This has translated into 1.1 million square feet of positive net absorption in Q1 — a strong sign considering the little absorption of the past few years. Going forward, NGKF is forecasting an average increase of 45,500 jobs per year through 2021.

Indeed that 1.1 million already matches the total for all of 2016. Demand was strongest in the District of Columbia, which registered 623,224 square feet of absorption during the first quarter. Suburban Maryland registered 442,780 square feet of absorption, its highest quarterly absorption total in nearly three years. Demand in Northern Virginia was flat for the first quarter, registering 7,880 square feet of absorption.

That all said, the vacancy rate is at a stubbornly high 16.1% and will probably remain in that range for a while given the new deliveries reaching the market.

WASHINGTON, DC–First quarter office investment sales for the Washington DC area totaled $2.1 billion, an increase from the $1.6 billion that closed in the same quarter last year, according to NGKF.

It reports that sales activity in 2017 has so far been focused in the District of Columbia and Northern Virginia, with no transactions larger than $20 million taking place in Suburban Maryland. Northern Virginia led the region's volume with $1.2 billion, while the the District closed $948 million in sales.

However, NGKF believes Q1 totals could have been higher but some that some buildings are being held off the market as owners wait and see how the new administration's policies and budgets play out. Other brokers have reported the same trend since the presidential election.

One clear positive to take away from the quarter's performance is the job growth that is finally fueling the office market. There were 54,800 jobs added in the 12 months ending January 2017, versus 44,200 per year for the past 20 years.

This has translated into 1.1 million square feet of positive net absorption in Q1 — a strong sign considering the little absorption of the past few years. Going forward, NGKF is forecasting an average increase of 45,500 jobs per year through 2021.

Indeed that 1.1 million already matches the total for all of 2016. Demand was strongest in the District of Columbia, which registered 623,224 square feet of absorption during the first quarter. Suburban Maryland registered 442,780 square feet of absorption, its highest quarterly absorption total in nearly three years. Demand in Northern Virginia was flat for the first quarter, registering 7,880 square feet of absorption.

That all said, the vacancy rate is at a stubbornly high 16.1% and will probably remain in that range for a while given the new deliveries reaching the market.