Canyon-Johnson JV Seeking Buyer for Block 21 in Austin, TX

CJUF II Stratus Block 21, LLC, a joint venture between Stratus Properties Inc. and Canyon-Johnson Urban Fund II, L.P., has engaged a financial advisor to explore a possible sale of Block 21, the 36-story mixed-use development in downtown Austin, TX.

The financial advisor has contacted potential buyers and provided them with the Joint Venture’s projected 2015 net operating income (NOI) of $17.5 million for Block 21.

The project is anchored by the W Austin Hotel, a 251-room luxury hotel, including 39,328 square feet of office space, 18,362 square feet of retail space and entertainment space. The entertainment space at the W Austin Hotel is occupied by Austin City Limits Live at the Moody Theater (ACL Live) and includes a live music and entertainment venue and production studio with a maximum capacity of approximately 3,000 people.

Austin-based Stratus Properties is the manager of, and has an approximate 40 percent interest in, the Joint Venture. Canyon-Johnson has an approximate 60 percent interest in the Joint Venture.

No transaction has yet been agreed to definitively, formally or informally.