CBRE, Kelley Land Helicopter Group in Newly-Acquired Office

ALEXANDRIA, VA-The Helicopter Association International has acquired a four-story, office-and-retail building in the Carlyle District for $17.1 million. The group will use part of the building as its headquarters and lease out the rest. It is a plan the association’s leadership has had in mind for years—almost since LCOR began developing the 62,066-square foot building in the late 2000s—but for various reasons that plan never came to fruition until now.

CBRE’s Ed Clark and Steve Hoffeditz represented LCOR in 1920 Ballenger Ave.’s trade. Kelley Commercial’s Paula Kelley repped HAI in the deal.

“We’ve been speaking with HAI since the building’s construction,” Clark tells GlobeSt.com. “They’ve always had an interest in buying it.” However at the time, LCOR wanted to keep and lease the property. The building delivered in 2008—and then, due to the recession, it sat empty. Last year, another association, Catholic Charities USA, purchased the sister building, 2050 Ballenger Ave., from LCOR for $24.6 million.  That deal inspired HAI to resume talks with the developer, who by that point was willing to pursue a sale, Clark says. “LCOR found it difficult to lease out the properties during the downturn.”

HAI will occupy two stories and lease out the remaining office floor and first floor of retail, he says. Asking rates have not yet been determined.

The two sales are positive news for the submarket, which is very close to Old Town. “This area of Alexandria has always been a strong market for associations and not-for-profits,” says Clark. Activity from that sector slowed dramatically during the recession so it is good to see it start to re-emerge.” Indeed, here and there, throughout the metro area, not-for-profits have been quietly bolstering DC’s occupancy rates and investment sales.