First Potomac Realty Trust sold Plaza 500 to the Matan Companies for gross proceeds of $75 million. The 502,830 square foot industrial property in Alexandria, Virginia was 90.5% leased and occupied as of September 30, 2016.
In addition, First Potomac completed the sale of One Fair Oaks for gross proceeds of $13.7 million on January 9, 2017. CACI International fully occupied the 214,214 square foot office building in Fairfax, Virginia through December 31, 2016.
With the sales of both Plaza 500 and One Fair Oaks completed, First Potomac has now sold approximately $295 million of non-core assets towards its stated goal of $350 million. Proceeds from the sales of both assets were utilized to repay outstanding debt in accordance with the Company's Strategic Plan.
"The dispositions of Plaza 500 and One Fair Oaks move us significantly closer to accomplishing the first phase of our Strategic Plan," stated Robert Milkovich, Chief Executive Officer of First Potomac Realty Trust.
"With almost $300 million of our stated $350 million goal of non-core dispositions completed, and the majority of the proceeds from those sales utilized to retire our Series A Preferred Shares and repay additional debt, we have made great progress in de-risking our portfolio, de-levering our balance sheet and maximizing asset values."
First Potomac Realty Trust is a self-administered, self-managed real estate investment trust that focuses on owning, operating, developing and redeveloping office and business park properties in the greater Washington, D.C. region. As of September 30, 2016, the firm's consolidated portfolio totaled 6.7 million square feet.