In a increasingly competitive D.C. Area office market – for landlords, Bethesda-based, First Potomac Realty Trust (NYSE: FPO) (NYSE: FPO-PA) managed to sign four new small lease transactions totaling 19,073 square feet, all within Washington, D.C.
440 First Street, NW in downtown Washington, D.C. was leased to the Natural Product Association, the non-profit organization took 4,947 square feet. The property is 66% leased with two other tenets, including the Institute of Science and International Security, a non-profit institution leasing 1,145 square feet, and Dell USA, a subsidiary of Dell Inc, taking a 3,396 square feet on lease.
Another property, 1401K Street is now on lease to Center for Democracy & Technology, a non-profit organization, which took 83% of building's office space.
440 First Street property is a class-A property with a total space of 140,000 square feet and located between Judiciary Square and Union Station metro stations on the Metro Red Line. The building includes two rooftop terraces, a fitness center, a conference center/boardroom, retail/restaurant space, and underground parking. The property is LEED Platinum certified, and was also ranked third in The Washington Business Journal for Leed-Certified spaces in 2013.
1401K Street property is a 117,093 square feet, twelve-story office building situated near Metro’s Red, Blue, Orange Lines and Franklin Square. The K street building is also listed in the National Register of Historic Places and considered as one of the first art-deco office buildings in the country.
First Potomac’s COO Robert Milkovich noted in a statement that he is pleased with the deal as it is according to the planned growth objectives. Several local real estate investment trusts or REITs, have formed strategic plans to acquire urban office properties and unload suburban ones.
First Potomac owns more than 8.0 million square feet primarily in the D.C. area as of March 31, 2015. The trust stock has been trading in a range between $10.51 and $10.63 so far in the day, the 52 week high was $13.52 and the low $9.88. The company which issues dividends has a market value is approximately $620 million.