate Center provides a strong and secure cash-flow at an 8.8 percent going-in cap rate. The acquisition marks the buyer’s fourth investment in the Atlanta metro area. Its current Atlanta portfolio also includes Parkway at Avalon, a two-building office complex in Alpharetta, Ga. Last October, the fund manager sold a 152,935-square-foot office building located in Alpharetta’s Royal 400 Office Park.