FOR IMMEDIATE RELEASE
July 31st, 2002
HARBOR GROUP INTERNATIONAL PURCHASES
WASHINGTON, D.C. OFFICE BUILDING
Harbor Group International (HGI) of Norfolk,
Virginia has acquired the 11-story, 100,000 square foot
building located at 1015 18 th Street , NW in the heart
of Washington, D.C. and only two blocks south of the White
House. 1015 Financial Associates, L.L.C., an affiliate
of HGI, in a joint venture with a corporate investor, purchased
the property from the State of Illinois Pension Fund advised
by Lincoln Properties at a purchase price of $21,000,000.
“
Washington, D.C. is one of the strongest markets
in the country for investment real estate,” said
Jordan E. Slone, Harbor Group International Chairman
and CEO. “Plenty of government jobs
have stimulated the economy in the area, and few
real estate investment opportunities are available
due to high demand.”
The building was completed in 1970 and renovated in 1999 and 2000. It
is currently 87% occupied with a mix of 30 typical Washingtonian tenants.
Major tenants include The Hudson Institute, The Federalist Society, Delphi
International, YWCA Headquarters, Energy Resources International, Katz & Ranzman,
P.C., Metro Water District, and the Mineralogical Society.
The property is located on 18 th Street between K and L Streets in the
center of Washington, D.C. The building has three subterranean
levels of parking with 121 spaces and is one block from the Metro stations
for the Red, Blue, and Orange lines.
The Washington, D.C. office market is the second largest in the country,
second only to New York City. It consists of over 89.7 million square
feet, of which 63.6 million square feet are located in the two core markets,
the historical Central Business District (32.4 million square feet) and
the growing East End district (31.2 million square feet). As of the end
of the fourth quarter 2001, the downtown Washington, D.C. office market
had a direct vacancy rate of 4.7% and an overall vacancy (including sublease
space) of approximately 6.8%, one of the tightest office markets in the
United States.
1015 18 th Street continues HGI’s aggressive acquisition strategy
of the past few years, while increasing the company’s presence
in high profile markets. HGI has acquired other trophy properties such
as PNC Center in Cincinnati, Ohio, the SunTrust Center, and First Virginia
Tower in Norfolk, Virginia, Bank One Tower in Lexington, Kentucky, SunTrust
Bank Building in Nashville, Tennessee, National City Center in Indianapolis,
Indiana; as well as former Koger Center office parks in Nashville, Tennessee,
Columbia, South Carolina, Norfolk, Virginia and El Paso, Texas.
Harbor Group International currently owns $800 million worth of properties
in 15 states in the United States as well as three different countries. For
more information, click here.
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