WASHINGTON, DC-Akridge and Mitsui Fudosan America broke ground on their spec trophy class office building at 1200 17th St., Tuesday morning.
The 168,000-square foot building is being designed to LEED Platinum standards and is scheduled to deliver in the fourth quarter of 2014. The owners initially decided to build it on spec—during it a time, it must be noted, that precious few developers were taking a chance on spec office, even in the District—and then inked a lease for 105,000 square feet earlier this year.
Pillsbury Winthrop Shaw Pittman is the tenant, bringing the building to 63% pre-leased.
A few months prior to the Pillsbury lease, one of the original developers in this deal, First Potomac Realty Trust, sold its share of the project, a 95% stake, for $43.4 million. The duo had acquired the building for $37.6 million from the National Restaurant Association. Shortly after they petitioned a permit to demolish the office there to build a better, greener building. The development costs have been cited at $100 million.
Zimmer Gunsul Frasca Architects LLP is the project architect, and Balfour Beatty will serve as general contractor.
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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.
