Northern Virginia

The Northern Virginia office market consists of 1,529 buildings over 25,000 square feet, totaling approximately 182.0 million square feet of rentable space. The largest non-GSA lease signed during the second quarter was a 400,000-square-foot relet by Amazon Web Services at One Dulles Tower – 13200 Woodland Park Road in the Reston-Herndon Corridor submarket. The largest lease signed by the GSA was a 71,504 square-foot renewal for the DEA at Avion Mid-Rise IV – 14560 Avion Parkway in the Route 28 Corridor South submarket. Building sales volume totaled approximately $1,100,811,669 during the second quarter. The largest transaction was the sale of Waterview Tower – 1919 N. Lynn Street in the Rosslyn-Ballston Corridor submarket. Morgan Stanley acquired the building from Paramount Group for $460 million ($711 psf). The property was 99.0% occupied at the time of sale, and traded at a 5.11% Cap Rate. The second largest sale was 1801 N. Lynn Street trading from Morgan Stanley to GSA Office of Portfolio Management for $240 Million ($686 psf). The building was purchased by the tenant. Inside the Beltway, there were 53 buildings marketing 50,000 square feet or greater of contiguous space available at the end of the second quarter 2017, compared to 55 from the first quarter 2017. Outside the Beltway, there were 81 buildings marketing 50,000 square feet or greater of contiguous space available at the end of the second quarter 2017, compared to 80 from the first quarter 2017.