WASHINGTON, DC–You probably have noticed that there is a lot of office redevelopment in the Golden Triangle BID.
What you probably haven't noticed, at least not consciously, is that three table top restaurants have opened in the BID since the beginning of year: Mirabelle at 900 16th St., Le DeSales at 1725 DeSales St. and Honeysuckle at 1990 M St.
The latter is a manifestation of the former, the BID's Executive Director Leona Agouridis tells GlobeSt.com.
A Change Underway In Golden Triangle
The Golden Triangle, in ways more than geographic, is considered the heart of the District. It is home to 32 million square feet of commercial office space, 3,000 or more businesses, 300 plus retailers, 200 plus restaurants, eight hotels, six national parks and numerous outdoor events. That characterization is unlikely to ever change.
But change is coming to the BID in a more subtle fashion. There is an estimated 5 million square feet of office space scheduled to be repositioned between now and 2022, representing over $2.5 billion in investments, according to Golden Triangle BID stats. [see chart below]. The majority of these repositionings will result in Class-B office buildings converting to trophy class office buildings.
And with trophy class office buildings come trophy-type tenants. The table top restaurants are a reflection of the anticipation of these new tenants, Agouridis says.
“People think of us as a classic district but we have a lot of innovation in the office sector and retail is starting to complement what is happening in the buildings,” she says.
The Surety of Location
Many of the Golden Triangle BID's office buildings were built decades prior and as new product enters the District's pipeline, class B office buildings are moving to upgrade in order to stay competitive. For some buildings in marginal parts of the city, such an investment might not make sense. The Golden Triangle BID, though, offers the surety of location.
“This has always been a neighborhood where people have felt comfortable in making an investment, whether it is renovating a building or opening another location for their restaurant. It has always had that kind of classic appeal,” Agouridis says.
As these buildings renovate and refresh, their developers are finding that higher-end dining is a better appeal to future tenants.
Yes, the BID is known for its ubiquitous casual lunch spots, Agouridis concludes — and if all goes according to plan, higher-end offerings will start to make their mark as well.
WASHINGTON, DC–You probably have noticed that there is a lot of office redevelopment in the Golden Triangle BID.
What you probably haven't noticed, at least not consciously, is that three table top restaurants have opened in the BID since the beginning of year: Mirabelle at 900 16th St., Le DeSales at 1725 DeSales St. and Honeysuckle at 1990 M St.
The latter is a manifestation of the former, the BID's Executive Director Leona Agouridis tells GlobeSt.com.
A Change Underway In Golden Triangle
The Golden Triangle, in ways more than geographic, is considered the heart of the District. It is home to 32 million square feet of commercial office space, 3,000 or more businesses, 300 plus retailers, 200 plus restaurants, eight hotels, six national parks and numerous outdoor events. That characterization is unlikely to ever change.
But change is coming to the BID in a more subtle fashion. There is an estimated 5 million square feet of office space scheduled to be repositioned between now and 2022, representing over $2.5 billion in investments, according to Golden Triangle BID stats. [see chart below]. The majority of these repositionings will result in Class-B office buildings converting to trophy class office buildings.
And with trophy class office buildings come trophy-type tenants. The table top restaurants are a reflection of the anticipation of these new tenants, Agouridis says.
“People think of us as a classic district but we have a lot of innovation in the office sector and retail is starting to complement what is happening in the buildings,” she says.
The Surety of Location
Many of the Golden Triangle BID's office buildings were built decades prior and as new product enters the District's pipeline, class B office buildings are moving to upgrade in order to stay competitive. For some buildings in marginal parts of the city, such an investment might not make sense. The Golden Triangle BID, though, offers the surety of location.
“This has always been a neighborhood where people have felt comfortable in making an investment, whether it is renovating a building or opening another location for their restaurant. It has always had that kind of classic appeal,” Agouridis says.
As these buildings renovate and refresh, their developers are finding that higher-end dining is a better appeal to future tenants.
Yes, the BID is known for its ubiquitous casual lunch spots, Agouridis concludes — and if all goes according to plan, higher-end offerings will start to make their mark as well.
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Erika Morphy
Erika Morphy has been writing about commercial real estate at GlobeSt.com for more than ten years, covering the capital markets, the Mid-Atlantic region and national topics. She's a nerd so favorite examples of the former include accounting standards, Basel III and what Congress is brewing.
