Waterway Capital, LLC has purchased Westport’s 8 and 10 Wright Street office complex.
The Massachusetts-based firm, which also has offices in New York and Chicago, bought the 84,000-square-foot office building just outside of downtown Westport for just over $30 million.
“We are big believers in the Westport market,” said Eli Glans, managing director at Waterway Capital’s New York office. “We think it’s a very good place to be. We think the whole town of Westport as a whole is doing quite well and (is) quite prosperous.”
Fairfield County opened 2019 with one of its strongest first quarter leasing activity in years, according to market reports by Cushman and Wakefield, a real estate services company. While most of the leases were focused in central business districts in Stamford and Greenwich, Westport was the place where big-ticket sales took place.
The Wright Street complex is one of the premiere office properties in Westport’s market, according to Glanz. It is within walking distance of Westport’s Main Street commercial corridor and offers views of the Saugatuck River.
“We think it’s positioned to do well over the long term,” he said.
This is Waterway Capital’s first investment in Connecticut. The firm is a broker, dealer and investment bank that focuses on real estate financing. The company doubles both as a purchasing agent for financing third-party projects and as principal in acquiring its own properties.
CBRE’s Institutional Properties Group represented the seller, Marcus Partners, which purchased the property in 2014 and invested more than $5 million in large-scale capital improvements and building renovation.
“This property’s success is a strong example of our value-added strategy to invest in premium locations and execute upgrades and modernization to create highly desirable new Class A space,” said David Fiore, Marcus Partners’ Metro New York Regional Director, in a press release.
Fiore said that 8 and 10 Wright Street went from 58 percent to 94 percent leased under the Norwalk-based office’s supervision. The two-building complex’s tenancy includes UBS, Regus Corporation, Berkowitz, Trager and Trager, Energy Income Partners and Ameriprise Financial.
That was part of the appeal, according to Glanz, who said Waterway plans to keep the property positioned as premiere office space.
Further investment in Connecticut could follow, although Glanz said the firm has not yet targeted other areas.
“There are various markets in Connecticut that have seen a lot of activity recently and that look interesting,” he said.