The District’s office market is feeling the pain of federal downsizing.
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Bisnow/Emily Wishingrad
The Justice Department’s office at 145 N St. NE in NoMa
The city lost 850K SF of federal government office occupancy through the first six months of this year, according to CBRE’s newly released second-quarter report.
The report is one of the first to show how much the Trump administration’s efforts to shrink the federal footprint is impacting office leasing demand in the D.C. area, where it has over 90M SF of owned and leased space.
This effort was illustrated by D.C.’s largest deal of the second quarter: the Department of Justice’s 15-year lease renewal at Two Constitution Square, where it took 403K SF. The move, first reported by Bisnow, resulted in the agency giving back 172K SF in the NoMa building, a 30% reduction.
The FBI is set to give back 200K SF at Douglas Development’s Woodies Building near Metro Center. The lease cancellation was posted on the Department of Government Efficiency’s “Wall of Receipts” at the beginning of June.
Click here to read the rest of the article written by Emily Wishingrad over at Bisnow
