Crystal City owner JBG Smith's CEO preceded Bezos at the podium tonight, talking about preserving affordable housing. Earlier today, news broke that JBGS
tabled a plan to convert a vacant 250K sq ft Crystal City office tower into apartments. (The renovation and expansion of the building's ground floor retail will proceed.) What's unusual is that they're swimming in other offices: JBGS also owns a vacant 401K sq ft tower across the street, another 150K available at the other end of the block, and as I mentioned they own vacant land and redevelopment sites nearby for which there are filed plans for 10+ million square feet of offices. It's especially weird because they've also seen strong absorption at a huge new apartment tower a few blocks west, probably helps that there's a Whole Foods inside. Golly gee, what a mystery.
(For those of you who bring up costs: asking rents for new-build Atlanta office buildings are around $35/foot. Arlington is absolutely competitive: new office buildings ask around $40, and existing buildings around $30.)
FWIW, Amazon already has multiple offices in this region that house multiple departments. There's a Capitol Hill office within DC, for the public policy (and economic development) group. There's a fairly large office in Ballston (north Arlington), which has some technical but mostly marketing/sales. There's the big AWS office in far suburban Herndon, and of course further out the warehouses and dozens of data centers.
There are also many local corporate headquarters that have little to do with the federal government. Mars candies is based here because Forrest Mars liked to ride horses in the Virginia countryside. Marriott is based here because J.W. got sent here on his mission trip. Arlington's largest global corporate HQ is AES, which generates electricity in 15 countries (primarily in South America) but was founded by some guys who met at the Department of Energy. German grocer Lidl set up its US headquarters in Crystal City, and so did the old US Airways (pre-America West). AWS isn't in Herndon because of government contracts, it's there because AOL was founded there and left the most robust fiber optic infrastructure in the world.
Phew, once this is all over, I believe I am overdue for a trip to Swinging Richard's.