In Noma's Shadow, Eckington Mushrooms

As the next great construction site in the District, NoMa has attracted justifiable media attention as well as some of the heaviest-hitting real estate development teams in the area, Akridge, Douglas Development, Trammell Crow, MRP and the Wilkes Company, vying for the ability to write upon the blank slate of its startlingly empty surface. Admittedly not likely to be on any tourist agenda or history tour, the newly invented moniker still offers commercial developers an attractiveness that seems hard to have missed in the past - a downtown development site with major bisecting traffic arteries, a pair of Metro stations and a train terminus within walking distance of Congress.

Attracting decidedly less media attention, Eckington, its immediate neighbor to the north, has nonetheless been discovered by local developers not quite ready for an Akridge-sized purchase of air rights over railroad yards, but who view the more than 10 million square feet of commercial space being built on its southern edge as an invitation to develop the residential market. 

Bounded by North Capitol to the west, New York Avenue to the south, Rhode Island Avenue to the north and, of course, the proverbial railroad tracks, Eckington appears to sit on the right side of those tracks judging from development teams that have been quietly converting forlorn apartments into condominiums and vacant lots into loft-like housing for the inevitable office workers that will soon pour into NoMa. Zoned largely for residential and bounded north and south by Metrorail stations, the neighborhood has been populated by rows of single family homes, many of which still belatedly sport the once ubiquitous metal awnings, and small, forgotten apartment buildings, providing affordable alternatives to out-of-the-ground construction.

The area's conversion process began auspiciously when a joint venture between CSX and Fairfield Residential announced plans to build 650 condominium units, but braked in early 2007 as the condo market slowed as construction costs were rising. But by then other developers had used the momentum to build and sell condos like the Jordan (314 V St.), Eckington Heights (330 Rhode Island Ave.), and Basilica Lofts (1900 4th St.), adapting former apartment buildings and abandoned storefronts into modern homes even before the first ceremonial groundbreaking in NoMa.

With NoMa construction now underway, the pace of development in Eckington has now quickened, with new, modern projects now dotting the Eckington map, including Century Court at 14 S Street (14 units), The Indigo at 1901 Lincoln Road (30 units), Todd Place Condos at 302-310 Todd Place (12 units), Eckington Station at 1927 3rd St. (7 units), Capitol Overlook at 221 R Street (12 units), and the Winthrop at 1956 3rd Street (5 units); other buildings beginning construction include 219 T Street, 1921 2nd St., as well as a pair of buildings on 4th Street at V and U and several vacant lots, now under contract by developers. While the scale of development does not match that to the south due to height restrictions and its residential nature, real estate developments here seem more concentrated than any other existing neighborhood. 

"Eckington is is one of the rare neighborhoods in DC next to massive commercial development that has not yet matured, so the potential upside for buyers is tremendous", says Dan Lindsay, whose development team, Lindsay Development & Hillsborough Investments, recently completed a project on Capitol Hill and is now completing the full renovation of Todd Place. Most of the new projects have sold from $340 to $400 per square foot, a price that is difficult to match on the other side of North Capitol Street or anywhere closer to nearby Capitol Hill.

Washington D.C. retail and real estate updates

Residential Units for Hilton Washington?

As a part of a larger hotel revitalization project, the Hilton Washington, north of Dupont Circle, could be seeing residential units in the near future. After buying the Hilton for $290 million in May, L.A.-based Lowe Enterprises Inc. and Beverly Hills-based Canyon-Johnson Urban Funds LLC are considering adding a yet-to-be-determined number of residential units to the 1,119-room hotel.

Harmar Thompson, Senior Vice President of Lowe Enterprises said developers are in the process of doing the initial schematic design and massing. He added, “We haven’t formalized anything yet; we are going through detailed work with the community and the Office of Planning.” According to Thompson, more details, including a decision on condos vs. apartments and number of units, will be announced in September.

