SAIC / Leidos Headquarters Campus Sale
Large Sales Transaction, 618,000 SF
Secured Commitments for Closing 3.1 Million SF of Future Development Rights
First Large-scale Sales Transaction at a Silver Line Metro Site
Three Separate Leases Executed to Accommodate Operational Needs of Tenant (SAIC/Leidos)
JM Zell was originally tasked with the oversight and coordination of the redevelopment, land entitlement and up-zoning process for SAIC’s headquarters campus, Solutions Plaza, now known as "Greensboro Station". JM Zell sought to maximize SAIC’s land value in terms of projected company occupancy and use requirements. While the up-zoning and entitlement process maintained its course, SAIC determined to shift its business strategy and spin off its government-services businesses by late 2013. As part of the planning process for the split, SAIC/Leidos, in conjunction with JM Zell, began to evaluate the headquarters re-development site within the context of the new corporate operational strategy and timeline. As a result of the discussions with SAIC (and its post-split twin, Leidos), JM Zell introduced a number of potential suitors, including The Meridian Group, a local real estate fund focused on value-add opportunities, to discuss the possibility of purchasing the campus.
A transaction was agreed upon in July 2013 after almost two years of negotiations and complicated structuring enabling Meridian to become the contract owner of the entire Greensboro Station site. The closing represents one of the first transactions to occur at a new Silver Line Metro station and one of the largest square footage/dollar value transactions in Northern, VA in 2013.
JM Zell adjusted its approach but remained committed to SAIC/Leidos’ objectives throughout a changing corporate strategy.