WASHINGTON — JPMorgan Chase & Co., which recently announced major expansion plans for the Washington region has acquired a downtown D.C. office building to serve as its new regional headquarters.
The New York-based financial institution has acquired the Bowen Building, at 875 15th St. NW on the corner of McPherson Square, from JBG SMITH for $140 million.
The 12-story, 231,000-square-foot building, is currently 86 percent leased.
JPMorgan Chase will own and occupy the building.
Neither JBG Smith or JPMorgan Chase said how much of the building the will serve as JPMorgan Chase’s regional headquarters.
Renovations of the building will start next year. JPMorgan Chase will move into the building in 2021.
The financial giant already has offices for business relation customers in Tysons Corner, Virginia and recently opened a new office in Bethesda,Maryland, serving small and mid-sized businesses.
“We are deeply committed to the region and have been growing our business here for nearly 20 years,” said Peter Scher, chairman of the Mid-Atlantic region for JPMorgan Chase.
“This new regional headquarters and branch expansion in Greater Washington will help us continue to invest here long term and play our part in continuing to grow the economy of this great region,” he said.
JBG SMITH will continue to provide property management services for the building.
JPMorgan Chase’s expansion in the D.C. region is part of its plan to expand to 15 to 20 new markets over the next five years.
While it has a presence in business banking relationships here, this will be its first entry to the Washington market’s retail banking business.
It hasn’t specified branch locations, but said it will open up to 70 new branches and hire 700 employees in Virginia, Maryland and the District, with 20 percent of them in low-to-moderate-income communities, including D.C.’s Wards 7 and 8.
Chase has also said it will do the following:
- Commit $4 billion over five years for regional home and small-business lending;
- Increase lending to construct and maintain affordable rental housing by nearly 50 percent to $500 million over five years in the region;
- Increase its philanthropic investments from $10 million to $25 million to drive inclusive economic growth in the region.