Herrick Buys Huntington Headquarters in Detroit
Real estate investment firm The Herrick Company recently announced its acquisition of the Huntington Bank Tower in downtown Detroit. According to the statement of sale, the asset commanded $150 million.
Huntington Tower rises 21 stories above the intersection of Woodward Avenue and West Elizabeth Street across from Comerica Park and one block away from all four major league sports teams. The property’s principal tenant is Huntington National Bank under a long-term, triple-net lease.
The development was originally intended as headquarters for what was then Chemical Bank. Then, in 2020, Chemical merged with TCF Bank, which subsequently merged into Huntington. The Columbus, Ohio-based bank decided to keep the Detroit Woodward Avenue project as headquarters for its commercial banking operations. The office space leased by Huntington can accommodate up to 800 employees.
“In real estate, there are few investment opportunities as desirable as properties that are leased on a triple-net basis by creditworthy tenants, such as Huntington Bank,” said Norton Herrick, chairman of The Herrick Company. “As we actively seek out additional investment opportunities that fit our requirements, we’re intently focused on acquiring this type of stable, low-management-intensive property in the retail, industrial and office sectors.”
Located at 2025 Woodward Ave. in the city’s central business district, Huntington Tower incorporates roughly 421,500 square feet of commercial space. Opened last year, the high-rise was the first new large downtown Detroit building to be completed since the start of the COVID-19 pandemic.
According to CommercialEdge data, the property includes 7,500 square feet of retail space at ground level; 10 levels of indoor parking through the 11th floor, totaling more than 310 spaces; roughly 185,000 rentable square feet of class A Detroit office space; and a rooftop terrace.
“As demonstrated by this latest transaction, our firm’s ability to close quickly with internal equity on investment targets puts us at a distinct advantage in today’s highly competitive marketplace,” Herrick added.
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