What's the fair market value for this DC parcel?

Was discussing with a colleague to what extent the deal in this article is a giveaway to insiders.

Other relevant data - office in the submarket (NoMa) is at a 5.75 cap. So that should give one valuation from the $14m leaseback. Parcel is ~105,000 sf, zoned D-5 with 130 foot limits. Comparable land sells for $700-800 psf, with IZ restrictions but without the additional requirements from it being owned by the Housing Authoirty.

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Was chatting about this with some ULI guys recently, views for FMV were all over the place so who knows.

Quant (ˈkwänt) n: An expert, someone who knows more and more about less and less until they know everything about nothing.
 

Actually a pretty decent location for office (provided there is visibility/frontage on North Cap) which is going to command a higher land value. A lot of second gen office product in this area is pushing in the mid-upper $50s gross, which should help you back into a land value. Multifamily is sucking wind in NOMA a bit, plus trying to figure out how much affordable to underwrite is going to really impact that land price.

 

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