Council Nixes Funding Plan for Stadium Parking

The DC Council yesterday failed to advance legislation to fund two above-ground (and one underground) parking garages adjacent to the new Nationals ballpark, punting (sports puns being appropriate) the issue out of the Council.  Mayor-in-wait Adrian Fenty had proposed a funding mechanism for the new garages (the city is required to provide 1225 parking spots for the stadium) that would not raise the previously agreed $611 million spending cap for the new stadium – of course, this creative accounting would require $56 million to be taken from non-stadium city funding, a method only a budget director could love. The new owners of the Nationals have proposed less expensive free-standing, above-ground parking, but Mayor Anthony Williams has proposed below-grade parking to allow for mixed-use development above the garage. The Council’s vote - for an emergency declaration to proceed – was 7 for, 6 against, which failed to meet the required supermajority for emergency measures. The worst-case scenario, if all options fail, is for the city to simply pave over the five-acre northern parcel to provide some parking spaces – a solution nobody wants. It is unclear whether the issue will next be taken up by the Council or by the DC Sports and Entertainment Commission.

Washington DC commercial property news

New Condo Development Rises in Mount Pleasant

With a majority of the new residential developments seemingly going up in long-neglected areas of the city, it’s always a pleasant surprise to see new condos being delivered in long-established and desired neighborhoods. This past week saw the beginning of sales at one such development: The Mount Pleasant, located at 3155 Mount Pleasant Avenue, just steps away (and above) the shops of this street and near Adams Morgan. This condo conversion of a three-story, 19-unit apartment building originally built in 1915, is owned by JGJ Properties, LLC, and was awarded the “Best Commercial Renovation” by Historic Mount Pleasant (HMP), and features studios and 1-bedroom units (some with vaulted 14-foot ceilings) starting at $169,000. Another perk: Wireless Internet for your surfing pleasure.

Alexandria Approves Developer’s New Fire Station in Potomac Yard Project

Despite community activists who fear the loss of quick fire response time, this weekend the Alexandria City Council approved plans for the developer of the Potomac Yard project to build a new $7 million fire station within the development. Potomac Yard Development LLC (a collaboration between Pulte Homes and Centex Homes) is pursuing a $700 million project over 165 acres along Route 1 just north of Alexandria with more than 1,973 condo and townhouse units, plus shops, offices and a 300-room hotel. The developer offered to build the new fire station for Alexandria after it was learned that the planned roads in the development might not be able to accommodate a turning fire truck (a nice way of saying that the trucks’ ladders would take swipes out of the sides of the deluxe new townhouses being built). The new fire station, because it will be built to the north and east of the current one, will have different approaches to the neighborhood that will help the turning radius of the trucks. In addition to the new station, the developer is also building 60 apartments above the station for low-income tenants. Residents have protested the plan for a new station, citing fears that moving fire trucks and staff from the station in nearby Del Ray to the new station across Route 1 would delay response times. However, city officials see this as a win-win situation, especially given the aging condition of the old station.

National Gateway Project To See Additional Office Towers

The National Gateway project, the mixed- use development slated for the Potomac Yard area along Route 1 between Crystal City and Alexandria next to Reagan National Airport, appears to be moving forward to its next phase, with this week’s announcement by developers The Meridian Group and Archon Group that they intend to develop an additional six office buildings with over 1.6 million sf of space to join their already planned two 12-story office buildings (440,000 sf, including a 45,000 sf health club) Meridian and Archon expect to start construction on the first two office buildings later this year, with completion targeted for 2009. When finally built (no completion date has yet been set), the overall National Gateway project - which also includes developers Comstock and Camden Realty – will cost over $1 billion and contain the above office space as well as another seven office buildings totaling 2.2 million sf, plus1,550 apartments and condo units totaling 880,000 sf, retail space totaling 210,000 sf ,and a 625-room hotel.

Myerton Abandons Condo Sales

The Myerton Condominiums has closed shop and gone the rental route. The 74-unit building, located just South of Arlington Boulevard on Courthouse Rd., was purchased by JBG and renovated over the past year. Sales began in the Spring but were withdrawn in September. JBG, which bought 555 Mass and converted the new apartment building into condominiums in 2005, has so far retained ownership of the Myerton apartments.

