Baltimore Office Building Commands Record Price
- Sep 04, 2018
CoreCivic has acquired 6100 Wabash Ave., a 540,566-square-foot office building occupied by the U.S. Social Security Administration in the Baltimore suburb of Reisterstown, Md., for $242 million, from an affiliate of The JBG Cos.
“We are excited to announce this acquisition as we continue to execute our acquisition strategy to expand our portfolio of government-leased real estate assets,” Damon Hininger, CoreCivic’s CEO, said in a prepared statement. “SSA–Baltimore is a critical component of SSA’s central office operations and provides us with accretive growth and diversification.”
JLL’s Capital Markets team of Executive Managing Director John Duffy and Executive Vice Presidents Marc Rampulla and Brian Saal represented the seller in the transaction. The deal is the highest price paid for an office building in the area this year.
The JBG Cos., in partnership with Klein Enterprises, developed the building back in 2012 and leased it to the Social Security Administration for 20 years, under a contract set to expire in January of 2034.
“This was a very attractive and rare opportunity for investors to acquire a high-quality, transit-oriented asset leased to the federal government on a long-term basis and we were able to generate significant interest,” Rampulla said in a prepared statement.
The 11-acre property is LEED Silver certified. It’s situated approximately 5 miles from the SSA’s 1.4 million-square-foot headquarters in Woodlawn.
The fact that it’s close to many transportation options is a big factor for its appeal. The building is nearby I-695 and is less than a 30-minute drive from Baltimore Washington International Airport. It’s also adjacent to the Reisterstown Metro station.
More than 1.7 million square feet of retail amenities are within a mile of the property.
“6100 Wabash is one of the highest-quality government-occupied buildings in the country,” Saal said. “Our team was proud to lead the sale effort.”
Image courtesy of Yardi