Cardozo Students Building a Home

Students from the Academy of Construction and Design at Cardozo Senior High School are set to break ground on a single family home next Tuesday. Nearly 300 students will gain valuable pre-apprenticeship experience in carpentry, electrical, HVAC and other technical specialties while building the 2,000 s.f. house. Sustainability is a key focus, as the District's first student-built house is set to employ energy efficient design, materials and construction. The vacant lot, donated by the District Department of Housing and Community Development (DHCD), will be reborn thanks to the program being dubbed "Build a House - Build a Future." The entire operation is sponsored by the nonprofit D.C. Students Construction Trades Foundation in partnership with District of Columbia Public Schools Career and Technical Education.

Architectural designs and site plans for the two-story home are courtesy of nearby Inscape Studio. And while teens normally can't even clean their rooms, students were even somewhat involved in the preliminary design process, says the Academy's head Shelly Karriem. "Students weren't included in the drawing process, but the design elements that they thought were important were relayed to the architects." Miller & Long will serve as general contractors and assist Academy instructors in overseeing the construction process. Although not physically involved, corporate sponsors like Clark Construction and Balfour Beatty have helped to make the program possible. Bridging the connection between a quality education today and an healthy, employed future, the Academy has been helping students recognize their potential, focus on their studies, and begin to plot their future careers. Since its inception in 2005, the Academy has seen a 90% graduation rate from its enrolled student body.

Washington D.C. Real Estate Development News

Anacostia's First Green Condos

A ribbon cutting today in Anacostia marked the opening of Ward 8's first "green" condos in what was once an abandoned eyesore in the community. The new Fendall Heights condos, at the corner of Fendall and V Streets, SE, adds 29 newly renovated units just blocks from the also newly renovated Frederick Douglas House. The affordable housing project, restricted to first time home buyers, was developed through a joint venture with ARCH Development, a non-profit community development organization, Fendall Partners, and $170,000 in pre-development support from the District Department of Housing and Community Development.

Through a grant from the U.S. Department of Energy (DOE) the development team funded the installation of a living green roof to control surface run-off and reduce heat absorption for structure. Other green features include energy saving double-pane windows, pipes made of recycled plastic instead of copper and 100% energy efficient furnaces. Inscapestudio designed the reconfiguration of the building and the green elements.

The gutting and interior renovation began just about two years ago and the units should be complete by the end of June, according to Anthony R. Bolling, a spokesman for the developer. In addition to the 22 2-bedroom units an 9 1-bedroom units, Fendall Heights provides 3,000 s.f. of community space for artists studios. Condos will start at $125,000. When originally envisioned, some of the condos were intended to be reserved for artists, though none have been set aside. Bolling is confident that the units will nonetheless appeal to artists, not to mention a welcome relief for neighbors who have watched the building "sitting vacant and deteriorating for decades."

ARCH, as a non-profit developer, supported the community and the project through its Training Center. District residents, as part of ARCH's Training program, were trained in construction techniques and gained on-site experience throughout the conversion of Fendall Heights.

Washington, DC real estate development news

Ivy City's Jimmy Fund

News out of DC's (once?) blighted Ivy City neighborhood is sounding positive these days. It was a little over a year ago that the District announced it would team up with non-profit developers, Mi Casa, Inc., Manna, Inc., DC Habitat for Humanity and MissionFirst to rehab 37 vacant properties within a six-blocks radius in Northeast DC.

With nonprofit home builder Mi Casa already at work on their first units, DC Habitat for Humanity President Kent Adcock confirms that the Ivy City overhaul is on track to move into the second phase of development: 8 duplexes along Providence Street, NE. Adcock is not definitive about the completion time-line for the project, saying his organization will start with three duplexes but anticipates staying in Ivy city for three years, ultimately placing “30 to 35 families in these homes.”

Look for a star-studded ground breaking featuring 200 volunteers, an appearance by grinning former President Jimmy Carter and other yet-to-be -announced celebrities on October 4^th of this year.

In the meantime, northeast residents can stay up-to-date on project developments by attending the DC Department of Housing and Community Development (DHCD) public hearing on May 6^th at the Housing Resource Center on the first floor of 1800 Martin Luther King Jr. Ave. SE.

In addition to getting a sneak peak at what Habitat has planned for 1817 Providence Street, NE, DHCD Senior Public Information Officer Angelita Colón-Francia says that first-time homeowners can attend the meeting to learn about purchasing options.

