This Week's D.C. Deal Sheet: Reston Office Park Once Eyed For Huge Development Sells
A 1990s-era office complex on a site where Tishman Speyer had planned to build a 2M SF mixed-use development has a new owner.
Bernstein Management Corp. purchased Reston Crossing, a 334K SF property next to the Dulles Toll Road, for an undisclosed price, it announced this week. The two-property complex is 54% leased, it said.
The sale hadn't been posted to Fairfax County property records as of the time of publication. Tishman Speyer, the seller in the deal, declined to comment.
“With our reset basis and long-term commitment, we are well positioned and capitalized to attract new clients to Reston Crossing,” Bernstein Management Corp. Senior Vice President of Commercial Leasing Austin Herndon said in a release.
Tishman Speyer had been planning to redevelop the 14-acre site next to the Silver Line since January 2018. As of its 2019 filing with the county, Tishman was planning to build seven mixed-use buildings on the 14-acre site next to the Silver Line, including up to 890K SF of office, more than 1M SF of residential and up to 50K SF of retail, the Washington Business Journal reported at the time.
Reston Crossing is located at 2001 and 2003 Edmund Halley Drive and was renovated in 2015. Bernstein's release said the site has entitlements in place for future office, residential and retail development.
Bernstein has three more office buildings in the Reston/Herndon submarket: 11600 Sunrise Valley Drive, Parkridge I at 10800 and 10802 Parkridge Boulevard, and Dulles Corporate Center at 13755 Sunrise Valley Drive in Herndon.
LEASES
The Johns Hopkins Health System Corp. signed a 68K SF medical office building lease at West Falls. The university-based provider is set to take the fourth, fifth and sixth floors of Trammell Crow Co.'s The Wellness Center at West Falls — a 126K SF medical property — for primary care and cancer care services. Hoffman & Associates is the master developer behind the property, which is planned for 1.2M SF at full buildout.
FINANCING
Crimson Partners secured a $73.6M senior loan to refinance a 356-unit Herndon multifamily building that it delivered last year. PGIM Real Estate, which provided the loan for Makers Rise, announced the deal in a release this week. PGIM Executive Director Trevor Arnholt led the financing. The property includes 5,600 SF of ground-floor retail, gated access, a pet spa, an elevated swimming pool, EV charging stations and a meditation courtyard.
MILESTONES
JBG Smith unveiled its plans for three more of its Potomac Yard parcels. The developer is proposing to build more than 750 multifamily and townhouse units at the site, including 100 affordable units. The multifamily units would be across two seven-story apartment buildings alongside 116 single-family townhome units. The site is part of the emerging Potomac Yard neighborhood in Alexandria, which had nearly landed a new $2B entertainment district for D.C.’s hockey and basketball teams before the plan died in March.
PERSONNEL
Enterprise Community Development has hired a new head of property management. Shay Dugan is joining the Mid-Atlantic affordable housing developer and owner as a senior vice president, the company announced this week. She comes with more than 30 years of executive leadership experience managing portfolios from 6,000 to 20,000 units across the Mid-Atlantic and Midwest. Dugan has worked for A&R Companies, Edgewood Management, TM Associates and Humphrey Management.
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Suffolk hired a new general manager to oversee operations in the Mid-Atlantic region and accelerate the company’s federal government work. Philip Brault has over 20 years of experience working on project areas, including federal, education, museum and hospitality. He was previously the regional director for Consigli’s D.C. team and has worked on projects including the Lincoln Memorial Undercroft, the Smithsonian National Air & Space Museum Revitalization and the US Naval Academy MacDonough Hall.
