Demolition Begins at Ballston One Office Building

Crews have started dismantling the site at 4601 Fairfax Drive to make way for a new residential development.

Updated on Oct. 27, 2026 in Commercial

Demolition Begins at Ballston One Office Building

Live Poll

Do you support converting local office space into new residential apartment buildings in your area?

Demolition is underway at the Ballston One office building in Arlington, marking a step toward replacing the structure with a modern apartment complex. Developer Penzance is overseeing the site transformation following project approval from the County Board earlier this year.

Why it matters

The redevelopment reflects a broader trend of converting underutilized office space into residential units within the Ballston neighborhood. This transition aims to increase housing supply in an area currently undergoing significant structural changes.

Penzance purchased the property for $25 million in summer 2023 with plans for a 328-unit building. The site zoning allows for a maximum structure height of 16 stories.

The players

Penzance

This real estate development and investment firm specializes in multifamily and commercial projects throughout the Washington, D.C. region.

Arlington County Board

This five-member elected body serves as the governing authority for Arlington County and holds the final approval power for local zoning and development projects.

The details

Demolition crews are actively removing the existing structure located at 4601 Fairfax Drive. The site is slated for a seven-story residential building that will provide new housing options for the local community.

Summer 2023: Penzance affiliate purchased the office tower.
Spring 2024: Developer filed a conceptual site plan.
July 2025: Arlington County Board approved the project.
October 2026: Demolition work commenced at the site.

Culture Shift

The transition of Ballston One into a residential complex aligns with the Arlington County Ballston Sector Plan goals for densification. This evolution signifies a move away from legacy office assets toward more versatile, transit-oriented living spaces.

Residents should anticipate ongoing construction activity in the Ballston area as the site is cleared. This project contributes to the growing availability of modern housing options in the neighborhood.

The takeaway

The demolition of older office towers is reshaping the local urban footprint into residential hubs. Home seekers and investors should monitor how these new developments influence local density and housing inventory in the coming years.