Here’s the thing you need to know about Federal Capital Partners’ sale of Georgetown’s Flour Mill office building for $50 million: FCP’s offices will remain there so morning coffee from Dean & Deluca and lunches from Hook and Black Salt won’t be affected.
Okay, some more: It’s 125k SF built in 1980 (ie, not the residential part). FCP and finance partner Angelo Gordon bought it for $25M in ’03 and put in $3.5M for improvements—nice return, guys. Buyer was San Fran’s Spear Street Capital. Broker was Eastdil. Above, FCP partners Lacy Rice and Esko Korhonen (both previously from Carlyle), and VP Howard Jenkins met up with us there this week.They believe the sale reflects the continuing heat of the market. Looking forward, these self-styled value players will increasingly focus on multi-family and workforce housing—such as a new project in Bladensburg, Md.
The Mill fronts the Potomac River, backs the C&O Canal, and overlooks the much anticipated Georgetown Waterfront Park—the largest new park in DC in years, and the final link in 225 miles of green space along the Potomac River stretching from Mt. Vernon to Cumberland. Well, not much yet, but try to imagine.
Meanwhile, across town, NoMa is rapidly taking shape. We met up with Liz Price, president of its BID, for a Capitol Plaza rooftop tour. Know what that is above? Tishman Speyer’s great big hole at 1100 First St. NE. Those Davis diggers are fast; ground was just broken this summer. Delivering in 2009 will be a 12-story, 380,000 SF Krueck & Sexton/Gensler designed office.
From another angle, Liz and Bisnow About Town Editor Stacey Pfarr with views of One NoMa Station and (if you squint and see a tube in the upper left) Douglas Development-owned Uline Arena (the site of the Beatles first North American concert). Also, ATF is up and running nearby, with final retail leases to be announced any day.
Liz with two of the NoMa Clean Team. Six men from Gospel Rescue Ministry’s Ready to Work Program are out 7 days a week removing weeds, trash, and graffiti to spruce up the area. Now that Phase I of the BID (1M SF of Class A office) is complete, Phase 2 4Q 2008 groundbreakings will include offices (J Street’s 111 K St and Trammel Crow’s 1st and K), residential (Archstone-Smith’s Square 673), and mixed-use (StonebridgeCarras’ Constitution Square). Ultimate vision? A mixed-use destination neighborhood that’s lively after 6pm.