CoStar Group Leaving DC HQ After 14 Years
By Keith Loria February 14, 2024 10:48 am
reprints
CoStar Group is moving its headquarters from Washington, D.C., to Rosslyn, Va.
The real estate analytics and data company — whose stable includes Homes.com, Apartments.com and LoopNet — acquired the 552,000-square-foot Central Place Tower and will move from its current D.C. home at 1331 L Street NW, where it spent the last 14 years.
The sale price was $339 million, according to Bisnow.
CoStar will occupy 150,000 square feet in the building at 1201 Wilson Boulevard when it moves later this year. Approximately 500 office emaployees will be relocated across the Potomac River to the new headquarters, and CoStar plans to add 150 jobs as well, according to the company.
CoStar, which has its main headquarters in Richmond, Va., said it considered as many as 25 sites in the District and Virginia before deciding on the new location, which it purchased from JBG Smith for an undisclosed price.
“The financially strategic acquisition of this building will provide the perfect home for the more than 500 employees at our current headquarters,” Andy Florance, CoStar’s founder and CEO, said in a statement. “We’re incredibly thankful for our 14 years calling Washington, D.C., home, and we will continue to be a part of this community even as we move across the river to Arlington County.”
Virginia Gov. Glenn Youngkin announced that CoStar will invest $20 million to move to Arlington County.
“Virginia’s a great choice for a new corporate headquarters location, and we are excited that CoStar Group, a leading provider of online real estate marketplaces, information and analytics in the property markets, sees the economic advantage in moving to the commonwealth,” Youngkin said in a statement. “We are proud that CoStar has chosen Virginia as its home.”
The governor approved a $1.25 million grant from the commonwealth’s opportunity fund and an additional $3.5 million from the Virginia economic development grant program to support the relocation.
Additionally, CoStar Group is paying $13.95 million to Arlington County to earn exclusive use of the 31-story Central Place Tower’s 12,000-square-foot observation deck.
The building, the tallest in the D.C. area, was completed in 2017. Other tenants in the building include Convene, Gartner and Accenture.
The company had four ads run during the Super Bowl last Sunday for Homes.com and Apartments.com starring Jeff Goldblum, Dan Levy and Heidi Gardner.
CBRE represented the seller in the transaction. It was unclear who represented the tenant.
Keith Loria can be reached at Kloria@commercialobserver.com.
