X

Thank you for sharing!

Your article was successfully shared with the contacts you provided.

WASHINGTON, DC-An affiliate of Boston-based Beacon Capital Partners LLC has named Cassidy & Pinkard Colliers to manage the 5.3-million-sf DC and Northern Virginia office portfolio it acquired from the Blackstone Group. The holdings come from what used to be Equity Office Properties Trust’s DC portfolio, before the company was acquired by Blackstone earlier this year in a $39-billion cash transaction.

In its typical understated style, Beacon Capital has been sparse in the details it has provided about its acquisition here. The purchase price has not been released, although a source tells GlobeSt.com that Beacon was under contract to acquire the Washington, DC/Northern Virginia and Seattle EOP assets from Blackstone for $6.5 billion.

With what is arguably the largest third-party office leasing management contract ever to be awarded in the District under its belt, Cassidy & Pinkard Colliers is in the process of evaluating what can be done to bring value to the 97%-occupied portfolio.

“Beacon’s plans are to focus on building and creating value in these assets,” CEO Robert Pinkard tells GlobeSt.com. “We are going to focus on all aspects of the operations of the buildings as well as invest some capital to make them better work spaces for tenants.” Pinkard could not provide a dollar figure for capital improvements as the firm is still evaluating the portfolio.

The Beacon-Blackstone transaction has had a powerful, albeit understated effect on investment sales prices in the DC market in Q1, Tony Ginter, research director for GVA Advantis tells GlobeSt.com. “Even though we didn’t know when the deal would close, this portfolio sale as well as a few others have put downward pressure on per-sf investment sales prices this quarter.”

For instance, she says, class A buildings in the District now average about $436 per sf. At year end 2006, that number was $488 per sf.

Cassidy & Pinkard Colliers will be managing 21 class A office buildings. In the District, these are: the 681,051-sf Market Square East & West Towers at 701 and 801 Pennsylvania Ave.; the 102,822-sf Army & Navy Club Building at 1627 Eye St.; the 157,550-sf Liberty Place at 325 7th St.; the 314,634-sf One Lafayette Centre at 1120 20th St.; the 130,704-sf Two Lafayette Centre at 1155 20th St.; and the 259,441-sf Three Lafayette Centre at 1155 21st St.

In Northern Virginia, it will be managing the 758,458-sf, three-building Reston Town Center on Freedom Drive; the 331,085-sf American Center East & West at 8300 and 8330 Boone Blvd. in Vienna; the 216,469-sf 11111 Sunset Hills Rd. in Reston; the 441,456-sf John Marshall I & IIII at 8283A and 8283C Greensboro Dr. in McLean; the 290,552-sf E.J. Randolph I & II at 8251 and 8255 Greensboro Dr. In Arlington Cassidy & Pinkard will manage the 354,392-sf Polk Building at 2521 South Clark St.; the 547,930-sf Taylor Building at 2530 Crystal Dr.; the 292,826-sf 1616 North Fort Myer Dr.; and the 380,199-sf 1300 North 17th St.

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?

GlobeSt

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.