Skanska to Break Ground on $129M DC-Area Project

3901 N. Fairfax Drive. Image courtesy of Skanska

Skanska is ready for work to get started on 3901 N. Fairfax Drive, its $129 million mixed-use office project in the suburban Washington, D.C., market of Arlington, Va. The global development and construction firm plans to break ground on the approximately 200,000-square-foot building later in September.

An eight-story building with 191,000 square feet of office space and 10,000 square feet of retail offerings, 3901 N. Fairfax will take shape on one of the last remaining developable parcels along the vibrant Rosslyn-Ballston Corridor, a veritable mixed-use mecca in Northern Virginia.

Plans for the project have been in the works for some time, with Skanska having snapped up the 1-acre parcel, once the site of the Arlington Funeral Home, from Bernstein Management Corp. in October 2019 for approximately $17.3 million.

READ ALSO: Hines JV Tops Out Research Triangle Project

CallisonRTKL is the architect behind the design of 3901 N. Fairfax, which will be what Skanska describes as a new caliber of office space for a post-COVID-19 world. The office destination will center on health and wellness inside the building as well as beyond its walls.

“Forward-thinking design placed Skanska in a good position during the pandemic,” Mark Carroll, an executive vice president with Skanska USA, told Commercial Property Executive. “As the area’s newest office building post-COVID-19, occupant health and wellness remained top of mind through the design process for 3901 Fairfax.”

The office tower will feature touchless automatic doors at the front entrance to reduce touchpoints, and each floor will have dedicated outdoor air systems that provide nearly 50 percent more fresh, outside air than required by code.

“3901 provides the opportunity to work from office space, the roof terrace, the [8,000-square-foot, community-focused public] outdoor plaza, as well as the indoor and outdoor common areas,” Carroll added. “This will be a great building for companies who prioritize the health and safety of their employees.”

Skanska is pursuing LEED Gold and WiredScore certification for 3901 N. Fairfax, which is one of the first office buildings in the Washington region to secure WELL Precertification.

Welcome back to the office

As Avison Young notes in a second-quarter 2021 report, unlike past recessions, in which Northern Virginia’s office market was unimpacted or even positively impacted, pandemic-related fears and restrictions have dramatically suppressed office leasing activity. However, Skanska is undeterred by the numbers and considers 3901 N. Fairfax an exception to the rule.

“It is the right place and timing for providing a new trophy office building in this vibrant neighborhood. But flight to quality, having the right product at the right time, has still proven paramount. That means we as developers need to create destinations and experiences that people want to come to,” Carroll said.

Avison Young’s report bears out Carroll’s assertion, noting that rents in Northern Virginia haven’t suffered nearly as much as in other markets, partly due to a flight to quality within the Class A segment.

“A quality building includes a vibrant ground plane with a mix of retail, dining and arts for tenants and community to experience, and close proximity to commuter and public transportation,” Carroll continued. “And we have seen greater interest in sustainable buildings with health and wellness features.”

Skanska has tapped Avison Young to handle leasing for the office segment of 3901 N. Fairfax, and the company has selected H&R Retail to spearhead retail leasing activity. Skanska USA Building is on board the project as contractor and expects to complete construction in 2023.