Residences Open for Business on Georgia Ave.

The Neighborhood Development Company (NDC) officially cut the ribbon today on Petworth's newest residential project: the Residences at Georgia Avenue. With mortgage interest rates hitting an all time low, and condo prices having dipped, homes may be more affordable than ever; nonetheless, with Mayor Adrian Fenty on hand today, the developer celebrated the $28 million building at 4100 Georgia Avenue, NW, 72-units of affordable housing and a new Yes! Organic grocery store, scheduled to open this coming summer.

"This project is a perfect example of how we can leverage our resources to both greatly improve the vitality of Georgia Avenue and provide residents with the kind of high quality and convenient neighborhood amenities they both expect and deserve," said Fenty.

The District's Department of Housing and Community Development and Housing Finance Agency cumulatively contributed almost $20 million towards the project; NDC will also receive more than half a million dollars in tax incremental financing from the city for their next scheduled project, The Heights on Georgia Avenue. DCmud recently discussed NDC’s upcoming slate with founder and CEO, Adrian G. Washington in a recent interview.

New Condos for U Street Corridor

Bonstra Haresign ARCHITECTS (BHA) is currently spearheading a top-to-bottom renovation of two neighboring, historic U Street area townhomes at 2029-2031 13^th Street, NW – across the street from The Ellington’s retail enclave and caddy-corner from the proposed site of JBG’s U Street Hotel. According to Bill Bonstra, founder and managing partner of BHA, despite the prominent location, the project has presented a few unique challenges.

“[It] is a dual 3-unit conversion with rooftop addition to two townhouses. A tough project as it needed historic approval with the Historic Preservation Review Board (HPRB) and any addition to townhouses, in that regard, is frowned upon strongly by the Board,” said Bonstra. “We had to clearly show them the addition was not visible from the street.”

Following completion of interior work, as well as the rear and rooftop additions cleared by the HPRB in 2006, the property’s owner, Negasi Gebreyes, will be marketing the six condos culled from the site for sale. According to Bonstra, work should wrap up “in a few months.”

Designs Unveiled for New Smithsonian Museum

The Smithsonian has revealed (via WashingtonPost.com) the first prospective designs for the Mall’s next museum: the National Museum of African-American History and Culture. And from the looks of things, it’s going to be the grandest one yet; proposals for the 350,000 square foot museum within earshot of the Washington Monument range from glass-encased and “table-shaped” to almost pre-historic with natural materials “rising as of out of bedrock and muck.”

Last week’s presentations at the Smithsonian included new renderings and scale models by the development teams previously identified by DCmud: Diller Scofidio and Renfro (now teamed with KlingStubbins); Devrouax and Purnell Architects/Pei Cobb Freed and Partners; Moshe Safdie and Associates (now teamed with Sulton Campbell Britt & Associates), The Freelon Group (now teamed with Adjaye Associates and Davis Brody Bond), Foster and Partners (now teamed with URS) and Moody Nolan Inc (now teamed with Antoine Predock Architect).

Among the new revelations unveiled along with the designs were that the project’s budget, formerly reported at $300 million, which has now almost doubled to $500 million – half of which will be funded through a Congressional appropriation. The Smithsonian is also now projecting a 2015 opening for the museum, following the previously projected 2012 construction start date.

Once completed, the Museum will stand on a five-acre parcel at 15^th Street and Constitution Avenue, NW – one of the very last prime plots abutting the National Mall. A final selection on the Smithsonian’s choice of architect will be announced by a Smithsonian-chosen 11-member panel next month, to be seconded (or not) by a final approval by the Smithsonian Board of Regents. The final design will then enter into lengthy submission processes with both the Commission on Fine Arts and the National Capital Planning Commission.

Both interior and exterior renderings of the proposed designs are available here.

McMansions II: Palisades

While George Soros is enjoying "a very good crisis," he is not alone. As work proceeds on 46 custom homes in the Palisades, at least some new home buyers are paying nearly $2m for a development of custom-built, embassy-sized homes in Northwest Washington DC. The Phillips Park development - overseen by international businessmen William Pryor and Felipe Paraud - will be delivering 46 "estate homes" with sprawling 9,000 to 17,000 square foot lots near the intersection of Foxhall Road and W Street, NW over the course of the next year.

Proof positive that not everyone is suffering, twenty-two of the available lots are already under contract, according to the real estate agent representing the project, Long and Foster's Susie Maguire. The custom-built homes themselves will measure in at 4,500 to 9,000 s.f. and sport designs from variety of architectural firms, including Barnes Vanze, David Jones, Muse and Neumann Lewis Buchanan. Priced from $1.5m, the homes began sales a little more than two years ago,

Phillips Park’s big price tag is in keeping with the parcel’s prestigious former use; it was formerly the site of “Dunmarlin,” a 26-room, 17,000-s.f. mansion owned by philanthropists Duncan and Marjorie Phillips - best known to metro area residents as the patrons behind the Phillips Collection art museum in Dupont Circle. The historic mansion was controversially demolished following its sale to Saudi businessman Rafik Harir in 1988. At the time, its $13 million price point was the largest sum ever paid for a residence in the District.

As the development is custom-built, construction is ongoing, but the first few homes sold will begin to deliver later this month. Gibson Builders, Horizon Builders, O’Neill Development, Lifecraft Builders and MB VISNIC are all serving as contractors on the project. Financing is provided by ING Direct. New condos Washington DC

UPDATE: Palisades Park is a shared listing between Long & Foster and the firm of Arnold, Bradley, Sargent, Davy and Chew, Inc.

McMansion Watch: Chevy Chase

Even through the worst of economic slowdowns, the Montgomery County hamlet of Chevy Chase has proven to be one of the most insulated from market declines - at least with regard to home values. The fact may have something to do with schools, proximity to DC and Metro, walkability or history, but certainly housing is the dominant factor, and close-in single family homes have fared best. Which helps explain the surfeit of increasingly imposing, over-sized homes that have dominated the architectural style of new homes. With that in mind, here's a look at some projects currently underway:

Properties 1 & 2: 3823 Bradley Lane

Two single family homes will soon be situated on these dual 17,000 square foot development lots, which formerly hosted the now-demolished Nigerian ambassador's residence.

Developer: Sandy Spring Classic Homes

Architect: GTM Architects

Builder: Sandy Spring Builders, LLC

3810 Club Drive

Formerly home to a split-level rambler that has increasingly become the target of developers, this parcel has been reborn as a goldenrod...chateau? Or English manor, we're not sure.

Developer: Mitchell & Company

Architect: Mitchell & Company

Builder: Mitchell & Company

3516 Turner Lane

Wrapping up construction next month, this garage-centric home sits on a 7,000 foot lot a block over from Chevy Chase's only (and tre exclusive) shopping center on Brookville Road. The convenience will only run you $2,199,000.

Developer: McNamara Bros., Inc.

Architect: Studio Z Design Concepts

Builder: McNamara Bros., Inc.

UIP Moves in on Historic Connecticut Ave Space

Urban Investment Partners (UIP) is currently two months into their $1.9 million renovation of The Macklin – the 70-year old, 17-unit apartment building straddling the same stretch of Connecticut Avenue as some of Northwest’s most beloved destinations, including the Uptown Theater and the Ireland’s Four Provinces Restaurant and Pub.

Located at 2911 Newark Street, NW, the Macklin will receive a thorough 21^st century upgrade, courtesy of Bonstra Haresign Architects. The development team is completely overhauling the building’s aging heating and cooling units, plumbing system, baths and kitchens – the latter of which UPI boasts will include “all-new wood cabinetry, granite or stone countertops, under-cabinet lighting, stainless steel finish appliances including mounted microwaves and dishwashers, and new tiles.”

Additionally, the Macklin’s floorplan also includes the 11,000 square feet of retail space directly below the building at 3400-3412 Connecticut Avenue, NW, which now houses the new UIP offices after their relocation from Arlington.

The Macklin renovation is ambitious if only because it seeks to improve upon the original designs of Mihran Mesrobia – the architect behind such DC landmarks as the St. Regis and the Hay-Adams Hotels, as well as the one-time chief designer for iconic, early 20^th century developer, Harry Wardman.

Nonetheless, UIP succeeded where others had failed in mid-2008 when they acquired the formerly rent-controlled Cleveland Park building for $9.5 million. Earlier, in 2006, the Macklin had been the subject of a failed attempt at redevelopment by the Hastings Development Corporation, which sought to more than double the amount of units on site and install a parking garage beneath the property. Faced with the resident and community opposition, the proposal never made it beyond the planning stages.

According UIP’s Steve Schwat, the renovation is currently scheduled to wrap up in October. UIP’s own in-house general contractor, Urban CM, is overseeing construction.

The Macklin is the third such historic renovation currently that UIP currently has underway in the District. The others can be found at 1921 Kalorama Road, NW and 1706 T Street, NW, both in Adams Morgan.

