Tenants are increasingly willing to pay a premium for waterfront office space in Washington, D.C. according to new research by JLL. Traditionally, properties with views of D.C.’s monumental core command top dollar, but that’s shifting.
Buildings with water views experienced a 25% increase in rents, to $64-per-square-foot, since 2010. Average rents in buildings with views of D.C.’s monuments increased 19%.
JLL’s researchers pointed out average rents at monument view buildings still topped $70-per-square-foot. That equates to rent growth three times higher than non-view space since 2014.
One factor pushing up rents in the core are the preference by some tenants to be located closer to the U.S. Capitol and key federal agencies, but it is also causing some to consider other locations, such as the waterfront.
For comments, questions or concerns, please contact Dennis Kaiser