Philadelphia-based Brandywine Realty Trust is planning on leaving the Washington D.C. market within the next few years, according to CEO Jerry Sweeney, writes Paul Schwedelson for the Philadelphia Business Journal.
So Brandywine Realty Trust is currently looking to sell its entire 4.5 million-square-foot portfolio in the nearby market.
The real estate company has “strategically made the decision to reduce our exposure” in the area, said Sweeney.
While the D.C. metro was once one of Brandywine’s largest markets, it has shrunk significantly since.
“Our capital costs combined with net effective rents just made me conclude we got to get out of the market,” said Sweeney. “My guess is in the next few years we’ll be out of the market except for some land.”
The majority of the company’s properties in the D.C. metro are located in Northern Virginia and Maryland, Sweeney said.
Brandywine is the largest office owner in Philadelphia. The company’s portfolio includes One and Two Commerce Square.
But unlike his doubts about the D.C. metro market, Sweeney said he thinks “Philadelphia is in a great spot.”
Read more about Brandywine Realty Trust in the Philadelphia Business Journal.
