Virginia has sold the Center for Innovative Technology property that straddles the Loudoun County-Fairfax County line and was once floated as a potential site for Amazon's HQ2.
Affiliates of Origami Capital Partners and Timberline Real Estate Partners purchased the property from the commonwealth for $47.35 million, Gov. Ralph Northam's office announced today. Proceeds from the sale will be deposited into the Virginia Research Investment Fund. The money will go toward the new Virginia Innovation Partnership Authority, or VIPA, which the governor's office calls a consolidated entity for innovation and new technology-based economic development.
The CIT property consists of a 149,000-square-foot office building on nearly 26 acres about a mile from Dulles Airport.
The property, which was included in one of the commonwealth's Amazon HQ2 pitches, formerly housed the nonprofit Center for Innovative Technology, Northern Virginia Technology Council and other private tech firms.
“The sale of this valuable property will help fund innovation programs for the commonwealth and transform the way Virginia invests in higher education research and job creation in high-technology fields,” Northam (D) said in a prepared statement. “The newly-formed Virginia Innovation Partnership Authority will focus on job creation, new company formation, investment in applied research projects and capital investment in Virginia companies.”
Jeff Young, managing partner for Origami, said, “This event represents a significant milestone toward the goal of delivering to northern Virginia a development that will entice and excite major corporate tenants. We know companies will embrace the project ... We look forward to our ongoing partnership with the commonwealth, Loudoun and Fairfax counties.”
The General Assembly of Virginia declared the property surplus in 2016 and directed the Department of General Services, which manages Virginia’s real estate portfolio, to dispose of it, according to Thursday's announcement. The department and its contracted real estate broker, Divaris Real Estate, marketed the property and received 13 proposals from 12 offerors in its initial solicitation. A call for final offers last fall resulted in 12 proposals from 10 potential purchasers, and general services began discussions with the chosen purchaser in November, according to the governor's office.
“The sale of this property in an area of Virginia where property development continues at a robust pace provided the commonwealth an opportunity to receive the most favorable outcome from an open competitive sale process,” Department of General Services Director Joe Damico said in a prepared statement.
Chicago-based Origami Capital Partners is a private equity firm "that acquires assets trapped in complex structures and provides patient, flexible solutions to owners who are seeking liquidity," according to company representatives.
Timberline, headquartered in Texas, "acquires, repositions and develops hospitality-led real estate assets, including mixed-use, residential and infill land," according to its website.