All Properties
Realized Office

Sterling Park Portfolio

Raleigh, NC

Asset Type Office
Location Raleigh, NC
Year Acquired 2018
Square Footage 310,000 SF
Occupancy Rate 97% at sale
Current Value Realized 2024
Property Overview

A three-building suburban office campus repositioned for medical and professional tenancy, sold to an institutional core buyer following stabilization.

Investment Thesis

Acquired at a distressed basis from a fund in wind-down, with vacancy concentrated in space suited to medical-office conversion.

Strategy

Reposition, re-tenant, and exit to core capital: targeted spec suites, medical build-outs, and a rebranded campus identity.

Market Overview

Research Triangle life-science and healthcare employment underpinned durable demand for converted medical office space.

Value Creation Plan

Lifted occupancy from 71% to 97%, grew NOI 64%, and exited at a 140 bps cap-rate spread to acquisition.

Financial Highlights
$61M Acquisition Value
$104M at exit Current Valuation
$6.8M at exit NOI
6.5% at exit Cap Rate
24.6% IRR
2.3x Equity Multiple
Investment Timeline
  1. Q3 2018

    Acquisition

    Acquired at 71% occupancy from fund in wind-down.

  2. Q2 2020

    Medical Conversion

    Delivered 60,000 SF of medical office build-outs.

  3. Q1 2024

    Exit

    Sold to institutional core buyer at 97% occupancy.