The Immigration and Custom Enforcements (ICE) agency is moving out of the Chester A. Arthur Building (425 I Street NW) to Southwest DC. The move has been ongoing for weeks and will be completed by year end.
The Australian based Paramount Group purchased 425 I Street in 2005 for 135.5 million dollars, or about $352 per square foot. Given the high cost per square foot razing the building would not seem to be an option. Paramount will transform the building into Class A office space and is considering adding two stories, an atrium and/or re-skinning the building. The face lift will likely take 12 months while they search for a new tenant.
With the next tenant not likely to be GSA the concrete planters along Eye and 4th Streets that I detest so much should be removed. While the building is vacant, lack of eyes on the street could become an issue. One of my neighbors at Madrigal suggested to me that the early morning activity in the parking lots from the ICE workers each morning allows the walk to Results Gym to be less sketchy.