Vida at the Yards, Officially

Vida Fitness finally announced today that it is opening its next location at the Yards, Forest City's mixed-use neighborhood next to the ballpark.  The site has been a not-very-well kept secret for the past few years, but new details emerged about the 28,000 s.f. facility, including that it will house another Penthouse Pool Club and Lounge, a rooftop lounge which Vida added to its new U Street location last year.  Vida, along with 50,000 s.f. Harris Teeter, is being built as part of Forest City's Twelve12 mixed-use project at the corner of 4th and Tingey Streets.  Designed by Shalom Baranes Associates, the building will house 218 apartments, and is scheduled to open in the spring of 2014.

Washington D.C. real estate development news

Construction Work Begins on Cathedral Commons

Initial construction work has begun on the Giant Supermarket site at 3336 Wisconsin Avenue, a 4-acre site that will be redeveloped into a mixed-use community known as Cathedral Commons.  The $130 million project has been more than a decade in the making, and will create a new, larger Giant as well as 137 apartment units, 8 townhouses, and a concourse with 125,000 s.f. of street front retail space.

Giant had been fighting a devoted neighbor- hood opposition group for years, but scored some decisive legal victories in 2011 and obtained financial partner Bozzuto Group to give the project the final kick needed to start development.  While no formal announcement was issued by the team, partners in the project have been saying for weeks that construction would be imminent, and construction crews began erecting fences Monday afternoon.  

The supermarket, one of the last major groceries to begin (a much needed) renovation, closed in March.  Renderings and descriptions for the new Giant show a wide-aisled suburban-style supermarket resembling its Bethesda counterpart more than the reimagined urban supermarket being promised by developers of the CityMarket at O.  The project was designed by JCA Architects of Reston, which is also responsible for the design work at Union Market.

Update:  A spokesperson for the project notes that Bozzuto is not only the financial partner but also the developer and joint venture partner with Giant, and that no formal date has been announced regarding an official groundbreaking.

Washington D.C. real estate development news

Petworth Safeway Closing September 8th for Multi-family

Safeway officially announced today that it will close its Petworth store on September 8th to make way for the mixed-use development that has been long planned for the site.  The new store, to be developed by Duball, is scheduled to open mid 2014, with a 62,000 s.f. facility that will be the third largest in the city, triple the size of the current store.  Five floors of residential will sit atop the supermarket at 3830 Georgia Ave.  Torti Gallas designed the new building.

Washington D.C. real estate development news

Petworth Safeway Announces September Start Date

Duball LLC and Safeway have announced a start date for their Safeway project at 3830 Georgia Avenue.  The project, announced several years ago, will develop a 62,000 s.f. Safeway with 220 apartment units above.  The development will replace the dated 21,000 Safeway building.  A groundbreaking ceremony will be held September 19th.

The "transit oriented state-of-the-are Safeway," sitting on 1.56 acres, is one block north of the Georgia Avenue-Petworth Metro and will include 86 below grade spaces for customers and 135 spaces for residents.  The development agreement, worked out between landowner Safeway and developer Duball, keeps Safeway as the owner of the land with Duball granted development rights for residential units and parking on top of the Safeway.

Marc Dubick, founder of Duball, was the principal developer of the CityVista Safeway in Mt. Vernon Triangle.  Duball previously developed Lionsgate in Bethesda and Rockville Town Center.

Washington D.C. real estate development news

Construction for Cathedral Commons a Step Closer

A sign today announces the parking lot of the now-closed Giant Food at 3336 Wisconsin Ave. will close April 23 to prepare for construction of Cathedral Commons. The grocery store closed last week, but the parking lot remained open. Crews also have removed the classic Giant sign on the building.

Bozzuto, Giant's financial partner for the project, posted a site plan yesterday for the $125 million mixed-use development that will span two blocks along Wisconsin Avenue.

Street-Works is developing the site that will have a new Giant Food anchoring 128,000 s.f. of new retail space. The site also will include 137 apartments, eight townhouses and 500 parking spaces.