DCMud Voted Best Real Estate / Development Blog by CityPaper

The Washington City Paper today voted DCMud the best real estate / development blog in the DC area in its annual "Best Of" edition. Thanks to the City Paper for its insight on DC, and for voting us the top real estate site. Congratulations to DCMetrocentric for getting the nod for runner-up.

Industry Insight: Adrian G. Washington of the Neighborhood Development Company

As the founder and CEO of the Neighborhood Development Company (NDC), Adrian G. Washington has overseen numerous development initiatives in the District with a primary focus on boutique condominiums and affordable housing in Columbia Heights and along a resurgent Georgia Avenue corridor. In between working on a current slate of projects that includes the Residences at Georgia Avenue, the Heights on Georgia Avenue and a proposal for the mixed-income redevelopment of the Park Morton public housing complex, Mr. Washington spoke with DCmud about the state of development in the District of Columbia, the challenges of affordable housing and what the future of the residential market.

Can you give us an overview of the company?

I’ve been doing this for about twenty years. I started out as basic as it gets - rehabbing brownstones – and moved up from there. Then, I worked for a big corporate real estate company called the National Housing Partnership and we did a lot of affordable housing stuff. I started NDC about ten years ago by doing really the same sorts of things – rehabbing brownstones. By the next year, we were doing 4-unit buildings, then 10-unit buildings and it sort of just got bigger and bigger.

It really kind of took off about five years ago. I brought in my partner here and a couple of junior partners, a couple of vice presidents who really brought it up to a professional level. We started doing bigger projects. We were lucky to be on teams that got selected to do CityVista and the old Convention Center site, now called City Center. We really kind of rode the condo boom when it was hot; we had a lot of really cool boutique projects. So it started out focusing on Columbia Heights because we’re always emerging neighborhood focused. When Columbia Heights became more established, we sort of shifted it.

So for our last projects, we’ve done a lot of stuff up and down Georgia Avenue – projects like the Lofts at Brightwood and Lamont Street Lofts. We’ve also done some affordable rental projects like the Residences at Georgia Avenue. As the economy shifted, we started doing more affordable rental projects. Our Heights at Georgia Avenue project will be almost like a sister project – same size, same kind of concept with affordable housing on top and retail on the ground floor. Then we proposed on the Park Morton site and we’ll also be proposing on two of the DC school sites. We’ve teamed with EYA on the Hines School site and with Equity Residential on the Stevens School site.


Indeed, most of your new construction seems to be focused on Georgia Avenue. Are you still bullish on the area?

We hope so. We like it. We’re headquartered here and I live about five minutes away. We’ve always been focused on this area and we just saw it as the next “cool neighborhood.” You have Columbia Heights to the east and with Georgia being a Great Street, the city’s been really interested in what we’re doing and certainly helped out on a lot of things. We’ll be coordinating with them for some of the infrastructure improvements with Great Streets.

It’s a really great transportation corridor. It’s got some good parcels that are available and, particularly at the start, there were some great industrial buildings that you could convert to lofts. There's not as much now, but it’s a great area and we kind of adopted it as our backyard. We really wanted to be focused on particular neighborhoods, which is where we are.


How does the current state of the market affect a company that’s primarily focused on affordable housing?

I think it’s been good and bad. When things started getting tougher, most people - me included – said affordable housing financing is not going to be affected by the credit crisis. Well, in fact, it has. The most popular mechanism for financing affordable housing is the low income housing tax credit, where essentially you get credits that allow companies to reduce their taxes. Well, a lot fewer companies have taxable gains these days, so the market for that – while it hasn’t crashed – has declined considerably.

Also, the District a lot of times provided gap financing. A lot of that comes from the Housing Production Trust Fund that is funded by sale and recordation taxes. At the same time, the gaps have gotten bigger because construction costs went up and land values went up. The District used to be fairly flush and now they’re pretty tight. That’s been a little challenging, but the good thing is that the demand is still there. Land prices are starting to retract a little bit and construction costs are starting to mitigate. So it’s much tougher, just like private development is much tougher.

But I think DC is really strong market with basic fundamentals like what you can rent things for and demand. I really haven’t seen things as bad yet as I read in the papers and I’m optimistic because demand for things like condos and rentals really haven’t declined as much as the headlines suggest.

One crucial element of development is retail. CityVista, of course, has a Safeway and your newly completed building, the Residences at Georgia Avenue, is planned to include a Yes! Organic Market. How do you go about making neighborhoods once thought undesirable attractive to retailers?

Those were two very different cases. In terms of CityVista, Safeway was part of the team right from the beginning. Actually, before we became part of the team, Safeway and Lowe Enterprises, our partners, were already linked to that project. Safeway saw it as a great place to put a new urban model Safeway.

The thing with Yes! Organic is that we approached them very early on. We didn’t have a broker or anything. They just saw it as a great location. We had some personal connections with Gary Cha, the head of the company, and, as matter of fact, he liked it much that he wanted to buy it because he saw the potential of the neighborhood and said, “I want to get in on the ground floor.”

That’s how we’ve done it. We had the Meridian Restaurant at our Lofts at Brightwood project and it was the same type of thing – a really entrepreneurial retailer that was willing to take a chance and invest in the neighborhood in the same way we were. That’s how we traditionally work – not through brokerage channels, but with retailers who’ve really gotten it and want to get in early on a project and help design the project to meet their specifications. It sort of goes together.


At this point, it’s safe to say that CityVista has been a success, while other projects in the immediate area have stumbled. What would you chalk that up to?

It’s funny because we just had a case study that ULI did and they put together all the people –developers, contractors, lawyers and architects. One of the things that we talked about was doing a true mixed-use project – some condos, some apartments and retail. It’s really hard from a construction standpoint, from a legal standpoint, from an architectural standpoint, but if you get right and you get the right mix…synergy is a corny term, but it really applies to this.

We got this great Safeway, we got Busboys and Poets and we have a real mix of retailers at the base, all of which people really want. These kind of lifestyle-type things help it be a place where people really want to be. NoMa is still kind of an emerging neighborhood and people want to feel like they have a sense of community – a place where they can live, they go downstairs to shop, they can go out to eat, they can go to go the gym. And not just a little in-house gym, but a really cool gym like Results.

It’s a really cool place and what we’ve seen is that it’s drawn people from all over. You think it would be people who live in different parts of DC, but we have people from Prince George’s County and Virginia. It’s just been a nice sort of synergy and I think the rental component energizes the condo component and the condo component energizes the retail component and vice versa. And I think it’s priced right. It’s not entry-level pricing, but it’s not super-luxury pricing either and a lot of people can afford it. We knew we were going to sell like that.


NDC has a record of vying for some prominent District issued RFPs, including Park Morton, CityVista and 5th and I. How would you characterize your relationship with the Fenty administration and the Office of the Deputy Mayor for Planning and Economic Development?

I’m not an insider or anything, but I value and appreciate what they’re doing and I’d like to think that they feel the same about us. I feel that our goals converge. They’re interested in developing Georgia Avenue and we are too. They’re interested in promoting local businesses and I live in the city, I work in the city and I hire people in the city. It’s matter of being on the same page and understanding their challenges.

For me, having been inside the government at one time, I understand what it’s like to be on the other side of the table - the challenges that you have from a political perspective and from a legal perspective. A lot of times, you go through these long agreements with people and can seem like, “Why are they asking for that? It makes no sense.” Having been on the other side of the table, I understand that they have to get certain things through certain offices and fiscal years and so on. Having spent a bit of time in their shoes helps me understand what their hot buttons are and what’s important. That helps the negotiation process.

The important thing is that we share the same goals. We want improve neighborhoods. We want to work with the community. Like most developers, we feel that we have to reflect what’s going on and what people are looking for.

Are there any details that you can share about your proposal for the redevelopment of Park Morton?

The first thing that I really want to emphasize is that we’ve teamed with a really great partner. They're called Community Builders. They’re Boston-based, but they have a DC office. They’re really the leading non-profit developer in the country. They’ve done over 20,000 units in terms of projects. They really specialize in these sorts of difficult public housing transformations. They have a great human capital program and do things like job training, education and public safety – things that affordable housing demands. Our team, with our local knowledge and our skill, is a great combination.

Essentially, we stuck pretty close to the plan that was developed when we were part of the task force that designed the original Park Morton plan that was in the RFP submission. They’re looking for a three-phase plan – roughly a third, a third, a third - that will provide homes for all the current people who are there and then mix them up with moderate income and market rate. It’s, give or take, 500 units of housing.

We’ll be demolishing this area [along Park Road] for Phase I and building a total of 195 units. We’ll have [a separate] building dedicated to senior citizens and mixed-income units. Prior to demolition, we would provide for the relocation of families that are in there now and put them in units in and around the area, so they could stay in the neighborhood.

