Two Leases Take 96,000 SF in West End Office

WASHINGTON, DC-At least for a few years, a short-term lease by the German government is more than salvaging a 50,724-square-foot hole left by the European Union as it decamps from its long-standing address at 2300 M St. The German government will base its Embassy there for the next three to four years while its Embassy on Reservoir Road in the District undergoes renovations, CBRE’s Bruce Pascal tells GlobeSt.com. The German government has inked a 76,000-square-foot lease at 2300 M St.–to go into effect one day after the EU lease expires. It was a win for AION Partners, which owns the 140,000-square-foot building, because its cash flow hasn’t been disrupted, Pascal notes.

AION has also renewed another tenant in the nine-story property: HQ Global Workplaces, which has extended its 20,000-square-foot lease on the eight and ninth floors for an additional five years. The German Embassy will occupy a portion of the first floor and the entire third through seventh floors at 2300 M St., while renovations at its permanent home are underway. Bruce Pascal and Mark Klug of CB Richard Ellis negotiated the lease transaction on behalf of Germany. AION Partners was represented by Zeke Dodson, Kerri Mulligan Salih and Jonathan Wellborn of Cassidy & Pinkard. Brian Murphy and Seth Benhard of CB Richard Ellis represented HQ Global Workplaces in the negotiations.

Located in the West End submarket, 2300 M St., NW is a Skidmore Owings Merrill-designed immediately adjacent to the Westin Grand Hotel. Over the last two years, AION Properties has upgraded the property’s lobby, landscaping, elevators, and mechanical systems. The remaining space at 2300 M includes a 5,000 square feet block of space on the first floor, 11,000 square feet on the second floor and 3,600 square feet on the ninth floor. The term of the German Embassy lease is three years, with two six-month renewal options.