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Annual Report 2006 - Fairfax County Economic Development Authority

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table of contents<br />

Timeline of Notable Achievements .......................... 1<br />

<strong>Fairfax</strong> <strong>County</strong> Milestones ....................................... 2<br />

Chairman’s Message ............................................... 4<br />

President’s Message ............................................... 7<br />

Focus on the Creative Economy ............................. 8<br />

Promoting Local Success ..................................... 12<br />

The Power of Ideas ............................................... 15<br />

Our Partners and Allies .......................................... 16<br />

Trends in Real Estate ............................................. 18<br />

<strong>2006</strong> Announcements ........................................... 20<br />

Who’s Who ............................................................ 22


timeline of notable achievements<br />

january february march april may june<br />

Census Bureau<br />

reports 18 percent<br />

increase in womanowned<br />

businesses in<br />

<strong>Fairfax</strong> <strong>County</strong>.<br />

FCEDA honors local<br />

business organizations<br />

during Chamber<br />

of Commerce week.<br />

Gerald L. Gordon,<br />

president and CEO of<br />

the FCEDA, addresses<br />

British House of Commons<br />

committee on<br />

doing business in the<br />

United States.<br />

Hispanic-owned fi rms<br />

increase 47 percent<br />

in <strong>Fairfax</strong> <strong>County</strong>, says<br />

U.S. Census Bureau.<br />

During fi rst quarter,<br />

FCEDA worked with<br />

34 companies that<br />

will add nearly 1,150<br />

jobs to the economy.<br />

Seven <strong>Fairfax</strong> <strong>County</strong><br />

companies take in<br />

$39 million in venture<br />

capital funding during<br />

fi rst quarter.<br />

Six <strong>Fairfax</strong> <strong>County</strong>based<br />

companies<br />

make <strong>2006</strong> Fortune<br />

500 list: Capital One<br />

Financial, Gannett,<br />

General Dynamics,<br />

NVR, Sallie Mae and<br />

Sprint Nextel.<br />

Census Bureau<br />

reports 52.6 percent<br />

increase in African<br />

American-owned<br />

fi rms in <strong>Fairfax</strong><br />

<strong>County</strong>.<br />

Virginia Business<br />

Opportunity Fair held<br />

in <strong>Fairfax</strong> <strong>County</strong> for<br />

the fi rst time.<br />

Census Bureau<br />

reports 34.7 percent<br />

increase in Asianowned<br />

fi rms in <strong>Fairfax</strong><br />

<strong>County</strong>.<br />

Six <strong>Fairfax</strong> <strong>County</strong><br />

companies named to<br />

annual Black Enterprise<br />

100 list.<br />

McLean resident is<br />

1,000th attendee at<br />

FCEDA’s “Starting a<br />

Business in <strong>Fairfax</strong><br />

<strong>County</strong>” workshop.<br />

Twelve <strong>Fairfax</strong> <strong>County</strong><br />

companies named to<br />

annual Hispanic Business<br />

500 list.<br />

FCEDA works with<br />

39 companies that<br />

will add 2,252 jobs to<br />

local economy during<br />

second quarter.<br />

Twelve <strong>Fairfax</strong> <strong>County</strong><br />

companies receive<br />

$73 million in venture<br />

capital funding in<br />

second quarter.<br />

july august september october november december<br />

FCEDA opens offi ce in<br />

Silicon Valley.<br />

FCEDA’s Gerald L.<br />

Gordon named president<br />

of the <strong>Fairfax</strong><br />

Symphony Orchestra<br />

during its 50th anniversary<br />

season.<br />

<strong>Fairfax</strong> <strong>County</strong><br />

named second best<br />

large county for<br />

entrepreneurs in the<br />

U.S. by Entrepreneur<br />

magazine.<br />

<strong>Fairfax</strong> <strong>County</strong> again<br />

tops among largest<br />

U.S. counties with a<br />

median household<br />

income of $94,600<br />

per year.<br />

During third quarter,<br />

FCEDA works with 31<br />

companies that will<br />

add 967 jobs to local<br />

economy.<br />

Sixteen <strong>Fairfax</strong> <strong>County</strong><br />

companies receive<br />

$131 million in venture<br />

capital funding in<br />

third quarter.<br />

FCEDA brings together<br />

trans-Atlantic leaders<br />

in security and technology<br />

during British<br />

trade mission.<br />

Fifty-two fastestgrowing<br />

<strong>Fairfax</strong> <strong>County</strong><br />

companies honored at<br />

<strong>2006</strong> Celebration of<br />

Northern Virginia Business<br />

Success.<br />

FCEDA honored by<br />

Bond Buyer for issuing<br />

bonds to fi nance<br />

construction of Lorton<br />

Workhouse Arts Center.<br />

During <strong>2006</strong>, FCEDA<br />

worked with 144<br />

companies that will<br />

add 6,417 jobs to<br />

local economy.<br />

FCEDA<br />

AR 06<br />

1


fairfax county milestones<br />

BUSINESSES ESTABLISHMENTS BY INDUSTRY SECTOR<br />

(SECOND QUARTER <strong>2006</strong>)<br />

Total number of<br />

businesses = 31,160<br />

Professional and Business Services .. 32%<br />

Trade, Transportation and Utilities .....15%<br />

Other Services .................................14%<br />

Financial Activities ............................10%<br />

Education and Health Services ...........9%<br />

Construction .......................................9%<br />

Leisure and Hospitality .......................7%<br />

Information ........................................3%<br />

Manufacturing ....................................1%<br />

FAIRFAX COUNTY (FY 2007)<br />

<strong>Fairfax</strong> <strong>County</strong> Budget .......................... $5.49 billion<br />

Bond Rating ................................................AAA/Aaa<br />

(Twenty-two counties nationwide have the highest “triple<br />

A” bond rating from Moody’s Investors Service, Standard<br />

and Poor’s Corporation and Fitch Investors Service)<br />

BUSINESSES<br />

Number of Payroll Businesses (2Q <strong>2006</strong>) ....... 31,160<br />

Foreign-owned Firms (<strong>2006</strong>) ...............................358<br />

Technology Firms (2005)...................................5,013<br />

Associations (2005) .............................................285<br />

EMPLOYMENT<br />

Number of Payroll Jobs in <strong>Fairfax</strong> <strong>County</strong> (2Q <strong>2006</strong>) ...................................... 575,729<br />

