ROCKVILLE, MD—Rubenstein Partners, L.P. has acquired the 227,000-square-foot Research Plaza office complex here for $38 million, increasing its office portfolio in the Washington, DC market.
The Philadelphia-based real estate investment firm plans to undertake a capital improvement program at the complex that is currently 75% leased. The purchase of the Class A office property at 1445-1455 Research Blvd in Rockville, MD follows the company’s sale of a major office complex in the Boston suburb of Waltham, MA—CenterPoint—for $86 million to Hilco Real Estate of Northbrook, IL.
Rubenstein’s business plan calls for the creation of walking connections to a new retail center currently being built adjacent to the Research Plaza property, which will help tenants access the new retail amenities at the complex.
“Rubenstein Partners was drawn to the opportunity of acquiring a best-in-class asset, with walkable retail amenities,” notes Read Mortimer, SVP for Rubenstein. “The addition of walkable restaurants and fitness at the new retail center opening next door, coupled with our planned improvements to the property, will add to the appeal of the tenant experience at Research Plaza.”
He adds that Rubenstein expects tenant interest to grow from tenants that are seeking a well-located and highly amenitized office experience in the Washington DC region. The purchase of Research Plaza also allows Rubenstein to increase its operating presence in the DC market, which he notes has continued to expand over the last few years.”
Paul Collins, Drew Flood and Shaun Collins of Cushman & Wakefield represented the seller in the transaction. The Washington Business Journal identified the seller as Realty Associates Fund VIII LP based on public records.
Originally built in 1998, Research Plaza features a two-story marble lobby, on-site parking, fitness center and deli. In addition, the property enjoys convenient access to I-270 and close proximity to the numerous shopping and restaurant options at the nearby Research Row, including the recently announced Cooper’s Hawk Winery, a restaurant and bar with an in-house winery and tasting room.
The Rubenstein Company, LP and affiliates, founded in 1969, was one of the largest private owner operators of Class A office real estate in the Mid-Atlantic, owning and operating a portfolio of assets valued at approximately $1.2 billion at the time of its disposition in 2004. Since 2005, Rubenstein Partners has, on behalf of its investors and clients, invested in more than 10 million square feet of office real estate assets throughout the Eastern United States.