Washington Real Estate Investment Trust Buys Downtown Washington, DC, Office Building for $104.5M
- May 05, 2014
Washington Real Estate Investment Trust continues its buying spree in downtown Washington, D.C. The Rockville-based real estate investment trust last week announced it had acquired the office building at 1775 Eye St., N.W., in the city’s Central Business District. The property changed hands for $104.5 million.
1775 Eye St. was constructed in 1964. The 11-story office building totals 185,000 square feet, with a two-level parking garage. Located at the intersection of 18th and Eye, it sits directly across the street from Farragut West and just two blocks from Farragut North. According to WRIT, the property was 62 percent leased at the time of the sale.
According to PropertyShark, L&B 1775 I Street Inc. was the property’s previous owner. The same real estate website says the total value of 1775 Eye St. is approximately $97 million.
The office building is currently undergoing its second renovation. It includes a new modernized lobby, common areas and a fitness facility. Its first renovation occurred in 1997, when all of the building’s systems, its facade and its storefronts were replaced.
“Acquiring 1775 Eye St. is yet another example of Washington REIT executing on its stated office strategy acquiring high-quality, well-located urban and metro-centric assets,” said Paul McDermott, president & CEO of Washington REIT, in a statement for the press. “This value-add acquisition further increases our downtown footprint at a prime location that provides a tremendous opportunity to create value for our shareholders through effective leasing of this property above its current level.”
1775 Eye St. was WRIT’s third consecutive acquisition in downtown D.C. in 2014. The real estate investment trust spent $256.5 million this year. In the greater Washington Metro Region, it has 54 properties totaling approximately 7 million square feet of commercial space and 2,890 residential units, as well as land held for development.
Photo credit: Washington Real Estate Investment Trust