As Adcock explains, the majority of “the families we’re serving are below 30% AMI - for a family of four, that’s $30-31,000 max.” The sale of the first homes will guarantee that “no one should have to pay more than 25% of their income at 0% interest” to own a home. By acting as their own bank, Habitat can sell their homes at cost to area families.

It also helps that, according to DHCD’s Ivy City Special Demonstration Project web site, the District is subsidizing the acquisition price for each property. "The request for proposals committed $3 million in gap financing to the developers through DHCD. There is limited profit gain for the developers involved; therefore, the District’s commitment to provide gap financing is essential for the developers to complete the project.”

According to Adcock, Habitat is in the midst of “negotiating on an additional 15 lots with the District and 5 rehabs” on top of their current 8 home projects. He says we could see as many as 30 Habitat buildings and “full gut rehab” jobs coming to Ivy City before Habitat’s ready to call their portion of the Ivy City Special Demonstration Project a wrap. These next phases will sell at up to 80% AMI to bring a mixed-income vibe to the neighborhood.

In typical Habitat fashion, future residents will be invited to help build their own homes. Habitat has been working with Trinity Baptist Church and local ANC Commissioners to reach these potential homeowners.

“I think this project is just a demonstration about how collaboration and partnership really works,” says Adcock proudly. “In and of ourselves, we’d have trouble getting into a part of the District like Ivy City, but because the District jumped into help, we’ll really be able to help rehab and turn a part of the city around.”

Washington, DC Real Estate and Development News

Manna Begins Columbia Heights Condo Project

Non-profit Manna, Inc has just gotten underway in its efforts to bring 15 new condominiums to Clifton Street in Columbia Heights, removing one of the few remaining empty lots in the area. Though construction has just begun, the non-profit already has most of the units under contract. Manna - the developer, architect, contractor and even financier - obtained the lot under the now-defunct DC Homestead Program, which helped non-profits get District land for low-income development projects. Construction on the Cardozo Court Condominium, at 1343 Clifton, began last October and is expected to complete by early next year. Cardozo is one of four Manna condominium projects set to deliver over the course of the next year.

Cardozo Court will offer its homes from $175,000 to $260,000, available to purchasers earning at or below 80% of Area Median Income. Manna has begun signing contracts on the units, with nine already claimed.

The total development costs are estimated at $3.4 million and financing is being provided by Local Initiatives Support Corporation, BB&T, Department of Housing and Community Development. Since its founding in 1982, Manna has developed and sold over 1,000 units in the District.

Washington DC real estate development news

Foreclosure Issued on Site of $4 Million District Investment

The fate of a Ward 8 development project promising 31 affordable rowhouses - thanks to a little help from the District - is now in question. In July of 2008 the District Department of Housing and Community Development (DHCD) provided $4 million in funds for the project from the Housing Production Trust Fund. However, earlier this month, lender KBank issued a notice of foreclosure to Stanton View Development for the property at Stanton and Elvans Roads, SE. In the mere year and a half since the District's infusion of cash, the developer has had its registration with Department of Consumer and Regulatory Affairs (DCRA) revoked and most recently was issued a foreclosure notice on December 11th. Stanton View Development, LLC a subsidiary of Capitol Homes and Communities, LLC received the District loan in return for promised affordable ownership units at 80% AMI, which would be reserved as affordable for low to moderate income residents for 40 years. The DHCD funds made up almost 1/3 of the estimated $11.6 million project costs. The developer originally purchased the 4.5 acre site at 3000-3028 Stanton RD SE in 2007 for $3.2 million. The developer could not be reached \for comment, and the number listed on the developer's project website was disconnected. Capitol Homes and Communities has also had its registration revoked by DCRA. 

UPDATE: DHCD spokesperson, Angelita Colon-Francia, responded to DCMud's request for information on the $4million investment in Stanton View's townhome project, saying "DHCD is committed to protecting the city's investment and we're monitoring the actions of Stanton View Development." Colon-Francia added that DHCD is monitoring the steps the developer is taking to prevent foreclosure and that the developer provided the agency with a copy of a "commitment of funds from Capital Bank to settle the outstanding loan with KBank." According to Colon-Francia, Stanton View is set to close the loan with Capital Bank and settle the loan with KBank by January 5th. Should the developer fail to settle the foreclosure with KBank by the 5th, DHCD is "prepared to take actions to protect the City's investment no later than January 11th," said Colon-Francia. 

Washington DC retail and commercial real estate news

District Looking for Takers on 7 Properties in Ward 8

Today, the District Department of Housing and Community Development (DHCD) announced a solicitation for offers for seven properties in Ward 8, with one in southeast and six in southwest Washington DC. The solicitation seeks offers for the development of single and multifamily housing units, including affordable units. Five of the seven District-owned properties sit on the same street.