New Townhome/Condo Project Breaks Ground in SoFlo

They may call it Capitol Hill, but to you and me it's in SoFlo (south of Florida Avenue) near Gallaudet University. Ground has officially been broken on Capitol Hill Oasis, a 10-townhome development at 915-935 12th Street, NE - the southern intersection of 12th and K Streets at Florida Avenue, NE. Each townhome supposedly consists of one fully self-contained, four-story dwelling unit — each unit with elevator, five bathrooms and five bedrooms (if you're stylin' enough for a 'vette, judging from the image on the project's homepage). In addition, the developers - 12th Street Partners, LLC, G. B. Herndon & Associates, Inc., and International Concept Homes, Inc. all - are constructing a four-story building containing 16 condo units (a mix of 2 and 3-bedroom units) behind the townhomes. Construction is expected to be completed in Spring 2007, though this might be ambitious. Pricing for the townhomes is believed to be $1.5 million each – quite a hefty price tag. Then again, this up-and coming neighborhood has not seen luxury five-bedroom townhomes before, so we shall see....

Christopher Condo Sales to Begin Next Week

Sales are expected to begin this week for the Christopher condominium project, according to a representative from the Cornerstone Group (which has taken over sales for this project from the Tenacity Group). The Christopher, a renovated 84-unit building located at 3109 Naylor Rd. SE, near the Naylor metro station in Hillcrest, offers some of the most affordable unit prices inside (barely) the DC line, with 1-bedroom units starting at $140,000 (there are also 2-bedroom units available). Delivery is expected for the end of this year.

Cityhomes at 1200 East-West Project in Silver Spring "On Hold"

According to the sales center for Centex Cityhomes, the company’s proposed condominium building at 1200 East-West Highway is officially "on hold" for now, with no other details available at the present time on whether this project is still going to happen. The "Cityhomes at 1200 East-West" project, to be built on the site of an old auto-repair garage and lot across from the recently completed Silverton, was to contain a 14-story, mixed-use building, including 247 condos (ranging in size from 715 to 1365 sf) and approximately 10,600 square feet of retail space on the first floor. Centex purchased the property last May, and was supposed to begin construction this year, with a 2008 completion date. While the Silver Spring plan is now uncertain, it appears Centex is still moving forward with its nearby "Cityhomes: The Pavilions at Takoma" project, a four-story "green" building to be build one block form the Takoma metro station.

Centex Development in Falls Church Stalls

A combination of astronomical asking prices for land and recent residential market trends has Centex Homes reconsidering whether to move forward with its planned role in the development of Falls Church’s City Center village project, to be located at the intersection of South and North Washington Streets and W. Broad Street. The City Center project will contain a public town square, along with a hotel, new grocery store, retailers, office space, and a mix of residential options, including up to 1,000 condo units, over the next decade (though this, too, is now uncertain). However, the job of purchasing the needed land for this project has proven problematic, as landowners are asking between $2.5 and $5.7 million an acre on the north side of W. Broad – the location of the first two blocks of the project that Centex (teaming with Federal Realty) is tasked to develop. Given the significant distance to the nearest metro station, Centex is re-evaluating the worth of this project, and is now in discussions with the city and landowners on the next step, if any. Meanwhile, while the north side of W. Broad is up in the air, the south side of this project, which is being developed by Atlantic Realty, appears to be moving forward, as most of this land has already been bought or acquired.

Eckington Fairfield Residential Groundbreaking Now Set for June 2007

Despite earlier reports that it would be breaking ground this October, it now appears certain that Fairfield Residential and CSX Realty Development will officially break ground on their $150 million mixed-use development at Eckington Place and Harry Thomas Way, NE, in June 2007. This project, located on 4.3 acres across the street from XM Satellite Radio (pictured) and north of the Fedex center just off the intersection of New York and Florida Avenues, will feature three buildings containing up to 675 condo units (though some of these may become rentals depending on the market), 15,000 sf of retail, and almost 800 parking spaces. About 70 of the units will be reserved for workforce housing (for households earning less than 80% of the area median income). One interesting fact about the project is the plan to extend Q Street NE through the project, and connect it to the nearby Metropolitan Branch Trail (which travels under New York Avenue and then becomes elevated over Florida Avenue alongside the Red Line tracks), which will permit residents to reach the New York Avenue metro stop without having to risk their lives crossing traffic on New York/Florida Avenues. The first phase of construction (a 173-unit building and all retail) is scheduled to be done in September 2009.

