Global cybersecurity company Palo Alto Networks Inc. will lease one of Boston Properties’ new office towers in Reston Town Center.
The company — which currently leases space at RTC West (12110 Sunset Hills Road) — plans to occupy 58,000 square feet of space at a 20-story office tower in Reston Town Center, the Washington Business Journal reported.
The new lease was signed on Jan. 12 for 58,000 square feet in the tower at 1950 Opportunity Way — one of two office buildings built in Boston Properties’ nearly 5-million-square-foot expansion, just north of the Reston Town Center Metro station.
According to the WBJ, the building at 1950 Opportunity Way will be close to fully leased with the Palo Alto deal. Other tenants of the paired office towers, which total 1.1 million square feet of space, include Volkswagen and Fannie Mae.
In a quarterly earnings call in late January, Boston Properties Chief Financial Officer and Treasurer Michael LaBell noted that Reston Town Center is 94% leased.
“Because it is such high quality kind of a live work play kind of place, and these clients really, really value that,” LaBell said during the call. “So we’re outperforming from a rental rate perspective, and we’re seeing positive absorption there.”
LaBelle told investors that Reston Town Center had signed a “60,000 square foot new lease with a technology company” that’s relocating but didn’t name the tenant.
Originally approved by Fairfax County in 2018, the Reston Town Center expansion is planned for 4.8 million square feet of development on a 33-acre site northwest of the Sunset Hills Road and Reston Parkway intersection. Skymark Reston Town Center, a 40-story residential building, is currently under construction.