Sorry to dash the hopes of developers with their eyes on Pentagon City, but the entire area's "last developable parcel of land" has now been spoken for. The Arlington Board approved Monday night a Phased Development Site Plan for phase one of Pentagon Centre, Kimco Realty Corporation's mixed-use development that will deliver a twenty and eight story office building and a parking structure.
According to the county, "The approved plan begins to implement the final piece of the development plan puzzle for the entire Pentagon City area."
Designed by international firm, Callison Architects, with Arlington-based MTFA Architecture, Pentagon Centre will replace a 337,000 s.f. warehouse facility that was built in the 1950's. Both office buildings are designed to achieve LEED Silver certification. The project will sit on 16.8 acres above the Pentagon City Metro Station and offer 33,599 s.f office and 13,095 s.f. of ground floor retail space in the larger office building and 152,112 s.f. office and 14,600 s.f. of ground floor retail in the second.
Kimco currently owns the property at South Hayes Street and 12th Street South on which Pentagon Center will be developed as existing retail leases expire. Borders Books, Costco, Best Buy, Marshalls, and Linens N Things are currently renting the existing retail space. Phase Two will follow the expiration of the Big Box Storage lease; Phase Three will be built upon the expiration of Costco's lease.
The original Pentagon City Phased Development Site Plan approved in 1976 was intended to make Pentagon City an "urban center" that hosted a mix of uses. "With this phased development site plan, we at last have the full picture of the future of Pentagon City," said J. Walter Tejada, County Board Chairman.
In addition to filling out P City's development portfolio, Pentagon Centre will make a $500,000 contribution for community improvements that may include a water park at Virginia Highland Park, improvements for the Pentagon City Metro Plaza, and/or subsidies to reduce the rent for an Urgent Care Facility. It will also make contributions of $423,500 to "Utility Undergrounding," $75,00 to Public Art, and an undisclosed amount to Affordable Housing. Sounds like Arlington squeezed everything they could out of the last new developer they will see for a while.
The developer is a New Hyde Park, NY - based company that has the largest portfolio of shopping centers in the US.