The loan on the headquarters that Hitt Contracting built for itself in Falls Church has landed in special servicing after the property owner failed to pay off the debt before maturity.
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The $39M loan for the office building at 2900 Fairview Park Drive was transferred to special servicing this month, according to Morningstar Credit. The loan matured on Jan. 1 but wasn't paid off.
The 147K SF property is owned by a joint venture between Rushmark Properties — its developer — and internet pioneer Richard Adams, Jr. Rushmark didn't respond to a request for comment by the time of publication.
Hitt has been headquartered at the property since it delivered in 2010. Hitt was the contractor on the project and won a NAIOP Northern Virginia award for the best build-to-suit.
The borrower took out the $39M loan on the property in December 2014, and the balance is now $35.5M, per Morningstar. Morningstar’s commentary said the owner is “likely finding difficulties in the refinancing market” given Hitt’s 2027 lease expiration.
Hitt, which occupies nearly the entire property, is planning to move out before its lease expiration into a new 270K SF building it is constructing nearby. The new location 3 miles away at 7024 Haycock Road is slated to be finished in late 2026.
In a November 2023 release announcing it would be moving to the new Falls Church location, Hitt said that the relocation offers “more space within a lively community” and “better access to mass transit” for its over 900 employees. The new building is designed to be net-zero and includes a 100K SF photovoltaic solar canopy that will generate all the energy needed for the structure.
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