A raze permit for the Giant as well as other parts of the 3300 block were approved Jan. 30th by the Historic Preservation Office according to documents released by the Office. Permit applications for the 3400 block also were filed.

Washington, D.C., real estate development news

Safeway Tries Again With Revamped Tenleytown Design

Officials from Safeway, Torti Gallas and Clark Realty Capital unveiled more renderings of its planned Tenleytown site last night - with once again, decidedly mixed community reviews.

Plans to replace the backwards-facing Safeway store at 42nd and Davenport, which has cheekily shown its veteran rump to Wisconsin Avenue passersby for the better part of thirty years, have been in place since August 2009. But opposition from the Office of Planning and the neighborhood ANC over an above-ground parking garage forced Safeway to suspend the project in January 2010.

Now Safeway, and its architects have returned with a newer, scaled down version, with the 56,000 square-foot store being folded in to a five-story complex with 184 apartments, 14 town homes and more than 140 spaces 0f underground parking for customers. There will also be dedicated parking for residents.

Still, a few in the Northwest DC community that is well known for its opposition to development on Wisconsin Avenue, worried about adding such high-density housing and traffic to a the single-family neighborhood, fear additional traffic and delivery trucks on nearby narrow residential streets such as Ellicott and Davenport.

"There is a great deal of concern on the density of the units," said Tenleytown residents Adam Rubinson, who attended Safeway's Jan. 18 unveiling at St. Mary Armenian Apostolic Church. "The concern is pretty much unanimous," he said in an interview.

Rubinson wants to see a "stepped-back" design along Davenport so as not to overwhelm its neighbors across the street. Safeway and Torti Gallas say they have done just that with a design that will top the trees in the neighborhood but not block sunlight during morning and evening hours.

Rubinson wants to see the height of the project, currently 79 feet, lowered to no more than 55 feet, with one story below grade, similar to that of the brand-spanking new Whole Foods along Willard Avenue in Chevy Chase, less than a mile away. "There are plenty of developers who are willing to do just that," he asserted.

Improving the look and size of the store is key for Safeway in a suddenly uber-competitive market like Washington D.C. Unionized middle-market grocery chains such as Safeway and Giant, even with their single-digit profit margins, once ruled the roost in D.C., where shoppers had little choice but to tolerate dirty stores, bare shelves, long lines and surly staff.

Now amid an influx of higher-end choices such as Whole Foods and Harris Teeter, the Safeways of the world must upgrade their legacy stores to keep pace with a changing market. "Everyone who sells food is a competitor," says Safeway spokesman Craig Muckle. Often they are stuck in between high-end but non-union grocery chains like Whole Foods and Wegmans that can charge a premium for their quality and variety, and low-cost producers like Wal-Mart, with the volume and a non-union workforce to wring additional profits out of food shoppers.

The 35,000 square foot Tenleytown Safeway, which first opened in 1957 and was remodeled in 1981, is no exception, facing competition from the aforementioned, newly-constructed Whole Foods in Chevy Chase, an existing Whole Foods in Tenleytown and a remodeled Giant Food along Western Ave. in Chevy Chase.

Muckle says if all goes well, the project could break ground in 2014. Safeway had hoped to start on the new Tenleytown Safeway once retail construction adjacent the Georgetown "Social" Safeway was completed, but now will have to wait. Torti Gallas is also the architect on that project as well. The 200-plus United Food and Commercial Workers members who work at the store will be "farmed out" to other stores during the reconstruction, according to UFCW Local 400 Secretary Mark Federici.

The debate over the size of the store and its accompanying town home and apartment developments threatens to devolve into the protracted tug-of-war that surrounded the redevelopment of the Newark Street Giant.

That store, just a mile further south on Wisconsin Ave, saw organized neighborhood resistance for the better part of a decade before the Bozzuto Group got the OK to start construction on a new 56,000 square foot facility this spring. Rubison says he hopes the Tenleytown Safeway development process doesn't go down that path.

