The Northern Virginia office market consists of 1,531 buildings over 25,000 square feet, totaling approximately 186.6 million square feet of rentable space. The largest non-GSA lease signed during the second quarter was a 204,547-square-foot relet by Appian at Valo Park – 7950 Jones Branch Drive in the Tysons Corner submarket. The largest lease signed by the GSA was a 13,558-square-foot relet for the United States Geospatial Intelligence Foundation at Bldg 7 -13665 Dulles Technology Drive.
Building sales volume totaled $746,300,000 during the second quarter. The largest transaction was the sale of Boro Station I-III – 1765, 1775, and 1785 Greensboro Station Place. MetLife acquired the buildings from Meridian Group for $244 million ($380 psf). The building was 95.0% occupied at the time of sale, and traded at a 4.75% Cap Rate. The second largest sale was of Greensboro Park – 8180 and 8200 Greensboro Drive. Altus Group/Velocis acquired the buildings from Beacon Capital Partners for $142 million ($281 psf). The buildings were 83.0% occupied at the time of sale, and traded at a 5.60% Cap Rate. The third largest sale was of Commonwealth Centre – 14360 and 14370 Newbrook Drive in the Route 28 South submarket. Hines acquired the buildings from Equus for $97,750,000 ($306 psf). The buildings were fully occupied at the time of sale, and traded at a 6.50% Cap Rate. Inside the Beltway, there were 48 buildings marketing 50,000 square feet or greater of contiguous space available at the end of the second quarter 2018, compared to 49 from the first quarter 2018. 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 2018, compared to 76 from the first quarter 2018.