Paramount Completes Sale of 1899 Pennsylvania Avenue

Rhea-AI Summary

Paramount Group, Inc. (NYSE: PGRE) has completed the sale of 1899 Pennsylvania Avenue for $103 million, reflecting a 10% markdown of $12 million due to the COVID-19 pandemic. This transaction marks Paramount's strategic exit from the Washington, D.C. market, reinforcing its focus on optimizing its high-quality, Class A office properties in New York City and San Francisco. With this sale, Paramount continues to adapt its portfolio strategy amid ongoing market challenges.

Positive

• Completed sale of 1899 Pennsylvania Avenue, generating $103 million.
• Marks strategic exit from the Washington, D.C. market.

Negative

• Sale price reduced by $12 million, or 10%, due to COVID-19 impact.

Paramount Group, Inc. (NYSE: PGRE) (“Paramount” or the “Company”) announced today that it has completed the previously announced sale of 1899 Pennsylvania Avenue, a 190,955 square foot trophy office building located in Washington, D.C. The final sales price was $103 million, and reflected a $12 million, or 10% reduction versus the previously announced sales price, due to the ongoing COVID-19 pandemic. With the closing of this transaction, Paramount has completed its strategic exit from the Washington, D.C. market.

About Paramount Group, Inc.

Headquartered in New York City, Paramount Group, Inc. is a fully-integrated real estate investment trust that owns, operates, manages, acquires and redevelops high-quality, Class A office properties located in select central business district submarkets of New York City and San Francisco. Paramount is focused on maximizing the value of its portfolio by leveraging the sought-after locations of its assets and its proven property management capabilities to attract and retain high-quality tenants.

View source version on businesswire.com: https://www.businesswire.com/news/home/20201229005044/en/

FAQ

What was the sale price of 1899 Pennsylvania Avenue by Paramount Group (PGRE)?

The sale price of 1899 Pennsylvania Avenue was $103 million.

Why was the sale price reduced for the Washington, D.C. property?

The sale price was reduced by $12 million, or 10%, due to the ongoing COVID-19 pandemic.

What does the sale of 1899 Pennsylvania Avenue signify for Paramount Group (PGRE)?

The sale signifies Paramount's strategic exit from the Washington, D.C. market.

How does Paramount Group maximize the value of its properties?

Paramount Group maximizes value by leveraging sought-after locations and proven property management capabilities.