CoreCivic Purchases Office Building in Baltimore for $242M
Social Security Administration decided to sell the building after four years.
By Christina sturdivant-Sani August 29, 2018 5:35 pm
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CoreCivic, a Nashville, Tenn.-based real estate investment trust, has purchased the 40,566-square-foot U.S. Social Security Administration (SAA) office building in Baltimore for $242 million, according to an announcement from the company.
The building, located at 6100 Wabash Avenue, was built to house the agency in 2014 under a 20-year lease. It currently serves about 2,000 SAA employees.
The main office property has two buildings with a central atrium. The site also includes a seven-level parking structure, an administrative court, a fitness center, a cafeteria, a convenience store and a single-level stand-alone SSA field office.
CoreCivic is widely known as an owner and operator of correctional and detention facilities—44 of which are part of its CoreCivic Safety division, along with 26 residential reentry centers. The company also manages seven correctional facilities that it does not own, per the release. The SAA Baltimore acquisition will bring the firm’s portfolio to 26 government-leased properties.
“We are excited to announce this acquisition as we continue to execute our acquisition strategy to expand our portfolio of government-leased real estate assets,” said Damon Hininger, CoreCivic’s CEO. “SSA–Baltimore is a critical component of SSA’s central office operations and provides us with accretive growth and diversification.”
Hininger said that the property is expected to generate approximately 10 percent of the company’s facility net operating income on a yearly basis.
There were no brokers involved in the SAA Baltimore purchase, according to a CoreCivic spokesman.
