FAIRFAX, VA-Long & Foster has sold its 91,000-sf headquarters to T & M Fair Oaks Venture LLC, a JV of local investors that specialize in the conversion of office buildings into condos, for $20.3 million. The residential retail company will remain in its old headquarters, located at 11351 Random Hills Rd. here, until work on its new facilities in Chantilly is complete.
As part of the deal Long & Foster arranged a short-term sales leaseback with the buyer, according to Bill Prutting, first VP at CB Richard Ellis. Prutting, in the company's Investment Sales Group and Jeff Roman and Bill Kamp in the firm's Northern Virginia office represented Long & Foster in the transaction.
Long & Foster occupies the entire Random Hills building. Its new diggs, at The Ellipse at Westfields is under construction and is expected to deliver in the first half of next year. While it waits for it to be finished it is paying a rental rate that is roughly the equivalent of about a 9% return on the purchase price, Prutting says.
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Erika Morphy
Erika Morphy has been writing about commercial real estate at GlobeSt.com for more than ten years, covering the capital markets, the Mid-Atlantic region and national topics. She's a nerd so favorite examples of the former include accounting standards, Basel III and what Congress is brewing.
