DowntownDC BID Releases 2025 State of Downtown Report at Annual Forum

The ‘State of Downtown Forum’ brought together Mayor Bowser, city leaders and local stakeholders to discuss Downtown DC’s strengths and opportunities.

WASHINGTON, DC (May 7, 2026) – The DowntownDC Business Improvement District (BID) today released its 2025 State of Downtown Report at the State of Downtown Forum held at Johns Hopkins University Bloomberg Center. From big-picture insights to on-the-ground perspectives, this signature gathering brought together public and private sector leaders to outline the successes, transitions and headwinds shaping Downtown DC.

The annual report highlights a year defined by “partly-sunny/partly-cloudy skies,” with positive momentum in key areas such as public safety, cultural attendance and university investment, alongside continued economic headwinds tied to federal job losses, declining tourism and uncertain market conditions. 

“We know that we have one of the most iconic downtowns in the world. Downtown DC is where history, culture, and business converge, and the success of our Downtown fuels the success of neighborhoods across DC,” said Mayor Muriel Bowser. “Whether it’s the renovations of the Capital One Arena, the precipitous drop in crime, the new housing or the beautiful parks, we have good momentum in Downtown DC and we’re grateful to have partners like the BID who are bringing public and private sector partners together to keep it going.”

“Downtown DC is experiencing successes and shifts at the same time,” said Gerren Price, President and CEO of the DowntownDC BID. “Office attendance improved and cultural and entertainment activity grew, while decreases in tourism, foot traffic and employment reflect the impact of federal job losses and broader economic headwinds. While we are seeing continued momentum, challenges remain, and this moment calls for sustained public and private sector action to support Downtown’s long-term growth.”

Notable callouts from the 2025 State of Downtown Report include: 

• Safety
• • Violent crime declined for the second straight year and has fallen nearly 70% from its 2023 peak, supported by policy action and public safety investments. Total crime incidents have fallen by 11% since the post-pandemic peak in 2023. It is not clear if the federal takeover had any impact on property crime trends, which were slightly elevated from last year but still 5% below the 2023.
• Cultural Attendance Growth 
  • Cultural attendance was up a robust 9% from the previous year, reaffirming Downtown DC’s status as a regional hub for arts, entertainment, and live sports as well as the importance of cultural attractions in driving Downtown activity. 
  • To further bolster culture and entertainment activity, the DowntownDC BID launched the Downtown Arts, Culture and Entertainment Coalition in 2025. This coalition is made up of cultural anchors and entertainment institutions, and will advance shared goals and priorities amongst the members. 
• Higher Education Space
  • National and local universities continue to drive new investment and universities are converting obsolete office space into classrooms, offices, and event venues. In 2025, university expansion downtown, both within and beyond the DowntownDC BID, totaled more than 660,000 square feet. 
• Retail 
  • Retail is in a more stable position than recent years thanks to stronger demand for food and beverage establishments, but the sector is ultimately still in a wobbly place. Vacancy rates remain more than double pre-pandemic levels, hovering around 25% for the past two years. 
  • Food and beverage establishments now account for more than half of all retail space in Downtown, up from 46% in 2019. Notably, coffee shops and casual dining restaurants have increased space since 2019 (+33% and +14%, respectively). 
  • Downtown DC saw a net increase of six new restaurant openings in 2025. In 2025, the overall number of closings, 36, was the lowest since 2017. The total combined number of retail openings and closings decreased for the third straight year, further indicating stabilization in the post-pandemic retail market.
• Foot Traffic, Office Attendance 
  • A 2.5% increase in overall Downtown DC foot traffic in 2025 marked continued progress from prior years. 
  • Office attendance rates also increased following the federal return to office mandate. From March through December, office attendance was 48% of pre-pandemic activity, up from 44% during the same period in 2024, reaching a new monthly high of 51% of pre-pandemic office activity in July.
  • Despite the increase over the course of the year, foot traffic rates showed signs of softening during the back half of 2025. Declines in visitor foot traffic coincided with the surge of federal law enforcement in August, while the growth in commuter traffic slowed following federal layoffs, many of which took effect in October after the start of the fiscal year.
• Residential
  • Despite strong demand and successful projects, Downtown is significantly behind its goal to add 15,000 residents by 2033, with current projections reaching only about 40% of the target.
  • Accolade, a new 186-unit apartment building at 1425 New York Avenue NW, opened in 2025 as the second-largest office-to-residential conversion in Downtown DC to date. The innovative project also features The Roost, which provides 57 furnished hotel rooms within the same building. 
• Employment 
  • The loss of nearly 6,000 jobs hit Downtown DC in 2025. It was the first decline since 2020. The decline was driven by reductions to the federal workforce initiated by the Trump administration’s temporary advisory organization known as the Department of Government Efficiency (DOGE). 
  • Employment in Downtown DC shrank by 2.8% in 2025, down to 204,000 jobs from 210,000 in 2024. 
  • D.C. employment fell by 17,000 jobs, or 2.2%, in 2025, with total employment remaining below pre-pandemic levels. The unemployment rate rose to 6.7% in December 2025, up from 5.5% a year earlier. Federal employment across all of D.C. accounted for 23% of all jobs at the end of 2025, down from 25% in 2024.

• Hotels & Tourism

• • The year saw setbacks in the Downtown DC tourism market. The mobilization of the National Guard and deployment of federal immigration enforcement likely reduced both regional and out-of-market visitation. As a result, hotel occupancy dropped to 68% in Downtown DC, down from 73% in 2024 and well below the pre-Covid average of 79% (2010–2018). 
  • Attendance at museums on the National Mall fell by 13% in 2025 and are now nearly 50% below the ten-year pre-pandemic average.
  • Destination D.C. forecasted that international visitation in D.C. decreased more than 5% in 2025, from 2.2 to 2.1 million people. 
  • After years of increasing regional and out-of-market visitor activity, the mobilization of the National Guard and federal law enforcement coincided with a large drop in visitation. 

At this year’s event, Mayor Muriel Bowser and DowntownDC BID President and CEO Gerren Price were joined by Brooke Pinto, Councilmember, Ward 2 Washington D.C.; Kofi Meroe, Director of Development, Foulger Pratt; Mark Simpson, Director of Planning & Economic Development, DowntownDC BID and Ebony P. Walton, Director of Marketing & Communications, DowntownDC BID.  

The program also featured DowntownDC Carpool Karaoke, a special video presentation of Mayor Bowser riding shotgun with Gerren Price for a one-of-a-kind ride through Downtown DC, with candid conversations and unexpected sing-alongs. 

Each year, the DowntownDC BID publishes a State of Downtown Report to highlight and analyze Downtown’s growth and economic trends and report on the state of D.C.’s economy. The BID’s goal is to provide the best and most up-to-date information and analysis available on the Downtown economy to BID property owners, commercial tenants, developers, investors and policymakers.  

The DowntownDC BID’s full 2025 State of Downtown Report is available HERE. Watch the full State of Downtown Forum HERE. Visit the DowntownDC BID’s Data Dashboard HERE. 

###

About DowntownDC Business Improvement District (BID)

Downtown DC is the most diverse and exciting neighborhood in one of the most important cities in the world. Here, locals and visitors find all the most thrilling experiences of DC in 140 walkable and transit-rich blocks: business, education and government; shopping and dining; parks, art, music, sports, theater, history — adding up to a bright future. Founded in 1997, the DowntownDC BID’s area includes 530 properties and is defined by Massachusetts Avenue on the north, including the Walter E. Washington Convention Center at Mount Vernon Square, to Constitution Avenue on the south, and from Louisiana Avenue on the east to 16th Street on the west.