NCRC, AWC Complete Land Swap; Development to Move Forward

After two years of legal wrangling and waiting, the land swap between the National Capital Revitalization Corp. (NCRC) and the Anacostia Waterfront Corp. (AWC) is finally expected to happen this month, paving the way for development at both the Southwest waterfront site along the Washington Channel and the McMillan Reservoir site in along North Capitol Street. The AWC can now move forward with its $800 million project to develop the 47 acres along the Southwest waterfront into "maritime-themed" housing and retail (pictured). The AWC awarded this project to the DC-based venture of PN Hoffman and Struever Brothers Eccles & Rouse last Fall. Meanwhile, the NCRC can now focus on plans for the 25-acre former McMillan sand filtration property, located just north of the US Capitol. In October, the NCRC announced that 5 development teams responded to its solicitation for development of Phase I of the McMillan site along, with the respondents being Horning Brothers, Republic Land Development, KSI Services, Inc., EYA and EastBanc, Inc. Original plans incorporated massive mixed-use development, including 1200 residential units, with affordable housing, 100,000 sf of retail, a community center and "cultural center." No timeline has been set for choosing the developer.

National Gateway Developer Sells Hotel Portion to Marriott

Meridian Group, which is developing the massive National Gateway project just west of Reagan National Airport with partner Archon Group, has decided to sell the 2-acre plot in the project zoned for hotel use to Marriott International, which is planning to place two hotels (a Residence Inn and a Renaissance) on the site with a total of 625 rooms. No sales price was disclosed, nor is there a known timetable for the hotels to be built. Progress is being made on the National Gateway project, a mixed-use development slated for the Potomac Yard area along Route 1 between Crystal City and Alexandria, with Meridian and Archon reportedly ready to break ground this Spring on one of the project's office buildings, with completion targeted for 2009. When finally built (no final 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 2.2 million sf of office space, 1,550 apartments and condo units totaling 880,000 sf, the two aforementioned hotels, and retail space totaling 210,000 sf, including a Harris Teeter grocery store. Arlington Virginia real estate development news

Shirlington Hotel Approved

Arlington County gave approval this week for a final site plan application by Shirlington HHG Hotel Development on Arlington Mill Drive in Shirlington across from Jennie Dean Park. The proposal for the project, located at the corner of South Stafford St., was for a 7-story, 142-room Hilton (110,000 s.f.) located on a 0.79 acre parcel with street-level retail. The masonry structure with red, blond, and buff colored brick will feature a mix of studio, 1-bedroom and 2-bedroom units, indoor pool, and provide parking with a residential garage located across S. Stafford Street. The entrance will face South Stafford St., and the developer will improve landscaping and sidewalks surrounding the building as part of the project. The county is requiring a minimum LEED score for the project, though the developer does not intend to seek certification for the project.

This hotel was initially given the green light by the County Board in late 2000 as part of a larger development by the Federal Realty Investment Trust, a nationwide developer which has been a shaping force in Shirlington. The completion of the hotel will be the final element of the Phase II plan.

Abdo to Expand Arlington Holdings, Buys Land Across From Its Mercer and Wooster Project

Jim Abdo must like what it sees when surveying the sites from his new Mercer and Wooster Lofts condo project in Arlington along Clarendon Boulevard between Rosslyn and Courthouse. That would explain his company’s recent purchase for $42.2 million of five lots, bounded by North Quinn, and North Queen Streets, 16th Road and Clarendon Boulevard, across from his existing complex. While no plans have been drawn up yet for this stretch of street, Abdo is contemplating building residential condos. Currently the lots hold aging garden apartment buildings and a single-family home – most likely these will be demolished. Sales at the Wooster and Mercer Lofts (pictured) started last Fall, with delivery expected this year. The Mercer will house 34 condo units averaging about 1,500 sf, while its sister Wooster will contain 53 units. Both brick structures will feature 17-foot ceilings and floating stairs, penthouses with 21-foot high living spaces, private roof terraces, and underground parking and storage. There will also be a garden pool between the buildings. Pricing begins in the $500,000s and goes up to $2 million.

