Akridge, Western Development Pick Up Former CG HQ at Buzzard Point

A consortium of real estate developers and investors, including Orr Partners, Redbrick LMD LLC, and Jefferson Apartment Group, led by Western Development Corporation and Akridge announced the acquisition of the former U.S. Coast Guard headquarters at Buzzard Point in DC for $49.3 million. The Akridge and Western Development team said it has plans to redevelop the property with Orr Partners and Jefferson Apartment Group into a mixed use project. Washington-based Redbrick sourced, capitalized, and structured the transaction, with EagleBank and Greenfield Partners providing financing for the project.

"Just as Akridge and Western did so well at Gallery Place, at Riverpoint we will create a place that brings people to a unique spot in DC – the confluence of the Anacostia and Potomac Rivers—to enjoy great food, listen to music, and relax at the water's edge," said Herb Miller, Chairman of Western Development Corporation.

"We are thrilled to partner with Western Development again," added Matt Klein, President of Akridge. "Riverpoint is an incredible opportunity and we are eager work with such a talented team to build DC's next great waterfront community there."

The new project, dubbed Riverpoint, will deliver 80,000 square feet of restaurant and retail space, as well as over 450 apartment and condominium units and waterfront activities with new piers, floating restaurants and the continuation of the Anacostia Riverwalk Trail. Riverpoint will feature three sides of unobstructed water views, and connect the area with the new DC United stadium and other developments along the Capitol Riverfront, including the Ballpark District, and The Wharf. Western Development will lead the development and leasing of the retail and waterfront portions of the project.

For more news and information visit Blumberg Partners.

Akridge Transforming DC YMCA to Trophy Office Building

DC-based developer Akridge and its partner, Alcion Ventures, L.P., announced that it would transform the former YMCA National Capital building in Northwest DC into a 100,000-square-foot boutique office building. The YMCA of Metropolitan Washington announced last October that it had reached a deal to sell the property to Akridge and close the facility by December 31; neither party disclosed a sale price, but the building was assessed at $23.2 million. Construction is expected to begin early 2017 with a delivery by the summer of 2018.

"Akridge is proud to rejuvenate this prominent site," said Matt Klein, President of Akridge, in a press release. "After the tremendous success we experienced just across the street at 1200 Seventeenth Street, we are excited to deliver another best-in-class, efficient office building to this neighborhood in the Central Business District."

Akridge plans to completely replace the building's façade, infill gym and court floor slabs, and convert a swimming pool into two levels of parking. Hickok Cole Architects has been selected to design the building, rebranded as 1701 Rhode Island, to create a modern facility with a two-story lobby, landscaped rooftop terrace, and a fitness facility. The press release reports that the developer is hoping to achieve LEED Gold certification with the development.

For more news and information visit Blumberg Partners.

Akridge Developing DC Trophy Office Building

Akridge, the DC-based commercial real estate firm, announced this week that it had secured purchase agreements with both the American Beverage Association and the American Association of University Women for 1101 and 1111 Sixteenth Street NW, corner adjacent to the new Fannie Mae headquarters in Washington, DC. Akridge said that it has plans to redevelop the two buildings, in partnership with Stars Investments, into one freestanding trophy-class office building. Terms of the acquisitions were not disclosed, but the new 1101 Sixteenth Street building is expected to deliver in 2017. Cushman & Wakefield brokered the transaction on behalf of the American Beverage Association and the American Association of University Women.

"The success of our recent redevelopment at 1200 Seventeenth Street has demonstrated the strong demand for high quality and efficient office space. We believe redeveloping 1101 and 1111 Sixteenth Street into a freestanding, trophy office building will respond to the demand for quality product," said Matt Klein, President of Akridge. "The project will complement the historic character of Sixteenth Street and will appeal to law firms, associations, and government affairs clients who appreciate a floorplan that maximizes windowed offices, as well as the impressive location near the White House and the city's best hotels."

For more news and information visit Blumberg Partners.

Seaton Benkowski & Partners Sells Carroll Square Leasehold for $121M

Holliday Fenoglio Fowler (HFF) announced this week that it had closed the leasehold sale of Carroll Square in DC on behalf of the seller, Seaton Benkowski & Partners, for $121.4 million. GLL Partners purchased the 178,000 square foot office property and assumed an existing loan. Akridge oversees leasing and management of Carroll Square, where the tenant roster includes law firms Seyfarth Shaw, Holland & Hart, and Fitzpatrick, Cella, Harper & Scinto.

Jones Lang LaSalle research director Scott Homa told GlobeSt,com that at $121.4 million, the building's trade shows that prices are not softening here even though sales volume has fallen year-over-year. "Pricing for core, class A buildings averaged $645 per square foot during the first half of 2012, and cap rates remained well under 6% for long-term stabilized assets. Overall, with the federal election looming and little progress being made in establishing a clear fiscal policy, we expect investors to adopt a ‘wait-and-see' posture heading into November."

Carroll Square is a 10-story building at 975 F St., NW and was recognized as the "Best Urban Office Building" of the year by the Maryland/DC Chapter of the National Association of Industrial and Office Properties (NAIOP) upon its completion. Designed by SmithGroup and developed by Akridge in 2007, the trophy-class property incorporates four renovated late 19th century commercial townhouses and the facades of two others, as well as a defining architectural cupola and a distinguished new structure accented with brick and stone.

For more news and information visit Blumberg Capital Partners.

New JV for DC Development as First Potomac Sells Share

Akridge, a DC-based full service real estate firm, announced this week that it had entered into a new joint venture with Mitsui Fudosan America as First Potomac Realty Trust sold its ownership share in a development project in the central business district of Washington, DC for $43.7 million. Mitsui Fudosan America acquired the First Potomac Realty Trust ownership interest in the project on 1200 17th Street, where a building (formerly occupied by the National Restaurant Association) is currently under demolition and will be redeveloped as a 168,000 square foot trophy-class building.

According to a Washington Business Journal article, First Potomac originally bought its 95% stake in the project in a joint venture with Akridge in late 2011 for $37.6 million. Akridge will continue to own its share of the project and will remain the developer.

"This sale allows us to achieve our previously stated goals of monetizing an investment after we have added value, significantly strengthening our balance sheet, and decreasing risk in our portfolio," said Douglas J. Donatelli, Chairman and CEO of First Potomac Realty Trust. "While we know 1200 17th Street will be a very successful project, we could not pass up the opportunity to sell our position at a significant profit. We wish our friends at Akridge great success as they move forward with 1200 17th Street and we hope to have the opportunity to team up with them again in the future."

For more news and information visit Blumberg Capital Partners.