ISB Investors, LLC completed this transaction in March 1999. This deal represents the type of opportunity the Investment Team prefers.
In general, the unique traits of this property are as follows:
~ An outstanding location in the growth corridor of a mid-sized city.
~ Superior access compared to its competition.
~ Beautiful campus setting for the six existing office buildings
~ 33 Acres of excess land potentially doubling the square footage in the park.
Because Little Rock is a mid-sized market, most active institutional buyers were not willing to spend the time to underwrite the market. In addition, most buyers viewed the excess land as a negative since it did not create cash flow - yet we considered it a significant positive. Finally, our team was able to move very rapidly in evaluating this transaction and we gave the seller the accurate impression that we were serious about acquiring this development and could close the transaction on a timely basis.
At $30 Million, this transaction was one of the largest real estate transactions in recent Central Arkansas history. More significant was the financing package that made it possible. A consortium of 18 Arkansas community banks joined together to finance the transaction. This represented a new method of real estate financing in Arkansas as a way for smaller banks to compete with larger out-of-state financial institutions.