Camden USA Buys a Piece of NoMa Pie

Last week, Camden USA purchased 60 L St., NE, a 71,000 s.f. site, joining the laundry list of developers vying to join the NoMa development surge. This location has become a hot potato, belonging to three different companies in the last three months. As we previously reported, 60 L St. belonged to J Street Development and was called “First Place”; it was then sold to Tishman Real Estate Services. While Tishman won’t comment on the quick turnaround of land ownership, the lot was then sold to Camden USA, a Houston-based company with projects throughout the Mid-Atlantic and lower half of the United States, which plans to turn the site into a two-building, 700 residential unit project designed by WDG Architecture. Located between Tishman Speyer’s remaining property on L Street and J Street Development’s Property on North Capital St., Camden’s “luxury” apartment high-rises will begin the first phase of construction in mid 2008. Ginger Ackiss, Vice President of Camden’s Real Estate Investments in the DC area, said the first phase will include 315 “luxury” apartments rather than condominiums, followed by 375 units in the second phase. While the project is still in the permit process, Camden is happy to have its foot in the door. Ackiss said, “We wanted to get into NoMa because of all of the development going on there, we see the area transforming and we would like to be in that mix.” According to Ackiss, the DC and Dallas-based architect, experienced in residential properties including the Potomac Promenade Condominiums on the National Harbor, will begin the design process next month.

Rockville Town Center Project to Start Construction in Early 2008

After two years on maneuvering, Duball (a joint venture between Reston-based Duball LLC and LA-based CIM Group) is now expected to break ground in early 2008 on its Rockville Town Center project, a $240 million, two residential-tower complex in downtown Rockville just one block west of the Rockville metro station and bounded by East Montgomery Avenue, Maryland Avenue and Monroe Street. Duball plans to develop 485 homes, 45,300 sf of street-level retail, and about 1,400 garage spaces on this 3-acre plot, with architecture by Torti Gallas. Final project review by Rockville planning officials is scheduled for this month, after which applicable permits will be acquired. Construction is expected to be completed by 2011. While these units are believed to be condos, there is still a possibility that the developer will instead make them rentals. If apartments are built, then a hotel might also be constructed on the site (an approved use according to Rockville officials). The Rockville Town Center project has gone through some morphing over the years, with Akridge being the original owner of the site and planning a tall 300-unit building that met opposition due to its height. In 2006, Akridge sold the site to Duball for $34.5 million.

Progress in Pointe at Cheverly

Cheverly, Maryland will soon host the Pointe at Cheverly, a new condo project expected to break ground in the fall. This two-building, 244-unit project, developed by DC-Based Republic Land Development, LLC and Maryland-Based Stepping Stones Development, LLC will offer a pair of four-story buildings built over a two to three level-parking garage with room for upwards of 300 vehicles, built as a gated community. Known for their large-scale mixed-use projects including residential development of the Washington Harbour in Georgetown and Market Square at 701 Pennsylvania Ave, Republic’s development will combine five separate plots of land, totaling 3.34 acres, and replace a one and a half story office building and several empty lots. Designed by Morris and Ritchie Associates, the site will include open space for a swimming pool, courtyards, and a sundeck. Cecil Brown, the Project Architect at Morris and Ritchie, said of the first project of its size to be built in the area, “We wanted to bring a contemporary if not modern feel to the community. We wanted to sort of change the design process in that area.” According to Stacy Hornstein, Republic’s Director of Development, building on the southwest corner of 57th and Annapolis road will begin after the purchase contract with Prince George’s County Redevelopment Authority is completed in the fall; the team is currently in the process of filing for permits. The Cheverly Newsletter reported in October that the average estimated selling price for the units was about $350,000. The project's estimated completion is mid 2009, but sales are expected to begin in May. According to Ken Stuart, Deputy Director of Capital Markets for PGRA, the Prince George’s County Redevelopment Authority will work with the developer to provide below market interest rates to buyers.

H Street Project Finally Gets Go-Ahead

On February 6, the DC Board of Zoning Adjustment unanimously approved plans submitted by H Street Ventures LLC to build a mixed-use development at 601-645 H Street, NE. H Street Ventures wants to turn this stretch of block into a 312,000-square-foot residential, retail and office complex valued at nearly $150 million. According to documents filed with the Board, the developer is hoping to build 240 residential units (no decision yet whether condos or rentals), with 13,000 sf of retail space and 180,000 sf of office space. This project had faced much community opposition since its proposal last Spring, with the main concern focused on the nine-story building H Street Ventures was hoping to build between two existing buildings in this space, specifically its height and scale compared to the rest of the block (citing that it violated the H Street Overlay guidelines regulating the construction of buildings over 6,000 sf, thus necessitating a special exception). The developer subsequently worked with neighbors to reach consensus on a reconfigured, more pleasing scale for the building that adhered to all the other Overlay guidelines, and proved its exemption would not set a bad precedent for future construction on H Street. Construction is expected to start later this year, with completion in 2009.

