Real Estate

TF Cornerstone Inks DC-Area Lease Extension

TF Cornerstone has signed a 23,000-square-foot long-term lease extension at a 245,755-square-foot Class A office building in Reston, Va. The tenant is employment agency Quadrant Inc., that will continue to use the location as its global headquarters. Cushman & Wakefield represented the landlord, while CBRE negotiated on behalf of the tenant.

The lease follows TF Cornerstone’s earlier acquisition of the LEED Silver-certified property: last September the company picked it up for $21.5 million from seller TA Realty, CommercialEdge data shows.

The office building at 1881 Campus Commons Drive includes 44,000-square-foot floor plates, five passenger elevators, first-floor retail space, a fitness center and 734 parking spots, according to CommercialEdge. Additionally, the property was originally completed in 1999, with the latest renovations dating back to 2013. Notable tenants at the five-story building include SecurAmerica, Allied Universal, Sentrillion and Siemens Government Technologies Inc., among others.

The property is part The Commons, an 18-acre urban campus where TF Cornerstone also owns 1900 and 1902 Campus Commons Drive, a pair of office buildings totaling 120,000 square feet and 118,376 square feet, respectively. The company acquired the property in 2015 for $71.5 million, according to CommercialEdge.

The Commons is close to multiple subway stations, being 5 miles from Dulles International Airport, 15 miles from Arlington, Va., 21 miles from Washington, D.C. and within 27 miles of Alexandria, Va. The Cushman & Wakefield team of Senior Director Tom Walsh, Executive Director Matt Bundy, Senior Associate Paige Barger and Leasing Associate Chloe Eyring are the exclusive leasing agents in charge of the office building and represented the landlord in the deal. CBRE’s First Vice President Dan Falls worked on behalf of the tenant.

D.C.’s vacancy rate so far

As of January, Washington, D.C.’s office market reached a vacancy rate of 17.1 percent, below the national average of 18 percent and showing a 340-basis-point increase year-over-year, a recent CommercialEdge report shows.

A number of notable leases closed in D.C. recently, The Washington Post’s 300,000-square-foot expansion at One Franklin Square being one of them. The tenant renegotiated its initial commitment with landlord Hines, and has been at the 612,189-square-foot property since 2016.

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