First Potomac Realty Trust (FPO), a leader in the ownership, management, development and redevelopment of office and business park properties in the greater Washington D.C. region, today announced the sale of two properties (Rivers Park I and II and Aviation Business Park) located in Columbia and Glen Burnie, Maryland, to an affiliated company of Adler Kawa Real Estate Advisors for gross proceeds of $59.5 million.
The two assets, which comprise 428,268 square feet, were owned in unconsolidated joint ventures with an affiliate of AEW Capital Management.
The sale represents continued progress in the execution of the Company's previously announced Strategic Plan, which includes the sale of $350 million of non-core assets.
First Potomac owned a 25% interest in Rivers Park I and II, located in Columbia, Maryland, and a 50% interest in Aviation Business Park, located in Glen Burnie, Maryland. First Potomac's share of the gross proceeds from the sales ($18.975 million), were utilized to pay down its share of mortgage debt on the properties and for general corporate purposes.
"The sale of these Joint Venture assets represents continued execution of our strategic plan, and marks another meaningful step forward at FPO," said Robert Milkovich, Chief Executive Officer of First Potomac Realty Trust. "In 2017, we have generated over $100 million of proceeds, at our share, providing capital to repay debt and fund our redevelopment program, and have now sold $311 million of assets towards our stated goal of $350 million. As we progress through 2017, we remain focused on completion of our strategic plan and driving long term value for our shareholders."
Jon Carpenter, Nicole Keelty, and Graham Savage of Cushman & Wakefield represented First Potomac in the sale of these Joint Venture Assets.
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.
Founded in 1981, AEW Capital Management, L.P. (AEW) provides real estate investment management services to investors worldwide. AEW and its affiliates manage over $63 billion of property and securities in North America, Europe and Asia (as of December 31, 2016).