A hallmark of the downtown
Durham Skyline
Project Details
-Office – 200,500 SF
-Parking - 790 space city-owned
parking garage
$46 Million Total Capitalization
A hallmark of the downtown Durham skyline and an integral component of downtown Durham, Durham Centre represents a unique urban office environment that facilitates creativity and collaboration. CDP Durham Centre Investors LLC is a joint partnership comprised of Chartwell Property Group and Privet Investments, who acquired and repositioned the 200,500 SF office space that is immediately adjacent to the Durham Innovation District. Recent building improvements include a complete elevator modernization, the addition of a ground floor market and gathering space, implementation of a free bike share program, and a comprehensive lobby renovation. As the partnership has improved the office environment, DCRI has renewed and expanded three times in the past two years. Note that Chartwell has been able to meet its financial objectives while still giving DCRI a highly competitive rental rate that represents a significant discount to adjacent properties; reinforcing Chartwell’s reputation for fair and equitable conduct. The building is presently 97% occupied including 165,000 sf leased to Duke University.
Public Private Partnership
Durham Centre sits atop a 790 space city-owned parking garage and features an additional 300 space two-acre surface parking lot adjacent to the development.
The partnership entered into a public private partnership with City of Durham through which Durham made roughly $11 million available to the partnership for repairs to the city owned deck in return for certain investments in the building. Additionally, the partnership just master leased a block of spaces in the parking deck in return for commitments from the City of Durham to use the master lease revenue as a funding source to replace and modernize the elevators serving the parking deck. The Durham Chamber of Commerce is headquartered in Durham Centre and the landlord recently restructured the Chambers lease, despite having more than 5 years of remaining lease term, reducing the Chamber’s square footage by more than 50% so that the Chamber could reduce its operating cost; thereby remaining financially viable and poised to continue its vital economic development function for the City of Durham.