"I think if Safeway can make some reasonable compromises, the chances of that happening are close to zero," said Rubinson. "But if they take a hard line, especially on the overall massing of the building and the number of units, and residential parking, I could see this getting mired in delays."

Safeway plans another question-and-answer session on Feb. 2 in the lobby of the Tenleytown Safeway between 6:30pm and 8:30pm.

Washington D.C. real estate development news.

Giant Wins Lawsuit for Wisconsin Ave Redevelopment

Giant has won its legal appeals against the longstanding lawsuits of a neighborhood activist group that has litigated to stop the neighborhood grocery-anchored project. Washington CityPaper reports today that an appellate court affirmed the lower court's ruling that development did not violate the District's zoning laws, as a neighborhood group had claimed in its suit. The project's developers had always seemed likely to prevail, and had been given added momentum when Stop & Shop, Giant's parent company, partnered with local developer Bozzuto Group just weeks ago to fund the mixed-use project. Construction of Cathedral Commons is likely to get underway in March or April. 

The historically debated, two-block redevelopment project will bring 137 apartment units and 8 townhomes, more than 500 parking spaces, and 128,000 s.f. of retail including the anchor, a new 56,000-s.f. Giant, to replace the badly aged 50-year-old one currently on site. Opening of the new Giant is "tentatively scheduled for late 2013. After years of trailing Whole Foods and Safeway, and even Harris Teeter as urban pioneers, Giant now seems to be catching up on the urban redevelopment wave, having broken ground late this year on CityMarket at O in Shaw and having started construction of a new grocery on H Street, NE. 

Washington D.C. real estate development news

Bethesda Safeway to Reopen October 13

Bethesda's downtown Safeway will reopen October 13, according to a spokesman for the supermarket. The supermarket closed last year for renovation, and will be reborn as a modernized, more urban version, part of Safeway's reinvention to compete head on with newer competitors that have captured more of the urban consumer. The previous store was built in 1956.

The newest Safeway designs put parking on the ground floor and shopping on the 2nd floor, with designs by Rounds VanDuzer Architects, designed to be Montgomery County's first LEED certified supermarket. The first floor garage will be disguised behind hand-shaped glass panels created by the Washington Glass Studio of Hyattsville, whose work will add hints of color and shapes of herbs along the sidewalk, with the new building pushed to the front of the lot to eliminate the street-fronting parking lot that once served the store. The 48,000 s.f. store will be double the size of the previous building.

The new Safeway will feature a "cheese expert,", olive bar, Starbucks, outdoor cafe, Bergmann's dry cleaners, pharmacy and on-site bakery. Safeway operates 66 stores in Maryland and 15 in the District of Columbia.

Bethesda Maryland real estate development news

Cathedral Commons Delayed Until 2012

Redevelopment of the Wisconsin Avenue Giant, a project that has inspired both relief and resentment, and has suffered from numerous lawsuits by a small group of locals hoping to derail the mixed-use project, seems destined to maintain the status quo well into next year. Despite notice early this summer that the missing financial partner could be on board "any day now," the project still lacks the financial partner needed to move forward, and store employees now tell DCMud that the store will remain open through the end of the year, at least.

Developers have successfully fended off various lawsuits attempting to stop Cathedral Commons (some claims are still being pursued), but what the suits have failed to do seems to have been accomplished by the market, as timelines continue to slip with the absence of funding. Early predictions had the project well underway, if not complete by this time. In 2006 officials thought the project could take 4 years to complete, and at least one team member told DCMud in 2008 that construction would begin within a year. The team then scheduled an aborted "launch party" nearly one year ago. Early this summer vendors began clearing out, and knowledgeable parties to the transaction predicted movement was at last imminent. But the Giant remains operational, and this week officials at Stop & Shop, Giant's parent company, told store employees to expect to work into next year.

