Grubb Properties buys 275,000-square-foot office building in Fairfax for $38.8 million
Grubb Properties, based in Charlotte, N.C., has acquired a 275,000-square-foot office building in Fairfax for $38.8 million, or about $141 per square foot. The acquisition marks the company’s first investment in Northern Virginia.
The property, known as Argon Plaza, is located in the Fair Lakes master-planned community, which offers visibility and access to I-66. It’s within walking distance to numerous amenities including a Whole Foods store, a Starbucks cafe and Hyatt Regency hotel.
Grubb Properties said it purchased the property from C-III Asset Management in a transaction handled by HFF and NAIGlobal. Grubb Properties plans to make capital improvements to the building to upgrade its tenant amenities, and it will conduct a leasing program for the property.
The building's anchor tenant, a defense contractor specializing in military technology and intelligence, occupies more than 50 percent of the building. It recently signed a five-year lease renewal.
“With its amenity-rich … location and strong anchor tenant, Argon Plaza is a perfect addition to our growing office portfolio,” Todd Williams, chief investment officer at Grubb Properties, said in a statement.
Grubbs previously invested in the state’s multifamily market, including Link Apartments in Manchester and Sterling Beaufont Apartments, both in Richmond.