Civilian Labor Force (3Q <strong>2006</strong>) ...................................................................... 609,913<br />

<strong>Fairfax</strong> <strong>County</strong> Residents Working in the <strong>County</strong> (2004)........................................53%<br />

Unemployment Rate (3Q <strong>2006</strong>) ...........................................................................2.3%<br />

Median Family Income (2005)..................................................................... $110,107<br />

U.S. Median Family Income ....................................................................... $55,832<br />

Per Capita Income (2005) ............................................................................. $44,829<br />

U.S. Per Capita Income .............................................................................. $25,035<br />

REAL ESTATE (YEAREND <strong>2006</strong>)<br />

Offi ce Space .............................105.2 million sq. ft.<br />

Offi ce Vacancy Rate<br />

(including sublet space) .....................................9.2%<br />

Industrial/Flex Space .................. 38.4 million sq. ft.<br />

Industrial/Flex Vacancy Rate<br />

(including sublet space) .....................................7.8%<br />

POPULATION GROWTH<br />

1990<br />

818,584<br />

FCEDA<br />

AR 06<br />

2 | 3<br />

EDUCATION<br />

<strong>2006</strong>-07 Public School Enrollment ................................................................ 164,295<br />

<strong>Fairfax</strong> <strong>County</strong> Public Schools’ National Ranking by Enrollment ........................... 13th<br />

Residents Aged 25+ Possessing a Bachelor’s Degree (2005) ...............................59%<br />

U.S. 2005 average ...........................................................................................27%<br />

2000<br />

2005<br />

(projected) 2010<br />

(projected) 2025<br />

969,749<br />

1,041,200<br />

1,133,000<br />

1,197,800


PLANNED LAND USE (JANUARY 2004)<br />

Total area of<br />

<strong>Fairfax</strong> <strong>County</strong><br />

395 square miles /<br />

227,622 acres<br />

DIVERSITY IN FAIRFAX COUNTY<br />

Residential ................143,496 acres (63.1%)<br />

Industrial ........................8,290 acres ( 3.6%)<br />

Commercial* ...................5,259 acres (2.3%)<br />

Private Recreation ........... 8,824 acres (3.9%)<br />

Public Parks ................32,025 acres (14.1%)<br />

Public Facilities ...........23,425 acres (10.3%)<br />

Floodplain .......................3,003 acres (1.3%)<br />

Mixed Use .......................3,300 acres (1.4%)<br />

*offi ce and retail<br />

POPULATION BY RACE (TOTAL POPULATION: 998,690)<br />

Racial/Ethnic Category Number of Residents % of Total Population<br />

One race ....................................................................... 980,744 ...................................98.2<br />

White ........................................................................682,376 ................................... 68.3<br />

African-American ....................................................... 91,566 ..................................... 9.2<br />

American Indian and Alaska Native ...............................3,225 ..................................... 0.3<br />

Asian ........................................................................158,431 ................................... 15.9<br />

Native Hawaiian and other Pacifi c Islander .......................835 ................................... 0.08<br />

Other race ..................................................................44,311 ..................................... 4.5<br />

Two or more races ...........................................................17,946 .....................................1.8<br />

Latino/Hispanic (of any race)* ....................................... 125,680 ...................................12.6<br />

*Hispanics may be of any race so they are also included in applicable race categories<br />

Children under the age of 18 who have least one foreign-born parent (2000) .......................38%<br />

Foreign-born adults (age 25 and older) who have at least a college degree (2000) ................ 41%<br />

United States ................................................................................................................ 4%<br />

Rank among counties for increase in diversity between 1990-2000 ......................................20th<br />

(among the 524 counties nationwide with a population of 100,000+)<br />

“ Strategic Thought has<br />

benefited from being in<br />

<strong>Fairfax</strong> <strong>County</strong> because<br />

of the access we have to a<br />

highly skilled pool of potential<br />

employees and the fact<br />

that our employees have<br />

access to great county services<br />

and quality of life. We<br />

have found the services of<br />

the <strong>Fairfax</strong> <strong>County</strong> EDA to<br />

be helpful in building our<br />

business and getting connected<br />

here.”<br />

Karl Pringle, general manager<br />

Strategic Thought


chairman’s message<br />

Creativity has been a hallmark of the <strong>Fairfax</strong> <strong>County</strong> <strong>Economic</strong><br />

<strong>Development</strong> <strong>Authority</strong> for decades. The FCEDA<br />

established five offices in vibrant and compatible technology<br />

markets overseas, something no other county—and possibly<br />

no state—can match. It began a capital attraction program<br />

that helps entrepreneurs secure venture capital investment<br />

and attracts venture capitalists to <strong>Fairfax</strong> <strong>County</strong>. It started<br />

programs to support development of small and minorityowned<br />

firms that have led to widespread recognition for the<br />

county as an attractive location for these businesses. And, the<br />

FCEDA was the first economic development organization<br />

to use national advertising vehicles such as the Wall Street<br />

Journal and National Public Radio.<br />

In <strong>2006</strong>, the FCEDA established an office in Silicon Valley.<br />

While other states and localities have tried marketing in<br />

California, <strong>Fairfax</strong> <strong>County</strong> is using a different and more<br />

creative approach. The strategy is not to lure companies<br />

away from California but to help businesses expand by identifying<br />

opportunities in the federal marketplace. By helping<br />

them fi nd new customers, the FCEDA is helping companies<br />

grow in their west coast bases as well.<br />

These strategies befit <strong>Fairfax</strong> <strong>County</strong>, where creativity is<br />

second nature to those who live and work here. <strong>Fairfax</strong><br />

<strong>County</strong> has one of the highest concentrations of information<br />

technology companies and workforces in the nation.<br />

Our technology community has one of the highest percentages<br />

of college graduates and those with post-graduate<br />

degrees.<br />

In 2007, the FCEDA will organize and host the National<br />

Conference on the Creative Economy. The conference will<br />

help companies learn how to release and apply the imaginative<br />

energies of their employees, and it will help communities<br />

learn how to position themselves to host companies that<br />

harness the “creative class.”<br />

Just as the 1998 World Congress on Information Technology<br />

focused the attention of the global technology business<br />

community on <strong>Fairfax</strong> <strong>County</strong>, so will the National<br />