Parties now say the financial partner is still not official (and won't release names), and Sharon Robinson, a PR captain for Giant, confirmed, "There is not another financial partner in the development at this time." Robinson added that Giant aims to break ground "sometime after the first of the year." Robinson insists that the project has not been delayed. "The PUD is still valid and Giant is moving forward with plans to redevelop Friendship Shopping Center and filed plans for its building permits last week." No general contractor has been selected.

The project will add a new 56,000 s.f. grocery store, 85,000 s.f. of additional ground floor retail, 150 condos or apartments and over 500 parking spaces, and bring back the familiar neon Giant sign that graces the present supermarket.

Robinson added by email that, "The lawsuit challenging the authority of the Zoning Commission, which was filed by a small group of opponents, is moving through the judiciary process. Many neighbors continue to contact the development team expressing dismay at the lawsuit and asking how they might show support for the project." While that may be helpful, it seems that for now it is also not quite enough.

Washington D.C. real estate development news

Shaw Giant to Close September 8th to Make Way for CityMarket at O

The Shaw Giant will close September 8th in order to make way for CityMarket at O, Roadside Development's $260 million dollar project that will rebuild 2 full blocks in Shaw with 87,000 square feet of retail (including the Giant), 629 residential units, and 500 parking spaces. The project had received demolition permits early this year and a HUD financing commitment in April, leaving just the final administrative hurdles to clear before beginning work on the long awaited project.

Under the terms of the agreement with Giant, Roadside Development was required to give Giant officials a 60-day notice to vacate, which it planned to do once the funding was secure and in place. While Roadside officials offered a "no comment" on the notice, Giant Store Manager Patrick Aryee tells DCMud that Giant corporate officials informed him yesterday that the store would close September 8th. Once Giant closes, Roadside has 2 years to complete the project to let Giant back in the space. Roadside Principal Armand Spikell told DCMud this spring that Roadside would likely issue the 60 day notice by July.

The closure is therefore sure to be followed quickly by frenetic construction and add vigor to revitalization in Shaw that has already gained steam with such projects as the Marriott Marquis, Progression Place, and a new pair of Marriotts. The new Giant Foods will be one of the larger nearby supermarkets at 55,000 s.f., with 13,000 s.f. underground, burying such items as the loading dock which now mars 9th street.




The buildings are being designed by Shalom Baranes Architects and built by Clark Construction.

Washington DC real estate development news

Mixed-use: A Safe Way to Go in Tenleytown?

It’s a short Safeway with a long story.

As reported by the Washington Post, the nationwide grocery chain is looking to move forward with new, yet-to-be-fleshed-out plans for a mixed-use development where a low-slung, red-brick Safeway store currently resides just off of Wisconsin Avenue in Tenleytown.

The Safeway, built in 1981, sits with its backside to 42nd Street – the building was built to face away from the main drag – while conversely, Safeway execs are facing a call to action from the Office of Planning and Ward 3 ANC 3E-03 to address specific problems both groups had with a previous version of redevelopment, one which merely raised the Safeway to 2 stories and added a touch of retail.
The problematic PUD was submitted by Safeway in August 2009. Things began to unravel for Safeway as early as October – only two months after submitting plans –when substantial criticism arose from both OP and the ANC. Safeway chose to “indefinitely suspend” its plans in January 2010. OP expressed concerns about various elements of the plan, but was pointedly critical of Safeway’s request for rezoning.


As seen in the 2005 OP land use map (at left) the Safeway-owned land between 42nd and 43rd street and Ellicott and Davenport Street, is a mix of low-density residential (yellow), low-medium density residential (peach), local public land (navy), and commercial (pink).

The yellow-peach areas are what caused Safeway the most trouble, and led to a mixed-use plan.

Designed by Torti Gallas and Partners, the redevelopment was initially meant to expand and renovate the out-dated Safeway store there – which turns (gasp) 30 this year – and also tack on additional retailers on site: a coffee shop, dry cleaners, and florist.

