MCLEAN, VA. — Hilton Hotels Corp. has signed a lease with B.F. Saul Real Estate Investment Trust for space in its 323,000-square-foot Park Place II office tower for an undisclosed amount. The property is located at 7930 Jones Branch Dr. in McLean. The 10-year lease secures roughly 107,600 square feet of the LEED Gold-certified building for Hilton’s new global headquarters. Dan Evans and Jeff Groh from Jones Lang LaSalle’s McLean office represented Hilton in the transaction.
Hilton will relocate its operations from Beverly Hills, Calif., during the third quarter, a move that represents a more effective and efficient way to operate the company. According to a Hilton spokeswoman, from its new perch in Virginia, Hilton will be closer to the high concentration of hotel and real estate companies located in Washington, D.C. An additional incentive arose from a quality of life issue. The cost of living in McLean is much lower than in Beverly Hills, and employees will also benefit from shorter commute times. “Through a rigorous review process, we determined that the Fairfax County location offers us cost savings in the tens of millions of dollars per year,” she says, adding that Hilton has corporate and divisional properties in Memphis, Tenn., Dallas and Orlando, Fla. “We’ll also be in closer proximity to key Hilton sites and offices, which will enable us to better manage our business.”
Hilton officials searched through a number of sites in Fairfax County, Virginia, looking for the ideal property. Cost and sustainability were high on the list of Hilton’s criteria. Park Place II’s LEED certification also melded with the company’s goals. “Ensuring our new global headquarters met the highest environmental standards for design, construction and operation was an essential part of our decision-making process,” the spokeswoman says.