SPIRE Realty Group, a vertically integrated commercial real estate investment and operating company based in North Texas, successfully executed a $70 million repositioning project at City Place in Downtown Fort Worth.
SPIRE acquired the three-building property at the intersection of Throckmorton and 3rd streets in 2011. Since then, the firm has overseen a full renovation of One City Place, including the addition of an Aloft Hotel; invested millions into improvements at Two City Place; and turned a vacant mall on the property into City Place Center, which includes structured parking and 31,000 square feet of retail space, including multiple on-site restaurants.
SPIRE President Jon Ruff said: “Despite challenging macroeconomic conditions and a global pandemic that shut down the world for well over a year, through patience, flexibility, creativity, operational expertise and focus, we have effectively repositioned this iconic project and have now completed our strategy successfully transitioning the asset from value-add to core-plus.”
Built in the 1970s to house the headquarters of Tandy Corp., City Place comprises two 18-story, Class-A office towers spanning 539,000 square feet and a loft hotel. A state-of-the-art amenities package includes two garages offering tenants the highest parking ratios downtown, two fitness facilities, two conference centers, on-site banking and ATM service, and 24-hour staffed security.
SPIRE Partner Caleb Smith said: “It is always our mission to maximize value to our customers, clients and employees. City Place is a shining example of our ability to deliver on that commitment. We couldn’t be more pleased with the outcome.”
Improvements to City Place allowed SPIRE to raise occupancy to 90% while increasing in-place rents beyond the submarket average. The complex offers easy access to all major transportation arteries, adjacency to Sundance Square and opportunities for prominent building signage.
SPIRE Asset Manager Andrew Tompson said: “City Place has delivered on value creation with well-spent capital and an impressive, stable rent roll. Spire’s focus on delivering the correct amenities; right-sized, high-end spec suites; beautiful common areas and exceptional day-to-day management has allowed the asset to achieve its potential, completing its transition to core-plus.”