Developer to Expand Hyattsville Project

As the redevelopment of Route 1 in Hyattsville into a vibrant, livable city center moves forward, Bethesda-based developer EYA is already making plans to add new residential units and commercial/retail space to its current $125 million "Arts District Hyattsville" plan for the area. EYA has agreed to purchase two additional properties next to the former Lustine Chevrolet dealership lot (where Route 1 hits Madison Street), which it is now in the midst of redeveloping, with Phase I delivering 12 "live-work" units plus 119 townhouse-style row homes that are scheduled for Spring 2008 completion (and will sell for between $400,000-$600,000), and Phase 2 promising 220 more row homes, four "live-work" units, and 34,500 sf of retail and restaurant space (pending plan approval by the Prince George's County Planning Board this fall). With its new land purchases, EYA envisions building either 82 new residential units, or perhaps 12 residential units and a mix of commercial and retail use. EYA’s "Arts District Hyattsville" project is part of Maryland’s designated effort, launched in April 2005, to redevelop the town’s Route 1 corridor into a "gateway arts and entertainment district."

DC Council Approves Sale of 6428 Georgia Avenue; Park East Back on Track?

Last week, the DC Council gave unanimous approval to the sale of 6428 Georgia Avenue NW, a 5,184-sf lot containing a vacant building of 7,000 sf (formerly Blockbuster Video), to Georgia Avenue Investment Partners, LLC (Ellis Denning) for almost $4 million, bringing to a close the short, odd tale of this Brightwood property. A year ago, Ellis Denning actually owned this land, and had plans to construct Park East (pictured), a condo-retail complex on the site. But in August 2006, the DC government, threatening eminent domain, managed to purchase the lot from Ellis Denning for $3.9 million with the intention of building a firehouse for Fire Engine Company 22. Soon after, opposition to this plan was raised, with many pointing out that a firehouse would be inconsistent with efforts to revitalize this stretch of Georgia Avenue as a livable, pedestrian-friendly space. With this in mind, the DC Council passed a bill to sell the lot back to Ellis Denning at the same price for which it was purchased from them. Ellis Denning is expected to now move forward with its plans to build a 5-story complex on the lot, but now with 39 apartment units rather than condos (12 units will be affordable housing). Design is by Hickok Cole Architects.

Washington DC real estate development news

BNA Site Project Wins Zoning Approval

On July 9, the DC Zoning Commission approved plans submitted by TRS Inc. to build its Planned Unit Development (PUD) at 1227-1231 25th Street NW, the West End site of the Bureau of National Affairs office, which is relocating to Crystal City. TRS is converting the three office buildings now on the lot (which is just above M Street NW along Rock Creek Park) into two connected condominium buildings (1229 and 1231) with four additional stories added on top, with the third building (1227) reserved for offices. The condominium portion will contain up to 295 residential units, including up to 8,000 sf as "affordable" housing. The project is expected to be completed in late 2008.

Silver Spring's Moda Vista Residences Project Expected to Be Approved

While we have recently been fixated with the development lined up in south Silver Spring, we’d be remiss if we didn’t catch up with what’s happening northeast of the Red Line tracks and Georgia Avenue. The latest news arrives regarding the Moda Vista Residences project, a 1.27-acre development slated for the southeast corner of Fenton Street and Silver Spring Avenue (8115 Fenton Street), currently the site of parking lots and two detached homes. The Montgomery County Planning Board is expected next week to approve the project plan submitted by Fenton Development LLC, which calls for a five-story, 94-unit residential building (12 being moderately priced dwelling units) with 3,500 sf of ground-floor retail. The project also calls for an 8,331-sf plaza running along Silver Spring Avenue, plus two exterior public art displays on the site. In addition, the façade along Silver Spring Avenue is to gently transition downward to match the detached homes to the east of the project. An interesting side note is that this property lies in a possible path for the proposed Purple Line; if so, studies are underway that envision the Line going through a tunnel at this point and not affecting this project. There are no further details regarding groundbreaking or completion schedule for the project at this time.