We’d then demolish the [second area along Morton Street] and move people into the first phase, along with new people from outside the community and build another roughly 250 units. Then, finally the third [along Lamont Street] would be building condominiums. By that point, we think the neighborhood will have improved, the market will have improved and that it would a great place to do a condominium building.

Many owners of undeveloped property are now caught between inability to get financing and maturity default. How is NDC positioned to make it through the next two or so years?

I think we’re well positioned. We’re either lucky or smart. I’m happy to take either one. We’ve done condo projects over the years and about two years ago, we began to sort of feel something in the air. Four years ago, if you built something, people were lining up. As far as two years ago, things began to slow down and we decided to decrease our exposure to condos. We did a couple of projects, but they were very value priced and we were able to sell out of those. Right now, we have zero exposure to condos.

Our project across the street, the Residences at Georgia Avenue, is a moderate income rental. We’re in lease up now and we’re getting tons of responses, so we feel very good about how that project is going to perform. The Heights on Georgia Avenue that’s basically across the street from Park Morton, we just got through with PUD and we’re just looking for financing now. Again, we think we’ve created a product that’s moderately priced and we’re pretty optimistic that we’ll get financing for that. We think that we’re in a very good place. We’re lucky to be part of CityVista that, amidst all the problems, is performing well. We’re well-positioned and I think it’s a great time to be a developer. A lot of newcomers and weaker competitors will be going away. It’s more challenging – you need more creativity – but that’s kind of cool.

Is it possible to be profitable selling new construction there in this environment?

I think so. It has to be the right place and the right design. And one of the really crazy but cool things is that things change so quickly. Our focus has been on the kind of building - it’s called podium style - that has first floor retail with four or five stories of residential above it. It’s a stick-built product. What happened in the last few years is that the delta between concrete buildings and stick-built really expanded. This was kind of a nice sweet spot in terms of building a building that’s six-stories high, but the cost per square foot was a lot lower. That was the threshold and, if you wanted to go any higher than that, you’d have to go with concrete. We really looked at this as model for the Heights and Park Morton and we’ve seen prices for this come down. What we don’t know is if concrete construction is going to come back down and become much more competitive.

You’ve got to moderate, just from a supply and demand perspective – not just in the US, but around the world. A lot of stuff is clearly not going to get built. Commodity prices, concrete construction, oil and gas, steel – all that’s come down and the demand for labor has come down as well.

Do you see NDC starting any market-rate condominium projects in the near future?

Oh yeah, absolutely. Whether you’re condo or rental, I think that DC is great place to live. I think in terms of a competitive advantage, with the new administration and the Stimulus Package, that the city is becoming more in demand. I liked the city before the market went down and I like it even more now. I think that supply and demand is going to come back into balance. We’re seeing things like the month’s inventory start to come down. Real estate is cyclical. We had a particularly strong up cycle and now we’ve had a particularly strong down cycle, but it’s going to come back.

Just in terms of how long it takes to do things, if you look at the demand, I think the trade-up buyer has kind of decreased a little bit and speculative investment buyer has gone away completely. But that first-time buyer and the price point from three to five hundred thousand has pretty much stayed there.

But nothing’s getting built. Nobody, for any kind of project of any significant size, is starting. There’s nothing in the pipeline now and the way these projects work is that if you’re not in the pipeline now, you’re not going to deliver for at least three years – more like four or five. As the economy straightens itself out and demand is solid and starts to increase, the supply is going to be way low. Things that will be delivering in two, three or four years, I think there will be a great market for. We could easily do a boutique building of under a hundred units in that time frame. I’m really bullish on that.

More Money for Macedonia

The Arlington County Board has approved up to $2.855 million in low-interest loans for the Nauck Development Partners' (NDP) affordable housing redevelopment of the Macedonia Baptist Church

in Arlington. Per the terms of the approval, all of the building's 36 units are to remain "guaranteed affordable" for a minimum of 75 years.

NDP, which is a partnership between the Church, the Bonder and Amanda Johnson Community Development Corporation and AHC Inc., previously sought another $2.86 million low-interest loan and $40,000 County grant from the Board in January - both of which were summarily approved. NDP has secured $14 million in financing for the project, nearly $6 million of which is drawn from County funds. Part of the Macedonia's funding package will come in the form of 4% tax credits and tax-exempt bond financing via the Virginia Housing Development Authority, which the development team had been vigorously pursuing since last summer.

Located on three neighboring parcels at 2219, 2229 and 2237 Shirlington Road in the Virginia suburb of Nauck, the Bonstra Haresign-designed Macedonia will host the aforementioned 36-unit affordable in addition to two sections of commercial office space and a “small business incubator.” AHC Inc.’s Project Manager, Curtis Adams, told DCmud last December that the development team plans to begin construction in the late spring of 2009.

Canal Park Gets New Architect, Timeline

The Capitol Riverfront BID yesterday announced that OLIN, a Philadelphia-based landscape architectural firm, has been selected to supply designs for the long in-the-works Canal Park – the pedestrian-friendly makeover of what is currently a school bus storage lot spanning three blocks between I and M Streets, SE and one of the proposed touchstones of area's redevelopment.

Unfortunately for green space aficionados, this means the project’s managers at the Canal Park Development Association (CPDA) will be throwing out the park designs previously approved by the National Capital Planning Commission (NCPC) in 2006 and starting back at square one - a process that will involve re-submitting plans anew to that very same body.

"We should be done with the schematic design in about 12 weeks. Then we’ll start interacting with Commission of Fine Arts and NCPC at that point,” said Chris VanArsdale, Director of the CPDA. “We won’t be done with the [final] design for 10 months, 12 months. So when the design is sufficiently complete, we’ll bid it out.”

According the Riverfront BID and VanArsdale, the site will be begin to be cleared in early June with construction planned in early 2010. Newly announced amenities planned for the Southeast redevelopment initiative include “a new pavilion, a cafe and a possible summertime fountain and wintertime ice skating rink.” The CPDA is currently in negotiations with the BID about possible operators for those park components. Funds for the project are being drawn from $13 million in City Council appropriations, as well as private donations.

Though the strip of land set to host the park was initially to be transferred from the District government to the now dissolved Anacostia Waterfront Corporation, the CPDA has reached an agreement with government authorities that will allow them to oversee the park well beyond its projected 2011 completion. “[The land is] still technically under the control of the DC government, but we have a license agreement with the District to develop and maintain the park,” said VanArsdale.

One of the key features of the park that will remain intact, despite the change of design teams, is its goal of accruing “zero net energy.” According to the BID, OLIN will be exploring green features like stormwater management systems and “solar panels on lightpoles and possibly neighboring buildings” to make the project as low impact as possible. Michael Stevens, Executive Director of the Capitol Riverfront BID told DCmud last year that "Canal Park will be a model of environmental sustainability, it will catch storm water runoff from surrounding blocks, capture, filter, recycle, and reuse the water on sight. We are hoping to capture it on the rooftops of other buildings as well. A lot of that was planned before ballpark."

New Columbia Heights Destination Open by Fall

With demolition of the old Bi-Rite Super Market location now complete, 3DG Development is progressing steadily with construction of Columbia Height's soon-to-be newest hotspot, Meridian Pint - a Belgian beer-centric restaurant, bar and lounge from John Andrade, the current owner of Asylum on 18^th Street, NW.

John Goldman, CEO of 3DG, tells DCmud that, "Demolition has been occurring in phases since we started in September, but we're now done with demolition and are going upwards with steel and framing at this point… The core and shell [are] to be complete by June and doors [will be] open by fall."

Located at 3400 11th Street, NW, the site will also will also host second-story office space, to be occupied jointly by 3DG and Somilar International, a DC-based sustainable tourism consultant. Since breaking ground on the project in April of last year, the development team – which also includes 3DG as an architect – has met with the surrounding community as recently as March 11th, when they made a presentation to the local ANC 1A. In keeping with their all-in-one modus operandi, 3DG Construction, LLC is also serving as general contractor on the project.

Future Uncertain for Silver Spring Transit Mixed-Use

While work bristles along on the much anticipated, $70 million Paul Sarbanes Silver Spring Transit Center in downtown Silver Spring , progress on proposed private development at the site is doing anything but. Despite being awarded rights to pursue three towers worth of mixed-use projects – including a 469-unit apartment building, a 196-room hotel and 25,000 square feet of ground floor retail at Colesville Road and Wayne Avenue - following completion of the Transit Center, developer Foulger-Pratt is tight lipped on exactly when the once project will leap off the drawing boards and into the public realm.

“There are three towers that will be built around the Transit Center, someday…but we’re not exactly sure what the towers are going to be. At one point, it was a hotel, an office building and apartments, then hotel, office building, condos. But at this point, we know one of them will be a hotel and that’s all I can say because we don’t know yet,” said Steve Sowash, Director of Preconstruction and Estimation for Foulger Pratt. “Right now, we’re not even projecting a start date on it.”

