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ourbineau Real Estate Partners, a firm specializing in distressed property acquisition and conversion, has entered the Nashville market. Partnering with Realm, a local investment firm, they purchased Parkway Towers for $12.5 million, a significant discount from its 2019 sale price of $33.5 million. The 21-story building will be converted into residential or hotel space.

    The purchase represents a $21 million discount from the previous trade and brings the price to $61 per square foot. This deal is part of a growing trend in Nashville, where large office buildings are being converted into alternative uses. Tourbineau Real Estate Partners was established last year with the goal of buying distressed assets and bringing them to their "highest and best use."

    The firm has offices in Nashville, Seattle, and Raleigh, but its deals span across the country. Office distressed-sales volume increased by over 50% from 2023 to 2024, according to CoStar research. Parkway Towers, built in 1986, is a prime candidate for conversion due to its floorplate size and parking ratios.

    The location, situated between downtown, Germantown, and the East Bank, will be at the center of Nashville's development activity as more projects emerge in the area. Nearby developments include the Songteller Hotel and a boutique hotel with a speakeasy, further solidifying Nashville's shift towards alternative uses for office buildings.