Gorney Realty Co. Acquires Birmingham Office Portfolio from SDM Partners and Blue Vista Capital Management for $28.25M
Gorney Realty Co. LLC has acquired 500 and 1200 Meadow Brook North, a two-building Class A office portfolio totaling 265,032 square feet along Birmingham, Alabama's Highway 280 corridor, for $28.25 million. The seller, SDM Partners, LLC and Blue Vista Capital Management, was represented by JLL Capital Markets in the transaction, which closed Aug. 12, 2026.
The deal implies a price of approximately $106 per square foot across the two buildings. JLL Capital Markets Managing Director Huston Green and Senior Managing Director Richard Reid led the investment sales advisory effort on behalf of the seller.
Portfolio Overview: Two Class A Buildings at 93% Occupancy
500 Meadow Brook North, built in 1987, spans 135,158 square feet. The adjacent 1200 Meadow Brook North, completed in 1988, adds 129,874 square feet. Together, the properties were 93% occupied at the time of sale. Both buildings offer amenities including renovated tenant lounges, grab-and-go markets, conference centers and fitness centers.
The portfolio's tenant base spans financial and insurance, healthcare and life sciences, real estate, professional services and technology sectors. Anchor tenants include Cadence Bank and Lake Homes.
The properties are positioned along the US-280 corridor and benefit from proximity to Birmingham's Mountain Brook, Vestavia Hills and Homewood neighborhoods, which JLL described as among the area's most affluent communities and within a 10-to-15-minute drive of the portfolio. Nearby retail and dining destinations include Brook Highland Plaza, Village at Lee Branch, Inverness Heights and River Ridge.
Leasing Momentum and Capital Improvements Preceded the Sale
The Meadow Brook North portfolio recorded more than 260,000 square feet of leases signed over the five years preceding the sale, and rental rates increased 30% since the seller's acquisition. The seller also completed $4.2 million in capital improvements to the properties prior to the transaction.
"Meadow Brook North has emerged as the leading office park across the Highway 280 corridor, capturing the most leasing demand in the market," Green said in a statement. "With over 260,000 square feet of leases signed over the past five years and rental rates increasing 30% since acquisition, these properties deliver exceptional leasing velocity and proven rental rate growth. The risk-averse tenant base, smooth lease rollover, and $4.2 million in recent capital improvements position Gorney Realty Co. to continue capitalizing on the strong fundamentals driving this market."
Buyer Profile: Gorney Realty Co. LLC
Gorney Realty Co. LLC has operated in Nashville commercial real estate since 1993, focusing on infill, multi-tenant assets under 250,000 square feet across Tennessee's primary and secondary markets.
The seller, SDM Partners, LLC, is an Atlanta-based investor and operator of opportunistic commercial real estate assets founded in 2009. Blue Vista Capital Management, founded in 2002, sponsors private fund and separate account strategies on behalf of institutional investors including pension funds, endowments, sovereign wealth funds and family offices. Blue Vista has invested $15.0 billion in total capitalized value since inception, as of March 31, 2026.
JLL Capital Markets Arranged the Transaction
JLL Capital Markets, which represented SDM Partners, LLC and Blue Vista Capital Management in the sale, is a global provider of capital solutions for real estate investors and occupiers. The group has more than 3,000 specialists worldwide with offices in nearly 50 countries.
The 93% occupancy rate, diversified tenant roster, demonstrated rent growth and recent capital investment characterize the portfolio as a stabilized, cash-flowing asset at the time of sale. No financing terms or cap rate were disclosed in connection with the transaction.
Sources
JLL Newsroom: Birmingham office portfolio trades for $28.25M (Aug. 12, 2026)