"Historic Adaptive Reuse" for Woodley Park

Woodley Park will soon have another condominium development, when the Woodley-Wardman project breaks ground later this year. Named after Harry Wardman, the man who developed much of its neighborhood, the Woodley-Wardman development will build approximately 36 units by restoring four historic townhouses and adding a 7-story building in back, between the public alley and the townhouses. Murillo/Malnati Group’s 33,000 s.f. residential project at 2814 Connecticut Avenue was designed by Bonstra/Haresign Architects, with interior design by Carina Lopez, to restore and subdivide rowhouses into condominium units. Plans for the four brick townhouses envision restorations of the three-story structures with gardens and front porch space. The tower behind the townhouses will include some brickwork, but will have a contemporary, rather than historic appearance, with long stretches of white and metal-framed rectangular windows and similar rectangular windows in the upper penthouse units that offer private terraces. The historic buildings, two of which are original Wardmans, will be reconfigured to offer several new units as well as entryway for the courtyard and midrise in the rear. The 37-unit condominium building will include approximately 22 underground and at-grade parking spaces, as well as private roof terraces and balconies. The project received approval from the Historic Preservation Review Board, as well as the Board of Zoning Appeal, for the development. Completion is slated for early 2009.

New Changes at Rockville Town Square Project

Back in April, we first reported that development team RD Rockville (ROSS Development and Investment and the DANAC Corporation), citing poor sales, had decided to switch one of the four condominium complexes (specifically, the Lunette building) in its $350 million, 12.5-acre Rockville Town Square project from condos to apartments, and had notified buyers of the decision. Now comes word that in late June, RD Rockville sold off three of these residential buildings (the Lunette, the Venetian and the Fenestra) to an affiliate of CIM Group of California. The sale, complete details of which have yet to be disclosed, was handled by Sonnenblick Goldman. The fourth building, the Palladian, is currently being sold as condominium units by RD Rockville. The Rockville Town Square project, containing 644 residential units and 180,000 sf of retail, is located along (and to the west of) Rockville Pike, just two blocks from the Rockville metro station, and bounded by Beall Avenue to the north, Washington Street to the west, and E. Middle Lane to the south. Design by WDG Architecture. Early indication is that CIM Group will offer the residential units in these three buildings (which contain 492 of the 644 total units between the four original buildings, plus retail) as rentals (management will be by Realty Management Services), with leasing expected to begin this month.

"Conversion Reversion" Hits Leesburg Project

As mentioned in our "DC Condo Growth to Slow" column from Friday, the number of condominium units coming to market is less than originally projected, as developers pull back in the face of uncertain market perceptions and cancel new projects, or reverse plans to convert apartments to condo units. The latter progression – apartments to condos, then back to rentals, or "conversion reversion" – is what is now being reported for a major residential development in Leesburg. In 2005, Reston-based Comstock Homebuilding Cos. announced plans to convert Bellemeade Farms, a 316-unit garden apartment community located on Gateway Drive just off Route 7 that it had just purchased from Fairfield Residential, into condominium units. However, this past February the company, after upgrading a number of units and actually selling 58 condos in the new project, decided to scale back the number of condo conversions in the community. And now Comstock has decided to forgo the project completely, just last week closing on the $48 million sale of the community to Chicago-based Waterton Associates. Waterton will now develop the property as, once again, rentals. Waterton has also worked with Comstock to purchase back the already-sold-as-condo units. Rentals to condos to rentals … to who knows what next time – stay tuned.

