Tishman Sells D.C. Office for $180M
- Dec 21, 2011
December 21, 2011
By Nicholas Ziegler, News Editor
The Rockefeller Group, in a joint venture with Mitsubishi Estate New York, has just purchased Washington, D.C.’s 1100 First St. NE from an affiliate of Tishman Speyer. The sellers were represented by Eastdil Secured, and CoStar Group reported the purchase price as $180 million.
The transaction marks the second pickup in the market for Rockefeller, according to Kevin Hackett, president & CEO. He went on to note his firm’s intention to seek “well located, premier office assets in constrained markets which are experiencing strong economic recoveries.”
Hackett’s optimism is borne out by recent reports, such as one by real estate services firm CBRE Group Inc. “The watchword for [the third] quarter is right-sizing,” John Germano, executive managing director of CBRE’s Washington-Baltimore region, said in October 2011. “While we anticipate that in the near term, market conditions will remain flat, the Washington region remains one of the strongest and healthiest commercial real estate markets in the nation, and continues to be attractive to investors.”
1100 First St. is a 12-story, LEED-Gold-certified office building developed in 2009 by Tishman and located in the city’s NoMa district. The office is 95 percent leased to tenants including the Department of Veterans Affairs, the Federal Energy Regulatory Commission and Mathematica Policy Research. The property is within convenient access to Union Station.
Rockefeller will likely continue its quest for quality assets in 2012. “We are considering additional Class A office buildings in New York, Boston and San Francisco on behalf of our shareholders and investors,” Hackett said.