All offers must include designs that meet the Green Communities Standard, 2008. Additionally the developers must make at least 30 percent of the properties affordable for people at 60 percent AMI.

A pre-bid meeting will be held at the Department’s offices at 1800 Martin Luther King, Jr. Blvd (corner of Good Hope Road), Wednesday, January 27, 2010, at 2 pm. The deadline for submitting proposals will be February 15, 2010 at 3 pm.

Manna Seeks to Buy Land, Under Their Building

Non-profit developer of affordable homeownership housing, Manna is trying to buy a parcel of land from the District of Columbia, but it doesn't need a real estate agent to find it. The land sits beneath the historic Whitelaw Hotel at 1839 13th Street NW, which Manna purchased back in 1991. The Whitelaw Hotel is a significant landmark described as a former "haven for African American entertainers, civil rights leaders and entrepreneurs." Manna has been renting the land since, and now the District is pondering whether to sell the land outright.

The DC Department of Housing and Community Development (DHCD) will hold a hearing tonight prior to submitting the proposed transfer of ownership to the City Council for review and approval. The current deal would sell the land to Manna for $427,500.

The transaction is part of the Land Acquisition for Housing and Development Opportunities (LAHDO) process by which the District leases land and sells any improvements to developers in order to rehabilitate the space and, in the case of the Whitelaw, to maintain the property for affordable housing. Under a LAHDO agreement, a developer leases the land from the district and within 5 years of the property being "placed in service" can choose to exercise an option to proceed with the land acquisition.

According to DHCD Project Manger Jim Thackaberry, Manna purchased the Whitelaw and began leasing the land in December of 1991. The Whitelaw was put into service in 1994 as a rental property providing hosuing for lower-income families in the Shaw/U Street community. In 1999 the developers began a series of negotiations with the city in hopes of purchasing the underlying land.

The hearing with begin at 6:30 PM and will take place at DHCD at 1800 Martin Luther King Jr. Ave SE.

Drug and Crime Infested DC Housing Project Meets Its Match

A formerly crime and drug infested building met its match today as officials marked the final phase of demolition of Capitol View Plaza Towers, a long-vacant public housing eyesore in the District’s Marshall Heights neighborhood. Despite several earlier-contemplated residential and mixed-use plans, the site has no clear future as DC officials continue checking the couch cushions for financing. Initially the District did not even have the financing to demolish the abandoned structure, but a $3 million grant from the Department of Housing and Community Development (DHCD) made it possible. While an empty lot may be more desirable than an eyesore, it is not much of an improvement for land that serves as the gateway to the city from Maryland's Prince George's County, just a block down the road.

Most recently, the plan for the site was to create a new multifamily rental building as well as market-rate condos. However, Kerry Smyser, the Project Manager at DCHA, said that with the finance market and condo market the way they are, that plan is no longer feasible. Smyser added that since the two towers from today's demolition are part of the Capitol Gateway project, A&R Development Corporation and Henson Development Company, as the Gateway's developers, would have first right to develop any plan the government decides on. Failing that, the District could then issue an RFP. According to Cymando Henley, a spokesperson for DCHA, the District will "look at all the options and decide what is best for the community."

In 2000, under the administration of former DC Mayor Anthony Williams, the US Department of Housing and Urban Development (HUD) allotted a $30.8 million grant under its HOPE VI program to the redevelopment of Capitol View Plaza's 12-story tower. The HOPE grants also applied to neighboring public housing which is now the Capitol residential project. In April, Smyser said that phase I of that development has delivered “nearly 240 duplexes, townhouses and single-family homes.” The HOPE grants allow for a combination of mixed income and mixed-use projects, which have in the past included community centers as well as residential buildings.

Today's demolition was a more public display of the slow dismantling of the building which has been underway since July. The local fire department, Engine 30, has been closely watching the progress and will be celebrating the demolition. According to their blog the "buildings when occupied, would average 5-7 medical locals a tour for the companies, with the rare, but spectacular fire." Comments from former residents told horror stories of murders in elevators and crack addicts in the stairwells. No more drugs, no more murders, no more fire engines. Things are looking up.

DC Mayor Adrian Fenty was joined by Michael Kelly, executive director of the District of Columbia Housing Authority (DCHA), and Leila Edmonds, director of the DCHD. Though Fenty was at the helm today, the Wrecking Corporation of America will continue the demolition, which will complete in 2010.


