Highwoods Properties to acquire Advance Auto Parts Tower in Raleigh

Highwoods Properties (HIW) reported it has agreed to acquire Advance Auto Parts Tower, a 20-story, Class AA office tower located in the heart of Raleigh’s vibrant mixed-use North Hills Best Business District. This 346,000 square foot, LEED-gold certified tower, which delivered in 2020, was 100% leased at December 31, 2024 with a current weighted average lease term of 8.2 years. Advance Auto Parts Tower is immediately adjacent to Highwoods-owned CAPTRUST Tower, a 16-story Class AA office tower encompassing 300,000 square feet that was 98.4% leased at December 31, 2024 with a current weighted average lease term of 6.3 years. The company will fund the acquisition of Advance Auto Parts Tower on roughly a leverage-neutral basis using the proceeds from the recent sale of non-core assets in Tampa that closed earlier in the first quarter.