American Trucking Associations
American Trucking Associations (ATA) wanted to relocate out of the Eisenhower Valley in Alexandria, VA, where the association owned and occupied a 158,690-square-foot, 20-year old functionally obsolete building, which was worth more as a redevelopment opportunity. ATA desired a state-of-the-art building on a Metro Line where the association could occupy approximately 105,000 square feet with room for growth. Most importantly, ATA wanted the opportunity to attain ownership by investing a portion of the proceeds from the sale of its existing building.
Studley (now Savills Studley) researched, reviewed and analyzed existing buildings and sites that fit ATA’s criteria in Arlington and Alexandria, VA, and Washington, D.C. Studley compared the relocation options, assuming the sale of ATA’s existing building, against the stay-put option. After considering several buildings/sites in Arlington and Alexandria, ATA decided on The Regent, a 264,000-square-foot building, which was about to commence construction.
ATA entered into a fifty-fifty joint venture with the JBG Companies to develop, manage and own 950 N Glebe Road. ATA also signed a lease to occupy 105,000 square feet of the building upon its completion in January 2007. The results of this multi-faceted deal enabled ATA to locate in a state of the art building, in a prime association location, as well as benefit from having an ownership stake in the building, thus providing an income stream to ATA. Studley advised ATA in the negotiation of all documents, including the lease, joint venture, property management, development and contribution agreements.
Joint Venture, New Lease
Office, Capital Markets