Washington D.C. real estate development news

Capitol Hill News: Thorton Row Sales On Hold; Jenkins Row Has Units Back on Market

Perhaps reflecting the new market realities that are now shaping the DC residential market, there are some interesting developments coming out of the eastern edge of Capitol Hill. First is Thornton Row at 1220 Pennsylvania Avenue SE (pictured), a "boutique" condo project planned by JPI near the Potomac Metro and the Harris Teeter supermarket in Jenkins Row (also a JPI project). A marketing representative has indicated that sales for Thornton Row are now "on hold indefinitely." No word yet on what this halting of sales means for the project itself, though. Meanwhile, Jenkins Row, JPI’s highly anticipated and long indicated as "sold out" 247-unit project at 1391 Pennsylvania Avenue SE suddenly has units back on the market in all flavors – 1, 2, and 3 bedroom units, ranging from the high $300,000s to the mid- $700,000s. Delivery is now scheduled for late 2007.

Washington DC retail and real estate news

Court Rules Against Arlington County, Church's Clarendon Condo Project

After two years of back-and forth waiting, it appears that The Views at Clarendon project is no longer a viable option, as the Virginia Supreme Court has ruled that Arlington County violated its own zoning regulations when it approved plans two years ago to let the First Baptist Church of Clarendon build a mixed-use church and residential development at its current location at 1201 N. Highland Street. The project would have kept the church's 107-foot steeple, while rebuilding the church (a smaller version) within a 10-story, 116 rental-unit structure (with 70 units reserved for moderately priced housing) that would have helped defray the church’s operating expenses. After the church received zoning-change approval from the County, neighbors immediately objected to the tall tower (heaven forbid Clarendon allow construction of a high-density, boxy building within spitting distance of its new Market Common mall monstrosity), and filed a lawsuit in November 2004 to reverse the decision. While the County Circuit Court judge ruled last year against the neighbors, this September the Virginia Supreme Court reversed the Circuit Court and sided with the neighbors, stating that the County violated its own Zoning Ordinance 27A by not complying with its eligibility requirements. The Circuit Court confirmed the remanded ruling this week (got all that?). Both the church and Arlington County are now mulling over their next steps and options.

Major Residential Project Planned for Fort Totten Area

If approved by the DC Zoning Commission, a new 188-unit residential development might soon be built on 9 acres at 6000 New Hampshire Avenue NE, the former site of a Medstar Health nursing home. The Jarvis Company and Four Points (formerly West*Group) Development have submitted plans to build 61 condominiums, 27 single-family homes, and 100 townhouses to the Zoning Commission, which will decide on October 16 whether to rezone this area to allow mixed residential development (it currently only allows single-family residences). This secluded corner of Northeast DC, mid-way between the Fort Totten and Takoma metro stops, has seen little development in the past – a fact that is expected to keep the unit prices for this project on the affordable side. Project timeline and other details have yet to be released.

Apartments Just a Fly Ball Away

With construction of the new Nationals ballpark moving full speed ahead in Southeast along South Capitol Street, a number of new apartment buildings within spitting distance of the field have recently been announced. First up is Camden Property Trust's 1325 Capitol SW project (pictured), located right across the street from the National's stadium between N and O Streets. The $99 million, 210,000-sf apartment project will be nine stories tall and contain 244 units, mostly one bedrooms with an average apartment size of 860 sf. Construction is expected to start Summer 2007. Camden (the owner) has yet to select a developer. Next up are two apartment projects from residential developer JPI: 70 and 100 I Street, a $210 million project with two towers containing nearly 700 units (completion is scheduled for late 2008); and 901 New Jersey Avenue, a $75 million, 238-unit apartment building set for the block now housing the Nexus Gold Club, a "gentlemen's" club (so, uh, I was told...). 901 New Jersey is set to being construction in 2007 with a late 2008 completion date. Finally, there is Faison's planned residential tower at 1st and L Streets SE. This will be a 14-story, 266-unit tower. Construction started last month, and the tower is expected to be done in late 2008. Make sure to glance to your left when driving down South Capitol – you can tell your kids you remember it when it was all empty lots and run-down warehouses....

Akridge Receives Air Rights for Burnham Place at Union Station Project

DC developer Akridge has signed a deal with the US General Services Administration that gave the company the air rights over the train tracks behind Union Station, allowing Akridge to move forward with its Burnham Place at Union Station project, a 15-acres, mixed use complex to be located over the tracks and to the north and south of the Hopscotch Bridge (H St.), and west of 1st Street NE. The Burnham Place project will contain offices, retail (including medium-sized box store, residential towers, and a 400-room hotel. Burnham Place will also include a “comprehensive intermodal transportation center” that includes a new rail passenger concourse. Akridge hopes its project will anchor the new North of Massachusetts neighborhood (NoMa, for those who haven’t been exposed to this “hip” naming convention) and tap into the over 18 million passengers who use the Union Station metro annually. Akridge anticipates beginning construction in 2009 with the platform over the train tracks – this is expected to take three years to build. Work on the residential, office, and retail will then start.

