STAFFORD, VA-The Washington Real Estate Investment Trust has acquired two office buildings within Quantico Corporate Center for $68 million. The newly constructed, four-story buildings total approximately 271,000 square feet are fully leased to 14 tenants, including BAE Systems, General Dynamics and MITRE.
Located at 925 and 1000 Corporate Dr., they are the first two office buildings at the Quantico Corporate Center office park. WRIT funded the purchase with cash and its line of credit. The REIT expects to achieve a first-year unleveraged yield of 8.8% on a cash basis.
Situated adjacent to Marine Corps Base Quantico, the park is a prime beneficiary of BRAC, which directed five military department investigative agencies to co-locate at the Quantico base by September 2011. The corporate office has the potential to develop one million square feet of commercial mixed-use space--a possibility that WRIT might explore, according to CEO George McKenzie, along with additional acquisitions.
This is one of the first major purchases WRIT has made in some time. Last year, it acquired a medical office building in Leesburg, VA for $19.9 million. In 2006 and 2007, by contrast, WRIT loaded up on medical assets throughout the greater Washington area.
© Touchpoint Markets, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to asset-and-logo-licensing@alm.com. For more inforrmation visit Asset & Logo Licensing.