Conference on the Creative Economy shine a spotlight on<br />

<strong>Fairfax</strong> <strong>County</strong> as one of the leading creative economies<br />

and communities in the world. The conference Web site is<br />

www.creativeeconomies.org.<br />

The FCEDA also will continue to employ other creative<br />

methods to sustain the world-class economy that supports<br />

an unsurpassed quality of life. By doing this, the FCEDA<br />

will help sustain a strong commercial tax base, from which<br />

the Board of Supervisors funds programs and services.<br />

Steven L. Davis<br />

FCEDA Commission Chairman<br />

and<br />

Assistant Controller, Corporate Accounting Services<br />

Exxon Mobil Corporation<br />

FCEDA<br />

AR 06<br />

4 | 5


The Herndon Fortnightly Library dome (photo by Lucy Arrington, FCEDA)


Reston skyline (photo by Lucy Arrington, FCEDA)


president’s message<br />

<strong>Fairfax</strong> <strong>County</strong> continues to outpace the Washington, D.C.<br />

region, the Commonwealth of Virginia and the nation in<br />

the type of high-quality economic growth that supports and<br />

contributes to the outstanding quality of life that we enjoy.<br />

In fact, <strong>Fairfax</strong> <strong>County</strong> has emerged as the Washington metropolitan<br />

area’s private-sector job leader and is a major hub<br />

for regional economic activity, according to the United States<br />

Department of Labor’s Bureau of Labor Statistics.<br />

In <strong>2006</strong>, the <strong>Fairfax</strong> <strong>County</strong> <strong>Economic</strong> <strong>Development</strong> <strong>Authority</strong>:<br />

• Worked with 144 companies that announced they will<br />

add 6,417 jobs to the county’s economy. These companies<br />

will take 970,047 square feet of office space, which<br />

will increase the county’s commercial tax base.<br />

• Assisted 33 foreign-owned businesses with their decisions<br />

to locate or expand in <strong>Fairfax</strong> <strong>County</strong>. More than<br />

355 foreign-owned firms are doing business in the<br />

county. They employ almost 20,000 people and generate<br />

trade opportunities for <strong>Fairfax</strong> <strong>County</strong> companies.<br />

• Opened a marketing office in Silicon Valley to assist<br />

northern California companies that are interested in<br />

expanding into the federal market.<br />

• Worked with <strong>Fairfax</strong> <strong>County</strong>’s dynamic venture capital<br />

community as 48 <strong>Fairfax</strong> <strong>County</strong> companies secured<br />

$273 million in venture capital investments.<br />

In 2007, the FCEDA will continue to promote <strong>Fairfax</strong><br />

<strong>County</strong> as a premier location for the world’s most dynamic<br />

companies and their employees. The FCEDA will host the<br />

National Conference on the Creative Economy, which will<br />

spotlight the county’s prominence as a location for creative<br />

companies and the people they employ, particularly in information<br />

technology fields. The conference also will focus on<br />

the benefits of being the home to a creative economy as well<br />

as being a “creative community.”<br />

The FCEDA also will continue to promote <strong>Fairfax</strong> <strong>County</strong><br />

as the preferred North American location for expanding<br />

foreign-owned businesses, and for successful minority- and<br />

woman-owned companies as well. The decision to reassign<br />

more than 23,000 Defense Department employees and<br />

contractors to jobs at Fort Belvoir and its Engineer Proving<br />

Ground will result in significant commercial investment<br />

possibilities in southeastern <strong>Fairfax</strong> <strong>County</strong>. The <strong>Authority</strong><br />

will seek to maximize the opportunities that arise from those<br />

actions.<br />

The <strong>Fairfax</strong> <strong>County</strong> economy is one in which all residents,<br />

businesses and others can be proud. As the population of the<br />

county grows, its challenging and high-paying jobs, and the<br />

resulting revenues they generate, will enable the Board of<br />

Supervisors to continue to provide superior public services<br />

while minimizing the burden of those expenses on residents.<br />

Gerald L. Gordon, Ph.D.<br />

President and CEO<br />

FCEDA<br />

AR 06<br />

6 | 7


focus on the creative economy<br />

FCEDA<br />

AR 06<br />

8 | 9<br />

As one obvious example of the creative economy, <strong>Fairfax</strong><br />

<strong>County</strong> is often cited for its well-educated workforce,<br />

innovative companies and outstanding quality of life. The<br />

business community is active in the arts and in education<br />

while many employees who work in the county also live in<br />

the county. Companies are attracted to <strong>Fairfax</strong> <strong>County</strong> in<br />

large part because of the creative and well-educated workforce.<br />

The taxes paid by these businesses help support the<br />

public services provided by the county.<br />

The FCEDA works with businesses interested in moving<br />

to <strong>Fairfax</strong> <strong>County</strong> or further expanding existing operations.<br />

The authority’s reach extends worldwide. During<br />

<strong>2006</strong>, the FCEDA opened a marketing office in Silicon<br />

Valley to better serve California-based companies considering<br />

a Washington, D.C., area location to grow their<br />

federal government business.<br />

In <strong>2006</strong>, the FCEDA assisted 144 companies that are<br />

expanding their established presence in the county or<br />

relocating to the county. Those companies will add 6,417<br />

jobs in the next 12 months. The FCEDA’s three marketing<br />

divisions work with client companies interested in county<br />

locations. The National Marketing Division focuses on<br />

U.S.-owned corporations. The Small and Minority Business<br />

Division works with emerging fi rms that might require<br />

more specialized assistance. International Marketing<br />

focuses on corporations based outside the United States.<br />

<strong>Fairfax</strong> <strong>County</strong>’s technology-driven economy consists<br />

of thousands of IT fi rms, many of whom work with the<br />

federal government in a range of specialties including<br />

systems integrations, IT support and homeland security. In<br />

<strong>2006</strong>, the National Marketing Division assisted 100 fi rms<br />

that relocated to, or expanded in, the county; these fi rms<br />

created 5,245 new jobs.<br />

The information technology sector experienced the largest<br />

growth with 30 companies expanding and adding 2,105<br />

new jobs. These fi rms included larger corporations such as<br />

ITT—AES and SI International as well as emerging firms<br />

such as Evolver, Harmony Information Systems, Information<br />

Innovators and Spatial Data Analytics Corporation.<br />

Twelve fi nancial, law, and consulting fi rms added 968<br />

positions while 15 associations added 106 new or relocating<br />

employees to the county’s job base. Twenty-seven service<br />

fi rms grew by 1,068 employees during the year including<br />

home-grown Kettler (formally KSI Services) and Sunrise<br />

Senior Living. SunRocket and Verizon were among the telecommunications<br />

fi rms that added more than 800 new jobs.<br />

Four firms located their headquarters in <strong>Fairfax</strong> <strong>County</strong><br />

