JP Morgan Lends $104M on DC-Area Office Acquisition
By Mack Burke June 28, 2018 10:50 am
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J.P. Morgan Chase provided a joint venture of Washington, D.C.-based investor and developer Altus Realty and Dallas-based private equity fund manager Velocis with $104 million for the acquisition of a two-building office portfolio called Greensboro Park in Tysons, Virginia, brokerage HFF announced.
The five-year, floating rate loan went toward the acquisition of the 505,085-square-foot office assemblage, which was bought from an affiliate of Beacon Capital Partners, according to information from Velocis. Beacon was represented by CBRE.
The final sale price was not disclosed, and HFF—which arranged the financing on behalf of the borrower—declined to provide the information. An official at Velocis did not immediately return a request for comment. Officials at Altus Realty could not immediately be reached.
“Velocis has been looking at a number of assets in various parts of Tysons Corner to help augment our D.C.-area portfolio,” Velocis Principal Paul Smith said in a prepared statement. “We are excited to partner with Altus Realty on Greensboro Park as the buildings represent solid in-place cash flow with the ability to add value. We feel that the submarket…will continue to experience strong momentum in both leasing activity and rent appreciation.”
Last renovated in 2015, Greensboro Park is at 8180 and 8200 Greensboro Drive in Tysons, about 30 minutes west of Washington, D.C. The assemblage sports two towers that stand 11- and 14-stories-tall. The buildings feature a fitness center, conference spaces, lounges, an on site café and a concierge service.
“The improving fundamentals of the Northern Virginia office market and the potential for multifamily development make Greensboro Park an exceptional investment opportunity,” Al Troup, a partner at Altus Realty, said in a prepared statement. “Working with the Velocis team makes the opportunity that much more exciting.”
The property has also been approved for up to 520 units of multifamily development to be included in two separate high-rise towers, according to Velocis. The office park is anchored by BB&T and is currently 83 percent leased to 59 tenants.
The borrowing party has planned upgrades to the building, including renovations to the lobbies in each tower, the common areas, restrooms and landscaping, according to information from Velocis.