JBG Looking to Develop Next to Red Line’s Glenmont Metro Station

Developer JBG has big plans to mine the untapped potential of the underdeveloped strip of upper Georgia Avenue running past the Metro Red Line’s last stop at Glenmont (officially located at 12501 Georgia Avenue, north of Layhill Road). JBG has reportedly reached a deal with the owner of Privacy World, a 1960’s era, 352-unit apartment complex just north of the station at 2501 Glenallan Avenue, and the developer hopes to build a new, large mixed-use complex on the 31-acre site. The JBG project would include a total of 1,550 residential units (including 250 townhomes) and 90,000 sf of retail space. There will be a 12.5% unit set-aside for affordable housing. The developer is looking to also include an upscale grocery store and restaurant. If approved, construction is expected to begin around 2010 and continue over the next 15 years. JBG’s transit zoning application for this project is expected to be considered next week by the Montgomery County Planning Board.

Suitland Metro Station to See New Center of Development

After 20 years of buying land and a four-and-a-half year zoning process, Kevin Sills, President of Oakton-based Mid-Atlantic Real Estate Investments, is planning to break ground late this summer on a 22-acre, mixed-use residential and commercial development near the Suitland Metro and across the street from the future site of Prince George’s County Redevelopment Authority’s Suitland Manor. The $800 million Town Center at the intersection of Silver Hill and Suitland Roads will have 1 million s.f. of retail and office space as well as 1,100 residential units, likely including condominiums and apartments. The project, which will replace several houses, two strip malls, and several unimproved lots, all owned by Sills, will include retail and office space on the first floor, with the residential units on the upper floors. Mid-Atlantic is in the process of replacing the project architect and plans to select a land planner within three months; no renderings have been released thus far. In the meantime, Mid-Atlantic plans to begin demolition soon, breaking ground on a 16-acre portion of the site late this summer. Mid-Atlantic, whose past projects include primarily industrial and professional centers such as Coral Hills Shopping Center in Capitol Heights, is currently in the final stages of an $8 million interior and exterior renovation on a nearby office building that, upon completion in the next month, will house the Prince George’s County Health Department.

Club at Quincy Project Expands to Neighboring Funeral Home Lot

Florida-based WCI Communities, which originally planned to build its new 12-story mixed-use condominium building completely in the parking lot of the Arlington Funeral Home property on North Fairfax Drive, has now announced that it hopes to expand this development to cover the existing funeral home building land as well. The Club at Quincy project, located in Virginia Square at 3901 N. Fairfax Drive, will now be a 124-unit condo complex, with WCI first demolishing the funeral home then building the condo building and a new funeral home on the site. The condo units are expected to average 1,200-1,300 sf. Pricing has not yet been set. With the additional space now afforded by this expansion, WCI plans to also include 3,440 sf of ground-floor retail and a 75-seat community theater to the complex, as well as a landscaped deck with a pool and spa. The project is being designed by WDG Architecture. WCI is still going through the approval process, but hopes to start construction by early 2008.

A Second Chance for First Baptist Church of Clarendon Project?

Contrary to what F. Scott Fitzgerald once wrote, sometimes there are second acts in America. Last October, dcmud reported that - after two years of much back-and-forth waiting - it appeared the First Baptist Church of Clarendon’s "The Views at Clarendon" project was off the drawing board, as the Virginia Supreme Court ruled that Arlington County violated its own zoning regulations when it approved the church’s plans in 2004 to build a mixed-use church and residential development at its current location at 1201 N. Highland Street. However, just last week the Arlington County Board of Supervisors surprised everyone and decided to once again take up this project, citing the need for more affordable housing in Arlington. The church has resubmitted its plans, and the Board, with the court's required zoning changes in place, will hold a vote on the project on February 24. "The Views at Clarendon" project will keep 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 help defray the church’s operating expenses.

