Wells Fargo Center in downtown Tampa on the market
By Ashley Gurbal Kritzer
Tampa Bay Business Journal
Published: Sep 29, 2014

The Wells Fargo Center, a 22-story rose-gold office tower in downtown Tampa, is on the market.

The Bay region's commercial real estate community is buzzing about the pending sale of the tower at 100 S. Ashley Drive. Some sources say that a buyer has been selected, but that couldn't be confirmed. CBRE Group Inc. in Tampa is marketing the property for the partnership that owns it, a joint venture between Feldman Equities of St. Petersburg and Goldman Sachs. Larry Feldman, president and CEO of Feldman Equities, was not immediately available for comment Monday.

CBRE declined comment.

The timing of the sale makes sense: Tampa Bay's office market is on an upswing, with occupancies and rents rising. That's especially true at the Wells Fargo Center, which Feldmnan's group has taken from 77 percent occupancy upon closing to nearly 94 percent today.

Institutional interest in Tampa's office market is growing, driven by those improving fundamentals as well as investors who've been priced out of South Florida and still see upside in the Tampa office market.

Feldman told the Tampa Bay Business Journal when he closed on the building that he planned to invest $5 million to $6 million in upgrades to the building.

If the building does sell, it will likely mean higher rents for current tenants, as increases are necessary to meet the projected returns on which the new owners based their offer.

The partnership closed on the building at the end of 2012, paying $44.8 million or $116 per square foot.

The Fifth Third Center, also in downtown Tampa, recently sold to an Atlanta buyer for $47 million.

Ashley Gurbal Kritzer is a reporter for the Tampa Bay Business Journal.