AREP and Rockwood Team Up on $57.5M Arlington Office Purchase
A joint-venture between American Real Estate Partners (AREP) and Rockwood Capital has acquired Arlington Plaza, an 11-story 193,453-square-foot office building in Arlington, Va., from Carr Properties, according to AREP.
Bisnow reported the purchase price at $57.5 million.
Located at 2000 North 15th Street, just two blocks from the Court House Metro, the Class A building is situated in the heart of the Roslyn-Ballston Corridor, which AREP already has a strong presence in. The company owns the 22-floor Roslyn City Center above the Roslyn Metro Station at 1700 North Moore Street, and recently announced a $35 million renovation to the mixed-use building.
“What we look for are properties that we can reposition and also bring our strategy of placemaking to it,” Paul Schulman, AREP’s principal & COO, told Commercial Observer. “We are very bullish right now on the Roslyn-Ballston Corridor. We see a significant uptick in that marketplace and we think our timing is right to deliver an updated, placemaking asset with the level of activity we are seeing.”
Originally built in 1985, Arlington Plaza was acquired by Carr Properties in 2007 for $71.5 million. Building amenities include a parking garage, on-site café, landscaped courtyard and electric car charging stations.
The project has been historically leased, so with the planned vacancy, AREP sees an opportunity to reposition and reintroduce Arlington Plaza to the market, Schulman said.
AREP’s plans for the building include a significant design upgrade, such as renovating the entry lobby, adding activated indoor and outdoor social spaces with views of the D.C. skyline, integrating conferencing facilities, and adding a fitness center.
According to Schulman, Arlington Plaza’s key differentiator is its green space, possessing the largest private outdoor plaza of any office building in the Roslyn-Ballston corridor.
“We have an opportunity to create a really special indoor/outdoor social experience of amenities for our tenants, and adding more of a hospitality feel,” Schulman said.
JLL has been hired as the leasing broker for the property.