Canal Center in Alexandria is purchased

A joint venture including American Real Estate Partners and Investcorp announced Friday the $176 million acquisition of the Canal Center in Alexandria.

The Canal Center is a 540,000-square-foot Class A Office complex located on the banks of the Potomac River. The complex includes four buildings.

“The northern Old Town Alexandria submarket has been going through a dramatic redevelopment in the last several years and is one of the few urban mixed-use markets outside of Washington, D.C.,” Brian Katz, president of American Real Estate Partners, said in a statement. “Alexandria is one of the strongest markets in the Washington metropolitan area and Canal Center enjoys an unparalleled location within the city and the Washington, DC region.'

Canal Center's four building were developed in 1987 and have panoramic views of the Potomac River and Washington, D.C. Skyline. The complex is 83 percent leased with no major tenant expirations until 2018.

The office complex features public spaces that includes sculptures, fountains and landscaping. Just north of the rebuilt original canal lock is “Promenade Classique,” a sculpture garden created by Anne and Patrick Poirier, French artists who incorporate archaeological and mythological references in their works. A brick plaza leads to a rectangular pool, a cascading waterfall that leads to twin spiral staircases and a grotto of sculpted ruins overlooking an amphitheater and culminating in a 40-foot high marble obelisk.