Silverback Development Buys Stamford Office Complex For $12.4MM

From Silverback Development: Silverback Development today announced the $12.4 million acquisition of a two-building, 128,000-square-foot office complex in the heart of Stamford, Connecticut. The complex, which consists of two six-story office towers, is located at 1111-1117 SummerStreet, close to the city’s retail hub, flourishing restaurant row and judicial district.

“We believe Stamford is one of the most promising resurgent real estate markets in the Tri-State Area right now, as evidenced by the influx of millennials, real estate, healthcare and tech companies flocking to the area,” said Alan Glick, Vice President of Development at Silverback Development. “We are extremely excited to add these two properties to our rapidly expanding portfolio. The location within the city’s vibrant downtown and the proximity to transportation hubs provide unmatched potential for successful investment.”

The acquisition site marks Silverback’s second investment into the downtown Stamford market since 2016. Silverback now owns five buildings in prime downtown locations at 777 Summer Street, 733 Summer Street, 612 Bedford Street with 1,000-linear feet of frontage on Summer Street alone.

The property is currently at 50% occupancy and Silverback aims to bring it to 100% over the next year. Spanning an entire city block, the 1.58-acre site recently underwent a $2 million renovation across both properties, which updated the lobbies, hallways and public spaces. The property’s flexible, column-free floorplates provide companies with white-box space to create their own innovative office layouts. This, coupled with amenities like covered parking, security and concierge services, make the property a very attractive office rental for the city’s resurging downtown business district. The area is situated in close proximity to the city’s major roadways, and is only .8 miles from interstate 95, the Stamford train station and 3.5 miles from the Merritt Parkway, providing excellent accessibility.

The Stamford office market has been heating up over the past five years, earning it a place on the Financial Times “Top 10 American Cities of the Future” in 2017, with over 7,000 jobs added in June 2017 and 16.2 million square feet of commercial inventory. In 2017 alone, Stamford absorbed over 900,000 sf of office space, an indicator of a strong and growing local economy. There are ample job opportunities across the finance, insurance and real estate service industries in the area, which showed an employment growth of 12.5% from 2010 to 2015. The millennial population is also growing rapidly, making up for 31.8% of the overall population growth in Stamford since 2010. The residential population is growing as well, with over 5,000 apartments added with a 95% occupancy rate, and strong absorption. The robust office market in Stamford comprises 42% of Class A office space and is deemed a hub for tech innovation evidenced by Indeed and Kayak headquarters in the area, along with companies like Fairway, NBC Sports, Design Within Reach, Cornell University Veterinary Specialists, Chelsea Piers and Stamford Hospital, that have hundreds of thousands of square feet of office space in Stamford.

Silverback employs a robust investment strategy that includes offering special solutions to existing developers, and pursuing ground-up development and adaptive reuse opportunities coast-to-coast. The firm is both disciplined in its investment approach, and nimble in its ability to act quickly to capitalize on attractive development and joint-venture partnership opportunities. For more information visit www.slvrb.com.

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