KORE US Reit completes spec suite development at Washington office complex
The pre-completion leasing signals demand from small and mid-sized occupiers for move-in-ready offices, potentially supporting occupancy and rental performance across KORE’s additional 35,000 sq ft pipeline.
KORE US Reit completed the 15,400 sq ft, six-suite Post development at Washington’s Plaza Buildings, with 50% leased before completion.
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KORE US Reit (KORE) has completed a speculative suite (spec suite) development at The Plaza Buildings, an office complex in Washington, US.
It is the Reit's fourth full-floor spec suite development and its second at The Plaza Buildings, KORE said in an Oct 13 release. The Singapore-listed Reit (formerly Keppel Pacific Oak US Reit) is managed by KORE US Reit Management, which is jointly owned by Keppel and KORE Pacific Advisors.
Under KORE's spec suite strategy, asset enhancement initiatives are carried out at vacant offices under its portfolio, turning them into move-in-ready spaces designed to attract tenants and lower long-term capital expenditure associated with tenant turnover.
The latest spec suite development at The Plaza Buildings comprises an entire floor that is now dubbed The Post. Spanning 15,400 sq ft, it features six studio suites designed for small and mid-sized occupiers, alongside an amenity hub with collaborative workspaces, breakout areas, and other shared facilities.
According to KORE, half of The Post’s six suites were leased prior to the development’s completion, with “strong leasing interest” for the remaining units.
“We are encouraged by the pace of leasing and rental performance achieved to date, as we continue to deliver workplace solutions that align with occupier demand,” added David Snyder, CEO of the manager.
KORE's previous full-floor spec suite developments include The Greenhouse at The Plaza Buildings and Ventuno at 1800 West Loop South, an office tower in Houston. The Reit also undertook the repositioning of 1150 Iron Point, an office building in Sacramento, California, following the vacancy of a long-term tenant.
All three developments became fully leased following delivery, the manager said.
The Reit currently has over 35,000 sq ft of additional spec suites under development. This includes more projects at The Plaza Buildings, as well as ongoing developments at Great Hills Plaza and Westech 360, both located in Northwest Austin, Texas.