Leasing activity stable despite warnings of new Covid-19 variant

The Northern Virginia market closed out the year in Q4 2021 with leasing activity totaling 2.2 million square feet (msf), approaching the 5 year quarterly average of 2.5 msf for the third consecutive quarter in a row. The new Omicron variant of the Covid-19 virus did little to slow leasing activity as demand for space increased by 21.0% year over year. The top transaction of the quarter was the Koch Foundation relocating to 4201 Wilson Boulevard in Ballston for 175,000 square feet (sf). The technology, advertising, media and information (TAMI) sector has still been a primary source of new growth for the market jumping from 19% in Q3 to totaling 32.0% of new transactions this quarter just behind the lead sector Professional Services which is primarily made up of government contractors at 34.0%.

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