ROCKVILLE, MD-Brookfield Property Group, a unit of Brookfield Asset Management, has acquired a largely vacant office building here for an undisclosed price. The 110,000-square foot, three-story property has been struggling for the past few years, but Brookfield is planning a capital improvement program to reposition the asset, located at 1375 Piccard Dr., and lease up the available 77,000 feet.
“There’ll be a complete renovation to the lobby and we’ll address some maintenance issues with the HVAC system,” Cassidy Turley SVP Rocky Kern tells GlobeSt.com. Kern is leading the leasing efforts. Once the building is ready for tours, “We’ll market this thing hard, with 5% commissions to cooperating brokers, which is slightly above market rate.” The asking price will be $24.74 per square foot, full service. The TI allowance will vary, Kern says, depending on the suite. “Some need more work than others.”
Cassidy Turley has experience with this submarket—indeed, with the block itself. The company helped lease the adjacent 1355 Pickard Dr. “We brought the occupancy up from 60% or so to about 100%,” Kern says. That building is owned by Brookfield Real Estate Opportunity Fund, a fund sponsored by Brookfield Asset Management.
Cassidy Turley’s Bill Collins, Paul Collins, Drew Flood, Jud Ryan and James Cassidy represented the seller. Deborah Marshall, a VP with Cassidy Turley, will oversee the property management. Brookfield has rebranded the building as “Monarch,” because as Kern explains, it looks like a butterfly.