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Amazon Web Services Grows Herndon Presence With 270K SF Lease

The office building at 13820 Sunrise Valley Drive in Herndon

Amazon's rapid expansion in Northern Virginia appears to be creating a windfall for another property owner. 

The tech giant's cloud computing arm, Amazon Web Services, signed a full-building, 270K SF lease with Griffin Capital Essential Asset REIT in Herndon, the Washington Business Journal reports

Griffin Capital announced Wednesday it signed a 270K SF lease with a Fortune 100 company at the building, but it did not disclose the company. The REIT acquired the building at 13820 Sunrise Valley Drive in 2015, and its previous anchor tenant, Time Warner Cable, vacated in 2018 after it was acquired by Charter Communications. The property sits just east of Dulles International Airport near the interchange of the Dulles Toll Road and Route 28. 

The deal is the second full-building Herndon office lease AWS has signed in the last three years. The company in April 2017 inked a 400K SF lease with FCP at One Dulles Tower to establish its East Coast headquarters. FCP sold the building in March 2018 for $226M, after buying it for $84M in 2015. 

The expansion gives AWS an even bigger office footprint near the world's largest data center market in Loudoun County.

It also offers proximity to Amazon's second headquarters in Arlington County, where the tech giant leased 585K SF from JBG Smith and is moving forward with plans to develop new office towers on land it is acquiring from the REIT. AWS also figures to have a footprint at HQ2 — several of the jobs being advertised in Arlington are for AWS.