Overview
Younger Partners, as exclusive advisor, is pleased to present to qualified investors the opportunity bid in the auction to acquire the 100% fee-simple interest in 8700 Stemmons (“Property”). Built in 1972, the four-story office asset offers a commanding presence in the revitalized West Love Field area. A significant land site on IH-35 (Stemmons Freeway), the Property offers an unmatched long term development opportunity (8.93 acres) to compliment the returns of a low basis office acquisition.
The West Love Field submarket’s adjacency to both the medical and design districts is a notable driver in the current rebranding of the area. Years of speculation and hope have turned into a growing reality of new and announced developments that will alter the surroundings in the next few years.
8700 Stemmons is 71% leased to a small roster of tenants that provide substantial cash flow and short term WALT. As a result, the offering presents a truly unique opportunity to acquire a development site with near term cash flow that should provide a significant return. Over 50% of the leased space is utilized by the State of Texas on a lease that runs through the end of 2027. Depending upon the investment objectives, a buyer can continue operating the building at a return level well above market or begin work to vacate the
building with an eye toward redevelopment.
The West Love Field submarket’s adjacency to both the medical and design districts is a notable driver in the current rebranding of the area. Years of speculation and hope have turned into a growing reality of new and announced developments that will alter the surroundings in the next few years.
8700 Stemmons is 71% leased to a small roster of tenants that provide substantial cash flow and short term WALT. As a result, the offering presents a truly unique opportunity to acquire a development site with near term cash flow that should provide a significant return. Over 50% of the leased space is utilized by the State of Texas on a lease that runs through the end of 2027. Depending upon the investment objectives, a buyer can continue operating the building at a return level well above market or begin work to vacate the
building with an eye toward redevelopment.
Key Facts
Fundamental shift and improvement in the composition of the surrounding areas
Long term upside - 8.9 Acres with freeway frontage, accessibility and MU-3 zoning
Above market returns secured by short term WALT
Maturity schedule....MTM/2026 - 9%, 2027 - 54%, 2028 - 31%, 2029 - 4%, 2030 - 2%
Dynamic location in the proximity to Dallas Love Field, the Dallas CBD, the Dallas Medical District, the Park Cities, Design District and more
Multi-family and likely industrial development opportunities
Outstanding access to area transportation networks
Benefited by Dallas/Fort Worth's status as a top U.S. marketplace with a diversified economy, nation leading population and job growth
Incredible discount to replacement cost and an attractive land basis
