WASHINGTON, DC–Gould Property Co. is working on a new initiative to offer space to startups that have outgrown their co-working roots. These young companies, while still small and possibly bleeding cash, are more image conscious because they have investors to reassure and new clients to impress. They need nicer and more private space than they can get in a co-working environment. Space that can accommodate a team of 15 or so people, which would be around 3,000 square feet. Space with signage possibly, a short-term lease hopefully, and definitely space that doesn't break the bank.

There are various options in the market that can meet some of these criteria, including a handful of brokers willing to work on small leases. But Gould Property wants to wrap all of the aforementioned in one package for companies at a rent of slightly under $50 per square foot.

The Luxury Tech Suite Model

It has opened its first offering of a concept it is calling luxury tech suites at 1725 DeSales St., across the street from the Mayflower Hotel in Dupont Circle. Four of what will eventually be ten suites in the building have already been rented, according to Director of Asset Management Charles Lancaster. Another four will be ready in time for the building's open house on May 4th.

Market research, which included conversations with some 100 local brokers, points to a strong need for this next level of office offering, Lancaster tells GlobeSt.com. Common sense does as well: the economic makeup of the Washington, DC metro area is changing as government and law firms retrench and local economic development groups seek to cultivate technology and other creative industries.

Further validation can be found in a new JLL report called the Future of Work. The commercial real estate landscape has changed, says John Forrest, Global and Americas CEO of Corporate Solutions at JLL. Real estate was once about acquiring and managing buildings but now it is a tool or lever for companies to use to hit broader business agendas, he said.

A Branded Offering

Gould plans to roll out additional buildings under a different brand throughout suburban Maryland, including Baltimore, Northern Virginia and the District. This next series of buildings will offer signage on the suite walls and will be designed somewhat reminiscent of traditional co-working space — that is, they will have common amenities and lounges. But the private tech office suites will still be the centerpiece of the offering, Lancaster says.

The demand is definitely there, he says — it's just that quantifying it is not that easy. “There is no real beta out there, because the city is changing so quickly.”

The Luxury Tech Suite Model

A Branded Offering

The demand is definitely there, he says — it's just that quantifying it is not that easy. “There is no real beta out there, because the city is changing so quickly.”

Instant Insights /

Gould Property Identifies Niche Beyond Co-Working

Related Stories

Recommended For You