UPDATE: After DCMud published this story on Wednesday, the Washington Business Journal published a conflicting and incorrect account on Thursday, indicating that Capitol View would "ultimately include 761 mixed-income units and a 110,000-square-foot retail center featuring a Shoppers Food Warehouse." Several readers asked us which was right. To clarify, the Capitol View Towers are not currently slated for any defined use. Kerry Smyser of DCHA confirmed that there were no plans for Capitol View, the last time a plan had been established was 2005, but that those were now defunct.

Also, the Shoppers Food Warehouse referred to by WBJ will not be a part of Capitol View, it will be a part of Capitol Gateway, on the north side of East Capitol Street. Behind the Gateway project in northeast are 151 senior-housing units. Add the senior housing to the new townhouses adjacent to Captiol View, and the "Capitol Gateway" area has a total of 371 units built. Smyser indicated that the original HUD report had predicted 761 units for the entire Capitol Gateway Project, including potential units at Capitol View, but that those numbers were no longer accurate.

DHCD Opens Affordable Housing Center

Mayor Adrian Fenty today officiated the opening of the Department of Housing and Community Development’s new Housing Resource Center. As a real world counterpart to DCHD’s recently launched online housing database, DCHousingSearch.org, the first-floor addition to the agency’s Anacostia Gateway headquarters offers District residents an array of services to ensure easy access to affordable housing.

The new Resource Center, located at the at the prominent intersection of Martin Luther King, Jr. Boulevard and Good Hope Road, SE, was made possible through a $300,000 contribution from Fannie Mae – which, along with the US Department of Housing and Urban Development, will provide literature on their own affordable housing initiatives in the metropolitan area. "All the time when I’m in and out of the neighborhoods of DC, people ask about jobs…They’re excited about school reform and they also want to know where they can go to find housing – specifically affordable housing,” said Fenty.

DC Receives Stimulus Funds for Affordable Housing

The District’s Department of Housing and Community Development (DHCD) announced yesterday that their application to the Department of the Treasury for American Recovery and Reinvestment Act funds has been granted. As a result, the District will be on the receiving end of some $33.7 million worth of stimulus funds that will, in the words of DHCD, "spur the continued development of affordable housing units."

"This new stimulus funding will have an immediate and critical impact on the development and rehabilitation of affordable housing in the District of Columbia. It will help us move forward with affordable housing projects, and it will generate much needed jobs for District residents,” said Mayor Adrian Fenty via press release.

More surprising than the grant its self was the quick turn around on DHCD’s application, which was filed less than two weeks ago on June 9th. However, per the terms of the quickie federal payout, the District has agreed to receive the lump sum grant “to finance construction or acquisition and rehabilitation of…low-income housing in lieu of low-income tax credits.”

DHCD Director Leila Edmonds didn’t specify which projects would be receiving the federal monies, only stating that “funds like these are especially necessary in this difficult financing market.” Probable recipients, however, are likely to include the soon-to-be redeveloped Park Morton public housing complex and the long in-the-works 1600 unit Northwest One development. Expect the subject of the latter to be broached at next month’s meeting of the City Council’s Committee on Economic Development, where the project will be subject to disposition approval resolutions.

DHCD Seeks Developers for Vacant DC Properties

Washington DC's Department of Housing and Community Development's (DHCD) Property Acquisition and Disposition Division (PADD) has issued a Solitication for Offers for six long-neglected sites throughout the city with the intent of redeveloping them into a mix of affordable units and workforce housing. All of the residential properties are either vacant lots or dilapidated residential complexes: 3401 13^th Street, SE; 4 -14 Q Street and 14-16 Florida Avenue, NW; 1715-1717 28^th Place, SE; 1335 R Street, NW; 922 French Street, NW; and, lastly, 1713 New Jersey Avenue, NW – the latter being a site initially purchased in January's vacant property auction, but returned to DCHD after its would-be owner defaulted on the first payment.

"For some [of these properties], this isn’t their first showing. This isn’t the first time they’ve been out there. We’ve been looking for opportunities to…convert them into affordable housing…We’re stepping up our efforts to re-introduce these properties, so they don’t just sit and cost the city money to maintain,” said DHCD spokesman Angelita Colon-Francia, who also detailed for DCmud just how and why these six sites were selected from the District’s hundreds-strong catalogue of vacant properties.

“Some were eminent domain, some were tax foreclosures, some were inter-agency transfer of property, but, basically, these are properties that have been in our inventory for a long time…What we’re trying to do is to get them back into use and generate affordable and workforce housing out of them,” she said.

