NGKF Leads Industrial Deal in DC
- Oct 26, 2016
Alexandria, Va.—Paxton Van Lines Inc. has renewed its 107,313-square-foot lease and expanded another 36,127 square feet at Plaza 500, a two-story industrial building in Alexandria, Va., owned by First Potomac.
With the extension, Paxton becomes the largest tenant at the property. Newmark Grubb Knight Frank represented the company in the deal.
“It was continuous to the space they already had in the same project and the need for the space was relative to some contracts they had with the government and it needed to be in this basic geographic area,” Larry FitzGerald, NGFK executive managing director, told Commercial Property Executive. “Substantial renovations were required related to the contract they are servicing and the landlord was willing to provide a generous tenant improvement allowance to facilitate the use.”
Located at 6295 Edsall Road, Plaza 500 comprises 500,800 square feet of industrial space, offering a range of options and solutions for tenants looking for space such as offices, classrooms and warehouse space in the Alexandria market.
“It’s a very tight industrial market inside the Beltway, where finding warehouse space is becoming much, much tougher,” FitzGerald said. “What you find are traditional developers scraping that stuff and going vertical with apartment buildings and office buildings.”
The building is close by I-95, I-395, I-495, Metrorail and Metrobus services and is in the vicinity of a multitude of restaurants and amenities.
FitzGerald also represented Paxton in its original lease transaction three years ago.
“Not only did they get additional square footage, but they were able to get an extension of the existing lease, so it was a win-win,” FitzGerald said. “It’s a good long-term strategic lease for Paxton and they can continue to serve their various clients.”
Additionally, earlier this year, he represented Paxton in the sale of 32 acres of M1 land in Manassas for $3.6 million that is slated to become the home of a large data center. He noted both transactions represent the moving and transportation company’s initiative to align its real estate portfolio with its growing business.