Aug. 21 at 3:14 AM
$FSP Methodology: To estimate sales proceeds (gross sale price), I used the capitalization rate method: Value = Annualized NOI / Cap Rate. NOI Calculation: Based on Q2 2025 financials (rental revenue
$107.6M annualized, NOI
$45.8M, expenses
$61.8M or ~
$12.87/psf).
Property revenue from table in last filing adjusted upward by
$2.20/psf occupied for GAAP inclusions (e.g., recoveries). Expenses allocated per total sq ft.
Cap Rates: Sourced from 2025 market reports (e.g., CBRE, local surveys): Minneapolis 8.5%, Houston 9.0%, Dallas suburbs (Addison/Plano) 8.5%, Denver metro 8.0%.
Applied to in-place NOI; assumes Class A/B office in respective markets.
Total Portfolio:
$551,000,000
A portfolio offer would come at a discount - call it
$500 million.
Vehicle carries
$250 million debt - more-or-less.
Strategic review must be close to over IMHO.
The cooperation agreement expires 12/31.
If it is coming it comes soon and should be a cash offer of
$2.50 a unit.
