WASHINGTON, DC—Yesterday we reported that an office building at 277 S. Washington St., in Alexandria, VA, traded for $53.5 million. The seller is Carr Properties and the buyer is a local investor that structured the transaction as a 1031 deal with the assistance of Transwestern's Joe Friedman and Julian P. Etches.
GlobeSt.com caught up with Etches to get more information about the transaction.
He declined to reveal the buyer but said it was the same company that sold the Washington Real Estate Investment Trust the Spring Valley Retail Center last year for $40.5 million. The proceeds from that transaction were used to acquire The Atrium Building, as this property is called.
"The buyer wanted to take advantage of the low cap rates and high demand for infill core retail assets," he says. Spring Valley traded at a sub 5-cap rate, Etches says, while the Atrium Building is being purchased in the 7-cap rate range.
The investor's larger goal with these deals has been to increase the size and value of its portfolio. "You can see from the delta and spread of the two deals that he is accomplishing that."
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