WASHINGTON, DC-More than a year ago, during the depth of the investment sale freeze here, 1501 M St. traded for $60 million and a 8% cap rate. The sale was among a handful that gave the market hope that a recovery was in the offing. Indeed, that trade did appear to break the ice and slowly others began to follow suit.

Now, the CBD/East End building has sold again, for $79 million and a 6.9% cap, a source tells GlobeSt.com. This time, though, market participants would be wise not to read too much into those numbers. The partial ground lease in place took much of the risk off the hands of the buyer, therefore driving up the sales price. 

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