This trade follows one WRIT made last month with an industrial property in Elkridge, MD. The REIT sold Tech 100 Industrial Park for $10.54 million. WRIT achieved a net book gain of $4.2 million on its sale and a 14% unlevered IRR on the sale to Hill Management Services. The three-building 100 Industrial Park totals 166,000 square feet.

Tech 100 Industrial Park was one of the last deals to close for the company's Q2, CEO Skip McKenzie said in the quarterly earnings conference call last week. Last quarter the REIT also "completed the sale of our weakest multi-family asset, the Avondale Apartments, for $19.75 million and recorded a $6.7-million gain on the sale," he noted.

So far it is doing reasonable well considering the environment, he said, delevering its balance sheet by raising $112.4 million of equity and repurchasing $40.8 million of its convertible notes at a discount to par. Also, as of June 30, its commercial portfolio was 92.2% leased--a number boosted by the 150,000-square-foot renewal signed at 1776 G St. in Q2--and the multifamily portfolio 96.9% leased.

"While we are pleased with the performance we have achieved, we recognize that this is an extremely challenging operating environment, and we anticipate it to continue as such for the balance of 2009," he said.