Washington DC real estate and retail news

Zoning Appeal for 2175 K Street Addition Postponed

The DC Board of Zoning Adjudication (BZA), scheduled to hear an appeal last week by developer Minshall Stewart Properties regarding its 2175 K Street NW project in the West End (just east of Washington Circle), instead postponed the hearing until September. Minshall Stewart had submitted a zoning application to add three stories to the office half of the existing office/condo complex at this address, but the city zoning administrator ruled that such a move would necessitate a variance from the BZA. Depending on the September appeal, Minshall Stewart will either be able to build the addition without issue, or have to go before the BZA again in November for the variance. Opposition to the addition has been voiced by both the condo side of the complex and nearby row homes to the west, which fear they will lose their views and sun to the new office floors.

Bethesda’s The Veneto Project

The Woodmont Triangle area of Bethesda has been a particularly active corner of the DC region of late. In March 2006, developer Gus Pappas submitted to the Montgomery County Department of Park & Planning plans for The Veneto, to be located at 4901 Cordell Avenue, at the southwestern intersection of Cordell and Norfolk Avenues (the former location of Gallery Neptune). The project, which will curve around and front both Cordell and Norfolk Avenues, is planned to be an eight-story building with two below-ground parking levels (45 spaces), with 4,575 sf of retail and 33,824 sf of total residential space, containing 13 dwelling units. Well, that was over a year ago, and so far things are … status quo, it seems – the project application signs are still on the windows, but no movement has been seen or documented recently with the County. Looking ahead, though, it is easy to see the few blocks south of Norfolk Avenue being busy with construction cranes, with this project, The Monty at 4915-4917 Fairmont and 4914-4918 St. Elmo, and the 4900 Fairmont residential project, among others, all hitting their stride around the same time. As we learn more of The Veneto’s fate, we will pass details along. 

Bethesda Maryland commercial real estate news

William C Smith to Develop S.E. Residential Projects

DC-based William C. Smith & Co. (WCS Development) has announced that it will build two new projects with a combined 322 units near Mississippi Avenue in Southeast DC near Oxon Run Park. The first of the two, Park Vista Condominiums, will add to an existing structure, in a design by Architect David Bell, to build a total of 82 condos on the 3400 block of 13th Street, all to be sold at market rate. Across the street, WCS is in the early planning stages for Archer Park, a development with approximately 240 units on 8 acres of hillside, to be built either as condos or apartments. The first phase of construction on Park Vista is expected to start this Fall, with sales likely to begin around the same time, with completion likely next Spring. WCS does not yet have an established timeline for Archer Park, but has chosen SK&I as the project architect. Both projects will be relatively close to The Town Hall Education, Arts & Recreation Campus (THEARC) and the Congress Heights Metro Station.

This is the third area development for WCS, which began sales in April on Ashford Court, a 75-townhouse community at 15th & Mississippi Avenue, SE. Home prices at Ashford Court range from the mid $400's to the mid $500's, 17 units have sold since its opening.

Silver Spring’s 1200 Blair Mill Project Has a New Name – The Argent

As mentioned just a few short weeks ago, Perseus Realty, LLC was observed breaking ground on the fence-enclosed, small 0.77-acre triangular lot located at 1200 Blair Mill Road in Silver Spring (where Blair Mill, Newell Street, and East-West Highway meet - previously home to a car detailer shop) in preparation of the developer’s $37 million residential development (pictured, but without the Mica condo looming behind it). Word now comes that this address now has a name: The Argent. When completed in mid-2008, The Argent will be a nine-story building featuring 96 condominium units (including 12 moderately priced dwelling units (MPDUs)) and 46 below-grade parking spaces. Perseus is also expected to offer a roof top deck and a 4,200-square-foot public park. The residences will include efficiencies, one, and two bedroom units starting in the $400,000s. The Argent will be designed by architectural firm JSA Inc., employing art deco touches and nine-foot ceilings. JSA will also work with Baltimore-based landscape architecture firm Mahan Rykiel Associates to design the public park in front of the building, with the focal point being a commissioned sculpture by local artist Mary Ann E. Mears.

