Washington building once occupied by the FBI is handed to a court-appointed receiver after months of missed payments on a $221.6 million loan | World News
A historic building in downtown Washington, DC, that once housed a major FBI office has been handed to a court-appointed receiver after nine months of missed loan payments. The Woodies Building, located at 1025 F Street NW, came under the control of Trigild IVL following a court order issued on September 2, 2026. The property’s outstanding loan balance has reached $221.6 million, up from the original $204.1 million borrowed in January 2017. The development follows the FBI’s departure from approximately 200,000 square feet of office space. Although the building has secured new leasing deals involving Barnes & Noble, Netflix and Nvidia, the property is facing financial difficulties as its lender seeks to address the unpaid debt.The case followed a lawsuit filed by the lender’s trustee, IGIS US Private Placement Real Estate Investment Trust No. 98, an investment trust associated with South Korean real estate manager IGIS Asset Management. According to a complaint filed on August 7, 2026, the borrowers stopped making monthly debt-service payments in December 2025. The lender also alleged that reserve payments had been missed since March 2025. The court appointed Trigild IVL to oversee the building’s operations, finances and leasing following the dispute over the loan.
FBI’s departure left a major vacancy in the historic Washington building
The FBI’s lease covering approximately 200,000 square feet was due to expire in November 2025. That space represented nearly 40% of the building’s total area of roughly 500,000 square feet.A source with access to federal leasing records told Bisnow that the lease had been removed from the federal government’s database by February 2026. The departure left a substantial amount of office space to be filled, affecting the building’s potential rental income.Despite the FBI’s departure, the Woodies Building has secured several prominent leasing arrangements.Barnes & Noble leased approximately 16,000 square feet of ground-floor retail space in 2025 and opened its bookstore in January 2026, bringing a retail presence to the historic property.Netflix signed a lease for approximately 19,000 square feet across the first and second floors in summer 2026. The space is intended for an office and entertainment hub.Nvidia secured a 27,600-square-foot sublease during the second quarter of 2026, according to Bisnow. Together, these arrangements cover approximately 62,600 square feet, substantially less than the area previously occupied by the FBI.
A historic department store turned office and retail hub
The Woodies Building occupies an entire city block at 1025 F Street NW, directly above Washington’s Metro Center station. The 10-storey property was the flagship location of Woodward & Lothrop, a prominent department-store chain that occupied the site from the early 1900s until the 1990s.After the department store closed, Douglas Development acquired and restored the building, converting it into an office and retail property. The redevelopment preserved distinctive architectural features, including intricate multicoloured engravings depicting figures from Greek mythology.
Who owns the building?
The borrowers named in the 2017 loan documents were Jemal’s Cayre Woodies LLC and Jemal’s Rich LLC, entities affiliated with Douglas Development Corp. Douglas Development founder and president Douglas Jemal and senior managing principal Norman Jemal were listed as borrowers.The lender’s trustee sought the appointment of a receiver to take control of the property, and the court granted the request. Trigild IVL is now responsible for managing the building under the court order.Douglas Jemal, Norman Jemal and their attorney did not respond to Bisnow’s requests for comment. The lender, its trustee and the receiver also did not respond to the outlet’s requests.
What happens to the Woodies Building next?
Trigild IVL will oversee the building’s finances, leasing and day-to-day operations while the loan dispute proceeds. The property could undergo a debt restructuring, a change in ownership or a foreclosure process, depending on how the dispute is resolved.The building’s financial future will depend on the handling of its $221.6 million loan and its ability to generate rental income from existing and incoming tenants.
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