This first of three phases includes the Washington region’s first urban-format Wal-Mart, which includes a full-service grocery component, a 24 Hour Fitness, several restaurants and nearly 30,000 square feet of medical office space.
The JBG Companies and JBGR Retail have closed on the sale of the current phase of its Tysons West mixed-use development. LaSalle Investment Management, a leading global real estate investment manager, purchased the property on behalf of a separate account client.
Tysons West, which delivered August 2013, is immediately adjacent to the Spring Hill Metro station on the newly opened Silver Line Metrorail. Phase I presented an attractive transit-oriented opportunity with more than 165,600 square feet of commercial space. This first of three phases, located at 1500 Cornerside Blvd., includes the Washington region’s first urban-format Wal-Mart, which includes a full-service grocery component, a 24 Hour Fitness, several restaurants and nearly 30,000 square feet of medical office space. Its more than 135,800 square feet of retail space is 100 percent leased.
Tysons is a burgeoning hub in the Washington, D.C., region, currently with 28 million square feet of office space, more than 13,000 residential units and 14 hotels. It is the 12th largest central business district in the country and has 40 million more square feet of new development in the pipeline, spurred largely by the new Silver Line Metrorail which has four stops in Tysons.
“Tysons is being transformed by the arrival of the Silver Line, and Tysons West has helped lead the way,” said Jay Klug, Principal of JBG. “With strategic and creative thinking, we were able to conceive and develop a first phase to meet community needs and serve a high-demand area. We look forward to continuing our place-making work in the next phase of Tysons West to create a complete neighborhood.”
According to David Craine, Managing Director of LaSalle Investment Management, “By acquiring the Tysons West project we have added a very well-conceived Necessity Retail/Medical Office complex to our portfolio. This project will meet the demands of the thousands of new residents and office workers that will be moving to the Tysons Corner area during the next thirty years. The demand for groceries, general merchandise offerings, athletic facilities, and medical services has significantly been met by Tysons West. Our complex will truly benefit by the ease of access to pedestrians, users of the Silver Line, as well as automobile drivers who can use the onsite structured garage consisting of over 650 spaces.”
Phase II of Tysons West is in the planning process. It will include 400,000 square feet of residential space and another 50,000 square feet of retail. The final phase is planned for 300,000 square feet of residential space, 380,000 square feet of office space and 50,000 square feet of retail.
The sale of Tysons West was brokered by Eastdil Secured. JBGR Retail will continue to manage the property.