Now, a year-and-a-half since scrapping plans Safeway is back at it, yet, taking it slow, and contrary to what was reported by the Post, Safeway has not yet issued a request for proposals. Craig Muckle, manager for public affairs and government relations in the region, says that Safeway is first gathering input from the community and is paying particular attention to the opinion of residents in the immediate area.

Jon Bender, chair of ANC 3E, noted that he and other ANC 3E commissioners suggested to Safeway more than a year ago that some kind of mixed-use development at the site could make sense.

Given that single-family homes immediately abut the Tenleytown site, he added, the details of the project matter a great deal. "A majority [of ANC3E commissioners] views this development positively in principle, but I think we’ve got a good distance to go before a majority could support a specific project," Bender explains.

Bender observed that Safeway’s preliminary, conceptual description of what it intends for the site raised concerns, and Safeway has stated that - until it selects a developer - it will not discuss significant changes to the project, share detailed renderings, or produce perspective drawings of the view of the development from adjacent residences.

This time around Safeway is looking for a plan that will work, but not before getting the go-ahead from the community, and that community has proven to be a difficult client many times over.

Update:

At left: Office of Planning Future Land Use Map (as designated in 2007)
This map shows more accurately that the land in question is zoned for moderate residential and light commercial development. The Office of Planning was opposed to rezoning in order to accommodate Safeway's 2009 PUD, and ANC 3E03 suggested that Safeway consider a mixed-use development for the site.

The yellow and peach areas at 43rd St and Ellicott St. on the Office of Planning Land Use Map from 2005 (within article) are currently residential areas - with residents - and it is these folks who are particularly concerned about Safeway's redevelopment plans for the site as it is quite literally in their backyard.

Correction: In paragraph five, "Safeway-owned land" is incorrect, and the article should read "the affected area"

Washington D.C. real estate development news

Wisconsin Avenue Giant Close to Construction?

Is the wait almost over? The Wisconsin Avenue Giant is scheduled to break ground at the end of this summer, says Jonathan Willingham, spokesperson for Ward 3 Councilwoman Mary Cheh. After a decade of delay and lawsuits, it seems the plans may finally come to fruition.

The Cathedral Commons project includes a new 56,000 s.f. grocery store, 85,000 s.f. of additional ground floor, street-level retail, 150 condos or apartments and over 500 parking spaces.

While past deadlines for the project have slipped due in part to continuing suits by locals hoping to derail development, the end of this month also marks a more telling sign: the exodus of many businesses on the strip as some retailers move further uptown on Wisconsin Avenue, after been pushed out by the owner. Starbucks wears a banner informing customers of its intent to stay put until construction begins, and then it will relocate to relocate to a temporary structure.

Last July, the Zoning Commission gave their unanimous approval of the project, to which the Wisconsin Newark Neighbors Coalition (WNNC) responded by filing an appeal, claiming that the Zoning Commission lacks the power to eliminate a neighborhood commercial zone designation on the subject lots. A decision has not yet been delivered on that appeal.

In the meantime, while Giant and partner Street-Works ready for the demolition, last month they committed to cleaning up ground water contaminants underneath the supermarket as part of the redevelopment.
Washington, D.C. real estate development news

Steuart Plans to Start H Street Giant by July

Steuart Investment's H Street residential project should be underway by July 1st, says the firm's principal, setting the stage for an early 2013 opening of the Giant supermarket and 215 apartments. The 3rd and H site is one block from AvalonBay project that should break ground later this year for an additional 140 units, densifying the H Street corridor as its retail renaissance continues to build up speed.

The Steuart project, designed by Torti Gallas, will add a 6 story, LEED certified building - a 5 story residence above a retail pad - with a 42,000 s.f. Giant supermarket. "We're down to the short strokes" says Steuart principal Guy Steuart, who "hopes to have a shovel in the ground by July 1st." Despite not yet having financing fully secured nor permits, Steuart has had zoning approval since late 2007 and is confident construction will start mid summer. The building will have 2 floors of underground parking, a residential lobby and small retail bay on H Street with a 22 foot high ground floor.