"Contested" 5220 Wisconsin Project Wins Zoning Approval

Last week, the DC Zoning Commission granted its initial approval to DC-based developer Akridge’s proposed mixed-use development for 5220 Wisconsin Avenue NW, over objections by the local Advisory Neighborhood Commission regarding the project. Akridge hopes to build its $30 million Friendship Heights condominium complex just south of the metro station between Harrison and Jenifer Streets NW, now home to a flower store and a used-car lot and auto body shop. The planned building would house up to 70 condo units (seven percent reserved for affordable housing), and offer 13,200 square feet of street-level retail, plus two levels of underground parking.

In unanimously approving this project, the Zoning Commission reject opponents’ claims that the 79-foot building would tower over the neighborhood, and instead saw it as a natural continuation of the larger-scale development just to the north. A final vote on this project has yet to be scheduled.

Condo units at 5220 Wisconsin (one and two bedroom) are expected to be between 1,100-1,300 sf, with an average price of $800,000. The structure would include a five-story traditional-style brick section facing Wisconsin Avenue to help mesh it in with the existing streetscape, with an additional two stories of glass set back from the street. The southern part of the structure will taper down to three stories on the southwestern side. There will also be an open courtyard at the center of the building, which is planned to be LEED Certified (Leadership in Energy and Environmental Design), with "green" features such as a roof that stores and filters storm water and the recycling and reuse of 50% of all construction materials waste. In addition to this building, Akridge plans to upgrade the existing yet foreboding PEPCO substation to the south of this site by restoring its façade, fixing the sidewalks around it, and adding windows for artwork displays. The developer hopes to start construction on this project later this year.

Pearson Square in Falls Church To Go Rental

Continuing a familiar trend, last week Atlantic Realty, the developer of the mixed-use Pearson Square condominium project currently under construction in Falls Church on the former 4.6-acre site of a duckpin bowling alley at 410 S. Maple Street between Route 7 and South Washington Street, approached the Falls Church City Council and requested permission to convert all of the building’s 230 residential units from condos to rental apartments. If Atlantic wins approval for this conversion to rentals, the company will then sell the units to Carr Homes, which in turn has a deal to convey them to the Trans-Western Company. The Falls Church City Council is expected to officially vote on this request at an upcoming meeting. This move by Atlantic is not expected to impact its deal with the city on the massive City Center redevelopment plan.

Portico a Go?

When we last left off on our saga of the Portico condominium in Silver Spring at 1203 Fidler Lane (next to Cubano’s and its tasty offerings, and just a quick walk to the Metro), it appeared the project was moribund, if not outright dead. The Patriot Group’s projected 12-story, 158-unit condominium with 89 parking spaces (original rendering pictured) was initially delayed in 2005 when the neighboring Cameron Hills townhouse development complained about the insufficient parking and density for the project, and soon after the Patriot Group abandoned the project, selling it to Centex Homes, which has been mum on its plans for the project since that time. However, there now appears to be serious activity on the site, with a massive shovel arriving on the lot last week, and excavation now in full swing this week, indicating that Centex (if not another group or even Patriot Group itself) might in fact be moving forward with this project, though whether in its original configuration or a new direction is unknown at this time. We are poking around to uncover more details, and will be sure to update this post as soon as we learn new information.
Update: It's indeed Patriot Group that has retained this project and is moving forward with developing Portico.

West End Condos Inch Forward

TRS Inc. received approval this week from the National Capital Planning Commission (NCPC) , one of several approvals needed to develop its mixed-use project as a Planned Unit Development (PUD) at 1227-1231 25th Street NW in DC's pricey West End. The lot, just north of M Street across from Rock Creek Park, is currently occupied by three office buildings that will undergo a renovation and conversion over the next year, modifying one of the office buildings (at 1227) and turning the other two structures into condominiums and adding four stories to each, permitting up to 295 residential units, including up to 8,000 s.f. as "affordable" housing. The site currently houses the Bureau of National Affairs Office, which will relocate to Crystal City.

