DC-Area Office Park Commands $325M
By Keith Loria October 27, 2020 10:32 am
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Boyd Watterson Asset Management has acquired Patriots Park, a 705,000-square-foot office campus in Reston, Va., from the Hyundai Group, for $325 million, according to public records.
Neither side was available to comment on the deal.
The news of the sale, first reported in CoStar, comes at a time when the office market in Northern Virginia is mostly quiet due to the pandemic. However, Reston has seen some big leases recently.
The sales price is believed to be the D.C. area’s largest of 2020, mightily beating the $71.4 million price tag that Velocis paid in its acquisition of 1530 Wilson Boulevard, a 171,373-square-foot office building in Rosslyn; and the $63 million The Meridian Group paid for 8283 Greensboro Drive in Tysons.
Patriots Park comprises three office buildings that are 100 percent leased to the General Services Administration (GSA) under two leases. The lease on Patriots Park I and Patriots Park II expires in September 2032, while the lease on Patriots Park III ends in 2033. The Office of the Director of National Intelligence currently calls the park home.
The Hyundai Group purchased the park in 2014 from Boston Properties in a $321 million deal. Last October, Natixis Real Estate Capital provided a $218 million loan to the South Korean group.
Located within the Reston office submarket—right in Northern Virginia’s technology corridor and 23 miles northwest of Washington, D.C.—each of the three buildings includes a cafeteria, a convenience store and a fitness center. Patriots Park I and II were developed in 1986 and 1987, and renovated in 2012 and 2013. Patriots Park III was developed in 2006.
Boyd Watterson is no stranger to the D.C. market, with recent acquisitions of Sentinel Square I, a 412,661-square-foot office property at 90 K Street NE in D.C., and 950 L’Enfant Plaza SW, a 315,726-square-foot office property in the District.