The project will face competition from the AvalonBay project and Senate Square's 432 rental units, and on the grocer side from the new Aldi at the opposite end of H and, just a few blocks away, Noma's recently opened Harris Teeter. The sudden concentration of quality supermarkets in northeast D.C., once devoid of such retail, leads to the question of whether northeast will be over-grocered. "Giant is still the dominant grocer in this area. Competition makes everyone keener, I think Giant will do a great job for the community," says Steuart in response.

The project has been a long time coming. Steuart first filed for the PUD more than 5 years ago, with up to 8 stories in mind, but was encouraged to shave some density from the east as a concession to the lower buildings. "Then the world changed and we had to try and make sense economically," says Steuart, who responded by taking out the 3rd floor of parking, limiting the height to 6 stories, and modifying the upper top 5 floors, which sit on the poured concrete retail podium, into a less expensive steel beam and concrete construction.

Steuart's family has been at it even longer, his great-grandfather having started the family business in 1904, according to Steuart, as an ice and coal delivery company that opened a Ford dealership in 1916, with his family owning land "the first time there was a trolley in the neighborhood." BP eventually bought land next door for its filling station and leased Steuart's parcel, at one point planning a larger truck stop for H Street. Steuart later bought out BP's site - the western 40% of the current site - and let them out of the remaining lease in order to start this project.

Steuart predicts an 18 month time frame to open the residences, with the Giant to open "shortly thereafter." Steuart is also building a 390-unit apartment building in Mt. Vernon Triangle with Paradigm, which it began last October.

Washington D.C. real estate development news

Court Hears Lawsuit Against Wisconsin Avenue Giant Project

The D.C. Court of Appeals heard this morning arguments by the Wisconsin Newark Neighbors Coalition (WNNC) against the D.C. Zoning Commission to determine whether development of the Wisconsin Avenue Giant will move forward as planned. The project, named Cathedral Commons as of last year, includes a new 56,000 s.f. grocery store, 55,000 s.f. of ground floor, street-level retail, 150 condos or apartments and over 500 parking spaces.

Last July, the Zoning Commission gave their unanimous approval of the project, to which WNNC responded by filing an appeal, claiming that the Zoning Commission does not have the power under the PUD (zoning change approval) to eliminate a neighborhood commercial zone designation on the subject lots. In short, WNNC objects to the changes incurred in the rewriting of the Comprehensive Plan that was first drafted in 2006 that they perceive will increase height of the project and density of the area.

WNNC wants the city to revise the PUD as a two-stage application, and have asked the court to overturn the Commissions decision to grant the PUD within a neighborhood commercial overlay zone district, in what is a fairly typical zoning decision, claiming the Commission lacked authority.

Despite vocal neighborhood opposition, many quieter residents embrace the project. Trudy Reeves, D.C. Advisory Neighborhood Commissioner 3C says she moved to the neighborhood after learning about the project. "I fully back the PUD," she said. "I bought in this area ten years ago because I heard the Giant was going to expand and that the project would bring with it more retail and make the area more vibrant."

In the meantime, ground level retail that flanks the grocery - The Kellogg Collection, a dry cleaner, Starbucks and Sullivan's Toy Store, for example - are in the midst of plans to vacate the premise to make way for construction. An unnamed retailer in the project tells DCMud that the developer has given them notice to move by late May. Once the Wisconsin Avenue Starbucks closes, Cleveland Park will lose its only remaining coffee shop, with the Connecticut Avenue Starbucks location having shuttered last year.

Councilwoman Mary Cheh's office (Ward 3) has also been supportive of the project and has been advised that the likelihood of the project going forward is strong, said Chief of Staff David Zvenyach.

The Wisconsin Avenue Giant Project has been saddled by at least a decade of delay as result of planning, zoning and neighborhood protests. Though Street Works has been consulting on development of the project, Giant Spokesperson Sharon Robinson says they're in the process of deciding upon selecting a development partner.

Washington D.C. Real Estate Development News