Finmarc Management, an investment firm based in Bethesda, Maryland, has acquired a pair of office towers in Tysons, Virginia, for US$77.5 million. This purchase marks another wave of acquisitions by the company, which is strengthening its presence in the Northern Virginia office segment.
The acquired property, known as Highline at Greensboro, was sold by CIM Group. It comprises two ten-storey Class A buildings at 8401 and 8405 Greensboro Drive, totalling approximately 460,000 square feet. At the time of sale, the buildings were 70 per cent leased.
Confidence in Regional Market Fundamentals
Neil Markus, Principal at Finmarc, commented on the transaction: “We remain buyers of office buildings and other assets in the greater DMV market, particularly in Northern Virginia, due to our continued confidence in the regional market fundamentals.” This statement underscores Finmarc's strategic focus on the office sector in this region.
Highline at Greensboro benefits from its location near The Boro mixed-use complex and the Greensboro Metro station. The property also offers amenities such as a fitness centre, a golf simulator, and a childcare facility. Over the past two years, new tenants such as Mortgage One Solutions (23,108 square feet) and Tegna (23,016 square feet) have moved in.
The seller, CIM Group, was represented by Paul Collins and Kevin Sidney of Cushman & Wakefield. Cliff Mendelson of Metropolis Capital Advisors assisted Finmarc with debt placement. Leasing for Highline at Greensboro will be handled by Josh Masi and Paige Barger of Cushman & Wakefield.
Strategic Expansion in Northern Virginia
Finmarc continues to focus on Northern Virginia office markets that are considered undervalued. Late last year, the company paid US$51 million for the almost 620,000 square foot Dulles Corner Portfolio. The previous summer, it acquired the approximately 500,000 square foot Trinity Centre for nearly US$40 million.
The acquisition of Highline at Greensboro was partly financed by proceeds from three dispositions over the past six weeks, including office/flex and retail properties in Virginia and North Carolina. Finmarc also stated that it will generate further liquidity from expected sales in the next two to three months. These funds are to be reinvested in additional acquisitions worth US$250 million to US$300 million. The company currently owns and manages almost 7.5 million square feet across the Mid-Atlantic region.
