Tishman Speyer entered the Austin, Texas office market with the acquisition of The Foundry, a two-building building on the east side of the city with a total volume of SF 240,000. Citing an unnamed source close to the deal, Bloomberg reported Thursday that the purchase price was between $ 145 million and $ 150 million.
Courtesy of Tishman Speyer
Foundry I was developed by Austin-based Cielo Property Group and designed by Sixth River Architects. The partially pre-let Foundry II, designed by Michael Hsu, is due to be delivered in May. Tishman Speyer used CBRE for the future rental of the buildings. Cielo remains as the caretaker.
Cushman & Wakefield Vice Chairman Mike McDonald and Managing Director Katy Jane Jenevein represented the seller on the transaction. Ryan Botjer, Senior Managing Director of Tishman Speyer, oversaw the acquisition on behalf of the buyer.
“East Austin is the fastest growing and most dynamic mixed-use community in the market. This is where we want to be the rental company of choice,” said Rob Speyer, President and CEO of Tishman Speyer, in a statement. “Going forward, Austin will be in our portfolio alongside Boston, San Diego, the Bay Area and others.”
The foundry buildings were designed in accordance with the LEED Gold and WELL certification standards. The buildings offer on-site fitness centers, outdoor terraces on each office floor, outdoor paseo areas and underground parking.