Global disruption caused by COVID-19 will test the resiliency of the DC office market
Uncertainty overcame the office market as the rapidly evolving COVID-19 pandemic, and actions implemented in March to slow the spread of coronavirus, have resulted in an unprecedented shutdown of activity in the District. It is impossible to know what the aftermath of current circumstances will look like. A bright spot on the other side of this event will likely be the strength of the region’s core tenant base of government, legal and related sectors – which provides a safeguard relative to other metropolitan regions. In times of crisis, the government and related businesses often become more active, providing resiliency against a volatile economy. Times of uncertainty also often create unexpected opportunities for tenants. DC’s office market is already skewed tenant-favorable, and it is likely that occupiers will see continued favorability with an increase in options and ongoing generous concession offerings over the coming quarters, after the crisis has passed.