Case Studies : 1One East Pratt Street Baltimore, MD

 Assessing and accounting for the range of possible outcomes is a crucial part of Amstar's underwriting process.
This investment represented a unique opportunity to purchase a fully-occupied "B" office building in an A+ location through an off-market transaction motivated by estate planning needs. Located within the inner Harbour of Baltimore's CBD, the asset had tremendous re-development potential as a premier office location. The Property was also encumbered by a challenging tenant purchase option at a fixed price. Amstar purchased the asset at $68 psf, representing an 80% discount to replacement cost and reflective of the potential impact of the tenant purchase option.
When the tenant exercised its purchase option for the property to the surprise of the market, Amstar had to put its re-development plans on hold while executing on a business plan that had been contemplated at acquisition.