Though Foulger-Pratt, also serving as general contractor on the Transit Center proper, were once thought to be planning to dovetail their start on the private portion of development with the projected late 2009 completion of the center, that plan appears to have fallen by the wayside. In a refrain all too familiar to area developers these days, Foulger-Pratt is laying the delay at the feet of Old Man Economy.

“[An early 2010 start] is too optimistic…[Our schedule] is contingent on the market in general.“ said Sowash. “Nothing’s even been submitted [to the Planning Board]. We responded to an RFP several years ago for three towers around the Transit Center. It was something that the County had awarded us the right to do, but, then again, it’s all market driven.”

Architects Zimmer Gunsul and Fransca remain attached to the project and Foulger will once again serve as general contractor if and when the developer gets shovels in the ground. In the meantime, the Transit Center is still on schedule to wrap up construction later this year. Montgomery County’s Division of Building Design and Construction is expected to provide an update on project during the first week of April.

Adams Morgan Renovation Yields New Apartments

Everything old is new again, especially in Adams Morgan. In a timely full-circle, yet another of Adams Morgan's numerous Depression-era apartment buildings will be getting a full makeover in the coming months...just as we coincidentally circle the drain of our own financial crisis.

Starting next month, Ellis Denning Construction and Development will begin a $2 million renovation of Urban Investment Partners' (UIP) six-story rental apartment building at 1921 Kalorama Road, NW. Kunal Shah, Purchasing Manager/Estimator at Ellis Denning tells DCmud that the each of the building's 59 units will be receiving a top-to-bottom facelift with new kitchens, bathrooms, flooring, finishes and paint jobs (now lead-free!).

Ellis will be overseeing the selective demolition of certain internal portions of the aging building, from which they're planning to carve three new apartments out of the current 60,000-square foot plan.

In addition to Ellis, UIP has also taken on Bonstra Haresign Architects to design both the renovations and new construction. Given the structurally sensitive nature of the planned procedures, Shah declined to comment on a timeline for the project, but did note that only thirteen of the building's 60+ residents will be permitted to remain in the building once work begins.

The very same team of Ellis and Bonstra is currently at work on another nearby apartment complex at 2525 Ontario Road, NW, while Ellis has also paired with Hickock Cole Architects for a similar project at The Ritz at 1631 Euclid Street, NW. Both of those developments are owned by affordable housing provider Jubilee Housing, Inc.

Secy. Napolitano Offers Thoughts on St. Elizabeths

Secretary of Homeland Security and former Arizona Governor, Janet Napolitano, toured her agency’s new home at the St. Elizabeths West Campus in Southeast this week with CNN’s Wolf Blitzer and, in doing so, revealed some previously unheard details regarding the relocation.

In her own Special Olympics-like gaffe, the Secretary referred to St. Elizabeths as being in “a very run-down part of the District of Columbia.” Not a Bush league malapropism, but take a cue from Mayor Fenty…it’s “ripe for economic redevelopment.” But Napolitano did reveal news that bodes well for Ward 8. According to the Secretary, the Department of Homeland Security (DHS) is aiming to do the same thing for the surrounding neighborhood that the CIA did for Langley and the Pentagon did for Northern Virginia.

Namely, they'll be focusing attention on areas once thought undesirable or outside of the metro area development bubble. In a response to a question from Blitzer, Napolitano said: “I think when the Pentagon was created there were many of the same arguments were made about being a bad neighbor, not helping the local economy and the like and those have not been borne out.” And who doesn't want to live next to the Pentagon now.

In the course of the interview, Napolitano also stated that, in addition to the $346 million set aside for the DHS relocation Fiscal Year 2009 congressional budget, the project will be receiving funds from the Stimulus Package - making it the first DC area development to get a boost via the controversial bill. Said Napolitano:

This project [will receive] $650 million and it will equate to 33,000 jobs in this area, $1.2 billion immediate stimulus to the local economy and if you look at this area of the District you’d understand that this will be very beneficial to the overall quality of life in this area of this District.

Unfortunately, CNN has yet to post video of the interview, which also included a tour of St. Elizabeths landmarks, including future staff offices, including Napolitano’s, and the former cell of poet, and one-time inmate, Ezra Pound. In the meantime, a full transcript is available here.

Montgomery Mall Expansion Set for Summer

The expansion of Bethesda’s Montgomery Mall, previously approved by the Montgomery County Planning Board in 2007, will now proceed as early as July. Mall owners the Westfield Group have targeted 200,000 square feet of space in the 40-year-old mall, including the present movie theater on site, for selective demolition, along with the neighboring Westlake Crossing shopping center. In its stead, Westfield and the project’s architects, Gensler, have envisioned a massive 720,000 square foot build out from the current mall complex at 7101 Democracy Boulevard.

At present, the expansion is set to include a new 70,000 square foot multiplex movie theater, an overhauled 20,000 square foot food court, a “fashion wing” devoted to high-end apparel and two new five-story parking garages.

According to the Australia-based Westfield (who also happens to be one of the largest retail property holders on the planet), the “$19 million redevelopment will result in May Company [Macy’s] expanding and remodeling its existing store through the acquisition of the top level of the JC Penny department store. The lower level of the JC Penny store will be utilized to create 5,900 square meters of mall space, including an Old Navy store.” Once completed, the mall is expected to grow to roughly 1.8 million square feet.

The mall’s epically frustrating parking lots, which lure some 11 million visitors to the Montgomery County fortress-like shopping destination each year, will also go under the knife for a transit-friendly makeover. Along with a relocated Sears Auto Center, a new “six-bay bus transit center” will be constructed along the mall’s rear, giving the heavily traversed junction of Democracy Boulevard and Old Georgetown Road a new commuter destination (and for local high schools students to smoke between trips to Sbarro.)

Construction is currently planned to occur in three phases, with the transit center and fashion wing slated to go up first. Whiting Turner will be serving as general contractor.

GMU Courts Commerce in Fairfax

One of the Virginia commonwealth’s largest public educational institutions, George Mason University, will be getting in on a little private commerce this coming May, when it officially breaks ground on its new $30 million hotel and conference center: the George Mason Inn.

Developed in conjunction with University Hotel Partners, the Inn is to be the newest addition to GMU’s flagship Fairfax campus. Once completed, the development will stand between Braddock Road and University Drive on six-acre parcel close to the university’s Patriots Village dormitory complex. Plans prepared by Gensler Architects call for a seven-story, 150-room hotel to be built alongside a 20,000 square foot flex-space conference center that will include a 175-225 seat restaurant, in addition to meeting, banquet, business and lounge areas.

GMU has already taken hotel operators Aramark Harrison Lodging, which operates fifteen similar “collegiate conference center/hotels” throughout the country, to manage the day-to-day functions of the center. The University has stated its intent to use the facility as a “campus living room,” since according to their projections, “university use accounts for 55% of meeting [and] guest room space.” Which isn’t to say that GMU will be hurting to fill the rest of their vacancies; as Virginia’s second largest university, GMU draws upwards of three million visitors per year to the Fairfax campus alone.

It seems logical enough then that provisions for a conference center and hotel at the university have been bandied about since 2002, when they were first included in a County Master Plan governing the site. With seven years of lead time, GMU has had plenty of time to secure financing for the project; its $30 million budget is to be drawn from state-backed bonds and, once open for business in the fall/winter of 2010, the Inn will be owned entirely by the University. Balfour Beatty will oversee construction.

Alexandria "Gateway" to Start in '09

Following January approvals from the Alexandria Zoning Commission and City Council, Bethesda's Green City Development (alternatively known as Tall Cedars Development) is moving forward with their plans to add another landmark to Alexandria, at least in name. The so-named Landmark Gateway project is the Northern Virginian city's bid to redevelop an area primarily known for strip malls and warehouses and, for many local officials and community members, the work can't start soon enough.

"The Landmark Gateway proposal has been reviewed in numerous community meetings over the past two years as well as by the Landmark-Van Dorn Corridor Small Area Plan Advisory Group," said Department of Planning and Zoning Director, Faroll Hamer. "This project will be an important catalyst for an area that is struggling to turn itself into a vibrant revitalized community, and with the current economic downturn and difficulty in securing loans, it may be the only chance in quite some time.”

Located on a six-acre parcel at South Van Dorn and Pickett Streets, the Gateway will replace the industrial structures on site with a three building “Art Moderne”-style development that will include 431 rental apartments (with an unspecified mix of affordable and market-rate units), 35,000 square feet of retail space and a 544 space underground parking garage. The designers behind the 550,000 square foot project, Architects Collaborative Inc., are currently working with landscape architects, The FAUX Group, to create “a series of urban…lively streetscapes, public plazas [and] promenades linking storefronts to the retail parking areas, public art elements as well as private courtyards…for area residents.”

