BREAKING: Arlington lands HQ of another publicly traded company

The Central Place office tower in Rosslyn (via Google Maps)

Arlington has landed the headquarters of another publicly traded company.

Arlington County and Gov. Glenn Youngkin announced Tuesday evening that CoStar Group will be moving its corporate headquarters from D.C. to the Central Place building in Rosslyn. The Washington Business Journal previously reported that the company was nearing a deal to buy the office tower, describing the impending move as “another blow to downtown D.C.”

A total of 650 employees will work from the new HQ at 1201 Wilson Blvd, the county and the governor’s office said. That’s in addition to the more than 1,000 CoStar employees who work in a large “research and data analytics” office in Richmond.

“The decision to relocate the CoStar headquarters to Arlington County reinforces the positive environment state and local leaders have created for business,” state Sen. Barbara Favola said in a statement. “The well-educated workforce, world-class public schools, transit opportunities, and recreational spaces will be welcome assets for CoStar employees.”

CoStar made a splash over the weekend by airing several celebrity-studded commercials for its brand during the Super Bowl.

As part of the move, CoStar will receive nearly $5 million in state economic incentives. The company will be paying Arlington County nearly $14 million, meanwhile, for exclusive use of what had previously been a public amenity under the building’s site plan agreement: the “View of D.C.” observation deck.

The space previously charged admission but in 2019 changed to being free to the public. The county says it plans to use the $14 million to accelerate proposed changes to nearby Rosslyn Gateway Park by a decade.

The CoStar Group announcement continues a winning streak for Arlington, which landed Nestle’s U.S. headquarters in 2017, Amazon’s HQ2 in 2018, and the corporate headquarters of Boeing and RTX Corporation (formerly Raytheon) in 2022.

An Arlington County press release, below, notes that CoStar employees are expected to work from the office four days a week, “which will add to the vitality of Rosslyn’s ongoing transformation into a mixed-used neighborhood.”

Arlington Economic Development is pleased to announce CoStar Group will move its global headquarters to Rosslyn. CoStar Group, a leading global provider of online real estate marketplaces, information, and analytics in the property markets, has purchased 1201 Wilson Boulevard, a 560,000-square-foot office building known as Central Place Tower, and will move into the location in late 2024. CoStar Group will occupy 150,000 square feet of commercial office space and employ 650 workers in Arlington. Included in the S&P 500 Index and the NASDAQ 100, CoStar Group employs over 6,200 globally and is comprised of notable industry products and online marketplaces covering all aspects of real estate, including CoStar, LoopNet,, and STR.

Earlier today, Governor Glenn Youngkin approved a $1.25 million grant from the Commonwealth’s Opportunity Fund to assist Arlington County with this project. The Governor also approved $3.5 million in funds from the Virginia Economic Development Incentive Grant.

“Virginia’s a great choice for a new corporate headquarters location, and we are excited that CoStar Group, a leading provider of online real estate marketplaces, information, and analytics in the property markets, sees the economic advantage in moving to the Commonwealth,” said Governor Glenn Youngkin. “As states compete for business and jobs, the Commonwealth’s diverse, world-class talent, exceptional quality of life and stable business climate continues to stand out. We are proud that CoStar has chosen Virginia as its home.”

“The financially strategic acquisition of this building will provide the perfect home for the more than 500 employees at our current headquarters. We’re incredibly thankful for our 14 years calling Washington, D.C. home, and we will continue to be a part of this community even as we move across the river to Arlington County,” said Andy Florance, Founder and Chief Executive Officer of CoStar Group.

“CoStar Group’s move to Arlington is a huge win and a testament to our high quality of life, dynamic urban centers, unparalleled talent pool and business-friendly environment,” said Ryan Touhill, Director, Arlington Economic Development. “CoStar Group’s outright purchase of the building also signifies confidence in our commercial real estate market, which is key to our ongoing efforts to reduce office vacancies.”

Expediting Improvements to Rosslyn’s Gateway Park

CoStar Group will pay $13,951,900 to Arlington County to obtain sole use of the Observation Deck at 1201 Wilson Boulevard. With this payment, the County Manager will ask that the County Board act on CoStar’s land use applications and allow them exclusive use of the Observation Deck. In addition, the County Manager will propose that these funds be allocated towards the reconstruction of Rosslyn’s Gateway Park as part of the upcoming Capital Improvement Plan. The extra funding will allow for the entire Rosslyn neighborhood’s prized public space to be completed nearly a decade sooner than planned. The almost $14 million in funding from CoStar Group will pay a significant portion of the design and construction of the park’s west end — a benefit for Arlington County and its residents. Once approved, Gateway Park’s east and west sides will be designed and constructed as one project informed by an upcoming community engagement process. Once the company submits the required land use applications and works through the public process, the County will take the necessary actions to vacate the Observation Deck easement.

“CoStar Group’s strategic move to Arlington reinforces our attractiveness as a hub for innovative global businesses,” said Libby Garvey, Chair, Arlington County Board. “We are thrilled to welcome CoStar Group to Rosslyn, where their presence is sure to have positive economic impacts and will help to strengthen the neighborhood — especially with the faster realization of a reconstructed Gateway Park.”

In Good Company

CoStar Group joins additional businesses with headquarters of note in Arlington, including AES, Amazon, Boeing, Nestlé and RTX. Given CoStar Group’s real estate industry expertise, the decision to purchase 1201 Wilson Boulevard and remain in the region is a significant indicator of Arlington’s premier location.

“We are excited to welcome CoStar Group to Rosslyn and eager to have yet another headquarters and new owner call our community home,” said Mary-Claire Burick, President, Rosslyn Business Improvement District (BID). “This move not only exemplifies Rosslyn as a destination of choice for leading businesses and savvy investors but continues to advance our vision for Rosslyn as a vibrant and thriving urban center.”

The amenities of the Rosslyn location will meet the needs of CoStar Group’s fast-paced and collaborative workplace environment. CoStar Group’s employees are expected to be in the office four times a week, which will add to the vitality of Rosslyn’s ongoing transformation into a mixed-used neighborhood. Centrally located, CoStar Group’s workplace will afford staff easy access to the Metro and restaurants, retail, recreational parks and green spaces.

Photo via Google Maps