First Potomac buying Washington building for $89 million
Bethesda, Md.-based First Potomac Realty Trust, a major owner of office and business parks in the Washington, D.C., area, has acquired a Washington building at 11 Dupont Circle for $89 million.
While announcing the acquisition, the company said it is marketing its Richmond-area portfolio for sale. The properties include Chesterfield Business Center, Hanover Business Center, Park Central and Virginia Technology Center.
A sale is expected to close late in the fourth quarter of 2014 or early 2015. “However, we can provide no assurances regarding the timing or pricing of the sale of the Richmond portfolio, or that the sale will occur at all,” the company said in a news release.
First Potomac said sale of the Richmond portfolio is consistent with its “previously disclosed capital recycling strategy.”
The Washington property that the company is acquiring , 11 Dupont Circle, is a 155,713 square foot office building.
The nine-story building is 100 percent leased to 15 tenants, and includes 11,692 square feet of retail space located on the ground level.
The deal brings First Potomac's ownership of high-quality office assets in the District to seven buildings with more than 1 million square feet.
The acquisition was funded through a draw on the company's revolving line of credit.
First Potomac Realty Trust is a real estate investment trust that focuses on owning, operating, developing and redeveloping office and business park properties. As of June 30, its portfolio totaled 8.7 million square feet.