AmeriHealth CaritasLocation: 1250 Maryland Ave, SW
Washington, D.C. Owner / Client:
AmeriHealth Caritas District of Columbia
40,000 RSF / 5 year firm term renewal
Wow Factor: Relocation from East End to Portals complex
Merrill Turnbull and Adam Biberaj led and represented ownership in the pursuit of AmeriHealth of Washington D.C. The tenant is a large Medicaid managed care organization located in the District with more than 100,000 members. The parent company is AmeriHealth Caritas Family of Companies, a national leader in providing health care solutions in managed care, based in Philadelphia.
Over the past decade the tenant had been located in an East End building, at 1120 Vermont Ave. The tenant was considering relocation options, and Lincoln pursued through direct outreach to the tenant, followed by communication and cooperation with their Philadelphia based real estate team. While the requirement was only limited to a five year term, due to contract restraints with the District, Lincoln was able to present an option that made strong financial sense for the organization. The relocation also provided the tenant with the ability to occupy new, highly improved and well thought out space.
The former footprint at 1120 Vermont had become dated and obsolete, and the challenge of renovating in place proved troublesome for the tenant. At Portals, Lincoln was able to present space at a good value to the tenant, with a far superior window line, featuring views of the Potomac river and Jefferson Memorial. The large floorplate was able to accommodate the requirement on one floor, and a limited abatement package was offered to the tenant, so that more could be provided in terms of Tenant Improvements and Landlord work.
Terms of the lease, which commenced in June of 2018, were for a 40,000 SF lease of the 5th floor. A forty-six-dollar full-service rental rate, with only three months of rental abatement. The demolition of the existing conditions, we completed by the landlord, and a $60 TI package was offered to the tenant. Annual base rent escalates at 2.5%, and the lease provides for a 2018 base year. Tenant has taken occupancy, and is extremely pleased with the fresh build out, views and access offered at the building.