Brandywine Realty Trust has sold the 405 Colorado office tower in downtown Austin for $151 million, continuing a series of recent dispositions in the market. The 25-story property, located at its namesake address in the city’s downtown core, traded to Hines, according to a LinkedIn post by Chris Price of Partners. Price also noted that the building is currently 100% leased.
The transaction aligns with Brandywine’s previously stated plans to pare down its portfolio. During the company’s annual meeting, Brandywine’s CEO told investors that the REIT was targeting between $250 million and $300 million in asset sales. The disposition of 405 Colorado represents a significant step toward that objective and underscores the firm’s continued execution on its capital recycling strategy.
Completed in 2021, 405 Colorado is a modern, 206,000-square-foot office tower with an above-ground parking garage offering 520 spaces. Designed by Duda Paine Architects, the building adds relatively new, institutional-quality inventory to downtown Austin’s office stock and has achieved full lease-up within a few years of delivery. The combination of a recently built asset, strong occupancy and structured parking positions the tower as a stabilized investment in the city’s central business district.
Brandywine has been particularly active across the Austin market over the last several years, according to reporting from the Austin Business Journal. Beyond its sales activity, the REIT is developing its expansive Uptown ATX project near North Austin’s The Domain, a large mixed-use district that has attracted a growing roster of technology and corporate users. Nvidia is among the tenants Brandywine has drawn to the Uptown ATX development, highlighting ongoing demand from major tech occupiers in the area.
On the dispositions front, Brandywine previously sold Quarry Lake II in North Austin, a 120,600-square-foot office building, to Brick Row Holdings. The company also closed on the sale of Four Barton Skyway, a 225,580-square-foot office property in Southwest Austin, to an undisclosed buyer. Together with the sale of 405 Colorado, these transactions illustrate the REIT’s active portfolio repositioning in the Austin region, as it sheds select stabilized or non-core office assets while continuing to advance large-scale development initiatives.
The 405 Colorado sale, coupled with earlier trades at Quarry Lake II and Four Barton Skyway, signals that institutional buyers remain engaged in Austin office product, even as owners like Brandywine balance new development commitments with targeted asset sales.
