"Penzance and GNCP share a mutual interest in owning high quality properties that yield advantageous returns and represent stable value--the investment in 1130 Connecticut Ave. is a prime example of the realization of this mutual interest," Penzance principal Julia Springer Tolkan says.

A towering 12-story facility just across from the esteemed Renaissance Mayflower Hotel in the District's Golden Triangle area near Dupont Circle, 1130 Connecticut Ave. was developed on a half-acre parcel in 1986 and underwent a major renovation 10 years later. Included in the square footage is approximately 14,500 sf of ground-level retail space and 500 sf of storage room; the building also features a four-level underground parking facility to accommodate nearly 200 vehicles. The occupancy level at 1130 Connecticut is currently in the 92% range, with the American Insurance Association accounting for nearly 45,000 sf of space, or about 20.4% of the building.

For its part, Fremont saw the incredibly hot office market in the District as a good opportunity to turnaround the property. The real estate company, a division of San Francisco-based Fremont Group, was unavailable for comment at deadline; however, William M. Collins of Cassidy & Pinkard, the real estate services firm that represented Fremont in the deal, tells GlobeSt.com that the company simply chose to "participate in the appreciation of the real estate."