60,500-SF Office Property Sells for $14.2M

WASHINGTON, DC-Georgetown Landings, a 14-year-old, 60,500-sf office building, has been sold in a $14.2 million transaction. An unnamed Gates Foundation-funded non-profit organization located in the District acquired the building from Germany-based IC Real Estate Group through its affiliate Ekuro-Canada IC Properties. According to city records, 3333 K St. has a 2003 assessed value of nearly $10.3 million.

Real estate services provider Grubb & Ellis Co. marketed Georgetown Landings on behalf of the owner and lists the building as 51% occupied as of July 11, but it was only 30% occupied when the sale was negotiated. Space in the building leases for about $28 to $34 per-sf. The structure had been leased to capacity before its lead tenant decamped.

“Despite losing the primary tenant, we were able to adapt our marketing strategy mid-course and target potential owner-occupants,” Grubb & Ellis Investment Group senior vice president Steven Gichner says. “We have been very successful at creating marketing programs that adapt to the circumstances of a building to maximize value.” CB Richard Ellis stood in for the buyer in this transaction. The foundation will occupy an unspecified amount of space in the structure.