Washington Harbour sells for $244.5 million
- June 24, 2010
In a sign that capital is returning to commercial real estate, at least in terms of premium properties, Washington, D.C., just witnessed an impressive transaction. Washington Harbour, a 532,601-square-foot, mixed-use complex on the Potomac River in Georgetown, sold recently for $244.5 million, or about $459 per square foot, according to CoStar Group Inc., a Bethesda-based firm that provides real estate information and analytic services.
The seller was Prudential Real Estate Investors of New Jersey, which bought the property in 2004 for $220 million. On the buying side was MRP Realty Inc., a Chevy Chase-based real estate development and investment firm with many holdings in the Washington region, and Rockpoint Group LLC, a global real estate investment firm and one of MRP’s money partners.
The project, built in the late 1980s, includes two Class-A towers with stunning views of the Potomac. It’s about 86 percent leased by more than 20 tenants. The largest space is leased by two law firms, Foley & Lardner LLP and Kelley Drye & Warren, with waterfront restaurants rounding out the retail mix.
The Washington, D.C., office of HFF (Holliday Fenoglio Fowler) represented Prudential in the closing. “The sale of Washington Harbour is the largest investment sale transaction this year for HFF D. C. and clearly demonstrates that there are buyers out there for properties with the right combination of tenancy, location and amenities,” HFF’s Stephen Conley told CoStar.