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PSP Investments Takes Over The Wharf

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Madison Marquette and Hoffman & Associates developed the waterfront neighborhood. The post PSP Investments Takes Over The Wharf appeared first on Commercial Property Executive.

Aerial shot of The Wharf, a 3.5 million-square-foot mixed-use neighborhood in Washington, D.C., along the Potomac River. — Currently, The Wharf megadevelopment hosts more than 300 concert and other events yearly. *Photos by Patrick Revord, courtesy of Hoffman & Associates*

Madison Marquette and Hoffman & Associates have sold The Wharf, a mile-long, 3.5 million-square-foot mixed-use neighborhood in southwest Washington, D.C. Public Sector Pension Investment Board, which has been a financial equity partner in the development since 2014, will own The Wharf in its entirety.

Madison Marquette, in partnership with Hoffman & Associates, developed the $3.6 billion riverfront neighborhood over the past 15 years. Located along the Potomac River, The Wharf is within 2 miles south of downtown Washington, D.C., near interstates 395 and 695.

The transaction places a $1.8 billion valuation on the mixed-use development, according to the Green Street News. It excludes portions of The Wharf that have already been sold, consisting of more than 300 residential condominiums, two office spaces that were bought by their occupants and the InterContinental Hotel, which was built by a separate partnership.

The Wharf, phase one and two

The megadevelopment’s $2 billion first phase came online in 2017, consisting of 2 million square feet of office, hotels, shops, restaurants, parks and 870 residential units.

Work on The Wharf Phase Two began in 2019 and was completed by 2022, adding 1.5 million square feet of mixed-use space, including 547,000 square feet of office space, Commercial Property Executive reported at the time. In the first few months after breaking ground, the second phase of the project secured an $847 million loan from Goldman Sachs. Around that same time, law firm Williams & Connolly signed a 300,000-square-foot, 15-year lease at The Wharf’s second-phase office tower, which secured the company a Silver CPE Distinguished Achievement Award.

On the same note, Hoffman & Associates recently won the 2023 Gold CPE Influence Award for the best mixed-use development, for its 10-acre project in Falls Church, Va. Completed in 2023, West Falls features 1.2 million square feet of office, retail, multifamily, condominium, hotel and senior housing spaces. The development was also awarded the LEED Gold certification.

The post PSP Investments Takes Over The Wharf appeared first on Commercial Property Executive.