ROCKVILLE, MD—Opus East, one of the largest developers in the Washington, D.C., metro area, filed for Chapter 7 bankruptcy protection in July. The company is currently liquidating assets, consisting primarily of office, industrial and mixed-use projects in the mid-Atlantic region.
Marshall Burton, executive vice president at Rockville, Md.-based Opus East, said the financial condition of Opus East has been adversely affected by general real estate and credit market conditions, and has been exacerbated by the National Oceanic and Atmospheric Administration Center for Climate and Weather Prediction project.
“The financial condition of Opus East has been acutely compromised by the lack of progress payments from the General Services Administration on more than $35 million in tenant improvements and base building enhancements from the NOAA project,” he said.
Opus had not been paid by GSA for work on the project, which began in 2007. The company sued GSA in May. The unfinished building is at M Square, a 130-acre site adjacent to the University of Maryland in Riverdale, Md.
Several Opus East projects have already changed hands. St. John Properties is taking over the 400-acre Government and Technology Enterprise office park at Aberdeen Proving Ground, which includes nearly 2 million square feet of planned space. Opus opened a 60,000-sq-ft building at the site in December, but little else has been developed.