Green City is currently projecting a December 2009 start for the first two, five-story buildings in the $100 million project. Both are aiming for a LEED silver certification. Rappaport Retail Brokerage is currently soliciting inquiries from potential retail tenants at the development, which could be open by 2013.

DC's Palisades Demolition Clears Way for Single Family Homes

Encore Development and engineers Dewberry and Davis are currently on site at 4800 U Street, NW, where they are parlaying the former site of a single-family Palisades home into eight development lots. Encore purchased the property, which stands only a block from MacArthur Boulevard, in 2007 and subsequently razed the home at the site soon thereafter.

“We actually bought a 3.2 acre parcel there and sold half of it to the St. Patrick’s School. We retained the other half for ourselves,” said Encore principal Steve Kay. According to him, though Encore has already received numerous inquiries from other development teams looking to acquire the property, the roughly 9,000 square foot lots will most likely be sold ala carte to would-be owners once work ends sometime in “the May to June timeframe.”

As Encore’s interest in the site will feature no new construction, the developer needed little clearance to proceed with their subdivision. “It’s a matter-of-right project and all of the lots have frontage on either 48^th or U Streets…We did meet with ANC, but there was no approval process,” said Kay. “But there will be 8 houses there, as soon I release the lots for sale.”

Tenley-Janney Loses Apartments, Gains Consensus

In a surprise announcement from Mayor Adrian Fenty at Janney Elementary this afternoon, the ongoing battle between the Tenleytown community and the Office of the Deputy Mayor for Planning and Economic Development over the mixed-use redevelopment of the Tenley-Friendship Library seems to have drawn to a close. The District announced today that it has split with developer LCOR Inc., which had previously been awarded rights to construct the library at the site, along with 174 rental apartments, by the Fenty administration this past July.

The District’s relationship with LCOR, however, went suspiciously unmentioned by Fenty or his staff during the duration of the press conference - an especially conspicuous omission, given that Deputy Mayor Neil Albert had previously reaffirmed his office's commitment to moving forward with the LCOR-led redevelopment as recently as January. Off-the-record sources from inside the District government confirmed that the change of direction at the Janney site had little to do the contentious war of words between the Tenleytown community’s reps on the DC City Council and ODMPED, but that instead, LCOR has been forced to the sidelines due the company’s inability to secure financing in the troubled credit market. For the District’s part, they’re leaving the door to mixed-use development open for the near future.

“There is the possibility that after the library is built, sometime in the future, there may be additional mixed-use on that site,” said Fenty, to a mixed reaction of both applause and boos – an illustration of just how divisive the residential component of the school/library redevelopment had become, even among Janney staff and parents.

With LCOR out of the picture (for now) and no residential units stacked atop of it, the library over the metro station will top out at a simple two stories and measure in at 22,000 square feet, based on designs by the Freelon Group. Forrester Construction has signed on as general contractor and the building will seek a LEED silver certification.

Whether today's deal is a bow to market forces or just public relations peacemaking (or both), ODMPED didn’t end the goodwill there; the schedule for construction of the new library and concurrent renovations to Janney Elementary, it was announced, has been significantly accelerated. Fenty pledged that the new library will be open by the end of 2010, while renovations to Janney, once scheduled to begin in 2014, “could begin as soon as December.” Both Fenty and Allen Y. Lew, Executive Director of Office of Public Education Facilities Modernization, agreed that an architect for the renovation will be selected by June; other details, including whether the school will remain open during construction, had yet to be confirmed. According to Lew, the renovation could take as little as thirteen months.

Coast Guard First to Deploy at St. Elizabeths

With favorable environmental impact and National Capital Planning Commission reports in the bag, the General Services Administration (GSA) will issue a Request for Qualifications on March 23rd targeted at a new 1,100,000 square foot US Coast Guard headquarters at the St. Elizabeths Hospital West Campus.

Bidders on the design-build contract will be expected to meet “high performance green building design criteria” and to include provisions for a 990-space parking garage. Also of note, though the Coast Guard facility has been bundled together with the federally-owned West Campus, part of it will actually be erected on a northwestern piece of the DC-owned East Campus – a compromise resulting from the 1987 land transfer that the ceded the East Campus to District control. At present, the Office of Planning is proceeding independently with their plans for 2 million square feet of private sector, mixed-use development south of the Coast Guard site.

Funds for the new HQ will be drawn from the $346 million allotted to the GSA specifically for the St. Elizabeths redevelopment by Congress in the Fiscal Year 2009 federal budget. GSA spokesman Mike McGill told DCmud last month that “In terms of putting people in place on campus, the Coast Guard is going to be the first tenant. We anticipate that to be far enough along for them to begin moving in 2013.” GSA is currently projecting a April 2010 start for the Coast Guard project.

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JBG Lays Out Plans for U Street Hotel

JBG has made public more of the details planned for the hotel it intends to build at U and 13th Street, a 10-story, LEED-certified hotel with stacked parking, art gallery, green roof and fitness club.

Matt Valentini of the JBG Companies and Michael C. Swartz of David M. Schwarz Architects met with the Cardozo Shaw Neighborhood Association (CSNA) last night to present plans for their proposed 250-room hotel at the current site of the Rite Aid at 13th and U Streets, NW.

The team began their presentation describing the current Rite Aid dominated single-story strip mall on site as a "suburban building type" that under-utilizes its prominent location. "The Metro being at the corner of 13th and U really makes this a focal point not only for the neighborhood by the historic district as a whole,” said Swartz. The architect’s stated goal in designing the hotel is to make something more “iconic and memorable” and went on to identify numerous area precedents for the bayed brick design, including the Dunbar and Whitelaw Hotels.

Their current plans call for the building to top out a 10-stories, though they alternatively exploring the possibility of limiting it to nine. A final determination on the buildings height will be made once the development begins the approval process with local governing bodies such as the ANC 1B, the Historic Preservation Review Board and the Office of Planning.

At its’ current 90 foot height, the proposed hotel would require multiple variances in order to exceed the by-right height limit of 65 feet. Valentini countered criticisms that the hotel was a “colossus” by outlining the various benefits the project would offer: one hundred and fifty permanent jobs (sold!), a gallery showcasing the work of the local artists, future contributions to local community organizations, a public pool and spas, and guest vouchers to promote Metro use were among the items cited. “All those things are out there to be publicly consumed,” said Valentini.

According to the JBG represtentative, a project at the permitted 65 feet would not be economically feasible, especially considering that the developer must accommodate Rite Aid, which has leased the site until 2026. The hotel will retain the 25,000 square feet of retail presently available, though most of it will be devoted to the pharmacy. The remaining ground floor space will be allotted to glass-fronted retail and Valentini told the audience that JBG is “considering people on U Street today” as possible tenants.

Amenities planned for the hotel include the aforementioned gallery and pool, as well as a hotel restaurant, rooftop bar, meeting space and green roof – in keeping with the project’s pledged LEED silver certification. Furthermore, the development team stated that they had already amended their design to address a primary community concern: parking along already congested U Street. The current design features an all-valet two-story garage that will utilize mechanical stacking devices to far surpass the amount of spaces required by zoning.

JBG has yet to formally announce a flag for the hotel, but did say that they have reached out to hotelier Denihan Hospitality Group about the U Street project. “They do smaller boutique hotels, but we like their style and one of the things we’ve really talked about is this idea of a hotel club,” said Valentini. “Whereby, when we a build spa, when we have a pool, when we have a fitness center, that’ll be open to the public too.”

Following the meeting, CSNA President Bryan Martin Firvida told DCmud:

While JBG was able to speak to many of the questions and concerns raised during the meeting, there are a still a number that will need to be addressed as the plans move ahead...Even though we're only in the concept and planning stages today, this project has already made an impact on our neighborhood, and will continue to do so, during planning, construction, and most importantly, long after the front doors of the hotel open for business....The end goal of course, is to ensure that once complete, this project makes a positive impact on our already great U Street neighborhood.

Though JBG has yet to formally submit their application to the Office of Planning, the development team projects that the PUD process will begin in “late spring/summer.” At present, construction is tentatively scheduled for 2011, followed by a 2014 completion. In the meantime, the CSNA has opened up a website devoted solely to JBG’s 14th Street Hotel project: http://ustreethotel.csnadc.org/

The Residences Delivering on Georgia Avenue

Hamel Builders have wrapped up construction on the Neighborhood Development Company’s Residences at Georgia Avenue – a 72-unit, "affordable" apartment building in the heart of the Petworth at 4100 Georgia Avenue, NW.