Anancostia Waterfront Project Selects Winning Developer for $800 Million Project

After months of keeping the DC construction world waiting with "baited" breathe (sorry, bad puns are our specialty), the Anacostia Waterfront Corporation (AWC) has finally announced the DC-based venture of PN Hoffman and Struever Brothers Eccles & Rouse (that will be fun to pronounce for the next decade) as the winning team for its $800 million project to develop the 47 acres along the Southwest waterfront into "maritime-themed" housing and retail, a space now filled with middling restaurants and empty lots. The PN Hoffman and Struever Brothers Eccles & Rouse team (let's just call them the Hoffbrau team) was selected from an initial list of 17 developers. The AWC will sell exclusive rights to the Hoffbrau Team, which will develop the land while providing business opportunities for small, local disadvantaged companies, generating tax revenue for the city. The 2 million-sf development will include about 900 condos and apartments, 360 hotel rooms, 230,000 sf of retail, 150,000 sf of cultural spaces, plus office space, parks, piers and a waterfront promenade. Some of the residential units will be for moderate- and low-income families. Work is expected to begin in 2009, with completion in 2017.

Mount Vernon Place Church Square Project Breaks Ground

The National Capital Revitalization Corporation (NCRC) has broken ground on its $145 million Mount Vernon Place Church Square development, a unique 300,000-sf residential and office complex to be carved out of a piece of (and also above) Interstate 395 at 3rd and H Streets, NW. The project will be tackled in two phases. Phase 1, which was just started, will be a $45 million, 90,000-sf office complex scheduled to be completed by the end of 2007. Phase 2, while still being finalized, is expected to be a 20,000-sf, 300-unit residential building with underground parking, plus a 10,000-sf, kindergarten-through-third-grade school. About 20% of the units are to be affordable housing. Phase 2 is expected to begin in March 2007. The project is being developed by MQW LLC, a joint-venture of the Mount Carmel Baptist Church, the Wilkes Company, and Quadrangle Development, and falls within the larger Mount Vernon Place Initiative, comprising 11 projects on five city blocks between 3rd and 5th Streets, and Massachusetts Avenue and K Street.

Previews Begin This Weekend for The Takoma Condos

Interested buyers will have their first chance to preview the model units for The Takoma, the newly renovated and updated Wedgewood Apartments, located at 111 Lee Avenue in Takoma Park, near the metro station. The Takoma, by NOVO Development, will feature 46 units with hardwood floors, granite countertops, stainless steel appliances, private parking, and a fitness center on site. Studious start at $159,900, one bedroom units at $234,900, two bedroom units at $279,900, and three bedroom units at $329,900. Visit The Takoma Web site - http://www.thetakoma.com - for preview information.

Luzon to Break Ground in Early October

After years of sitting vacant and

forlorn in the no-man's land on Pennsylvania Avenue between Georgetown and Foggy Bottom, its dull yellow paint peeling and metal fire-escapes rusting, the historically designated Luzon apartment building is ready to begin its new life as a high-end condomium. In early October, Intrepid Real Estate LLC will break ground on the new Luzon, which will incorporate the existing building at 2501 Pennsylvania Avenue NW, plus new construction on empty real estate next door. Plans call for 16 large units (2600 to 4000 square feet each) in the eight-story building, with elevators that will open directly into the condos. Pricing is expected to range from $1.8 million to $4.5 million, with the Milan-built kitchen units costing $100,000 per unit alone. The Luzon - originally built in the late 1800s – was designated a historic building in 1990, which ensures its façade will be preserved during this renovation. In addition, the original bell tower at the top will be restored, with retail for lease on the ground floor. With the soon-to-be-completed Columbia Residences and new Trader Joe’s grocery store across the street, the Luzon will certainly be a sought-after address once again.

District of Columbia retail and real estate development news

Ecco Park Sponsors Open House Today

Ecco Park - the new project unveiled recently in Takoma Park, has announced an open house for Today from noon to 3pm. The catered event will promote the much vaunted green project going in one block from the Takoma Metro. Designed by SGA Architects, this project will remove and clean the site now operating as a truck storage area and gas station, offering 85 moderately priced homes a short commute to Silver Spring and downtown.