Success Story
3 Huntington Quadrangle
Melville, NY
In December 2016, Treeline acquired 3 Huntington Quadrangle, a 400k square foot office building in a Long Island corporate campus, from Hines REIT for $36 million. The property required significant capital investment due to deferred maintenance. Treeline performed extensive renovations including new lobbies, common areas, and an outdoor plaza, in addition to a backup generator overhaul, providing power stability for the large corporate offices.
Treeline sold the property after two years with a 2.5x equity return.
What We Did
Acquisition
Management
By The Numbers
$36m
Purchase Price
400K
Square Foot Office Space
2.5x
Equity return at sale
Challenge
- A Class-B office building with serious mechanical and aesthetic issues.
- Most tenants were ready to leave the building upon lease expiration due to the previous owner's neglect of the property.
- Common areas were antiquated and elevators were unreliable, making some tenants feel unsafe to even use them.
- The building's main selling point, a generator system that could run the entire building in a power outage, had not been maintained.
Solution
- Began by meeting with the tenants and listening to their concerns and hopes for the building; they wanted reliable management and reliable systems.
- Collaborated with local specialists and contractors to strengthen the building's electrical infrastructure while also creating a long-term plan to refurbish the generator equipment without incurring the expense of replacing it.
- Fully rebuilt each elevator and improved upon building common areas and amenities, providing a safer and more aesthetic space where people could feel proud to work.