Financed by $28 million from a laundry list of contributors, including the District of Columbia Housing Finance Agency, the District of Columbia Department of Housing and Community Development, the Wachovia Affordable Housing Community Development Corporation and MMA Financial, NDC founder Adrian Washington says, “The Residences is a shining example of what can be accomplished when the private sector works hand in hand with the community and the District government to move neighborhoods forward.” The project was designed by local architects, Wiencek and Associates.

The project, which broke ground in September 2007, will also be home to the District’s second Yes! Organic Market in as many years (the first opened at PN Hoffman’s Union Row development in November). The new, 10,000 square foot Yes! - Petworth’s first boutique grocer – will open this coming summer following completion of its own independent, interior build-out.

In the meantime, the Residences at Georgia itself will become an official addition to the Georgia Avenue corridor after a ribbon-cutting ceremony – to be attended by Mayor Adrian Fenty and Ward 4 Councilmember Muriel Bowser - on March 31^st at 10:30 AM.

Waterfront Station I Tops Out in Southwest

Waterfront Station officially topped out today, and while that alone may be cause for celebration, backers must be more pleased that the office building is entirely leased. Once completed, the Southwest Washington, DC development - a joint venture between Forest City Washington, Vornado/Charles E. Smith and Bresler and Reiner, Inc. - will add 2.5 million square feet of office, residential and retail space to the former site of the Waterfront Mall at 4th and M Streets, SW.

District authorities, in particular, have reason to commemorate the project's construction milestone. City agencies, including the Office of the Chief Financial Officer, Office of Planning, District Department of Transportation and Department of Consumer and Regulatory Affairs, have already leased the entire 628,000 square feet of phase one’s Shalom Baranes-designed dual office buildings and are currently scheduled to move in once construction ends in March of 2010. The towers, which abut the Waterfront/SEU Metro station, will also include new space for the present Safeway, CVS and Bank of America locations on site, as well as an additional 85,000 square feet for restaurants and “neighborhood service-related” retail. Both buildings are aiming for a LEED silver certification. Clark Construction is currently serving as general contractor on the project.

Mayor Adrian Fenty, on hand to officiate the proceedings, also took time to wax nostalgic about his history with the project. “I’ve been the mayor for twenty-six months and ten days and I can tell you that this has been a priority of our administration for that entire time," he said. "I was on the City Council before that and I followed, as an interested appropriator, all of the discussions around Waterside Mall."

Meanwhile, Ward 6 Councilman Tommy Wells and Councilmember-at-Large Kwame Brown applauded the project for revitalizing a long-neglected Southwest site and proceeding as planned, despite the current state of the real estate market.

“I believe the financing [for this project] was closed on the day the Dow dropped 700 points [on September 29th, 2008]. This team saw it through,” said Wells. “You may see other cranes that have stopped working, other places that they stopped digging, but these guys are work because of this great development team.”

In between accolades, not much mention was a made of the development’s projected phase two component, which is intended to include nearly 1,000 residential units, along with more retail and office space, to fill Waterfront Station’s eventual 2.5 million square footprint. The current timeline calls for design work on the next phase of development to begin this coming May and Deborah Ratner Salzberg, President of Forest City Washington, Inc., was optimistic that the project will a be success based on its convenient location and the inroads made so far.

“People are going to come up from this Metro, they’re going to head home, they’re going head to school, they’re going to go to work and they’re going to shop. Waterfront Station will be an active retail hub,” said Salzberg.

Unwanted Condos Get Affordable in Germantown

Prolific affordable housing providers, AHC Inc. - whose resume includes developments such as The Shelton and Macedonia in Northern Virginia - have just inked their first deal with Montgomery County. Using a total of $5.4 million in loans from County's Housing Initiative and Community Development Block Grant Funds, AHC has purchased 29 new condominiums at Fairfield Residential's Ashmore at Germantown development for the purpose of converting them in to long-term affordable rentals. According to the developer, "After the units are leased, AHC will refinance the property and return a portion of the funding to the County to be recycled into additional affordable housing initiatives."

While certainly not a boon to the development’s marketing strategy, the sale is certainly a relief for Fairfield; this past November, when faced with a declining market and a glut of unsold units, the developer put 45 two and three-bedroom units at the Ashmore up for auction - with some going for as little as $140,000, or one-third of the initial asking price, for those counting. Despite being sold to AHC at well below original point (the developer picked them up for approximately $186,000 each), the units at the Ashmore still boast standard amenities, including “custom cabinetry, ceramic flooring, crown molding” and a community center with a pool and fitness center.

For the County’s part, they seem pleased to have funded an arrangement that will provide affordable housing, while sidestepping the obvious the downsides of providing for a ghost town smack in the middle of the County (see the current market conditions in Florida for numerous examples of less fortuitous outcomes).

“Creating and preserving affordable housing is one of my highest priorities,” said County Executive Isiah Leggett in a statement announcing the sale. “I am pleased that the Housing Initiative Fund is being used to acquire more than two dozen condominiums and make them affordable for eligible residents.”

Georgia Avenue Parcel and Plans Up for Sale

Dying to buy land on Georgia Avenue, but just can't find a vacant lot? Now's your chance. Georgia watchers know that late last year a sign was erected at the intersection of Georgia Avenue and Kenyon Street, NW (3205 Georgia Avenue) proclaiming the imminent construction of a new mixed-use development, courtesy of a team known as the “Carthage Group.” Like many promising parcels, development did not materialize. The developers were unreachable, their displayed web address led nowhere, and shortly thereafter, both the sign and chain-link fence surrounding the site disappeared overnight.

Now, with the Carthage Group out of the picture, the land is now in hands of one Mike Noorishad – perhaps best known to area residents as the one-time owner of Mike’s Chicken at 1110 U Street. Not only has Noorishad put the parcel up for sale along with the previously approved plans – designed by Ajalli Architects of Maclean - for a residential, office and retail complex at the site.

According to Nasir Bajwa of Sperry Van Ness Commercial Real Estate Services, the plans on hand call for a 21,424 square foot, 5-story building with 4,500 s.f. of ground floor retail and 4,137 square feet of office space, topped off by 9,789 square feet of residential (or 18 units) – all of which was previously approved and permitted by District authorities in early 2008.

If there are any takers for Sperry Van Ness’ $3 million list price, the untitled project – formerly the Capital Building by Carthage - would be the southernmost entry in ongoing redevelopment of Georgia Avenue with a beachhead by other projects such as Park Place, 4136 Georgia, Lamont Lofts and the Heights. Hurry, act now, time is running out.

JBG Plots a Mixed-Use Future in Tysons

Though commercial and retail development within the District has ground to a standstill, the reinvention of Virginia suburb of Tysons Corner is proceeding, at least on paper. In the wake of large scale projects such as BF Saul's Park Place II and Quadrangle Development's Towers Crescent, a JBG Companies subsidiary - JBG Rosenfeld Retail (JBGR) - intends to develop a sprawling 7-acre mixed-use development in an area that hosts not only the nation’s tenth largest mall, but its twelfth largest business district as well.

Dubbed the Tysons West Promenade, JBGR has taken on MV+A Architects to re-conceptualize the former Moore Hummer/Cadillac dealership at 8595 Leesburg Pike – directly across from the Tysons mall and less a thousand feet from the planned Tysons West Metro (now scheduled - in pencil - for a 2013 grand opening). Following demolition of the showroom and single-story structures currently on site, the multi-phase development will kick off with new construction in the form of a 250,000 square feet of retail and office complex, along with a pedestrian plaza and 1150 parking spaces. The only remnant of the site’s gas-guzzling past is to be the dealership’s 6-story parking garage, which JBGR plans to retain.

Phase I of development only scratches the surface of the development team’s vision for the property; current plans for a future second phase call for another million square feet of office, residential and hotel development. James J. Garibaldi, Jr., a Principal with JBGR, told Fairfax County’s Tysons Land Use Task Force in May that the “the site offers a remarkable opportunity for redevelopment into a pedestrian friendly, mixed-use, transit-oriented development in keeping with the goals and planning principles espoused by the [County].”

That redevelopment, however, will have to wait as JBGR reformulates their Promenade site plan. According to Brian Worthy of the Fairfax County Office of Public Affairs:

"The developer...had submitted a site plan to the County. That site plan was recently disapproved...because of concerns about grading along Route 7 not conforming with the work that's going to be happening there in anticipation of Metro. There were also some issues about how they were going to preserve trees on site and nearby...but the developer may be resubmitting their plan."

JBGR representatives declined DCmud's requests for comment on the current status of the project. Enquiring minds, however, will be able to investigate the developer’s plans for themselves this May 17^th through 20^th at RECon: the Global Real Estate Convention in Las Vegas, where the team will be showcasing a scale model of the Promenade.

Dunbar Place Schedules Start Date

Years of planning appear to be paying off for the for NoMa corridor. As other District projects see their timelines extended ad infinitum in the face of market declines, development in the neighborhood surrounding Union Station are managing to stay on track and spawn secondary projects to boot.

