Advanced Micro Devices, Inc. (AMD) has sold its Lone Star Campus at 7171 Southwest Parkway in Austin, TX to 7171 Southwest Parkway Holdings, LP, an affiliate of real estate investment company Spear Street Capital, for a net purchase price of $164 million.
The transaction is a sale-leaseback. AMD estimates the net rent payable for 812,350 rentable square feet to be approximately $10.3 million in 2013 and $10.8 million in 2014. Base rent payments during the 12-year lease term are expected to total $120 million.
In addition to base rent, Advanced Micro Devices will also pay operating costs, impositions, electrical costs and chilled water costs.
Advanced Micro Devices’ $190 million Austin campus delivered in January 2008 and was awarded LEED Gold certification in 2009, according to archdaily.com. Austin-based architect Graeber, Simmons & Cowan designed the building, which was constructed by Dallas-based Austin Commercial.