JBG Recaps Rockwall Portfolio in Buyout

[IMGCAP(1)]ROCKVILLE, MD-The JBG Cos. are buying out their partner, the Blackstsone Group, in two Rockville holdings. The firm has recapitalized Rockwall I & II, two class A buildings that total 345,885 sf.

The buildings are located at 11400 Rockville Pike and 5515 Security Ln. in the North Bethesda submarket. Paul Collins, Bill Collins, Drew Flood and James Cassidy of Cassidy & Pinkard Colliers arranged the recapitalization.

[IMGCAP(2)]According to the Cassidy & Pinkard Colliers website, Rockwall I & II are 161,260 sf and 184,721 sf, respectively. Rockwall I is 96% leased. The buildings are located adjacent to a new retail and residential development JBG has under construction. The 650,000-sf project will have a Whole Foods, an LA Fitness Club and 400 residential units–all of which are expected to serve as an amenity base for the Rockwall I & II.

A close-in submarket to the District, Rockville is fairing well, considering the tightening commercial real market. Recent transactions include a 230,000-sf lease renewal by Lockheed Martin I, located at 9211 Corporate Blvd., and Lockheed Martin II located at 9221 Corporate Blvd. The buildings are owned by Piedmont Realty. Also, in February an empty office building traded hands for $24.1 million, or $230 per sf. Carr Properties purchased the 104,782-sf building, called Woodmont Place, from the Brookfield Real Estate Opportunity Fund.