One such project is Thoron Development’s Dunbar Place development, which will occupy the former site of six rowhouses at 1322-1330 North Capitol Street and 7 Hanover Place, NW. Despite initially projecting a late 2009 completion, Thoron’s Robert T. Taylor now tells DCmud that construction will be underway by sometime in “March or April.” Once completed, Dunbar Place will top out at five stories and offer 29 new condominiums (along with ground level green space and a rooftop deck) to the North Capitol corridor.

Other projects currently underway in NoMa include Northwest One (part of which will be constructed at the site of the recently demolished Temple Court housing complex), the Washington Center’s intern dormitory at Third and K Streets, NE, and the Cohen Companies’ Union Place at the very same intersection.

Bethesda's First New Apartments of 2009

While a number of large projects in downtown Bethesda failed lay brick one during 2008 (Trillium, Edgemoor, 4823 Rugby Avenue, The Monty, 4913 Hampden Lane), smaller projects are making it to the finish line sans marketing blitz and loan defaults. Such is the case with the Jaffe Group’s new apartment building at 7809 Woodmont Avenue – right next to such familiar locales as the Tastee Diner and Veterans’ Park. But, hey, financing is easy when your development partner is a bank.

The 12,000 square foot project will add not only three new rental apartments to one of Bethesda’s most trafficked thoroughfares, but an expanded Eagle Bank location as well. As Gary Jaffe, principal of the Jaffe Group, tells DCmud: “The building is four-stories and a basement. On the first floor is Eagle Bank with a drive-thru. The second floor is for the Chairman of Eagle Bank. Then we have two one-bedrooms on the third and a bedroom and den on the third with a large rooftop patio.”

Coming in at a cost of $6.5 million, each of the project’s three residential units will measure in “just shy” of 1,000 square feet and feature the design work the Bethesda-based architectural firm, Michael Fanshel Associates, plus all the requisite modern amenities (plenty of stainless steel). And completion is now just weeks away.

“We’re hoping [to end construction] in about three weeks on April 4th or 5^th,” said Jaffe. “We plan to be completed and have our construction done, but the bank will probably still be doing some outfitting on their space. We’ll be ready to lease in mid-April.”

St. Elizabeths Gets the Green Thumbs Up

After years of preparation and political wrangling, DC's famed (but rarely visited) St. Elizabeths may at last have the authority it needs to begin a titanic redevelopment effort to turn the one-time insane asylum into the next headquarters for the Department of Homeland Security. Thanks to a pair of approvals over the past two months, the General Services Administration (GSA) has prevailed in their effort to relocate the DHS to the vacant St. Elizabeths West Campus, in Southeast Washington DC. According to GSA, the only hindrance now is to allocate the funds and select the team.

In December, the agency received a favorable Environmental Impact Statement concerning the project; the following month, the National Capital Planning Commission (NCPC) sealed the deal with their approval of the GSA’s master plan for the site. In all, it’s a green light for the first relocation of a federal government agency east of the Anacostia - and one that paves the way for the District to pursue their own redevelopment initiatives in the surrounding Congress Heights neighborhood.

DHS’ workforce is currently housed in 70 buildings at 40 locations throughout the city, which, in the words of the report, “adversely impacts critical communication, coordination and cooperation across components.” Hence, over the course of five years of research, GSA determined a move to St. Elizabeths “to be the only reasonable alternative.” It’s a maneuver that will require the construction and renovation of some 4.65 million square feet of office and shared use space, plus construction of a new Coast Guard headquarters and the requisite parking.

According to the GSA’s own legally-mandated environmental assessment, any strain on the eco-system related to the move would be negligible at best. Though the report does point to “moderate” impact on streams, wetlands, groundwater and vegetation at the site, it finds them tolerable and expected, given the large influx of population, vehicles and infrastructure that will accompany DHS.

Approvals in hand, the federal government expects actual construction to commence by the third quarter of 2009. Mike McGill of the GSA detailed just what steps remain before shovels hit the ground at St. Elizabeths. "We have to get an appropriation in the Fiscal Year 09 Omnibus Appropriation Act passed by Congress. Right now, we’re operating under a continuing resolution that expires March 6th," said McGill. "The present FY09 budget asks for $346 million for St. Elizabeths. That would cover the cost of construction of Phase I, the Coast Guard Headquarters and the cost of design for Phase II. Assuming that we do get that appropriation, we would then advertise this summer for proposals from general contractors, select a contractor and have them under contract before the end of the fiscal year [on September 30th]."

What's not to be crazy about? For one, locals fear the project may become a high-security fortress that fosters no interaction with the local economy. Others decry potential harm to the environment, government assurances aside, that such a massive build-out would risk. But preservationists have been fit to be tied about changes to St. Elizabeths historic character.

The NCRC report makes no bones about damage to St. Elizabeths buildings, despite the fact that the West Campus was designated a National Historic Landmark by the Secretary of the Interior in 1990. It almost guarantees “direct, major, long-term, adverse impacts on [St. Elizabeths] historic buildings,” including the demolition of an unspecified number of the century-old (or more) structures. Richard Moe, President of the National Trust for Historic Preservation, which had previously included St. Elizabeths on its 2002 list of America’s 11 Most Endangered Places, wrote the following in a Washington Post editorial designed to rebuke the GSA’s feel good assessment of the hospital’s prospects as the DHS headquarters:

“[DHS] needs and deserves a consolidated headquarters – but this campus isn’t the place for it. The National Park Service calls the GSA plan ‘wholly incompatible’ with the preservation of St. Elizabeths. What’s more, the government’s own projections show that after all the tearing down and building up and paving over are done, the St. E’s campus still would not provide all the office space that DHS needs…in the meantime, a unique urban asset would be wasted, a historic treasure would be turned into a fortress and a once-in-a-lifetime opportunity to spark revitalization in a long-neglected neighborhood would be lost.”

Since the West Campus is a federally-owned parcel, the District's own, typically stringent Historic Preservation Review Board has no bearing on what happens to the structures on site; however, the preservation thread was one picked up on the following month, in the NCPC ruling – albeit without the same level of tenacity. After taking into account the historic nature of the West Campus and its contribution to the evolution of modern medical and psychiatric care, the security needs of both the DHS and its staff were found to trump the historicity of the present facilities. At the same time, the NCPC stressed that the gross majority of the vacant buildings on site will not face demolition and, in fact, receive their first renovations ever in their decades-long history.


“[St. Elizabeths] includes 82 contributing buildings, 62 of which are on the West Campus. Fifty-one of the 62 contributing buildings would be rehabilitated in the accordance with the Final Master Plan,” states the NCPC report. Measures will also be undertaken during construction to ensure it would “minimize impacts to historic landscapes.” At the same time, the few West Campus areas left open to the public over the past decades – the Point, the Cemetery, and Hitchcock Hall – will remain so, and receive infrastructural overhauls. Overall, the NCPC sees the project as boon to not only a historic landmark that has been vacant since 2002, but to a part of the District that has been isolated from the rest of DC development for far longer.

That’s because NCPC approval – one of the final steps for the DHS relocation - means that the Fenty administration, Office of the Deputy Mayor for Planning and Economic Development and Office of Planning can proceed unimpeded with plans to redevelop the District-controlled Eastern Campus into more than 2 million square feet of mixed-use development.

All of it would put an increased strain on the infrastructure of the surrounding Southeast neighborhood, tempered by proposed infrastructural improvements to Malcolm X and Martin Luther King, Jr. Avenues, SE - two Congress Heights traffic arteries that could not cope unaided with the expected increase in daily use.

St. Elizabeths West is to be built in three phases over the next 8 years – the first of which is intended to start by the end of the year. Though the District has yet to commit to a timeline for their development of the campus' eastern flank, McGill says that, “In terms of putting people in place on campus, the Coast Guard is going to be the first tenant. We anticipate that to be far enough along for them to begin moving in in 2013.”

Midtown Silver Spring Bides its Time

The long-delayed Midtown Silver Spring is again moving forward, at least in its planning, this time with Home Properties, following an early 2008 sale by the original developers, Kettler. Despite the change of hands, Home is still pursuing the same WDG design for 1009 Ripley Street – one that aims to deliver two towers worth of residential and retail to the Silver Spring Central Business District. Don Hogue of Home Properties tells DCmud that though the project was fully approved by the Montgomery County Planning Board, they’re biding their time until they get it just right.

"We have final site plan approval, but we have to take it all the way through construction drawings," said Hogue. "One of the things that the Planning Board commented to us was that maybe we had a little bit too much parking. It was designed as a condominium [project], so we may be altering that…but we’re still in the very early stages.”

