5 Big Tenants Looking for Big Office Space in DC
Despite rebounding office vacancy rates in the DC region, there are still millions of SF available. The good news: There are also plenty of big players looking for space. Here are the companies every major landlord in the area is chasing right now.
1. Federal Communications Commission
Current HQ: 445 12th St SW
Looking for: 473k SF
Expected move date: Between 2017 and 2019
The newest big fish on the market, the FCC needs to stay in the District, but has lots of options to choose from. According to the Washington Business Journal, the FCC will require more than 28k SF on the ground floor and can’t be more than two floors from the roof, with ceiling heights of at least 11 feet, 6 inches. The Wharf figures to be a player, but with no prospectus yet released, we likely won’t know the contenders until fall.
2. The Advisory Board Co
Current HQ: 2445 M St and 1227 25th St NW
Looking for: At least 500k SF
Expected move date: 2017 and 2019
This $2.4B healthcare consulting company has already trimmed its contenders list, reportedly choosing among 501 K St NW, 655 New York Ave NW and 1812 North Moore in Rosslyn. With a decision looming by the end of the year, it appears likely the healthcare giant could give a lift to the Mount Vernon Triangle or Rosslyn, two markets with plenty of new office space being built and planned.
3. Transportation Security Administration
Current HQ: Two buildings in Pentagon City (above), one in Springfield, one in Reston and one in Ashburn
Looking for: 625k SF
Expected move date: August 2017
The administration could make a decision “any day now,” a source tells Bisnow, and considering the massive footprint TSA will occupy, the decision figures to have ripple effects all over the DC market. JBG is hoping to lure the TSA to its planned, 16-story office tower at 312 Taylor Dr in Alexandria’s Eisenhower Valley, near JLL’s candidate for the agency, the 600k SF Victory Center. The GSA requires the space to be within a half-mile of a Metro station and to be in NoVa.
Current HQ: 1515 N Courthouse Rd, Arlington
Looking for: At least 80k SF
Expected move date: Late 2016, early 2017
Arlington’s biggest startup success story could be taking its talents to the District. Opower, which provides software solutions to energy companies, is outgrowing its space and has its eyes, potentially, on NoMa. The company has been rumored to have interest in Uline Arena, Douglas Development’s mixed-use NoMa rehab, but it could also stay in bigger space in its current building, Courthouse.
5. Marriott International
Current HQ: Fernwood Road, Bethesda
Looking for: About 900k SF
Expected move date: 2022
This is the biggest fish in the sea. Not only is Marriott looking for close to 1M SF of office space, but they’re looking close to Metro, so the PSF rent is probably going to go up. DC, Maryland and Virginia will all likely offer economic development packages in the tens of millions of dollars and, when the future move was announced, we'll put together a list of places Marriott might have their eye on.