Akridge President Matt Klein said in a statement that the new building will "appeal to law firms, associations, and government affairs groups alike." However, a separate analysis by JLL finds that the trophy buildings under construction or in the pipeline has thrown the Washington DC area's supply-demand fundamentals out of whack and some of these new buildings may have difficulty finding tenants to meet their pro forma calculations for returns, or at least occupancy.

C&W also noted in its marketing materials that the buildings are zoned SP-2, which “allows for a variety of residential uses and offices for non-profit organizations, trade associations and professionals.”

GlobeSt.com placed a call to Akridge for comment Friday morning, which was not immediately returned. We will update the story accordingly.

The American Beverage Association and American Association of University Women were represented by C&W's Eric Berkman and the late Steve Gichner.

WASHINGTON, DC-Akridge has closed on its previously-announced plan to partner with a Chilean real estate investor and buy two office buildings located at 1101 16th St., NW and 1111 16th St., NW and then redevelop them into a free-standing, 100,000-square foot trophy office building. It also announced that EagleBank is providing acquisition and construction financing for the project, which will deliver in late 2017.

The companies paid $43 million or $457 per square foot for the properties, a source tells GlobeSt.com. The source also said that EagleBank provided $55.7 million for the deal.

This is Stars Investments first acquisition in Washington DC, according to a statement by Oscar Boettiger, head of Real Estate at the company. Stars Investments is Akridge's South American partner in the transaction. Akridge and Stars Investments announced the purchase agreements with the American Beverage Association and the American Association of University Women in September 2015.

The plans calls for the companies to redevelop the two buildings into one trophy-class office building that will total 100,000 square feet. According to Cushman & Wakefield's marketing materials, 1101 16th St. becomes fully vacant in 2017 and 1111 16th Street becomes fully vacant in 2018.

Akridge President Matt Klein said in a statement that the new building will "appeal to law firms, associations, and government affairs groups alike." However, a separate analysis by JLL finds that the trophy buildings under construction or in the pipeline has thrown the Washington DC area's supply-demand fundamentals out of whack and some of these new buildings may have difficulty finding tenants to meet their pro forma calculations for returns, or at least occupancy.

C&W also noted in its marketing materials that the buildings are zoned SP-2, which “allows for a variety of residential uses and offices for non-profit organizations, trade associations and professionals.”

GlobeSt.com placed a call to Akridge for comment Friday morning, which was not immediately returned. We will update the story accordingly.

The American Beverage Association and American Association of University Women were represented by C&W's Eric Berkman and the late Steve Gichner.