Republic Properties Finalizes Deal To Bring Federal Agency To Portals Complex
After months of uncertainty over lawsuits and congressional approvals, Republic Properties has officially landed an anchor tenant to replace the Federal Communications Commission at its Portals complex in Southwest D.C.
The General Services Administration finalized the deal to move the Pension Benefit Guaranty Corp. to the 445 12th St. SW property, the Washington Business Journal reports.
The FCC will vacate the property in 2019 when it moves to Trammell Crow's Sentinel Square development in NoMa. Republic Properties had attempted to block that move in court, but a judge dismissed its lawsuit in December 2016.
The GSA in June 2016 began a search to find a 431K SF space for the PBGC, moving it from 1200 K St. NW, and decided on Portals one year later. The award was valued at $274M.
The deal represents a thaw in what had been a slow year of leasing activity for the federal government. The agency had previously leased just 691K SF this year, a 69% decrease from its five-year average, contributing to a slow overall leasing year in the D.C. office market.
The deal also comes just two days after the swearing in of the GSA's new administrator, Emily Murphy, who was nominated in September.