The long tale of this project will make a nice novel one day. When the church originally received zoning-change approval from Arlington for this development, neighbors immediately objected to the tall tower, and filed a lawsuit in November 2004 to reverse the decision. While the County Circuit Court judge ruled in 2005 against the neighbors, in September 2006 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. Stay tuned for the next chapter in this saga....

Crystal City Office-to-Residential Conversion Expected to Start this Spring

Feeling the residential boom immediately to its south along Route 1 down to Alexandria, and finding itself with plenty of suddenly empty office space due to the US government’s recent base realignment and closure measures, Crystal City is making big strides to transform itself into a more residential-friendly neighborhood. First up is Charles E. Smith Commercial Realty’s plan to gut and convert Crystal Plaza 2, located at 220 20th Street S., from almost 200,000 sf of office space to mixed-use residential. The company expects to start the conversion this Spring, with a target completion date of Spring 2008. Crystal Plaza 2 was once home of the US Patent and Trademark Office, before the agency moved to Alexandria in 2005. According to Arlington County records, Crystal Plaza 2 was approved last September for 266 residential units (including six additional floors on top of the existing structure), plus 29,000 sf of retail space. The building will also be re-skinned with new glass and metal. No final decision has been made yet on whether the units will be rentals or condos.

Centex Sells Pavilions at Takoma to New Developer – Project Back On, But As Rentals

Just when you think you’re out, they pull you back in. Yes, real estate and the Godfather have plenty in common, none more so than the more things change, the more they stay the same. Just weeks ago, Cityhomes by Centex Homes announced that it was canceling its Pavilions at Takoma project and not moving forward with this development. But now arrives word that the company actually is in the process of selling the project to another developer, which plans to build it more or less as originally rendered, but then offer the units as mostly rentals rather than condos. The new owner has not yet been identified, though Centex has confirmed the sale. The Pavilions at Takoma originally began condo sales in November, with prices starting in the low $200,000 range for studios in a LEED-registered, four-story building at 7023 Blair Road NW, just one block from the Takoma metro station. Expected rental prices are not yet known at this time for the revived project.

Washington DC commercial real estate news

Douglas Development Brings Sister Apartment Buildings to Takoma Park

Douglas Development met with Takoma Park residents last week to present plans for a pair of 55,000 s.f. sister apartment buildings to be built between Willow and Maple Streets behind the once hotly debated CVS on Carroll Street. The buildings will be named after their respective street proximities, just three blocks from the Metro Station. The transit-oriented project will be built on several vacant lots and will force the relocation of three existing homes. Douglas Development, known for its work in Penn Quarter and commercial development, worked with GTM Architects, which has designed several multi-family homes including Tenley Townhomes. Each building will consist of four levels, three above ground, and a basement floor. The suburban-styled complexes will include balconies, detailed windows, and a large surface parking lot to provide one spot per dwelling. And though an apartment project is more savory than what often goes on behind drug stores, there has been a mixed reaction from the traditionally development-resistant neighborhood.

According to Melissa Cohen, an architect at GTM, "They (the neighbors) are skeptical. I think development is difficult and some of the projects in the neighborhood haven't been completed as they might have liked so there is some resistance." Cohen added that Douglas still has to meet with the Historic Preservation Review Board and the Zoning Commission; under ideal conditions, it will be another two years before the Maple and the Willow break ground. In related news, SGA Architects is currently preparing to build Ecco Park, an 85-unit condominium nearly across the street.

Dakotas Condo Project Near Fort Totten Ready To Roll

After years of planning and dreaming, it appears residential development is about to begin near Fort Totten metro, one of the few stations that has not seen a construction boom over the past years. Work is about to start on Phase I of The Dakotas, a $300 million, 10-acre project containing 800 mixed-income condo units and apartments, a grocery store and restaurant, plus needed retail stores for the area (80,000 sf of retail total). The Dakotas will be located at Riggs Road and South Dakota Avenue (on both sides of Riggs), just a block or so from the metro station. The developers for this project are Lowe Enterprises, Jack Sophie Development and Ellis Denning Properties, who also envision creating landscaped green space for public use, along with well-lit and landscaped pathways connecting The Dakotas and the Fort Totten metro station. The project will be comprised of low-rise, wood-framed buildings, with fitness rooms and rook decks for residents. The condos are expected to be priced starting in the upper $100,000s for a studio to almost $400,000 for two-bedroom and den units. Development of this size has not occurred yet in this part of town, so it will be interesting to see if and how it transforms the area, and if it sparks some more development for this corner of upper Northeast DC.

