CHESAPEAKE, VA. — S.L. Nusbaum Realty Co. has arranged the $8.2 million sale of 16.8 acres in Chesapeake for a new Kroger Marketplace store. Kroger LP I purchased the land situated at Dominion Boulevard and Cedar Road from Chesapeake Development. Tommy Drew of S.L. Nusbaum Realty represented Kroger in the purchase. The new 124,000-square-foot Kroger Marketplace will anchor the new shopping center at the site known as Dominion Commons. The new Kroger will feature 94,000 square feet of grocery space and 30,000 square feet of general merchandise, pharmacy, health and beauty and jewelry, as well as a fuel center. This store will be the sixth Kroger Marketplace in the Hampton Roads region and the second in Chesapeake. S.L. Nusbaum Realty is a member of X Team International.
ARLINGTON, VA. — Transwestern has arranged the $69.5 million sale of Ballston Metro Center, a 235,568-square-foot office building located at 901 N. Stuart St. in Arlington, roughly five miles outside of Washington, D.C. A joint venture between PERSEUS Realty and ELV Associates purchased the asset from Ballston Metro Investors LLC. Gerry Trainor and Mark Glagola of Transwestern’s Mid-Atlantic capital markets group represented the seller in the transaction. The new ownership group plans to make capital improvements to the office building. Ballston Metro Center is situated directly above Ballston Metro Station and within one block of Ballston Common Mall, which is undergoing a $317 million renovation and repositioning into Ballston Quarter.
WASHINGTON, D.C. AND NEW YORK — The board of trustees at Vornado Realty Trust (NYSE: VNO) has approved the tax-free spinoff of its Washington, D.C., portfolio and has agreed to the subsequent merger of the new entity with JBG Cos. The transaction is valued at $8.4 billion. The company, known as JBG Smith Properties, will be structured as a real estate investment trust (REIT). Vornado shareholders are expected to own roughly 74 percent of the new company, JBG’s limited partners are expected to own approximately 20 percent and JBG management is expected to own the remaining 6 percent. JBG’s senior management team will lead JBG Smith, which will have a portfolio totaling 50 office properties spanning 11.8 million square feet, 18 multifamily properties totaling 4,451 residential units and 11 other properties totaling about 700,000 square feet. The new company will be the largest landlord to the U.S. government in Washington, D.C. The portfolio is situated in Washington, D.C., as well as the suburban Maryland markets of Columbia and Bethesda and Crystal City, Pentagon City, Rosslyn, Arlington and Reston in Virginia. Additionally, JBG Smith will have a pipeline of projects under construction and land for future development that could span more …
TYSONS, VA. — Atlantic Realty Cos. and New York-based Angelo, Gordon & Co. LP have purchased Tysons Concourse, two Class A office buildings located at 1593-1595 Spring Hill Road in Tysons. The California State Teachers’ Retirement System (CalSTRS) sold the 347,684-square-foot complex for $78.8 million. Situated one block from the newly opened Spring Hill station on Metrorail’s Silver Line, Tysons Concourse features a café, lighted basketball courts, theater-style conference center, fitness center with spa-style locker rooms and covered and surface parking. The buildings, joined by a shared atrium, were 76 percent leased at the time of sale to tenants such as Frontpoint Security, Konica Minolta and MassMutual. The new ownership group plans to invest $6 million in capital improvement to Tysons Concourse. The property’s lobby will be upgraded with marble flooring, a concierge desk and interactive touchscreen directories. Renovations will also include upgrades to the front and rear entrances, new interior finishes and a redesigned tenant entertainment center. The improvement program will also include the transformation of part of the existing sports area into an outdoor lounge with seating and an additional court for playing paddle tennis. Eastdil Secured represented CalSTRS in the transaction. — John Nelson
NORFOLK, VA. — Cushman & Wakefield | Thalhimer has brokered the $10.8 million sale of a 16-story, 230,316-square-foot office building located at 500 E. Main St. in Norfolk’s central business district. Richmond, Va.-based Riverstone Properties LLC purchased the asset from the undisclosed seller. The building was 59 percent leased at the time of sale to 32 tenants. BB&T anchors the property and operates a full-service bank branch on the ground floor. Other tenants include Hampton Roads Chamber of Commerce, Hunton & Williams and Brown & Brown. Eric Robinson and John Duffy of Cushman & Wakefield | Thalhimer brokered the transaction.
