WASHINGTON, DC-Local REITs Chesapeake Lodging Trust and Washington Real Estate Investment Trust are in the process of raising $115.2 million and $300 million, respectively, via separate public offerings. Chesapeake Lodging Trust priced its public offering of 6.5 million common shares at of $18.50 per share, with the offering expected to close on September 18, 2012.

Deutsche Bank Securities Inc., J.P. Morgan Securities LLC and Wells Fargo Securities, LLC are the joint book-running managers and Robert W. Baird & Co. Incorporated, KeyBanc Capital Markets Inc., RBC Capital Markets, LLC, and JMP Securities LLC, co-managers. The REIT intends to use the net proceeds of the offering to repay borrowings under its revolving credit facility and for general corporate purposes, including the acquisition of hotels.

Earlier this week WRIT priced an underwritten public offering of $300 million of senior unsecured notes due October 15, 2022. The notes have an annual coupon rate of 3.95% and were priced at 99.438% of the principal amount. Their sale is expected to close on September 17, 2012. WRIT is using the net proceeds to repay borrowings under its lines of credit and the remainder for general corporate purposes. J.P. Morgan Securities LLC, Citigroup Global Markets Inc., Wells Fargo Securities, LLC and Credit Suisse Securities (USA) LLC are the joint book-running managers and Merrill Lynch, Pierce, Fenner & Smith Incorporated, Raymond James & Associates, Inc., Stifel, Nicolaus & Co. and SunTrust Robinson Humphrey, Inc. are senior co-managers.

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Like Chesapeake, WRIT is also in capital recycling mode. The REIT recently completed the sale of 1700 Research Blvd., a 101,000 square foot office building in Rockville, Md., for $14.25 million, achieving a net book gain of $4 million. The REIT is focusing its strategic dispositions on suburban office buildings that no longer fit its long-term vision, according to George F. “Skip” McKenzie, president and CEO of WRIT. “ Selling 1700 Research Boulevard allows us to continue to hone our strategy of owning properties inside the Beltway, near major transportation nodes and in areas with strong employment drivers and superior growth demographics," he says in a prepared statement.

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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.