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Reston Association Office Building Gets New Owner

by Karen Goff — March 19, 2015 at 11:00 am 2 Comments

Reston Corner II/Courtesy Atlantic Realty

Atlantic Realty Companies (ARC) of Tysons Corner and Angelo, Gordon & Co. (AG) of New York City have teamed up to acquire four office buildings totaling 499,696 square feet in Reston.

The purchase of Reston Corner I, II and III and the nearby Parkridge V cost about $82 million, says an Atlantic Realty spokesman. The buildings are 50 percent leased, and Reston Association is a major tenant in one of them.

The buildings comprise an office park located at the corner of Sunrise Valley Drive and Reston Parkway. Parkridge V is one of six office buildings in the Parkridge office park, near the Dulles Toll Road on Sunrise Valley Drive.

“Atlantic Realty has deep roots in Reston, having developed such well-known destinations as Plaza America,” said Atlantic Realty President David Ross said in a statement. “In fact, in 1992-93, our newly formed company was located in Reston Corner III. We are pleased to join with Angelo, Gordon to expand our Reston portfolio at this exciting time.”

Nearly $5 million was invested recently in improvements to the buildings’ elevators, lighting systems, restrooms, and the mechanical, electrical, and fire/ life safety systems. The ARC-AG partnership plans to spend an additional $5 million to improve the buildings and outdoor common areas.

The buildings were sold by an affiliate of the Garrison Group, which acquired them in 2011 after previous owner Penzance Cos., which paid $202.5 million in 2007, defaulted on payments on its more than $100 million loan.

The buildings are out of walking distance to the Wiehle-Reston East Metro station, however, they will be a short walk to the Reston Town Center station when the Silver Line is extended after 2018.

This sale is third major commercial real estate deal in Reston in recent months, perhaps proving its desirability as an office location now that it is Metro-accessible.

Federal contractor Noblis in January leased more than 160,000 square feet on Edmund Halley Drive near the Dulles Toll Road. Last week, Fannie Mae announced it would lease all 185,000 square feet of a building at 12000 Sunrise Valley Dr.

Bechtel, which has it global operations headquarters at 12011 Sunset Hills Rd., announced earlier this month it plans to lease another 175,000 square feet of office space as it relocates hundreds more employees to Reston.

Photo: Reston Corner II/Courtesy Atlantic Realty

  • Reston Realist

    Beautifully said, not only about the Board candidates but about our current Board’s tight-lipped secrecy about a stunningly bad idea and an even worse deal.

    The deal is even worse than the one acre of hardwoods for a drainage ditch swap! You just can’t make up this crap.

    How do I “up vote” and op-ed?

  • Greg

    With the rent being paid by the RA for its Taj Mahal offices, it’s no wonder that building sold.

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