A handful of transactions kept Suburban Maryland leasing afloat amidst pandemic challenges
In Q4, the Suburban Maryland market climbed out of the worst quarterly leasing activity it had seen in five years, closing the quarter with 0.5 million square feet (msf) leased. While this bump in activity leaves Suburban Maryland faring better than many office markets in the midst of a “pandemic pause,” this is likely a unique quarterly increase rather than a sustainable change in activity and reversal of market sentiment. Leasing volume is still below the five-year quarterly average of 0.8 msf and was bolstered by two large transactions in the financial services industry. Capital One completed an 83,000-square-foot (sf) renewal at 2 Bethesda Metro Center and Walker & Dunlop, Inc is relocating into a 60,000-sf space at 7272 Wisconsin Avenue – just across the street from its current location at 7550 Wisconsin Avenue. Walker & Dunlop’s lease is notable as it is leaving an older building and moving into a newer, trophy asset, taking advantage of softer market conditions and favorable deal terms available.