during the year: Cernium, Command Information, Food<br />

Processing Suppliers Association and InfinityQS.<br />

FAIRFAX COUNTY’S GLOBAL REACH<br />

The presence of foreign-owned fi rms contributes significantly<br />

to the diverse and prosperous business community in<br />

<strong>Fairfax</strong> <strong>County</strong>. The FCEDA has overseas representation in<br />

five international markets: Bangalore, Frankfurt, London,<br />

Seoul and Tel Aviv. <strong>Fairfax</strong> <strong>County</strong> is the only U.S. county<br />

to have this level of international outreach. The number of<br />

overseas companies in <strong>Fairfax</strong> now totals 358.


.”<br />

“ Northern Virginia will be the nexus<br />

of the next generation of the Internet,<br />

and <strong>Fairfax</strong> <strong>County</strong> is fertile ground for<br />

entrepreneurs who take advantage of it.”<br />

Tom Patterson, CEO, Command Information<br />

Employees at HireStrategy in Reston (photo by Kaveh Sardari)


successful companies, engaged communities<br />

The Franconia-Springfi eld Metro Station (photo by Vicki Serraino, FCEDA)


At the annual FCEDA business reception in London,<br />

England, Virginia Governor Timothy Kaine gave the<br />

keynote address to 200 UK executives about the benefits<br />

of a location in Virginia, specifically <strong>Fairfax</strong> <strong>County</strong>.<br />

The event raised the visibility of <strong>Fairfax</strong> <strong>County</strong> with<br />

British firms that are planning to establish offices in the<br />

United States.<br />

The International Marketing Division assisted 172<br />

businesses with real estate requirements during <strong>2006</strong>.<br />

Thirty-three foreign-owned firms announced investments<br />

in the county, including Goldstone Technologies<br />

(India), Strategic Thought (UK), and Hitachi Data<br />

Services (Japan). Another notable announcement was<br />

the arrival of Magal, which is an Israeli-based security<br />

firm that established its first Homeland Security office<br />

in Herndon. There are now 20 companies in <strong>Fairfax</strong><br />

<strong>County</strong> that are based in Israel or have roots there.<br />

ENCOURAGING THE GROWTH<br />

OF SMALL BUSINESSES<br />

The “Entrepreneurship 101: Starting A Business in<br />

<strong>Fairfax</strong> <strong>County</strong>” workshops reached a milestone in<br />

<strong>2006</strong>: 1,000 attendees. The workshops provide an<br />

overview of federal, state and local resources for entrepreneurs<br />

wanting to start a business and are a collaboration<br />

between the FCEDA, the U.S. Small Business<br />

Administration and the Virginia Department of<br />

Business Assistance. The workshops are one example<br />

of the education and training opportunities that the<br />

FCEDA provides for small and minority businesses.<br />

In <strong>2006</strong>, the FCEDA implemented an export development<br />

training program targeted to entrepreneurs<br />

who wanted to learn more about exporting from the<br />

United States.<br />

<strong>Fairfax</strong> <strong>County</strong> hosted one of the largest minority-owned<br />

business conferences on the east coast in <strong>2006</strong>. The<br />

Virginia Minority Supplier <strong>Development</strong> Council held<br />

its premiere event, the Virginia Opportunity Business<br />

Fair, outside of Richmond for the first time in 16 years.<br />

The three-day conference provided networking opportunities<br />

and linked minority-owned businesses with large<br />

government contractors and corporations that wanted to<br />

purchase goods and services.<br />

BLACK ENTERPRISE BE 100<br />

Black Enterprise magazine named six <strong>Fairfax</strong> <strong>County</strong> companies<br />

to its <strong>2006</strong> list of the largest African-American-owned<br />

service/industrial corporations in the U.S., based on revenue.<br />

Rank Company<br />

Web Address<br />

13 RS Information Systems, Inc. www.rsis.com<br />

22 Thompson Hospitality www.thompsonhospitality.com<br />

47 Omniplex World Services www.omniplex.com<br />

56 Communication Technologies,<br />

Inc. (COMTek)<br />

www.comtechnologies.com<br />

72 Universal Systems and<br />

Technology, Inc. (UNITECH) www.unitech1.com<br />

75 CMI Management, Inc. www.cmimgmt.com<br />

DIVERSITYBUSINESS.COM 100<br />

DiversityBusiness.com annually ranks the largest Asian-<br />

American-owned companies by revenue. In <strong>2006</strong>, five out<br />

of the top 100 such firms were based in <strong>Fairfax</strong> <strong>County</strong>.<br />

Rank Company Web Address<br />

23 INDUS Corporation www.induscorp.com<br />

34 Digital Intelligence Systems Corporation www.disys.com<br />

46 AlphaInsight Corporation* www.atcnet.com<br />

66 InfoPro Incorporated www.infopro.net<br />

96 EMW, Incorporated www.emw.com<br />

* AlphaInsight Corporation was acquired by CACI in <strong>2006</strong>.<br />

FCEDA<br />

AR 06<br />

10 | 11


promoting local success<br />

HISPANIC BUSINESS 500<br />

Twelve <strong>Fairfax</strong> <strong>County</strong> companies were among the 500 largest<br />

Hispanic-owned firms in the country in <strong>2006</strong>. Hispanic Business<br />

magazine annually ranks the firms by revenue.<br />

Rank Company<br />

Web Address<br />

35 MVM, Inc. www.mvminc.com<br />

87 Geologics Corporation www.geologics.com<br />

99 Tessada & Associates www.tessada.com<br />

105 Kfoury Construction Group** www.kfoury.com<br />

148 Priority One Services, Inc. www.priorityoneservices.com<br />

169 BRTRC, Inc. www.brtrc.com<br />

170 Computing Technologies, Inc. www.cots.com<br />

176 Preferred Systems Solutions www.pssfed.com<br />

183 Kemron Environmental Services www.kemron.com<br />

283 Engineering Management & Integration www.em-i.com<br />

345 Cairo Corporation www.cairocorp.com<br />

462 MAC Aerospace Corporation www.macaerospace.com<br />

** Kfoury Construction Group is now K3 Construction Group.<br />

CELEBRATING ACHIEVEMENT<br />

In <strong>2006</strong>, the FCEDA and other northern Virginia jurisdictions<br />

honored the achievements of 52 culturally diverse<br />

entrepreneurs at the “<strong>2006</strong> Celebration of Northern Virginia<br />

