Located in the Foggy Bottom area just blocks from George Washington University Hospital, the three-decade-old structure reaches eight stories high and features an underground parking facility capable of accommodating more than 250 vehicles. The structure was approximately 66% leased at the time of the sale. Building occupants include wire service the Associated Press, George Washington University, and a bevy of medical tenants such as physicians' offices, the Alliance for Aging Research, the National Multiple Sclerosis Society and the Washington Audiology and Imaging Center. In addition to the stable tenant base, significant lease expirations are not scheduled to take place until 2007.

"The ownership was extremely pleased with the outcome of this transaction," says Margaret Hirl of CB Richard Ellis' Institutional Group, the firm that brokered the sale for Marigold's client. "They picked the right time to sell." Competition to acquire the medical property was intense despite the current economic slump. At the time the building was put on the market, industry experts guessed that the property would command as much as $42.5 million, or $265 per-sf. Alas the final price tag was nearly one-half million more than the estimated maximum price.