Cresa's Initial Outlook on Amazon's Landing
Amazon's decision to establish a headquarters in Crystal City will have significant impacts on Arlington's real estate and commercial office markets. According to Amazon's three-phase growth projections, the Northern Virginia headquarters will require roughly three million square feet of office space and employ 25,000 workers upon completion, meaning Crystal City's status as the region's most occupier-friendly submarket will soon be gone. Rent are expected to increase at an annual rate of 3.1% starting in 2019 and the effects on the overall labor market will be muted, though competition for skilled tech workers will heat up
Our initial outlook on Amazon's landing highlights the e-commerce giant's announcement of their HQ2 location in Crystal City, VA. This whitepaper seeks to answer critical the questions: Was Amazon's "landing" a big deal? Where has Amazon landed? What is the impact of Amazon on the DC region?