Overland Park's Corporate Woods For Sale, Expected To Draw International Attention
Overland Park's Corporate Woods commercial park is for sale, less than 10 years since it was last on the market.
The 22 building, 2.2 million square foot park was bought by Stoltz Real Estate Partners in 2006. Back then, Stoltz paid $290 million, which the Kansas City Business Journal reports as the largest real estate sell in Kansas City history.
Now, it's estimated that the property could bring in upwards of $350 million. Commercial real estate conglomerate HFF is handling the sale, though companies like Jones Lang LaSalle, Colliers International and CBRE were all considered.
Jeff Kembel of Jones Lang LaSalle says investors are turning to properties in the Midwest because prices in cities like New York City, Chicago and San Francisco are simply more expensive.
"The returns that investors can get [in bigger cities] are diminished greatly," Kembel says. "There'll be a lot of interest not only from American and Canadian firms, but internationally."
Kembel says that new owners will likely take advantage of 900,000 square feet of land that hasn't been developed in Corporate Woods. And that will likely mean more businesses calling Overland Park home.
"The new owners will probably want to come in and put their footprint on the property," Kembel says. "Several buildings need to be updated still, so I think it'll be a good thing for the existing tenants."