Business Success.”<br />

The companies honored were recognized for high annual revenue<br />

or growth rates and citied for their financial success in<br />

regional and national publications including the Washington<br />

Business Journal, Black Enterprise magazine, Hispanic Business<br />

magazine and DiversityBusiness.com.<br />

FASTEST GROWING COMPANIES IN FAIRFAX COUNTY<br />

The Washington Business Journal named 25 <strong>Fairfax</strong> <strong>County</strong><br />

companies among the 50 fastest growing in the Washington:<br />

Abraxas<br />

Analex<br />

Apptis<br />

Argon ST<br />

Bart & Associates<br />

Celerity IT<br />

Comstock Homebuilding Cos., Inc.<br />

Cybertrust<br />

ePlus<br />

iDirect Technologies<br />

immixGroup<br />

Integrity Applications<br />

Knowledge Consulting Group<br />

MicroPact Engineering<br />

National Corporate Housing<br />

Number Six Software, Inc.<br />

Preferred Systems Solutions<br />

SI International<br />

Smitty’s Building Supply<br />

SRA International<br />

Tessada & Associates<br />

The Fairchild Corporation<br />

The Wexford Group International<br />

VSE<br />

Wills Companies<br />

ACCELERATING THE GROWTH OF EMERGING<br />

FIRMS: THE FAIRFAX COUNTY BIOACCELERATOR<br />

The <strong>Fairfax</strong> <strong>County</strong> BioAccelerator in Springfield welcomed<br />

its third overseas company in <strong>2006</strong> with the addition of<br />

JIRIS USA, a South Korean biometrics firm. Atrium Renewable<br />

Oil also joined the BioAccelerator. Other companies in<br />

the incubator experienced progress in increased sales, jobs<br />

and participation in contracts, grants and biomedical events.<br />

The BioAccelerator provides more than 7,500 square feet of<br />

office space, administrative support, business and financing<br />

advice, and other customized assistance to start-up companies<br />

in the growing field of biotechnology and bioinformatics.<br />

FCEDA<br />

AR 06<br />

12 | 13


Arrowhead Global Solutions staff members (photo by Kaveh Sardari)


Photo by Anthony Redpath


the power of ideas<br />

The FCEDA’s successful advertising and public relations<br />

campaigns continued in <strong>2006</strong>. The overarching goal of both<br />

campaigns is to position <strong>Fairfax</strong> <strong>County</strong> as a global business<br />

center with a superior quality of life. The most recent attraction<br />

advertisements, “The Power of Ideas,” illustrates <strong>Fairfax</strong><br />

<strong>County</strong>’s well educated workforce in three different environments—an<br />

office, a café and at home. As one person in<br />

<strong>Fairfax</strong> <strong>County</strong> struggles to solve a technical problem, fellow<br />

residents are able and willing to lend a hand.<br />

FCEDA advertisements appeared in U.S. publications<br />

including regional editions of the Wall Street Journal, Business<br />

Week, Forbes, Fortune and Money, as well as the Washington<br />

Business Journal. The FCEDA continued to underwrite<br />

National Public Radio programming and sponsored the<br />

Potomac, New England and Bay Area Techwires. FCEDA<br />

advertisements also appeared on the washingtonpost.com<br />

and siliconvalley.com Web sites.<br />

The public relations outreach program resulted in a number<br />

of stories receiving media attention. The opening of the<br />

<strong>Fairfax</strong> <strong>County</strong> Silicon Valley office garnered a great deal<br />

of media coverage on both the east and west coasts. During<br />

<strong>2006</strong>, the U.S. Census Bureau released statistics on the<br />

growth of women and minority-owned firms nationwide.<br />

The notable increase in the number of minority-owned firms<br />

in <strong>Fairfax</strong> <strong>County</strong> received widespread media attention.<br />

Coverage garnered by the <strong>Fairfax</strong> <strong>County</strong>’s media outreach<br />

program further solidifies the county’s reputation as an outstanding<br />

business location.<br />

FCEDA<br />

AR 06<br />

14 | 15


our partners and allies<br />

FCEDA<br />

AR 06<br />

16 | 17<br />

The <strong>Fairfax</strong> <strong>County</strong> <strong>Economic</strong><br />

<strong>Development</strong> <strong>Authority</strong> is pleased to<br />

have these partner organizations in<br />

the authority’s office space in Tysons<br />

Corner as we work together to expand<br />

relationships with business communities<br />

locally and around the world.<br />

In <strong>2006</strong>, the FCEDA also worked with many other local and international<br />

allies on innovative programs and business events. Relationships<br />

with these groups increase <strong>Fairfax</strong> <strong>County</strong>’s profile locally, nationally and<br />

internationally.<br />

Annandale Chamber of Commerce<br />

Bayern Innovativ<br />

BioSaxony<br />

BioTOP Berlin-Brandenburg<br />

BritishAmerican Business Inc. (BABi)<br />

Business Alliance of George Mason<br />

University, Inc.<br />

Darden School at the University of Virginia<br />

Central <strong>Fairfax</strong> Chamber of Commerce<br />

Committee for Dulles<br />

Community Business Partnership<br />

Dulles Regional Chamber of Commerce<br />

eVenture Cat GmbH<br />

<strong>Fairfax</strong> <strong>County</strong> Chamber of Commerce<br />

<strong>Fairfax</strong> <strong>County</strong> Department of Purchasing<br />

& Supply Management<br />

Forum MedTech Pharma e.V. /<br />

Bayern Innovativ<br />

George Mason University<br />

George Mason Enterprise Center<br />

Greater Falls Church Chamber<br />

of Commerce<br />

Greater Merrifi eld Business Association<br />

Greater Reston Chamber of Commerce<br />

Greater Springfi eld Chamber of Commerce<br />

Israel Export Institute<br />

Kompetenzzentrum Medizin Tirol<br />

McLean Chamber of Commerce<br />

Mount Vernon-Lee Chamber of Commerce<br />

Northern Virginia Technology Council<br />

Potomac Tech Wire<br />

Quebec Government House<br />

Service Corps of Retired Executives (SCORE)<br />

Team South East<br />

Technopole Defence & Security<br />

TelecomHUB<br />

Teqcorner, LLC<br />

The South East England <strong>Development</strong><br />

Agency (SEEDA)<br />

TSB Medici<br />

UK Trade and Investment (UKTI)<br />

U.S. Department of Commerce<br />

U.S. Small Business Administration<br />

Vienna-Tysons Regional Chamber<br />

of Commerce<br />

Virginia Department of Business Assistance<br />

Virginia <strong>Economic</strong> <strong>Development</strong> Partnership<br />

