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WASHINGTON, DC-The Association of American Railroads has signed a lease at Capitol View–a 317,000-square-foot office building located at 425 3rd St., SW. The association will occupy 33,619 square feet, or 15% of the 12-story building, which Clark Enterprises delivered in January 2008. CB Richard Ellis’ Scott Frankel, Art Santry and Doug Mueller represented Clark Enterprises. Bruce McNair and Josh Hartman of Grubb & Ellis represented the Association of American Railroads in the transaction.

This lease, plus a pending commitment, will bring the building’s occupancy rate to 25%, Frankel tells GlobeSt.com. Asking rates for the building are low to mid-30s, triple net, he adds. Triple net asking rates are a growing trend among DC office buildings, which began three years ago and have accelerated since the downturn last year.

AAR will be moving from 50 F St. this September. This is not an expansion for the association, Frankel says. The decision to move was partly because of the closer proximity to Capitol Hill, he says, and partly “because it recognized a better value in this building.”

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