Brandywine Realty Trust and Shooshan combine forces to build a new office tower in Arlington.
Brandywine Realty Trust and APA IV, an affiliate of The Shooshan Co., said Monday it has formed a joint venture to build a 426,900-square-foot office building in Arlington's Ballston submarket.
The 20-story office tower will have 10,000 square feet of ground floor retail, 544 below-grade parking spaces and a rooftop terrace that will offer panoramic views of Washington, D.C. The project, known as 4040 Wilson Blvd., is the final phase in an eight-building, mixed-use, Liberty Center complex under development by Shooshan that’s located two blocks from the Ballston Metro Station.
Brandywine and APA IV said in a press release that they will each own a 50 percent interest in 4040 Wilson and will have joint decision-making responsibility. The Shooshan Co. , a real estate development firm based in Arlington, will oversee development, leasing, property management and construction management services, and Brandywine will assist Shooshan in project development, marketing and leasing activities.
APA IV contributed the development's initial equity over an 8-year period and its land parcel in connection with the venture. Brandywine will contribute up to $36 million in cash. The initial equity, land value and Brandywine's cash contribution, augmented by third party construction financing, will fully fund the projected development costs.
To date, Brandywine said it has funded $13 million of its total requirement with the balance to be funded during the project's construction. Site preparation activities will begin this month with construction expected to start after the project secures an anchor tenant.
“We look forward to working with The Shooshan Co. to complete the last phase of this highly successful 2.25-million-square-foot, metro-served mixed-use development,” Gerard H. Sweeney, president and CEO of Brandywine Realty Trust, said in a statement.
Shooshan said 4040 Wilson is the largest project in its history in size and investment. “ … We feel very fortunate to have Brandywine as our new partner in order to continue the success of Liberty Center,” Shooshan President John Shooshan said in a statement.
Brandywine Realty Trust, based in Radnor, Pa., is one of the largest, publicly traded, full-service, integrated real estate companies in the U.S. Brandywine owns, leases and manages an urban, town center and suburban office portfolio of 283 properties and 32.9 million square feet.