Virginia Minority Supplier <strong>Development</strong><br />

Council<br />

Washington Business Journal


Outside 2941 Fairfview Park (photo by Kaveh Sardari)


trends in real estate<br />

With an inventory of more than 105 million square feet, <strong>Fairfax</strong> <strong>County</strong> is the largest office market in the Commonwealth<br />

of Virginia and one of the largest in the nation.<br />

More than a million square feet of new space was added to the county’s existing office inventory last year. The office<br />

vacancy rate stood at 9.2 percent as of yearend <strong>2006</strong>. Fueled by continuing federal contracting activity, office leasing<br />

reached a near-record level in <strong>2006</strong>, exceeding 10 million square feet. This, along with the dramatic rise in speculative<br />

office development in the county, underscores the strong and stable demand for office space.<br />

Industrial/flex inventory in <strong>Fairfax</strong> <strong>County</strong> stood at 38.4 million square feet at the end of the year, with a vacancy rate<br />

of 7.8 percent. By June, 700,000 square feet in 11 buildings had been added to the flex market; this total is greater<br />

than the flex space deliveries for each full year from 2002 through 2005. Demand for industrial/flex space remains<br />

strong, with leasing activity exceeding 1.3 million square feet by year’s end.<br />

FCEDA<br />

AR 06<br />

18 | 19<br />

OFFICE SPACE INVENTORY<br />

(by submarket, as of yearend <strong>2006</strong>)<br />

Annandale .................................. 1,819,053<br />

Baileys Crossroads ..................... 3,211,465<br />

Burke ............................................ 527,834<br />

Centreville ..................................... 981,928<br />

Chantilly ..................................... 9,038,042<br />

Dulles ......................................... 6,939,639<br />

<strong>Fairfax</strong> Center/Oakton ................. 9,415,637<br />

Herndon ...................................... 5,686,766<br />

McLean/Great Falls ..................... 4,239,118<br />

Merrifi eld .................................... 9,829,915<br />

Newington/ Lorton ......................... 551,309<br />

Reston ......................................18,325,027<br />

Richmond Highway ..................... 1,044,644<br />

Seven Corners ............................ 1,022,086<br />

Springfi eld/Franconia .................. 4,254,628<br />

Tysons Corner ...........................25,766,246<br />

Vienna ........................................ 2,525,896<br />

Total ................................... 105,185,233<br />

OFFICE SPACE TRENDS: 1980-<strong>2006</strong> (square footage and vacancy rates)<br />

Square<br />

Feet<br />

110 mil<br />

100 mil<br />

90 mil<br />

80 mil<br />

70 mil<br />

60 mil<br />

50 mil<br />

40 mil<br />

30 mil<br />

20 mil<br />

10 mil<br />

0<br />

Vacancy<br />

Rate (%)<br />

1980<br />

1981<br />

1982<br />

1983<br />

1984<br />

1985<br />

1986<br />

1987<br />

1988<br />

1989<br />

1990<br />

1991<br />

1992<br />

1993<br />

1994<br />

1995<br />

1996<br />

1997<br />

1998<br />

1999<br />

2000<br />

2001<br />

2002<br />

2003<br />

2004<br />

2005<br />

<strong>2006</strong><br />

Vacancy rate includes sublet space (figures available for 2001–<strong>2006</strong> only)<br />

20<br />

15<br />

10<br />

5<br />

0


Construction in Merrifi eld (photo by Lucy Arrington, FCEDA)


