Entrance to Midtown Atlanta Submarket | October 2021
Overview
STRATEGIC RATIONALE
Off-market entry into Midtown Atlanta, providing immediate scale in one of the country's fastest growing submarkets.
Acquired for $360/SF, a 44% discount vs. Green Street Advisors' estimated new development costs of $650/SF. (1)
Significant repositioning plan (~$35/SF) to transform, reposition, and elevate the asset to drive rents and occupancy.
Weighted average in-place rents are ~20% below current market rents (~$44/SF).
Efficient capital rotation from the sale of suburban Boston and other non-core asset sales.
Increases Piedmont's SunBelt Annualized Lease Revenue to 55%...Atlanta and Dallas alone comprise 41%.
(1) Green Street Advisors September 2021
2
Property Overview
999 PEACHTREE
622,000
1987
28
Square footage
Year Built
Stories
77%
$223.9
$360
Current Occupancy
Acquisition Price
Acquisition Price
($M)
($/SF)
~6.5%
~7.5%
In-place GAAP Yield
Stabilized GAAP
LEED Platinum
Yield
WHY MIDTOWN?
999 Peachtree Street
39.7%
76.9%
47.4%
275,000
3,600+
27,163
46%
Est. Population
Residents with
Millennial
Pipeline Talent
New Jobs
New Jobs
of Atlanta's
Growth
Bachelor Degree
Residents
Across 66 Colleges
announced for
Announced
Professional
Highest in Metro
or Higher
(Born from 1981-1998)
& Universities
Midtown
(since 2015)
Tech, Science, &
(2010-2020)
(Age 25+)
(37,500 in Midtown)
(Since 2020)
Management jobs
(are in Midtown)
Source: JLL, Metro Atlanta Chamber
4
Corporate Presence
MIDTOWN EMPLOYMENT BASE
Midtown Atlanta Total Job Growth
Announced Commitments to Midtown
100,000
80,000
Corporate Innovation Centers in Midtown
60,000
40,000
20,000
2010
2015
2020
2021
82,076 JOBS IN MIDTOWN (2021)
Source: JLL, Midtown Alliance
5
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Disclaimer
Piedmont Office Realty Trust Inc. published this content on 27 October 2021 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 27 October 2021 20:45:18 UTC.
Piedmont Office Realty Trust, Inc. is a fully integrated, self-managed real estate investment trust (REIT). The Company is an owner, manager, developer, redeveloper, and operator of Class A office properties located primarily in major United States Sunbelt markets. The Company conducts business through its wholly owned subsidiary, Piedmont Operating Partnership, L.P. (Piedmont OP). It owns and operates about 51 in-service office properties comprised of approximately 17 million square feet of primarily Class A office space which are 87.1% leased. It has one redevelopment asset comprising about 127,000 square feet in Orlando, Florida. The Companyâs portfolio of properties is primarily located in various metropolitan areas, including Atlanta, Dallas, Northern Virginia/Washington, D.C., Boston, Orlando, Minneapolis, and New York, and others.
PIEDMONT OFFICE REALTY TRUST, INC. 
