MCG Capital Corp, a commercial finance company that provides capital and advisory services to lower middle-market companies throughout the United States, has extended its corporate headquarters lease at the Potomac Tower located at 1001 19th Street North in Arlington, VA.
The company occupies 13,134 square feet of office space in the building under a lease that was set to expire in November 2014. Last month, the company entered into a new lease for the space, which will expire in December 2015.
Under the terms of the new lease, from and after February 1, 2015, MCG Capital Corp will pay $50 per square foot, or $57,016.67 a month for its lease. The landlord has agreed to a “rent credit” for the first month totaling $52,016.67, so MCG Capital’s first installment of its monthly rent has been reduced to $5,000.
The company did not use a broker in connection with the lease agreement, which may be extended until December 2016.
The renewal term for 2016 stipulates a similar rent credit. Should MCG Capital Corp renew its lease for 2016, it will not be obligated to pay base rent for the first two months of its 12 month, 2016 renewal term.
The landlord, BFP Potomac Tower Co. LLC, is an affiliate of Brookfield Properties Management LLC, according to the lease.
Designed by I.M. Pei, Potomac Tower is on the banks of the Potomac River, offering unobstructed views of the Washington, DC skyline, Georgetown University and the Kennedy Center. The property is accessible by the Rosslyn Metro station (orange and blue lines), and is less than 10 minutes from Reagan International Airport.
The 20-story tower was built in 1989 and has 423 parking spaces. MCG Capital Corp negotiated for 23 of those spaces in its lease.