DALLAS, Texas (July 14, 2025) – KBS, one of the largest owners and operators of premier commercial real estate buildings in the nation, announces the successful disposition of Sterling Plaza, a 19-story, 320,000 square-foot, Class A office tower located in Preston Center, one of the most affluent areas in Dallas, Texas. Sterling Plaza was owned by KBS Real Estate Investment Trust III (KBS REIT III) and purchased by real estate investment company Shorenstein Investment Advisers. 

According to Giovanni Cordoves, KBS regional president, Western U.S., the transaction demonstrates strong ongoing demand for high-quality office properties offering the best amenities in well-located areas.

“Offices play key roles in the fabric of our communities, forming the basis of local employment centers and helping support small businesses. In general, high-amenity, well-located Class A properties, like Sterling Plaza have been leasing quickly, maintaining occupancy, and enjoying better performance than Class B and C buildings, which continue to struggle,” says Cordoves. “Sterling Plaza exemplifies KBS’ proven strategy of targeting high-potential buildings in the best locations and enhancing them with the market specific amenities that quality tenants are looking for.”

Acquired by KBS REIT III in 2013, Sterling Plaza is located between the Dallas North Tollway and U.S. 75, offering easy access to Dallas Love Field and immediate walkability to Preston Center’s shopping, dining, and entertainment venues. In 2023, KBS added an entire amenity floor with a state-of-the-art conference center, a fitness center with showers and lockers, and a tenant lounge with a bar and complimentary coffee. Sterling Plaza tenants also enjoy an on-site café, EV charging stations, shoeshine services, ATM, complimentary bike check-out and storage, car wash, and a 15-passenger Mercedes-Benz Sprinter Van for additional access to the many surrounding dining and shopping amenities in the vibrant submarket.

Brett Merz, asset manager of Sterling Plaza, co-director of asset management and senior vice president at KBS, highlights Sterling Plaza’s suburban location as ideal for attracting and retaining employees.

“Tenants want modern office spaces that are vibrant, amenity-rich, located in desirable locations that attract talent and foster collaboration,” Merz states. “With its emphasis on flexibility, state-of-the-art technology, and tenant well-being, Sterling Plaza helps promote teamwork and innovation, making it a great place to work.”

According to Newmark Research, flight to quality remains a central theme in Dallas’ office market. Class A assets like Sterling Plaza continue to outperform, accounting for 71.5% of leasing activity by square footage in 1Q25.

Newmark Vice Chairmen Robert Hill, Chris Murphy and Gary Carr and Director Austin Sheahan represented KBS in the disposition of Sterling Plaza.

Attorneys Bruce Fischer, Howard Chu and paralegal, Amanda Kennedy, of global law firm Greenberg Traurig, LLP’s Orange County office and Ashley Aten from the Dallas office represented KBS as legal counsel in the disposition.

According to Fischer, Greenberg Traurig’s Chair of the West Coast Real Estate Practice and Co-Managing Shareholder of the Orange County Office, who led the Greenberg Traurig team, “We were pleased to work with KBS in the sale of Sterling Plaza. Preston Center is one of the most coveted submarkets in Dallas and continues to attract businesses and investors worldwide to the region.”

Sterling Plaza is located at 5949 Sherry Lane, Dallas, TX 75225.

For photos of the property, please visit: Sterling Plaza.