The NCPC approval was needed because the project will rise to 110 feet, potentially obstructing adjacent federal land. The DC Zoning Commission heard arguments regarding the project in March but has not yet ruled on the matter.

Old New York Avenue Hecht’s Building To Become New Mixed-Use Development?

Readers of dcmud know of our particular fascination with all the new development slated for what we call The Devil’s Bowling Alley – that stretch of New York Avenue NE starting from N. Capitol Street going to the Maryland border long known for its auto lots, warehouses, and houses of "entertainment" of mixed repute. But the march of redevelopment continues its move eastward, first with MRP Realty’s mixed-use Washington Gateway project at the intersection of New York and Florida Avenues NE, and Abdo’s massive $1.1 billion Arbor Place complex planned for where New York Avenue, Bladensburg Road, and Montana Avenue NE meet. And now, it looks like the old Hecht’s distribution warehouse, located between these two projects on 16 acres at 1401 New York Avenue NE, will be the next to go under the knife. Pennsylvania-based Patriot Equities is now under contract to purchase the750,000-sf warehouse from Macy’s, and the company plans to develop a mixed-use complex on the site, with retail, office space, and residential units. As the property is currently zoned for industrial use, Patriot will need to have the zoning changed, as well as deal with the building’s landmark status. We will be sure to update you as plans are further developed and released.

Previously: Exclusive: Washington Gateway Project Images, Details
Previously: DC Zoning Approves Abdo’s Newly Named "Arbor Place" New York Avenue Project

Our Feature Presentation: More Development!

Given the twists and turns of the real estate market, we often feel like cooking up some popcorn, sitting back, and watching the show. But this is taking things literally. Out in Fairfax County, the Merrifield Multiplex Cinema, located where Lee Highway meets up with Gallows Road, might soon be demolished and replaced with a massive 27-acre "town center" complex containing 800 residential units, 600,000 sf of retail (plus a rebuilt theater), and possibly hotel and office space, if South Carolina-based developer Edens & Avant and Bethesda-based Clark Realty have their way. Initial plans for this project were honored last year by the Washington Smart Growth Alliance, which praised the town center concept, along with plans to include three new urban parks throughout the site. There will also be a focus on mass transportation, with free shuttle service and pedestrian/bicycle accessibility to the nearby Dunn Loring-Merrifield Metro station. To date, the development team has spent over $100 million just acquiring land and planning for the project, and expects to have final site-plan approval before the county’s Board of Supervisors in October 2007. If approved, ground could be broken by Summer 2008. Together with Trammel Crow Residential’s plan to build a 720-unit apartment building with retail down Gallows Road on a 15-acre lot at the Metro station, Merrifield might soon be known for its bustling activity rather than rundown warehouses.

The Full Monty – More New Residential Units Coming to Bethesda

In the next week, the Montgomery County Planning Board is expected to approve the application submitted by Monty LLC for The Monty, a 210,000-sf, mixed-use development to be located in (surprise) the Woodmont Triangle area of Bethesda, specifically the rectangle of land between Fairmont and St. Elmo Avenues (4915-4917 Fairmont and 4914-4918 St. Elmo, now home to one- and two-story storefronts) to the northeast of Old Georgetown Road and southwest of Norfolk Avenue. The planned 17-story development will contain a maximum of 133 residential units (20 of which will be moderately priced dwelling units), and up to 7,700 sf of ground-floor retail, with 197 underground parking spots. About 5,500 sf will be public space, including a fountain, public art, benches, and a mid-street passageway between the two avenues. Architect for this project is SK&I. The Monty will be directly across Fairmont Avenue from the recently approved 118-unit 4900 Fairmont project, and is yet another addition to the rapidly developing residential market in greater Bethesda.

Previously: More Bethesda Development! 4900 Fairmont Avenue Project Up For Approval
Previously: Boomtown Bethesda – Yet More Development