AFIAA Buys Historic Building in D.C.’s Chinatown
- Mar 16, 2015
AFIAA, a Zurich-based investment foundation of 35 Swiss pension funds, expanded its D.C. portfolio of commercial properties with the acquisition of a historic building in the heart of Chinatown. The property, Arch Square, traded for about $104 million.
Arch Square is located at 801 Seventh St., NW. It was constructed in the 1890s and provides about 56,000 square feet of space. The previous owner, a partnership between Chicago-based McCaffery Interests and D.C.-based Douglas Development, renovated the property in 2013.
According to AFIAA, Arch Square is fully leased to long-term tenants. The historic building features approximately 30,700 square feet of retail space on the ground and first floors, and 25,000 square feet of Class A office space on the remaining floors. The retail space is anchored by a flagship Walgreens. Other tenants include Sports Zone Elite and Panera Bread. The entire office space is occupied by the headquarters of the Alliance of Automobile Manufacturers. In a news release, the new owner said that almost 80 percent of the rental income is generated by the retail tenants.
AFIAA purchased Arch Square as part of its strategy to increase the U.S. share of its equity portfolio investments. The Swiss investment foundation hired Stream Realty Partners to manage the historic building.
Photo credit: AFIAA