X

Thank you for sharing!

Your article was successfully shared with the contacts you provided.

ATLANTA-Raleigh, NC-based Highwoods Properties Inc. broke ground Friday on a $21.7-million class A office building at 180 Spring St. that will be leased by the US Department of Homeland Security.

Highwoods was awarded a build-to-suit contract by the General Services Administration to build the 91,000-sf building with structured parking on two acres. The project is expected to be completed in the third quarter of 2007.

This is the fourth build-to-suit project Highwoods has been awarded by the federal government in the last two years. In 2005, the company completed 601,000 sf for the government that was 100% preleased. The projects included a 138,000-sf field office for the FBI in Tampa, a 109,000-sf office building for the Centers for Disease Control in Atlanta and a 350,000-sf office and storage facility for the National Archives and Records Administration in Atlanta.

Highwoods director of business development Dave Hofstetter tells GlobeSt.com the company made a commitment about four years ago to pursue more government build-to-suit projects. “[Government entities] are great credit tenants and the lengths of leases are greater than with commercial tenants,” Hofstetter says. “It’s just good business.”

The buildings require more time to design due to the more stringent requirements of the government with respect to security and other issues. For example, setback requirements are greater than with other office buildings. “Once we get the permits in place, they require about the same amount of time to build,” he notes.

Want to continue reading?
Become a Free ALM Digital Reader.

Once you are an ALM digital member, you’ll receive:

  • Unlimited access to GlobeSt and other free ALM publications
  • Access to 15 years of GlobeSt archives
  • Your choice of GlobeSt digital newsletters and over 70 others from popular sister publications
  • 1 free article* every 30 days across the ALM subscription network
  • Exclusive discounts on ALM events and publications

*May exclude premium content
Already have an account?

 

GlobeSt

Join GlobeSt

Don't miss crucial news and insights you need to make informed commercial real estate decisions. Join GlobeSt.com now!

  • Free unlimited access to GlobeSt.com's trusted and independent team of experts who provide commercial real estate owners, investors, developers, brokers and finance professionals with comprehensive coverage, analysis and best practices necessary to innovate and build business.
  • Exclusive discounts on ALM and GlobeSt events.
  • Access to other award-winning ALM websites including ThinkAdvisor.com and Law.com.

Already have an account? Sign In Now
Join GlobeSt
Live Chat

Copyright © 2021 ALM Media Properties, LLC. All Rights Reserved.