Thank you for sharing!

Your article was successfully shared with the contacts you provided.

WASHINGTON, DC-Nothing will get in the way of the development of new US Department of Transportation headquarters complex now that construction financing to the tune of $490 million has been put in place. LJ Melody & Co., the banking division of real estate services firm CB Richard Ellis, orchestrated the financing on behalf of project developer JBG Cos. The funds, which come in the form of a bond issuance at an unspecified “low interest rate,” are from Credit Lyonnais Securities (USA) Inc. “The structuring with Credit Lyonnais provided a smooth execution of a highly structured asset backed transaction allowing us to address issues related to proceeds, negative arbitrage, bond insurance and other cost reductions or eliminations while minimizing overall interest costs and maximizing proceeds,” LJ Melody’s Paul C. Dougherty says. Upon completion of the work, the General Services Administration will lease the space from JBG Cos. under a 15-year agreement with the option for a 10-year renewal.Currently headquartered in the Nassif building at 400 7th St., SW, the Transportation Department’s new 1.4-million-sf home will occupy an 11-acre parcel within the Southeast Federal Center, or Navy Yard Annex, on M Street, also in the southwest area of the District. The Michael Graves & Associates-designed facility will consist of two structures at nine and eight stories each, with an underground parking garage capable of accommodating up to 950 vehicles. The Transportation Department’s approximately 5,500 employees–currently scattered about among the 7th Street location and other sites–are scheduled to move into the new headquarters in 2006.

Want to continue reading?
Become a Free ALM Digital Reader.

Once you are an ALM digital member, you’ll receive:

  • Unlimited access to GlobeSt and other free ALM publications
  • Access to 15 years of GlobeSt archives
  • Your choice of GlobeSt digital newsletters and over 70 others from popular sister publications
  • 3 free articles* across the ALM subscription network every 30 days
  • Exclusive discounts on ALM events and publications

*May exclude premium content
Already have an account?


Join GlobeSt

Don't miss crucial news and insights you need to make informed commercial real estate decisions. Join GlobeSt.com now!

  • Free unlimited access to GlobeSt.com's trusted and independent team of experts who provide commercial real estate owners, investors, developers, brokers and finance professionals with comprehensive coverage, analysis and best practices necessary to innovate and build business.
  • Exclusive discounts on ALM and GlobeSt events.
  • Access to other award-winning ALM websites including ThinkAdvisor.com and Law.com.

Already have an account? Sign In Now
Join GlobeSt

Copyright © 2020 ALM Media Properties, LLC. All Rights Reserved.