10th and G Sold for $140M

Skanska USA Commercial Development Inc. announced this week that it was selling the office property at 733 10th Street NW in Washington, DC to Jamestown Properties for $140 million, or about $53 million more than what it cost to develop the property. The building, known as 10th and G, is Skanska's first completed commercial development project in the States since establishing the development business at the close of 2008. Eastdil Secured managed the sale on behalf of Skanska.

"This project demonstrates our commitment to delivering high-quality, sustainable office buildings that provide long-term value for investors and healthy, efficient space for tenants," says Mats Johansson, CEO of Skanska USA Commercial Development.

Centrally located five city blocks from the White House, the property, designed by a group of architects including Cunningham | Quill Architects PLLC, Tod Williams Billie Tsien Architects, and Gensler, consists of eight stories of office space totaling about 171,171 square feet with more than 4,000 square feet of ground-level retail space.

Prior to the sale, and with CBRE as its brokerage firm, Skanska signed leases for 83% of the building in just three months, including the National Association of Manufacturers and Cassidy & Associates, according to a Washington Business Journal article.

For more news and information visit Blumberg Capital Partners.

$380M Refinancing for Chelsea Market in NYC

CB Richard Ellis' Capital Markets Group secured a $380 million in conjunction with the recapitalization of Chelsea Market at 75 Ninth Avenue in Manhattan on behalf of Jamestown Properties according to a Citybizlist article. The loan, financed through Germany's Landesbank Baden-Wurttemberg, was used by Jamestown to buy out its partners in the property, Angelo, Gordon & Co., Belvedere Capital and original Chelsea Market developer Irwin Cohen.

"Lending on Manhattan assets is seen as less risky than other markets and that's been evident through the downturn," Dan Fasulo, managing director with global commercial real estate research and consulting firm Real Capital Analytics, told Commercial Property Executive. "Of the troubled assets we had in the country, Manhattan had the highest recovery rate for lenders when there was a default. It's proven to be rather resilient versus other markets."

The mixed-use property was originally a 22-building complex that served as the National Biscuit Company (now known as Nabisco) factory complex, filling two entire blocks. Chelsea Market was 99% occupied at the time of closing with major tenants including Google, Scripps Networks, Major League Baseball, EMI and Anthropologie.

For more news and information visit Blumberg Capital Partners.