Metro has opted to lease its existing headquarters property in downtown D.C. instead of sell it, and says it plans to be completely moved out of its home of 45 years by 2022.
The Jackson Graham Building has never undergone a major renovation, but it sits on a prime piece of downtown real estate, covering an entire block in the center of Gallery Place, at 600 5th St., N.W.
The 1.1-acre site is across the street from Capitol One Arena.
By opting not to sell the property, Metro will now own it under a long-term ground lease, generating sustained revenue for Metro operations.
Metro had been leaning toward selling the property as recently as last summer.
Metro will market the site as ideal for office, residential, hotel or mixed-use development.
Metro has purchased an existing building near L-Enfant Plaza, at 300 7th St., S.W. for its new D.C. headquarters. In addition to consolidating headquarters operations there, Metro said it will announce in coming weeks new regional headquarters sites in Maryland and Virginia.
“Maximizing the value of our downtown property is in the best interest of Metro, the District, our employees and our riders,” said Metro General Manager Paul J. Wiedefeld.
“While the Jackson Graham Building has been our home for more than 40 years, the revenue that will be generated by the redevelopment of this property is an investment in Metro’s future.”
JLL Mid-Atlantic Capital Markets will represent Metro in seeking a developer for a 99-year ground lease for the current headquarters property.
