HERNDON, VA–Earlier this year Moore & Assoc. and Harbert Management Corp. acquired Worldgate Metro Plaza, a four-building office project located along the Dulles Toll Road.

It is a telling acquisition for the area, in large part for all the qualities it doesn't have. It is not a trophy building, for example, nor is it fully or even mostly leased. (It's occupancy is 50%).

The 325,433-square-foot complex is, however, located one-quarter mile from the new Herndon Metro Station on the Silver Line.

It is, in other words, the perfect opportunity for a type of play that Newmark Knight Frank predicts in its 3Q 2017 office market report will continue to outperform — that is, large blocks of Class A space along the Dulles Corridor and near Metro stations, and well-located Class B space. “There are value-conscious tenants seeking space at moderate prices,” it noted in its report, “but older buildings are having difficulty achieving high rents.”

Moore & Assoc., seem to have the same large-block tenants in mind with its investment. Worldgate Metro Plaza, says Vince Coviello, principal of Moore & Associates in a prepared statement, “is uniquely poised to offer a large tenant over 100,000 square feet of continuous space…and a Class A amenities atmosphere.”

Northern Virginia in general has driven performance in the Washington DC area in recent quarters, Natasha Flores, Senior Research Analyst at NKF, pointed out to GlobeSt.com in a recent interview. According to the report:

The Washington area's office market experienced strong demand during the third quarter of 2017 compared with recent years of performance, as net absorption for the region totaled 677,304 square feet. This performance, bolstered by Northern Virginia's outsized contribution, stands in contrast to the second quarter, when absorption was negative 390,872 square feet. The region's year-to-date absorption total now stands at 1 million square feet, led by Northern Virginia with 634,636 square feet of net absorption.

Moore & Associates said this week that it plans to invest over $10 million into the property. It will also lease and manage the property.

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HERNDON, VA–Earlier this year Moore & Assoc. and Harbert Management Corp. acquired Worldgate Metro Plaza, a four-building office project located along the Dulles Toll Road.

The 325,433-square-foot complex is, however, located one-quarter mile from the new Herndon Metro Station on the Silver Line.

The Washington area's office market experienced strong demand during the third quarter of 2017 compared with recent years of performance, as net absorption for the region totaled 677,304 square feet. This performance, bolstered by Northern Virginia's outsized contribution, stands in contrast to the second quarter, when absorption was negative 390,872 square feet. The region's year-to-date absorption total now stands at 1 million square feet, led by Northern Virginia with 634,636 square feet of net absorption.

Moore & Associates said this week that it plans to invest over $10 million into the property. It will also lease and manage the property.

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The Ongoing Performance of Dulles Corridor's Large Blocks of Space

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