Highwoods Lands $21.7M Homeland Security Contract
Posted July 10, 2006 9:16 a.m. EDT
RALEIGH, N.C. — Highwoods Properties
has won a $21.7 million contract to build a 91,000-square foot building with structured parking for the Department of Homeland Security.
The contract includes a long-term lease through the General Services Administration.
The building will be constructed in Atlanta.
"This is the fourth build-to-suit project we've been awarded by the federal government in the last two years," said Ed Fritsch, president and chief executive officer of Highwoods, in a statement. "In 2005, we delivered 601,000 square feet for the federal government that was 100% pre-leased. These projects included a 138,000 square foot field office for the FBI in Tampa, a 109,000 square foot office building for the Centers for Disease Control in Atlanta and a 350,000-square foot office and storage facility for the National Archives and Records Administration (NARA) in Atlanta. These projects create excellent value for our shareholders and we are extremely proud of our in-house team who worked diligently to secure this business."
Cost of the project includes purchasing two areas of land. Construction will being in the fourth quarter, Highwoods (NYSE: HIW) said in a statement.
Highwood's development pipeline now includes projects covering 2.2 million square feet, 48% of which is already lease, and represents an investment of more than $361 million, the company said.