This Week's D.C. Deal Sheet: Skanska Delivers New Office
There’s a new office building in town.
Skanska announced it has completed construction of 3901 Fairfax, a 201K SF tower in Arlington.
The nine-story property designed by Arcadis includes 10K SF of ground-floor retail and an 8K SF street-level public plaza. It also features a penthouse, rooftop terrace, integrated biophilia features, private tenant terraces and a fitness facility. The office building is the first in Northern Virginia to be WELL Core Precertified, Skanska said.
“The dynamic indoor / outdoor spaces at 3901 Fairfax are the ideal setting for fostering innovation and collaboration in one of the most desirable corridors in the DC metropolitan area,” Skanska Executive Vice President Mark Carroll said in a press release.
Skanska acquired the development site in 2019 for $17.25M. The 1-acre piece of land had long been planned as the site of an office building by its previous owners, Bernstein Management Corp. and Crimson Partners, which received county approval for the spec office building in 2012.
LEASES
Donohoe Commercial Real Estate inked four tenants to its Upton Place mixed-use development on Wisconsin Avenue. Fast-casual Indian eatery Botiwalla is taking more than 3,200 SF, Salon Maison de Beaute is taking nearly 2,600 SF, Yu Noodles is taking 1,800 SF, and Chopt Creative Salad Co. is taking 2,500 SF at the property. The tenants are projected to open in the spring and summer of 2025. Upton Place is a 689-unit, 105K SF retail development at the former Fannie Mae headquarters. A 55K SF Onelife Fitness and 29K SF Lidl are expected to open at the property in August and September, respectively.
Donohoe was represented in-house by Bert Donohoe and Don Konz. Asadoorian Retail Solutions represented Botiwalla, H&R Retail represented Yu Noodles and Papadopoulos Properties represented Chopt.
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GoodVets is coming to JBG Smith’s new National Landing apartment development. The animal hospital provider is taking more than 2K SF on the ground floor of The Grace, the Bethesda-based REIT announced this week. The property is one of a pair of apartment towers built on the site of a 1970s-era office building at National Landing near Amazon HQ2. The Grace and its sister development, Reva, rise 300 feet and have 808 apartment units and 40K SF of ground-floor retail. In total, JBG has inked nine retail leases. Van Leeuwen Ice Cream and Tatte Bakery & Café are already open at the property, and Colada Shop is set to open next month. The towers were 49.5% leased at the end of July.
JBG Smith was represented in-house by Lauren Greco, and KLNB's Kelley Milloy and Kelly Atkinson represented GoodVets.
SALES
Finmarc Management has acquired nearly 500K SF of commercial office space in Centreville, Virginia. The Bethesda-based company announced it paid $39M for Trinity Centre, four properties at 5860, 5870, 5875 and 5885 Trinity Parkway. A joint venture between Spear Street Capital and Partners Group sold the properties, which were 71% occupied at the time of the transaction.
Cushman & Wakefield represented the seller, and Finmarc Management was represented in-house. Kelley Drye & Warren provided legal services to Finmarc.
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Cortland purchased a 298-unit apartment building blocks from Amazon HQ2 late last month. The Atlanta-based owner paid $104M for Park at Pentagon Row, previously owned by Dweck Properties, county deed records show. The price works out to about $350K per unit. Berkadia Senior Managing Director Brian Crivella announced that his team brokered the sale in a LinkedIn post last Friday. Dweck had paid $117M for the property in 2019.
FINANCING
NRP Group has refinanced its 390-unit apartment building in Tysons Corner. The Cleveland-based developer and owner secured a $94.3M Freddie Mac fixed-rate loan for The Rylan at 1768 Old Meadow Road. KeyBank Real Estate Capital worked on behalf of NRP Group to secure the nonrecourse first mortgage loan. It is structured with a five-year term, and after a three-year interest-only period, it amortizes on a 35-year schedule. NRP and OnePoint Holdings developed the property, which delivered in 2023. KBREC’s Rob Garrison and Anthony Tavrell structured the financing.
PERSONNEL
Eagle Bank has named Kevin Geoghegan chief credit officer and announced Friday that Chief Operating Officer Jan Williams is retiring next year. Geoghegan was most recently chief operating officer at First Midwest Bank, which in 2022 merged into Old National Bank. He has also held credit risk leadership positions at PNC Financial Services Group and National City Bank.
Williams started her tenure at the bank in 2003. Her last day is set for June 30, 2025.
