First Potomac Realty Trust (NYSE:FPO), a leading owner of office and industrial properties in the greater Washington, D.C. region, today announced that it has acquired One Fair Oaks, a 12-story, 214,000-square-foot office building in Fairfax, Virginia, for $60.25 million. The Class A property, is 100 percent leased through 2016 to CACI Enterprise Solutions (CACI). CACI is a provider of professional services and information technology solutions to the defense and homeland security industries.
“One Fair Oaks is a solid investment that enhances our portfolio with a stable, cash-flowing asset that is fully leased to a long-term tenant and is located in one of the Washington region’s leading office markets,” stated Nicholas Smith, Chief Investment Officer of First Potomac Realty Trust. “This acquisition continues our balanced approach of building our portfolio with a mix of urban and suburban office buildings and stabilized and values add assets.”
One Fair Oaks was constructed in 1987 and was renovated in 2005. In addition to the office building, the property includes a three-story above ground parking garage with 565 spaces as well as surface parking for an additional 116 spaces. The property is located at the intersection of Interstate 66 and Route 50, two of Northern Virginia’s primary thoroughfares.
First Potomac Realty Trust financed the purchase with available cash and the assumption of a $52 million first mortgage loan with an interest rate of 6.3%. The mortgage loan matures in June 2012.
About First Potomac Realty Trust
Headquartered in Bethesda, Md., First Potomac Realty Trust is a self-administered, self-managed real estate investment trust that focuses on owning, operating, developing and redeveloping office and industrial properties in the greater Washington, D.C. region. The Company's portfolio totals approximately 14 million square feet. The Company's largest tenant is the U.S. Government, which along with government contractors, accounts for more than 20 percent of the Company's revenue. For more information, please visit www.first-potomac.com.
Forward Looking Statements
The forward-looking statements contained in this press release are subject to various risks and uncertainties. Although the Company believes the expectations reflected in such forward-looking statements are based on reasonable assumptions, there can be no assurance that its expectations will be achieved. Certain factors that could cause actual results to differ materially from the Company’s expectations include the repayment in full of the loan, the ability of the Company to successfully enforce its remedies under the loan and related documents, changes in general or regional economic conditions; the Company’s ability to timely lease or re-lease space at current or anticipated rents; changes in interest rates; changes in operating costs; the Company’s ability to complete acquisitions on acceptable terms and successfully integrate such acquisitions into the Company’s portfolio; the Company’s ability to manage its current debt levels and repay or refinance its indebtedness upon maturity or other required payment dates; the Company’s ability to obtain debt and/or financing on attractive terms, or at all; changes in the assumptions underlying the Company’s expected rates of return on acquisitions and other risks detailed in the Company’s Annual Report on Form 10-K and described from time to time in the Company’s filings with the SEC. Many of these factors are beyond the Company’s ability to control or predict. Forward-looking statements are not guarantees of performance. For forward-looking statements herein, the Company claims the protection of the safe harbor for forward-looking statements contained in the Private Securities Litigation Reform Act of 1995. The Company assumes no obligation to update or supplement forward-looking statements that become untrue because of subsequent events.