Washington, D.C. – We have a variety of NNN Commercial Real Estate news today. We have news on the National Treasury Employees Union selling an Investment Property that is located in Washington, D.C., at 1750 H St. NW. The Buyer of this Investment Property is First Potomac Realty Trust and AEW Capital Management. This was commercial real estate was bought in a 50/50 joint venture. The Commercial Property is a fully leased Office Tower and was purchased for $65 million. This purchase price comes to approximately $582 per square foot, for this Office Building in a premier central business district.
The Commercial Real Estate at 1750 H Street NW is a ten-story, approximately 111,373-square-foot office building. This prized commercial property is located about three blocks from the White House in Washington, D.C. The Commercial Property is net leased to six tenants, including about 46,916 square-feet on the top four floors that will be net leased back to the seller. This net lease to the seller, the National Treasury Employee’s Union (NTEU) is for a ten-year lease term.
The Commercial Property has many amenities including windows on three of the four sides, a fantastic roof-top terrace, and a well equipped fitness center. This Commercial Real Estate Development also has an underground parking garage with capacity to fit more than 75 cars. This beautiful Commercial Property is a Class A Office Building that was built in 2002.
The Investment Property transaction was contingent on the buyers assuming a $31.4 million Commercial Loan from the seller. The commercial loan carries an interest rate of approximately 5.62% and matures in July of 2014. The balance of the acquisition price was funded 50% by the Buyers using their line of credit and available cash. The other portion was funded by AEW Capital Management. This Commercial Property gets an estimated $35 to $38 per square foot on a triple-net lease basis.
Also, we have news on a Commercial Property Portfolio comprised of 13 Retail Shopping Centers being sold. We wanted to report that Commercial Mortgage Lenders have arranged financing for Regency Centers Corporation and Global Retail Investors, LLC for $202 Million. This Investment Property financing funded a joint venture between an affiliate of First Washington Realty and CalPERS.
This national Commercial Real Estate Portfolio consists of 13 Retail Shopping Centers. The Commercial Real Estate Portfolio contains 11 grocery-anchored retail shopping centers, one grocery anchored community center and one community center. Two of these net lease properties are in the Philadelphia, Pennsylvania area. These Retail Shopping Centers were built around Genuardi’s grocery stores, with the others built around Acme Markets. ACME Markets are big across Pennsylvania especially popular in Reading, Pennsylvania.
The other portion of the Commercial Real Estate Portfolio is located in northern Virginia. This portion of the Investment Property Portfolio forms the hub for two of three net lease properties, with the remaining by Shoppers Food Warehouse. Also King Soopers grocery store anchors two commercial real estate developments in the Denver market. The remainder commercial real estate developments are in northern New Jersey, Minneapolis, Baltimore, Seattle (Washington), Boulder, Colorado.
Also for commercial real estate investors in a 1031 exchange, can search Net Lease Properties for purchase or disposition.