Washington Post Renews at DC’s Tallest Office Tower
Landlord extends existing $250M loan for five years
By Keith Loria February 26, 2024 4:25 pm
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The Washington Post is remaining in its 300,000-square-foot office at One Franklin Square in Downtown Washington, D.C., landlord Hines announced.
The media publisher renegotiated its lease at the 612,189-square-foot tower — also known as 1301 K Street NW, and considered the tallest commercial building in the District — through at least 2037.
The lease extension allowed Hines to extend the building’s existing loan through Mesa West for up to five years, Andrew McGeorge, senior managing director at Hines, told Commercial Observer. The five-year term covers $250 million, which includes funding for future leasing activity, he said.
The Washington Post moved into the property in 2016 and had a lease termination option in December of 2025, McGeorge said. “A longer-term commitment from the Post allowed our lender to give us favorable terms when extending our existing loan.”
The Washington Post occupies five floors in the west tower and three floors in the east tower. It also has some ground-floor space.
“As the paper of record for Washington, we’re proud to be headquartered in the heart of the city, just blocks from the world’s most powerful leaders,” Steve Gibson, chief financial officer for The Washington Post, said in a prepared statement. “The Post is committed to the District both in our coverage and in our long-term presence at One Franklin Square, as we continue to deliver world-class journalism in service of local, national and global readers alike.”
The Post is owned by Nash Holdings, the private investment company of Jeff Bezos.
Hines acquired the property in 1996 for $180 million. Since 2015, Hines has replaced most major systems and upgraded the building’s rooftop terrace and lounge, added a conference facility with capacity for 130 people, and installed a new fitness and yoga center.
Other notable tenants in the building include Reed Smith and Davis Wright Tremaine.
JM Zell Partners represented the tenant in the deal while Hines was represented in-house.
Keith Loria can be reached at Kloria@commercialobserver.com.