Prospective developers are welcome to bid on as many, or as few, properties as they see fit. The scope and size of the various revitalization efforts, however, will depend on area zoning statutes, as some sites are designated for single-family use, while others are zoned for multi-family development. The wide variety of locales and regulations governing the various sites hasn’t allowed DHCD to predict exactly how much housing will be generated after the projects are awarded – but nonetheless, they’re adhering to strict set of guidelines that makes a clear distinction between which will sites will be required to host affordable and/or workforce units.

“The bottom line is that all of them have a requirement that all buildings have 30% of the units identified as affordable at 60% or less of the Area Median Income (AMI),” said Colon. “There are two exceptions to that: the New Jersey Avenue property and the one on French Street. For those, we’re looking more at workforce. They’ll have to be at or below 120% AMI.”

As of Tuesday, 11 potential bidders have taken up DHCD on their solicitation and Colon encourages developers and non-profits “with the capacity and qualifications” to apply. To that effect, DHCD will be holding a pre-bid conference on June 8^th to “fill in the blanks.” The meeting will begin at 2 PM at DHCD headquarters at 1800 Martin Luther King, Jr. Boulevard, SE.

In the meantime, the solicitation is available in hard copy format only and can be picked up at the DHCD offices. Final proposals are due to agency by 3 PM on June 24^th. Colon-Francia says the selection process timeline will be contingent on the number of responses received.

Auction Raises $4.5 Million for Washington, DC

Last Friday's auction of District-owned "nuisance properties" netted more than $4.5 million for the city, according to documentation obtained by DCmud (pictured). In total, 28 of 31 properties listed were snatched up by new owners and there were some bargains, too. A Southeast property at 2321 Highland Street went for only $35,000, while none of the listings exceeded $400,000. Per Department of Housing and Community Development (DHCD) guidelines for the auction, the majority of the funds raised will benefit the District’s affordable housing fund.

“The potential revenue from the January 30 auction could be as much as $4.85 million for the District however, there are conditions (outlined in the disposition agreement) that have to be met before sales are final,” said Angelita Colón-Francia, DHCD’s Senior Public Information Officer. A public hearing will precede the settlements. We anticipate that closings will likely occur in early spring.”

Despite the disclosure of the District’s take from the sales, there’s still some question as to who actually purchased the properties. Some citizens at Mayor Fenty’s announcement of the auction expressed concerns that the derelict homes would immediately go to developers with deep pockets, rather than private citizens with a stake in the community. It can't be worse than the status quo ante.

Cluster Luck?

The Department of Housing and Community Development has issued a solicitation for developers to bid on four clusters of land in the Southeast, Northeast, and Northwest quadrants of DC, in the hopes of turning underutilized property into affordable and market rate housing. The Property Acquisition and Disposition Division (PADD) of the DHCD is offering the sites in an effort to dispose of properties in its inventory while maximizing the city's profit from their sales. PADD will base its selection on proposed development plans, pricing proposals, the amount of affordable housing offered and the potential community and local business benefits. Developers must present evidence of complete funding for their proposal; the developers selected will take title to their respective cluster on which all existing non-historic structures will be razed.

The clusters are:

Site Cluster #1 (Anacostia)
1700 W Street, SE
1704 W Street, SE
1708 W Street, SE
1712 W Street, SE
1716 W Street, SE
1720 W Street, SE




Site Cluster #2 (Old City)
4540 Kramer Street, NE
1613 Kramer Street, NE







Site Cluster #3 (Old City 2)

4 Q Street, NW
6 Q Street, NW
8 Q Street, NW
10 Q Street, NW
14 Q Street, NW
14 Florida Avenue, NW
16 Florida Avenue, NW

Site Cluster #4 (Old City)

1621 Kramer Street, NE
1627 Kramer Street, NE
1629 Kramer Street, NE
1631 Kramer Street, NE
1632 Kramer Street, NE
1633 Kramer Street, NE

The solicitation encourages proposals to include a mix of uses including family-style affordable dwelling units with two or more bedrooms so families can "grow in place". As usual, the District wants to see evidence of community outreach, complete financing that requires minimal financing from the City, and proof that the units will remain affordable for 15-24 years.

Proposals should specify the type and number of housing units offered, and the scope of new construction and renovations by providing floor plans, site plans, and amenities. In keeping with the Fenty affordable housing pledge, 30% of all proposed housing must be affordable with preference given to those who exceed the requirement.

The lucky developers selected must "participate in a transparent and collaborative process involving the District, PADD, and community stakeholders", and, as with any good business deal, the winner will offer the greatest economic benefit to the District and require the lowest amount of subsidy.

Submissions are due by September 17th; the District will select a winner on November 3rd.