<strong>2006</strong> announcements<br />

COMPANY JOBS LOCATION<br />

Associations<br />

American Wholesale Marketers Association 2 <strong>Fairfax</strong><br />

Association Management Group 10 McLean<br />

Food Processing Suppliers Association 12 McLean<br />

National Association for Music Education 5 Reston<br />

National Confectioners Association 12 Vienna<br />

Pinnacle CSI 38 Herndon<br />

Biotechnology/Healthcare<br />

Iritech Co., Ltd. (Korea) 2 Herndon<br />

JIRIS (Korea) 1 Springfi eld<br />

Krasnow Institute for Advanced Study 50 <strong>Fairfax</strong><br />

Financial, Law and Consulting<br />

A.T. Kearney, Inc. 75 Vienna<br />

Action Capital Corporation 1 Oakton<br />

Arocon, Inc. (Israel)<br />

2 Reston<br />

Capitol Financial Advisors 15 Vienna<br />

First National Bank of Arizona 30 <strong>Fairfax</strong><br />

Grant Thornton 85 McLean<br />

Infi nitive 100 McLean<br />

KDDI America (Japan) 1 Vienna<br />

Miru Corporation (Korea) 2 Vienna<br />

Pitcairn Financial Group 4 Vienna<br />

PricewaterhouseCoopers LLP 488 McLean<br />

Security One Bank 15 Falls Church<br />

The Wexford Group International 90 Vienna<br />

Whitney, Bradley and Brown, Inc. 50 Vienna<br />

Woori America Bank (Korea) 3 Annandale<br />

Information Technology<br />

Advanced Systems Incorporated / ASI 7 <strong>Fairfax</strong><br />

AXIOM Software, Inc. 3 Reston<br />

Balance Technology Group 8 Springfi eld<br />

Bantu, Inc. 40 Falls Church<br />

Blue Collar Objects 55 <strong>Fairfax</strong><br />

COMPANY JOBS LOCATION<br />

CAM Communications 60 <strong>Fairfax</strong><br />

Chance-I, Usa (Korea)<br />

2 Vienna<br />

Clarabridge 35 Falls Church<br />

Claraview, Inc. 75 Reston<br />

Cloakware Corporation 32 Vienna<br />

Comprehensive Technologies, International 54 <strong>Fairfax</strong><br />

Compumatics Group 20 Vienna<br />

Condortech Services, Inc. 4 Annandale<br />

Davis-Paige Management Systems, LLC 125 Springfi eld<br />

Evolver 84 Reston<br />

Goldstone Technologies (India) 25 Vienna<br />

Government Initiatives 25 Reston<br />

Guident Technologies, Inc. 60 Herndon<br />

Harmony Information Systems, Inc. 30 Reston<br />

Hitachi Data Services (Japan) 20 Reston<br />

Hitec Engineering Co., Ltd (Korea)<br />

1 McLean<br />

i2S, Inc. 62 Vienna<br />

Infi nityQS 27 Chantilly<br />

Information Innovators, Inc. 126 Springfi eld<br />

Intelligenxia, Inc. 16 Falls Church<br />

ITT–Advanced Engineering & Sciences (AES) 115 Herndon<br />

Moozatech (Israel)<br />

50 McLean<br />

Nice Systems (Israel) 15 Reston<br />

NYTOR Technologies 53 Falls Church<br />

Platinum Solutions, Inc. 25 Reston<br />

Portal Dynamics 11 Alexandria<br />

Positive Edge Technologies 15 Vienna<br />

Project Performance Corporation / PPC 20 McLean<br />

RealOps 10 Herndon<br />

Revive Systems, Inc. (formerly Snakeeyes) 22 Vienna<br />

SI International 40 Reston<br />

Software Fusions, Ltd. (India) 5 Falls Church<br />

Spatial Data Analytics Corporation (SPADAC) 50 Vienna<br />

Spectrum Systems 12 <strong>Fairfax</strong><br />

Jobs that are new to the county appear in black. Jobs resulting from expansions appear in red.


COMPANY JOBS LOCATION<br />

COMPANY JOBS LOCATION<br />

STPL, Ltd. (India)<br />

N/A Reston China General Chamber of Commerce (China) 3 Herndon<br />

Strategic Thought (United Kingdom) 17 Herndon Chosun Ilbo (Korea) 2 <strong>Fairfax</strong><br />

Superlative Technologies, Inc. 20 McLean Comstock Homebuilding Companies, Inc. 88 Reston<br />

TCDI 10 Reston ConnellyWorks, Inc. 4 <strong>Fairfax</strong><br />

Tao Networks (Korea)<br />

1 Vienna Digipixart, inc 11 <strong>Fairfax</strong><br />

Technical Solution Providers 85 <strong>Fairfax</strong> Electronic Security Council 1 Annandale<br />

The Metamorphosis Group 50 Vienna Emblem-USA (Germany)<br />

6 McLean<br />

Triumph Technologies, Inc. 125 Falls Church ENC Marketing & Communication, Inc. 8 McLean<br />

Waawoo Technologies (Korea) 1 Vienna GateGourmet (Switzerland) 89 Reston<br />

GCS, Inc. 25 Vienna<br />

Internet<br />

Government Sales Force, LLC 12 McLean<br />

Global Dawin (Korea) 1 Vienna<br />

HCA Capital Division 100 Reston<br />

Javien Digital Payment Solutions, Inc. 5 McLean<br />

Hensel Phelps Construction Co. 44 Chantilly<br />

LORE Internet Systems 5 Herndon<br />

Hoppmann A/V 20 Chantilly<br />

Siteworx 57 Reston<br />

Hyper V Technologies 9 Chantilly<br />

Telecommunications<br />

Aptela 84 McLean<br />

Invequity<br />

K&B Underwriters, LLC<br />

4<br />

22<br />

Reston<br />

Reston<br />

Cernium 30 Reston KnowledgeBank (I) 3 McLean<br />

Command Information (I) 90 Herndon KnowledgeBank (II) 15 McLean<br />

Command Information (II) 300 Herndon KSI, Inc. (Kettler) 132 McLean<br />

Communication Technologies (COMTek) 150 Chantilly KTA Group, Inc. 8 Herndon<br />

LCC International, Inc. 35 McLean KumSung USA (Korea) 1 Vienna<br />

MorganFranklin Corporation 100 McLean LS Group, Inc. (Korea) 1 Vienna<br />

Parallel Global Software (United Kingdom)<br />

3 Vienna Magal (Israel)<br />

50 Herndon<br />

Qmobile 36 Reston NXL 2 McLean<br />

Shared Spectrum Company 18 Vienna Primary Integration 80 Herndon<br />

Squareloop 15 Reston Quest Benefi ts 5 Chantilly<br />

Sunrocket 100 Vienna Source Maintenance Services, Inc. 110 Alexandria<br />

Synacor 4 Herndon Sunrise Senior Living 114 McLean<br />

Verizon Communications, Inc. 69 Falls Church TalentFamily, Inc. 8 Falls Church<br />

WiderThan.com (Korea) 25 Reston TC Associates 20 Springfi eld<br />

The Judge Group 40 Vienna<br />

Other Services<br />

Trivision Studios (Afghanistan) 25 Chantilly<br />

Camero, Inc. (Israel)<br />

4 Vienna<br />

Waterford Receptions 90 Springfi eld<br />

Chainbridge Technologies 11 Vienna<br />

YRCI 80 <strong>Fairfax</strong><br />

Jobs that are new to the county appear in black. Jobs resulting from expansions appear in red.<br />

