Construction to begin on Forty540 office expansion in Research Triangle Park
Developers expect to break ground this month for an office park expansion in Research Triangle Park at the intersection of I-40 and I-540 that has already leased space to an existing tenant.
The expansion is the second phase of the Forty540 office building in the Perimeter Park office and residential complex, Indianapolis-based developer Strategic Capital Partners and real estate investment firm FCP announced.
The nearly 199,000-square-foot five-story Class A office building at 710 Slater Road will have 40% of its space leased to Texas-based software company SolarWinds Inc., which is also a tenant at the first building. The second phase will be “nearly identical in design” to the first and is expected to be completed in the summer of 2021, according to a spokesperson.
“The RTP/I-40 submarket continues to flourish based on the growth of the region and the central location near Raleigh-Durham International Airport,” Kevin North of FCP said in a press release. “We are very pleased to build on the success with our partners at SCP as well as the team at CBRE with the development of this exceptional new office building.”
This will be Strategic Capital Partners’ fourth major Triangle project after buying a large swath of land in RTP for warehouse space named Patriot Park in late 2017.
The first Forty540 building was sold fully-leased in April 2019 for $58.2 million to Align Technology, the maker of Invisalign dental products, which has its Americas region headquarters there.
Class A Triangle office space was 9% in the third quarter of 2019 in the Research Triangle Park and Raleigh-Durham airport region, according to real estate services firm JLL. The asking rent for Class A office space in the RTP area was $26.15 per square foot, a dollar more than the same quarter in 2018, with over 376,000 square feet under development.
