Oil and natural gas exploration company SandRidge Energy, Inc. has tapped NGKF Capital Markets to market its four-property portfolio in downtown Oklahoma City, which will include a sale and long-term lease back of its corporate tower and parking facility. The move follows a nationwide trend of corporations taking advantage of the current active investment market and unlocking equity tied up in real estate to redeploy that capital into their operating businesses.
The diversified, Class A portfolio includes the SandRidge Tower, the Braniff Building, the Parkside Building and the 862-space Broadway Kerr Parking Facility, all located in the city’s Central Business District. The centerpiece of the SandRidge campus is its 30-story corporate tower, which underwent a comprehensive renovation that was completed in 2013. The fully leased, 10-story Braniff Building is a multi-tenant office building that was renovated in 2013. The new 7-story Parkside Building has just been delivered to the Oklahoma City market.
“The Oklahoma City downtown area has been undergoing an extensive revitalization program, which has transformed the downtown area into a world-class Central Business District,” said Mark Beffort, head of NGKF’s office in Oklahoma City. “SandRidge has played an integral part in downtown’s renaissance and will continue to be a vital part of the city’s growth.”
“The portfolio presents a unique opportunity for an investor to acquire an entire office campus in the heart of the city. The investment provides the security of a long-term net leased office tower and an additional fully leased multi-tenanted building, as well as the opportunity to create value through the Parkside Building,” said Kenneth Zakin, senior managing director of NGKF Capital Markets.
One of the fastest-growing cities in the nation, Oklahoma City recently has been recognized for its housing affordability, diversified economy and lifestyle. Its unemployment rate fell to 3.3 percent in March, tying Austin, Texas for the lowest rate in the nation for metro areas with at least one million people. Demand for downtown Class A office space continues to increase, with vacancy ending last year just above 3 percent, according to NGKF research. Rents are expected to keep rising, creating potential upside for the new owner or owners.
The portfolio is being offered without an asking price. Individual asset bids will be considered.
About Newmark Grubb Knight Frank
Newmark Grubb Knight Frank is one of the world’s leading commercial real estate advisory firms. Together with London-based partner Knight Frank and independently-owned offices, NGKF’s 12,000 professionals operate from more than 330 offices in established and emerging property markets on six continents.
With roots dating back to 1929, NGKF’s strong foundation makes it one of the most trusted names in commercial real estate. NGKF’s full-service platform comprises BGC’s real estate services segment, offering commercial real estate tenants, landlords, investors and developers a wide range of services including leasing; capital markets services, including investment sales, debt placement, appraisal, and valuation services; commercial mortgage brokerage services; as well as corporate advisory services, consulting, project and development management, and property and corporate facilities management services. For further information, visit www.ngkf.com.
NGKF is a part of BGC Partners, Inc., a leading global brokerage company servicing the financial and real estate markets. BGC’s common stock trades on the NASDAQ Global Select Market under the ticker symbol (NASDAQ: BGCP). BGC also has an outstanding bond issuance of Senior Notes due June 15, 2042, which trade on the New York Stock Exchange under the symbol (NYSE: BGCA). BGC Partners is led by Chairman and Chief Executive Officer Howard W. Lutnick. For more information, please visit www.bgcpartners.com.