Companies from tier 1 markets continue to show interest in Richmond - taking advantage of local incentives, tapping into a good labor pool and providing a better cost of living for their employees. Following CoStar's big move in the first quarter, another new-to-market tenant, software provider AvePoint, plans to expand into Riverfront Plaza in August, providing 80-100 jobs over the next three years.
Class B office space is being gobbled up by investors to be converted to multifamily projects, removing these inferior spaces from the office market.
Downtown, Hourigan Development acquired 333 E Franklin Street from Media General, Inc. for a reported $13 million. The buyer plans to renovate the property with four of the building's five floors will reportedly being occupied by the Virginia Workers' Compensation Commission. In Scott's Addition, the Symbol office building has neared completion with the top floor pre-leased to Dominion Payroll Services. Across Boulevard, Rebkee has announced a plan for a 63,800-square-foot, three-story office building that is now pre-leasing.
Q2 2017 Office Market Snapshot
Author: Statia Gibson
Date Published: 07/01/2017