PRP Buys 2 Foreclosed Mark Center Office Buildings For $40M
Two of Alexandria's Mark Center office buildings that were foreclosed on have been acquired for $40M.
D.C.-based PRP Real Estate Investment Management acquired the properties, at 4900 Seminary Road and 4825 Mark Center Drive, from loan servicer C-III Asset Management, on behalf of U.S. Bank.
The property at 4825 Mark Center Drive, built in 2000, has 220K SF across eight floors. The 4900 Seminary Road building, constructed in 1986, has 200K SF across 12 floors. The buildings sit at the intersection of Seminary Road and Interstate 395, next to the Hilton Alexandria Mark Center.
Duke Realty defaulted on a loan for the assets, Commercial Property Executive reports. The properties had previously been worth over $120M combined in 2012, according to property records, but since had their values slashed and were worth roughly $42M in 2017.
PRP plans to renovate the 4900 Seminary Road building with new lobbies, common areas, elevators and a new HVAC system.
"We acquired and fully capitalized this transaction to be able to quickly respond to the dynamic office and retail leasing opportunities in Northern Virginia," PRP President Paul Dougherty said. "We are in discussions with several private sector office and retail tenants whose presence will transform and reinvigorate this submarket of Alexandria."
In August, JBG sold a 2,664-unit Mark Center apartment portfolio to Morgan Properties for $509M, one of the largest D.C. real estate deals of 2017.
