First Potomac Realty Trust sells two office buildings at Tysons for $27.3 million
First Potomac Realty Trust has sold two Tysons office buildings, Cedar Hill I and III, for $27.3 million. According to the Bethesda-based company, the three-story office buildings total 102,632 square feet and were 100 percent leased and occupied as of Sept. 30.
Proceeds from the sale — combined with the proceeds from the recent sale of Newington Business Park, an industrial business park in Lorton that sold for $32.5 million — will be used to fund the previously announced redemption of 2.2 million Series A preferred shares. The sale of the Tysons buildings are scheduled to occur on Jan. 19.
The redemption of a portion of the company's preferred shares represents a continued focus on a previously announced plan to de-risk the portfolio, strengthen its balance sheet and reduce corporate overhead through the accelerated sale of at least $200 million of assets.
“As we continue to execute on phase one of our strategic plan to improve our portfolio and strengthen our balance sheet, the sale of Cedar Hill I and III, and the redemption of a portion of our preferred shares, reinforces our effort to create substantial value for our shareholders,” Robert Milkovich, CEO of First Potomac Realty Trust, said in a statement.
Jones Lang LaSalle represented First Potomac in the sale.
First Potomac Realty Trust is a real estate investment trust that focuses on owning, operating, developing and redeveloping office and business park properties in the greater Washington, D.C. region.