Japanese investor sells D.C. office for $260m
Tokyo-based Mitsubishi Estate and its partner Rockefeller Group are under contract to sell an office building located at 1101 K Street in Washington, D.C., for $260 million. The new owner is Zurich-based UBS Realty.
The CBD office totals 291,468 square feet spanning across 10 stories. It is 96 percent occupied. Major tenants include FTI Consulting and Bloomberg.
Mitsubishi Estate and Rockefeller Group purchased the property in 2011 for $199 million.
The D.C. office sector continues to boom with investors’ capital. During the past seven quarters, the sector averaged $1.8 billion in completed deals per quarter, according to Real Capital Analytics’ data. During the first quarter, 39 office properties were sold for a total of $1.8 billion in sales volume. Thus far this quarter, 29 office buildings have gone under contract for a total transaction volume of $1.9 billion. The highest quarterly sales volume in the past two years was during fourth