Press Releases
NOAA to Keep 4,200 Jobs in Downtown Silver Spring; Agency Signs 15-year Lease Renewal for One Million Square Feet
For Immediate Release: Thursday, December 15, 2011
The U.S. General Services Administration (GSA), on behalf of the National Oceanic and Atmospheric Administration (NOAA), signed a 15-year lease renewal Wednesday for more than one million square feet of office space NOAA currently occupies among three buildings located at 1305, 1315 and 1325 East West Highway in Silver Spring. NOAA has been the lead tenant in the Foulger-Pratt-owned buildings since they were constructed in 1990.
“Montgomery County is keenly aware of the vital role our more than 19 federal agencies play in supporting and sustaining our local economy and I applaud the decision by the General Services Administration to renew NOAA’s lease in Downtown Silver Spring, keeping some 4,200 jobs in the County,” said Montgomery County Executive Isiah Leggett. “This latest federal win is a direct result of the County’s strategic, proactive outreach, led by our Department of Economic Development, to both GSA and NOAA and is also a result of the Department’s ongoing interaction with area developers and property owners, in this case Foulger-Pratt.”
“We are thrilled with GSA’s lease renewal for NOAA in Silver Spring and this great outcome was made possible by the County economic development team’s initiative to work with us to ensure a deal that was viable for all parties involved,” said Bryant Foulger, Managing Principal, Foulger-Pratt Companies. “Of the $40 million we will invest in the three buildings over the next two years, $10-15 million will go to upgrade HVAC and lighting systems to improve energy efficiency and to achieve LEED-EB Silver certification, ensuring this space will meet the needs of NOAA’s 4,000-plus employees for many years to come.”
NOAA’s leases were set to expire in 2013. In October, GSA issued a Solicitation for Offers for one million square feet of office space in the suburban Maryland market. To ensure NOAA’s roughly 4,000 jobs remained in Montgomery County, Leggett and the County Council approved a request from DED to offer Foulger-Pratt a financial incentive in the form of a conditional grant not to exceed $12 million over fifteen years.
“With more than 8.3 million square feet of federally-leased space in the County, our ability to work with GSA, federal agency leadership and the development community is critical to ensuring that we continue to facilitate the retention and growth of this sector in the County,” said Steve Silverman, Montgomery County Department of Economic Development (DED) Director. “NOAA, and other federal agencies like HHS, NIAID, NCI and NRC, all of whom have recently retained and/or expanded their space and jobs in the County, remain steady contributors to our local economic and job base.”
NOAA’s lease renewal comes on the heels of other positive federal activity in the County over the past 18 months including: the Department of Health and Human Services’ lease renewal for 932,391 square feet to house 3,000 employees at the Parklawn office complex in Twinbrook; a 15-year lease on a new 490,998 square foot, 10-story building, also in Twinbrook, to house 2,000 National Institute of Allergy and Infectious Diseases (NIAID) employees; and a new $200 million satellite campus at the Shady Grove Life Sciences Center for 2,100 employees of the National Cancer Institute.
“We all know what an asset NOAA is for the County, but I am especially delighted that GSA decided to retain NOAA’s tremendous presence in Silver Spring,” said Councilmember Valerie Ervin, who represents Kensington, Takoma Park, Silver Spring and Wheaton. “NOAA’s employees provide significant economic impact particularly in downtown Silver Spring, and I am so excited that they will continue to call Silver Spring home.”
Media Contact: Kristina Ellis 240-793-9568