FCEDA<br />

AR 06<br />

20 | 21


who’s who<br />

<strong>2006</strong> FAIRFAX COUNTY<br />

BOARD OF SUPERVISORS<br />

Gerald E. Connolly, Chairman<br />

Sharon Bulova, Vice Chairman<br />

Braddock District<br />

Joan DuBois<br />

Dranesville District<br />

Michael R. Frey<br />

Sully District<br />

Penelope A. Gross<br />

Mason District<br />

Catherine M. Hudgins<br />

Hunter Mill District<br />

Gerry W. Hyland<br />

Mount Vernon District<br />

Dana Kauffman<br />

Lee District<br />

Elaine McConnell<br />

Springfield District<br />

Linda Q. Smyth<br />

Providence District<br />

FAIRFAX COUNTY ECONOMIC DEVELOPMENT AUTHORITY<br />

COMMISSIONERS<br />

Steven L. Davis, Chairman<br />

Assistant Controller,<br />

Corporate Accounting Services<br />

Exxon Mobil Corporation<br />

Michael S. Horwatt, Vice Chairman<br />

President<br />

Law Office of Michael Horwatt P.C.<br />

Ann Rodriguez, Secretary/Treasurer<br />

President and CEO<br />

Arts Council of <strong>Fairfax</strong> <strong>County</strong>, Inc.<br />

Ronald C. Johnson<br />

Chairman and CEO<br />

Ronson Network Services Corp.<br />

Michael Lewis<br />

President<br />

Liberty Capitol LLC<br />

Sudhakar Shenoy<br />

Chairman and CEO<br />

Information Management<br />

Consultants, Inc.<br />

William Soza, CPA<br />

Chairman, Board of Directors<br />

Security One Bank<br />

SENIOR STAFF<br />

Gerald L. Gordon, Ph.D.<br />

President and CEO<br />

Robin Fenner<br />

Vice President, Management<br />

Catherine Riley<br />

Vice President, Marketing, and<br />

Director, International Marketing<br />

Barbara Cohen<br />

Director, Administration<br />

Alan Fogg<br />

Director, Communications<br />

Anita Grazer<br />

Director, National Marketing<br />

Ivy Richards<br />

Director, Market Research<br />

and Real Estate<br />

Karen Smaw<br />

Director, Small and Minority<br />

Business <strong>Development</strong><br />

ANNUAL REPORT<br />

PRODUCTION<br />

Lucy Arrington, Editor<br />

Vicki Serraino, Graphic Designer<br />

FCEDA<br />

AR 06<br />

22 | 23


ABOUT THE FAIRFAX COUNTY<br />

ECONOMIC DEVELOPMENT AUTHORITY<br />

The <strong>Fairfax</strong> <strong>County</strong> <strong>Economic</strong> <strong>Development</strong> <strong>Authority</strong> (FCEDA)<br />

promotes <strong>Fairfax</strong> <strong>County</strong> as a global business and technology center.<br />

The FCEDA provides a wide array of free and confidential services<br />

and information to assist expanding domestic and international<br />

companies and organizations. The FCEDA maintains worldwide<br />

offices in six major commercial centers: Silicon Valley, Bangalore,<br />

Frankfurt, London, Seoul and Tel Aviv.<br />

FCEDA services include:<br />

• providing current, comprehensive market information about <strong>Fairfax</strong><br />

<strong>County</strong>, the Commonwealth of Virginia and the Washington,<br />

D.C, area;<br />

• assisting businesses with start-up, relocation or expansion needs<br />

by identifying and showing county office or industrial real estate<br />

options that best suit their requirements;<br />

• assisting companies to expand existing operations by providing<br />

information and answering inquiries about county zoning, taxes<br />

and other issues critical to doing business;<br />

• acting as liaison between businesses and regulatory agencies; and<br />

• providing information for employees relocating to the county.<br />

The FCEDA is an independent authority created under state law,<br />

operating under the direction of seven commissioners appointed by<br />

the <strong>Fairfax</strong> <strong>County</strong> Board of Supervisors. Its activities are funded by<br />

<strong>Fairfax</strong> <strong>County</strong>.<br />

“ As a company focused on<br />

developing risk and compliance<br />

software for large enterprises,<br />

it is important to<br />

be headquartered where we<br />

can recruit top software engineers.<br />

We are very pleased<br />

with the support we have<br />

received from the <strong>Fairfax</strong><br />

<strong>County</strong> EDA as we aggressively<br />

expand our business<br />

across the globe.”<br />

Julian Waits, president and CEO,<br />

Brabeion Software


“ We chose Reston because it is a great<br />

area for high technology companies<br />

and home to many associations and<br />

charitable organizations. Our expanded<br />

facilities allow us to consolidate<br />

our main company functions in<br />

one secure environment—programming,<br />

development, customer support,<br />

training and administration—yet still<br />

take advantage of our representatives’<br />

work at other locations.”<br />

Bob Mossadeghi, managing partner<br />

Morant Information Systems<br />

Washington Dulles International Airport tower<br />

(photo courtesy Metropolitan Washington Airports <strong>Authority</strong>)


Headquarters<br />

8300 Boone Boulevard<br />

Suite 450<br />

Vienna, VA 22182 USA<br />

t: 703.790.0600<br />

f: 703.893.1269<br />

e: Info@fceda.org<br />

www.<strong>Fairfax</strong><strong>County</strong>EDA.org<br />

Europe<br />

Kurstr. 16<br />

D-61231 Bad Nauheim<br />

Germany<br />

t: +49 6032 949 2884<br />

f: +49 6032 949 2883<br />

e: <strong>Fairfax</strong><strong>County</strong>@t-online.de<br />

Korea<br />

Samkoo Building, Room 1501<br />

70 Sokong-Dong, Chung-Ku<br />

Seoul, Korea 100-070<br />

t: +822 774 0601<br />

f: +822 774 6646<br />

e: fairfaxkorea@gmail.com<br />

India<br />

169/53, 14th Main Road<br />

1st Block East, Jayanagar<br />

Bengalooru 560 011 India<br />

t: +91 80 4112 5493<br />

f: +91 80 4149 8106<br />

e: fairfaxindia-info@yahoo.com<br />

Israel<br />

P.O.B. 727<br />

Pardesia, 42815, Israel<br />

t: +972 (0) 9 8940388<br />

or +972 (0) 3 7419226<br />

f: +972 153 3 7419226<br />

e: <strong>Fairfax</strong>@netvision.net.il<br />

Silicon Valley<br />

625 Emerson Street, Suite 214<br />

Palo Alto, CA 94301 USA<br />

t: 650.470.0400<br />

f: 650.470.0402<br />

e: LeoCampbell@fceda.org<br />

United Kingdom<br />

124 Victoria Street<br />

London, SW1E 5LA, UK<br />

t: +44 (0) 20 7630 1913<br />

f: +44 (0) 870 121 5572<br />

e: info@fairfaxcountyeda.co.uk<br />

www. <strong>Fairfax</strong><strong>County</strong>EDA.co.uk

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