The original WDG plans for the Midtown – which Home will rebrand with a new title once the project moves forward – call for 314 apartments in dual, 19-story luxury high-rises and 5,380 square feet of retail space. Hogue projects that once construction begins it will be the second such project on the block, as the Washington Property Company is currently soliciting general contractors for their Ripley residential development across the street. As such, a start date for the Midtown currently remains up in the air.

“We hope to start the remainder of the architectural work this year. The goal would be to get the project ready to start when we think market conditions are right, but we’re not exactly sure when that’s going to be,” said Hogue. Nor does anyone else.

Double BZA Approvals on the SE Waterfront

The District's Board of Zoning Adjustment (BZA) gave the green light to two prominent Capitol Riverfront projects this week that will allow construction to proceed unimpeded into 2010 and beyond.

The first round of approvals centered on Akridge’s Half Street development a block from Nationals Park. Despite a ceasefire in legal wrangling between the Akridge, neighboring developers Monument Realty and WMATA, construction on the 704,000 square foot development – which is slated to include dual office towers, a 300-unit residential building, 75,000 square feet of retail and an open-air marketplace/plaza – has yet to formally commence. The BZA’s approval clears the way for that to change, as Akridge can now clear and prep the site for its planned 2010 start date.

In a concurrent development, the BZA also consented to Forest City Washington’s plans for a second phase of construction at the so-called Yards Park. Those plans call for more than 35,000 square feet of new retail on the site, half of which will be culled from a renovation of the historic, pre-war “Lumber Shed” at M Street and New Jersey Avenue, SE. The development will also include the beginnings of a Capitol Riverfront boardwalk – the highlight of which is scheduled to be a 60-foot stainless steel monument designed by James Carpenter Design Associates. The National Capital Planning Commission previously approved the same development early last month; work on the project’s first phase, a 5.5-acre public park is already under way.

Dual MoCo Apartments Headed for Approval

Two long-gestating residential projects - The Monty in Bethesda and Bonifant Plaza in Silver Spring - will (finally) be cleared for approval by the Montgomery County Planning Board at their scheduled March 12^th meeting. Together, they'll signal the MPBD’s largest residential approval of the new year and contribute nearly 300 new residential units to the county.

Located between Fairmont and St. Elmo’s Avenues in the Woodmont Triangle area of Bethesda, the 17-story (!), SK&I-designed Monty will usurp the present two and three-story storefronts on site, only to replace them with up to 200 residential units, 7,700 square feet of ground floor retail and a 5,500 square foot public plaza. Developer Monty, LLC - who received previously received Board approval in early 2008 to nearly double the number of units contained in the project at the expense of once expansive floorplans - will dedicate 20 the said apartments to affordable housing.

Meanwhile, in Silver Spring, developer Theo Margas’ Bonifant Plaza project will be moving ahead with its planned 115,000 square foot, AR Meyer & Associates design. Sporting 72 rental apartments – 9 of which will be affordable – Bonifant Plaza will stand on the so-named Bonifant Street – a site, coincidentally, within earshot of the MCPB offices in downtown Silver Spring. Margas told DCmud in January that the meeting will be “only for the budget plan” for the Bonifant, but expects the approval to solidify a timeline for the project, which has been in development since at least 2006.

As of this writing, both projects have been earmarked for approval by MCPB staff – an opinion that the Board itself rarely dissents against.

Prospects Announced for Park Morton

Following last summer's Request for Proposals, Deputy Mayor Neil Albert has announced the three development teams contending for the $170 million redevelopment of the Park Morton housing project in Northwest Washington. Per the specifications of the RFP, all three are vying to reinvent the troubled public housing complex with more than 500 new units of affordable and market-rate housing and 10,000 square foot park.

The teams named by Albert are the Park Morton Partners (Pennrose Properties, LLC, FM Atlantic, LLC, and Harrison Adaoha, LLC); another Park Morton Partners (Neighborhood Development Company and Community Builders, Inc.); and, lastly, Park View Partners (Landex Corp., Warrenton Group and Spectrum Management).

"We need a partner that [is] capable of more than just building housing,” said Albert in a prepared statement. “We are looking for someone who is committed to building a healthier, safer new community. This response, especially in light of the current economic conditions, speaks volumes about the value of this opportunity.”

The Park Morton project was greenlighted under the of the New Communities initiative – a District-led program to transform blighted public housing complexes into “mixed-use, mixed-income communities." Other such developments targeted for redevelopment by the Office of the Deputy Mayor for Planning and Economic Development (ODMPED) include the long-gestating Northwest One, Barry Farm and the Lincoln Heights/Richardson Dwellings in Northeast.

According ODMPED, the bidding development teams will make public presentations regarding this plans for Park Morton at an unscheduled time “later this spring.”

First Look at the New Whitman-Walker Site

Just last Thursday, the JBG Companies received approval from the District’s Historic Preservation Review Board for their mixed-use redevelopment of the Whitman-Walker Clinic’s headquarters at 14^th and S Streets, NW. JBG supplied DCmud with exclusive renderings of the Shalom Baranes-designed, seven-story condo project. Once completed, we're told, in 2011, the untitled project will feature up to 130 residential units, accompanied by sizable base of ground floor retail – directly across from local hotspots like the Black Cat, the Saint-Ex Café and Pulp boutique.


Update: JBG is currently projecting that the 120,000 square foot 14th Street project will feature between 130 - 140 units, in addition to 18,000 square feet of retail .

SE Development Parcel Up for Grabs

Like so many properties on a Monopoly board, parcels in the Capitol Riverfront neighborhood (aka SE near the stadium) have changed hands frequently over the last 5 years. What used to be one of Washington, DC's least desirable neighborhoods has transformed into some of the metro area's more interesting commodities; and now there’s another up for grabs.

The ICP Group is currently seeking inquiries for a sealed bid sale of their parcels at 810, 816 and 820 Potomac Avenue, SE. IPC had initially purchased the pair of Barrack's Row office/retail buildings and adjoining 20,000 square foot lot in 2005 for $9 million with the intention of transforming it into a multi-phase, mixed-use development. Now they've teamed with Lincoln Commercial Services Inc. and Hollywood Real Estate Services, LLC to hand it off to the highest bidder and, according to the developer, they’ve already received a number of inquiries, including “a Navy Yard-focused hotel and apartments, University Campus, retail and offices, and a childcare center for Navy Yard employees.”

Back in 2005, ICP announced three different projects within the Capitol Riverfront: 810 Potomac Avenue, the Admiral at Barrack’s Row, and the redevelopment of four historic townhomes on L Street SE. Despite receiving approval from the city for the Admiral – a 17-unit, $6 million condo project – and projecting a 2008 completion, ICP dodged a bullet when the plan was delayed, and the condo idea shelved altogether. The townhouse project has also not materialized. But despite ICP's non-development, other interested parties in IPC’s circle seem to think they’ll have no problem disposing of a property in one of DC’s hottest development districts.

“This is perhaps one of the most active sub-markets in the country for redevelopment… and also one of the few areas where development financing is still readily available, aided by federal programs along with market conditions,” said James Connelly, Vice President of Government Relations for LPC Commercial Services, a co-advisor to the bid.

The former development team will be accepting bids on the Potomac Avenue parcel until March 15th.

JBG to Build 4-Star Hotel on U Street

With their plans for a residential project on 14th Street locked, the JBG Companies are moving ahead with their proposed "Destination Hotel" at 13th and U Streets, NW - currently the site of a Rite Aid outlet and, promisingly enough, directly across from the first shot fired in the war of U Street redevelopment, the Ellington.

Currently under design by David M. Schwarz Architects, the JBG-developed hotel looks to revitalize the Rite Aid site with a four-star, "boutique and independently managed" hotel that could include as many as 250 guestrooms, 4,500 square feet of conference space and a robust 23,000 square feet of retail. Though still in the planning stages, JBG has presented the Cardozo-Shaw Neighborhood Association (CSNA) with a tentative outline of their plans for the development, which include “a signature restaurant,” rooftop bar, swimming pool, full-service neighborhood gym, a publicly accessible arts component and requisite LEED silver certification. Fancy accoutrements aside, JBG isn’t entirely forsaking the parcel’s past; the local Rite Aid will remain, albeit in an updated and reconfigured space. Gone, however, are tentative plans to add condos to the top floors.

JBG has yet to formally partner with a hotelier for the project – though the smart money’s on Marriott International, with whom they’ve partnered for a host of metro area co-developments. According to a statement from the CSNA, in the coming weeks JBG will “continue to participate and host community meetings with project neighbors, CSNA, ANC 1B, and other government officials, boards, and agencies, including the DC Historic Preservation Review Board and the DC Zoning Commission.” JBG will make good on that pledge, in conjunction with the CSNA, when they make the first public presentation regarding the hotel at 1835 14th Street, NW on Thursday, March 12 at 7 PM. Despite slowing their residential developmnet profile, JBG also just received HPRB approval just 3 blocks away at 1800 14th St., for a large residential building.