New Hampden Lane Condo in Bethesda Moves Forward

Having secured rezoning approval last September from the Montgomery County Council, Hampden Lane Associates LLC has submitted its proposed plans to build a new seven-story, 60-unit condominium in the northeast quadrant of Hampden Lane and Arlington Road on the lots now occupied by five single-family homes (now used as commercial offices) at 4913-4921 Hampden Lane. Nine of these condo units will be moderately priced dwelling units (MPDUs). The Hampden Lane plan, just two blocks from the Bethesda metro, will join a number of new residential projects in the downtown Bethesda area, including the renovated Chase (377 condo units), the Bethesda Row extension (180 rentals), 7001 Arlington Road (111 condo units), and 4901 Hampden Lane (70 condo units). With this project moving forward, the county, which originally planned to build a 12-unit homeless transitional housing project on the site, will now construct this transitional housing adjacent to the future Hampden Lane condo structure.

JPI to Start New Jersey Avenue SE Project This March

As previously reported in dcmud, construction projects around the Nationals ballpark in Southeast are starting to heat up in anticipation of the stadium’s opening in Spring 2008. The latest development centers on JPI’s 13-story, 244-unit residential and retail project planned for the 900 block of New Jersey Avenue SE (bounded by 1st, I and K Streets SE), near where the Nexus Gold Club used to define fabulous living of a different sort. JPI’s building and excavation permits have been approved, and the developer expects to start demolition on the site this March.

J Street Development Company Set to Revamp Two NoMa Corridor Lots

For some, the term "NoMa" is reason to shudder and damn the group of individuals who coined a focus-group term annoyingly similar to SoHo. Love it or hate it, NoMa is transforming, and two of those changes will feature DC-based J Street Development Company: One to take place at 1111 North Capitol Street between L and Pierce Streets, the other at 60 L Street. On North Capitol Street, J Street will redevelop a warehouse used by the Smithsonian Institution to prepare up-and-coming exhibits, turning it into a yet-undetermined combination of housing, office space, and retail stores. The majority of the property is owned by J Street, though a small portion of the lot, "Lot 29", recently sold to Tishman Real Estate Services. Paula Gaskins, an Executive Assistant at J Street, said the company is still in the zoning and permit stages. The building's lease to the Smithsonian doesn't expire until September 2011, so demolition and rebuilding won’t begin until at least that time, but Gaskins noted that "nothing happens overnight, so we are going through the steps because it is a historic building." J Street Development Company’s other NoMa development, "First Place", at 60 L Street (pictured) was bought just a year ago, and is now in the master planning stage. One block south of the New York Ave Metro station, First Place will include 500 residential units, office, and retail space when completed in 2009.

Arlington Apartment Demolition Makes Way for Affordable Housing

A new affordable housing project got underway Wednesday, when Arlington-based AHC started demolition of the Fairview Manor Apartments to make way for The Shelton (rendering pictured), a 94-unit apartment building dedicated exclusively to affordable living. The $27 million project, located at 2310 Shirlington Rd. in the Nauck section of Arlington, replaces a dated 22-unit apartment building that provided HUD Section 8 homes. Prominent DC architects Bonstra | Haresign designed the new 4-story building to include 108 underground parking spaces and 94 units for a range of low and moderate income tenants in a structure that progressively departs from dominant affordable-housing design, employing a lively masonry facade and window appearance. Said David Haresign, architect for the project: "Affordable housing and high-quality, thoughtful design are not mutually exclusive...."

The Shelton should be ready for its first tenants, with incomes from 40 to 60% of the AMI, in 18 to 24 months, and will offer studios, one, two, and three-bedroom apartments. AHC acquired the property in 1983, and received approval for this project one year ago from the Arlington County Board. Joe Weatherly, Project Manager for AHC, says the design was the result of close cooperation with neighbors, who ultimately endorsed the project. Construction will be performed by Harkins Builders.