DC Area Office Property Commands $44.5M
- Jun 10, 2016
Washington—HFF recently closed on the $44.5 million sale of Herndon Metro Plaza I & II, a two-building, 201,272-square-foot office asset situated right next to the future Herndon Silver Line Station in the capital’s suburb of Herndon.
HFF represented the seller, Brandywine Realty Trust, and procured an institutional investor as buyer. According to crenews.com, the property, which was sold free of debt, was acquired by Irving, Texas-based Archon Group, a Goldman Sachs affiliate.
At the time the transaction closed, the buildings had a combined occupancy of 91 percent. According to Yardi Matrix, the 98,291-square-foot Herndon Metro Plaza I was completed in 1991, while Herndon Metro Plaza II saw completion in 1997.
The four-story buildings are situated at 196 and 198 Van Buren St., along the dense Dulles Toll Road corridor. Sitting less than a 10-minute ride from the Dulles International Airport, the properties neighbor offices including Worldgate Plaza, Atrium at Worldgate, Dulles Overlook and the Parkview Executive Center. Providing a combined parking capacity of 663 spots, the two buildings are transit-oriented and offer great connectivity for Routes 7 and 28, the Washington Beltway and the Fairfax County Parkway.
“The arrival of the Silver Line has been transformational for the Dulles Corridor, as tenants migrate to office properties surrounding existing and future Silver Line stations, driving strong positive absorption, decreasing vacancy rates and providing impressive rent growth,” Andrew Weir, senior managing director with HFF, said in a prepared statement. “Herndon Metro Plaza I & II are uniquely positioned to capitalize on this, with the asset’s rollover profile ideally concentrated in the time period surrounding the planned opening of Phase II of the Silver Line,” Weir added. The Silver Line extension is due for completion by 2019/2020.
Images courtesy of Yardi Matrix