North Austin office portfolio sale complete

AUSTIN – Kennedy Wilson has sold the Continental Building at 9101 Burnet Rd. and the Briarcroft Building at 12710 Research Blvd. Nashville-based OakPoint purchased the portfolio.

Continental Building is a 58,700-sf Class B office property in the North Central Austin submarket. Tenants benefit from the property’s proximity to the Kramer Capital MetroRail Station. At the time of closing, it was 85 percent occupied.

Briarcroft Building is a 63,825-sf Class B office property situated in the center of Austin’s technology corridor of the Northwest submarket. In first quarter 2013, the Northwest submarket had 64,001 sf of positive absorption and a 14.4 percent vacancy. At the time of closing, it was 85 percent occupied.

“This acquisition was perfectly timed to take advantage of the current upswing in the Austin market,” said Walter Saad, a first vice president with CBRE.

“Our economists project a tightening market and double digit increases in rental rates over the next two years," Saad said. "Those kind of rate increases, coupled with little new construction, bodes well for the buildings.”