Montgomery County has lost yet another corporate headquarters to Northern Virginia. Argan, Inc., announced yesterday that it has relocated its HQ from 1 Church Street in Rockville to Two Liberty Center in Arlington. The telecommunications and power industry service provider was founded in Rockville over two decades ago. Argan cited the new location's direct access to Dulles International Airport as one of the primary reasons for the move. The firm's stock price doubled, and surged 33% in two days at one point in 2024, and is up about $10 since then, to $104.05 as of this morning.
It's no surprise that Argan, like so many companies, is heading for greener pastures across the Potomac. Montgomery County and Maryland leaders have defiantly refused to construct the long-planned bridge across the river that would provide our own direct connection between the I-270 corridor and the Dulles area. Dulles is the only airport in the region that provides the frequency and variety of direct flights to global destinations demanded by international businesspeople. And let's fact it: Virginia's lower taxes, fewer regulations, and status as CNBC's "Top State for Business in America" certainly didn't hurt.
Northern Virginia has other advantages for a firm that primarily deals with power plants and telecommunications infrastructure. Maryland leaders have forced the closure of 8 power plants since 2012 alone, and the state is now forced to import 40% of its electricity from out-of-state at higher prices to avoid rolling blackouts. 70% of internet traffic around the globe flows through data centers in Northern Virginia. And the Old Dominion has invested far more in highway, air transport, railroads, and ports than Maryland. It's no wonder Montgomery County has failed to attract a single new major corporate HQ in over 25 years.
"We are thrilled with the move to our new headquarters location in Arlington, Virginia," Argan CEO David Watson said in a statement. "We believe the location and layout will accommodate the Company’s continued growth, improve recruitment and retention of employees, and facilitate greater collaboration and a more productive overall work environment. The Washington metro area has a dynamic and robust economy with a quality workforce, and we look forward to leveraging our new location to enhance the experience of Argan’s current and future employees, partners and customers. The Company’s more than 22 years in Rockville, Maryland where Argan was founded, have been both meaningful and productive, and we look forward to continuing our success in our new home in Arlington."
16 comments:
Obviously MoCo needs to poach Dulles Airport and move it here. Maybe expropriate one of the country clubs in Bethesda/Chevy Chase.
A successful Baltimore businessman named Mike Gill, was selected by Larry Hogan as Maryland's first-ever Secretary of Commerce. Not many voters in this area at least know his name but his achievements here and across the state are beyond notable. The task given to Secretary Gill and his team was simple: attract businesses to MD and just as important, prevent businesses from leaving. Anyone can read the list of each and it is long and includes nationally recognized names. Question. Who's doing this important work under Wes Moore's leadership? I'll wait.
Argan stock is down 10% in the past week and 27% in the past month.
#EverythingTrumpTouchesDies
I usually roll my eyes at these "MoCo misses out on HQ" posts but this one is actually concerning and a reflection of the issues MoCo is facing - much of it their own doing. I'm sorry but if voters keep electing these progressive ideologues who have no clue what they are doing then this will continue to be the result.
I am third generation "washingtonian" if you will - raised in MoCo. I love the community I grew up in and I love supporting the small business owners who are still here that I have supported my whole life. But man - one wonders how much folks can take before leaving.
This county needs a political shake-up. I do wonder where we would be right now if David Blair didn't lose to Elrich by 30 something votes. I'm not sure if we would necessarily be in a better place but I'd like to find out next cycle. It's hard to affect change when you are dealing with absolute nut jobs like Jawando and Mink who are hellbent on destroying everything.
If Virginia wants to give companies huge incentives and tax breaks so be it. MoCo is still growing, was just in downtown Bethesda and saw two new high rises going up, a new building is already going up at the old Marriott headquarters site, and Clarksburg is still sprawling like crazy. We might not be the friendliest when it comes to business but we do attract families and young professionals who actually contribute to the community.
Yes, 756 you are correct. Eventually they will run out of other people's money. I left in 2022 and won't be returning.
How many employees are actually moving? Neither the existing office in Rockville nor the new office in Ballston seem very big.
2:19: What you are describing in Bethesda and Clarksburg is all residential housing, which has been a financial bust for the County. The revenue it generates is exceeded by the new costs in services and infrastructure it creates, which is a major reason Montgomery County has a structural budget deficit. Virginia's finances are in far better shape thanks to its booming job growth. Look at the budget fiasco in Annapolis right now for further proof, or at your property tax bill in FY-2026, when the County Council raises it yet again.
Sure, all kinds of reasons why this incident, like ALL the others 'don't really count because xxxx,'
When does MOCO, or MD, for that mattter, get to score a win? Lots of talk about our energetic Governor for President some day. If 'talk' still is more important than the 'walk,' Moore is a shoe in. But for us, we've xapitulated to the PG County/Baltimore loser mentality: solution=more taxes.
We lose on every deal but will make it up on volume! If that doesn't work we can always just increase taxes. Rich people flock to live in MoCo! We don' need no stinkin' yobs!
They only occupied a single suite (Suite 201) of this office building as their headquarters, so it couldn't be more than 100 employees. That's not even a rain drop in a bucket. BFD!
"but this one is actually concerning and a reflection of the issues MoCo is facing..." You really aren't paying attention apparently. This small (at best) headquarters office leaving a single suite in an office building says very little about the state of the county's economy. This move is more a saving grace and consolidation of resources during an extreme downturn in the nation's economy, brought on by conservative whackos hellbent on the destruction of our economic capitalism. Wake up and smell the coffee, it's on fire.
9:06: It's yet another Montgomery County HQ poached by Virginia, and we haven't attracted a major corporate HQ in over 25 years. That's devastating, and should be a concern to everyone, especially taxpayers being fleeced to make up for all of that lost business revenue.
The national economy was already in trouble - that's why Biden lost. I haven't seen any indication of an "extreme downturn," other than the stock market reacting to a hysterical media campaign. There are more media reports about "Trump tariffs may cause inflation" than there were about actual inflation under Biden. That is wild.
Gas prices are dropping. Inflation will likely remain high this year because Biden (or whoever was wielding the autopen) was printing money hand over fist to the last second of his term. Those massive Q4 Biden expenditures will certainly sustain inflationary pressures though 2025, if not longer.
9:06 - "Extreme downturn". This administration has been in power for just over a month. The anti-Trump rhetoric is what's on fire. Be patient. Did you give Trump credit for egg prices now falling? Fuel prices at the pump now falling? Ultimately, these moves and others will be successful for the entire nation. MD has had an anti-business posture under any Dem leadership in Annapolis. What's Moore's go-to, raise taxes and fees across the board. You can't get there from here to borrow an REM song verse. Lastly, VA is crushing us. Why, they court businesses and offer them a better deal to come than MD does. MoCo? They don't care about anything except bike lanes and ruining roadways.
Marganbund.
Take a look at Moore's latest, (this week), tax proposal to charge drivers by the mile. Of course he said he'll eliminate the gas tax in exchange, (yeah right). This is a regressive tax on people that can't live close to their jobs which I'm sure they'll try to "cure" at a later date. These tax & spend democrats aren't qualified to be dog catcher yet he's on the short list in 2028?
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