ALEXANDRIA, VA. — Newmark Grubb Knight Frank (NGKF) has arranged a 143,440-square-foot industrial lease expansion in Plaza 500, a two-story, 500,800-square-foot industrial property located at 6295 Edsall Road in Alexandria. The owner, First Potomac Realty, signed Paxton Van Lines Inc. to the lease, which increases the moving and storage company’s footprint in Plaza 500 by 36,127 square feet. Larry Fitzgerald of NGKF represented Paxton Van Lines in its original lease at Plaza 500 three years ago and also represented the company in its expansion. Additionally, Fitzgerald represented Paxton Van Lines in its recent $3.6 million sale of 32 acres in Manassas, Va., which is slated to be home to a new data center. With the expansion, Paxton Van Lines is now the largest tenant at Plaza 500.
BALTIMORE AND WASHINGTON, D.C. — An affiliate of HCP Inc. (NYSE: HCP), a seniors housing REIT based in Irvine, Calif., has purchased a portfolio of assisted living and memory care properties in the Mid-Atlantic for approximately $186.3 million. Developed between 1993 and 2013, The Morningside House Mid-Atlantic Portfolio consists of seven seniors housing communities located in the greater Baltimore and Washington, D.C. areas. The seller, a joint venture between Morningside House Senior Living and Harrison Street Real Estate Capital, sold the portfolio for roughly $354,000 per unit. HCP has selected Chicago-based Senior Lifestyle Corp. to operate the assets. The portfolio included: — Morningside House of Ellicott City in Ellicott City, Md. — Morningside House of Friendship in Hanover, Md. — Morningside House of Laurel in Laurel, Md. — Morningside House of Satyr Hill in Parkville, Md. — Morningside House of Leesburg in Leesburg, Va. — Morningside House of Saint Charles in Waldorf, Md. and — Poet’s Walk Memory Care in Fredericksburg, Va. Lisa Widmier and Matthew Whitlock led CBRE Capital Markets’ National Senior Housing team in representing the joint venture in the sale. “This transaction had multiple moving parts, including a new operator — Senior Lifestyle — partnering with a …
RICHMOND, VA. — DKJ Richmond LLC, a partnership between associates of The Monument Cos. and The Edison Co., plans to develop a $44 million mixed-use project adjacent to Richmond’s Carytown district. Known as Cary Street Station, the project is a redevelopment of a historic bus and trolley barn. Situated at the corner of Cary and Robinson streets, Cary Street Station will feature two commercial buildings totaling 16,000 square feet of ground-floor retail and restaurant space and a 1,000-square-foot patio. The bus and trolley barn will be converted to 285 luxury apartment units, with residents moving in by the end of the year. DKJ Richmond plans to deliver the commercial space by the summer of 2017. The developer has hired The Shopping Center Group and JLL to lease the retail and office portions of Cary Street Station.
MANASSAS, VA. — Iron Mountain Inc. has begun construction on its 83-acre data center campus in Manassas. The Boston-based information management services firm has selected Kessinger/Hunter & Co. as a development partner for the first 150,000-square-foot data center, which is expected to open in summer 2017. Kessinger/Hunter’s team of Chuck Hunter, John DeHardt and Kevin Curtin will oversee the building development and land infrastructure improvements. The development team includes JE Dunn Construction Group and Burns & McDonnell Engineering Co. UMB Bank provided construction financing to Iron Mountain for the project, and Bank of Blue Valley provided financing for the land infrastructure. The campus will include at least four individual colocation facilities and feature 60 megawatts of capacity for its tenants.
ARLINGTON, VA. — Carr Properties has begun construction on a 175,000-square-foot, eight-story trophy office building located at 2311 Wilson Blvd. in Arlington’s Clarendon-Court House neighborhood. The LEED Gold-certified building will be anchored by OPower’s corporate headquarters. The project will feature a two-story glass lobby, conference facility, childcare center with an outdoor play area, health club, 5,900-square-foot rooftop terrace with a bocce court, urban park, bicycle center and on-site retail space. The office building will also be situated one block from the Metro’s Orange and Silver transit lines. The design team includes architect MTFA Architecture and general contractor Clark Construction. Carr Properties plans to deliver the asset by the end of 2017.