WASHINGTON, DC-J Street Development has sold a floor on itsoffice condo building in the NoMa submarket at 111 K St., NE.Student Affairs Administrators in Higher Education has purchasedthe 10th floor, which is approximately 9,400 square feet. Thepurchase price has not yet been recorded. A second buyer, also anassociation, is poised to take another floor as well, J StreetDevelopment president Bruce Baschuk tells GlobeSt.com. "Hopefullywe will able to announce that this week."

|

Baschuk declined to discuss pricing other than to say valuationsappear to have settled at roughly 20% lower than when the buildingfirst delivered. A year-and-a-half ago J Street had three buyersready to go forward, buyers that allowed J Street to secureconstruction financing. Two dropped out and for the last yearactivity and interest in the building has been very quiet. Baschuksays that has changed in the last 60 days, with the company nowgiving a couple of tours a week.

|

Bill Meyer of the Meyer Group represented NASPA, the studentsaffairs association, in the deal. Bruce Pascal, Mark Klug and DougMueller of CBRE repped for J Street.

|

111 K Street is an 11-story, approximately 90,000-square-footbuilding. The first floor is retail, which Baschuk says is in theprocess of leasing up as well. The second floor is a conferenceroom.

|

Want to continue reading?
Become a Free ALM Digital Reader.

  • Unlimited access to GlobeSt and other free ALM publications
  • Access to 15 years of GlobeSt archives
  • Your choice of GlobeSt digital newsletters and over 70 others from popular sister publications
  • 1 free article* every 30 days across the ALM subscription network
  • Exclusive discounts on ALM events and publications
NOT FOR REPRINT

© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.

Erika Morphy

Erika Morphy has been writing about commercial real estate at GlobeSt.com for more than ten years, covering the capital markets, the Mid-Atlantic region and national topics. She's a nerd so favorite examples of the former include accounting standards, Basel III and what Congress is brewing.