Gallery Place, the economically troubled mixed-use property adjacent to Capital One Arena, will be sold to a prominent D.C. developer with plans to turn at least part of the building over to D.C. and Monumental Sports & Entertainment.
Pending approval by the D.C. Superior Court, MRP Realty will gain control over Gallery Place through a quick-close receiver sale, confirmed multiple sources familiar with the deal. MRP was the highest bidder for the property, which has been under receivership since last May. The deal, which would not include the Residences at Gallery Place, is expected to close in May or June.
The exact amount of MRP’s bid is unclear, as are any terms of a side deal between MRP and the District. MRP officials declined to comment. The District “cannot comment on pending transactions,” a D.C. government spokesperson said.
According to the latest receivership report filed with the Superior Court earlier this month, the secured debt on Gallery Place was $179 million, and property was valued on the books at $327 million.
