The Waiting Game in Mt. Vernon

Mt. Vernon Triangle, on Penn Quarter's northern fringe, could be a poster child for the glaciated development world. Developers now play the waiting game for Mt. Vernon to become an "extension" of the downtown corridor, land occupied by supposedly temporary parking lots remains asphalted, and the unfinished lots seem to symbolize the unrealized potential of a downtown revitalization. Here are a few of the buildings that are thisclose to adding chapters to the Mt. Vernon book. At Mount Vernon Place, Quadrangle Development and their co-developers, the Wilkes Company, are shopping with their broker, Meany&Oliver, for tenants of two planned commercial buildings at 300 and 400 K Street. Originally designed by Hartman Cox with a masonry shell reflective of the surrounding condos, 400 K's 421,677 s.f. and 300 K's 223,869 s.f. have new designs by Davis Carter Scott, now with floor-to-ceiling glass. The larger of the two, 400 K, has a dual-core that can be built in two phases of 210,839 s.f. each with over 23,000 s.f. allotted for retail. 300 K offers over 10,000 s.f. for ground floor retail and the average floors above ground have approximately 21,644 s.f. But even once a lease is secured, estimated delivery time is 24 months - meaning parking will remain. Down 3rd Street from 300 K lies another Quadrangle empty lot at 3rd Street and H Street NW, abutting the 100,000 s.f. office building whose use (AIPAC headquarters) remains a closely guarded secret. A planned residential building, the Cantata, will someday offer 351 units, joining the neighboring Madrigal Lofts and Sonata Condominiums; the developer's unfinished residential symphony. Passersby on Massachusetts Avenue will surely have noticed the blank walls of the AIPAC building at 251 Massachusetts Ave. (above, right), where architects at the Smith Group have left space for the development in waiting. Neighboring 400 K is 425 Eye Street, where Paramount Development and their architects at SmithGroup are performing a full-body makeover on one of the few projects actively moving forward - the former home of the U.S. Immigration and Customs Enforcement (ICE) Agency (rendering below left). The 370,000 s.f. building will offer 30,000 s.f. of ground floor retail/ restaurant space. Construction began summer 2009 and the building should deliver by June. On both the office and retail fronts, brokers indicate they have no contracts "in hand," but a few tenants have been "kicking the tires." Bill Miller, a broker at Transwestern Property Co., is putting stock in the recently secured Buddha Bar coming to nearby 455 Massachusetts. Miller sees the bar as a way to change people's perceptions of Mount Vernon and to connect it in their minds to the 7th Street corridor of nearby Chinatown/Verizon Center. On residential front, the Esocoff & Associates-designed Dumont has been in a bad way for quite some time, coming to a peak with its December 2008 foreclosure and now Ideal Realty Group (IRG), which specializes in multifamily and distressed/bank owned properties, is representing the Lender as a selling agent for the property. Lender PB Capital issued a foreclosure notice in December 2008 when the New York-based developer, The Broadway Group, failed to secure enough deposits to meet the lender's demand. Fully built and starkly empty, the Dumont and its perfectly manicured lawns and shrubbery frame Massachusetts Avenue, promising luxury condos, but most developers that have eyed the project have been more keen on conversion to apartments or even a hotel. Farther down Massachusetts Avenue sits another vacant lot, the future home of the Arts at 5th and I, which Donohoe Companies won the right to develop in September of 2008, promising a high-end hotel, retail outlets and jazz club. According to Memphis Holland of Holland Development, co-developer with Donohoe, the group is still "waiting on the city to finalize our deal with them so we can move forward with the design and with neighboring property owners." More waiting. The lots adjoining 5th and I, 443-459 Eye Street were also the planned site of the now-defunct Walnut Street Development (WSD) Eye Street Lofts project. Though rumored to have sold the property to JBG in 2008 when the shakedown on Arts at 5th and I was about to happen, Walnut Street retained the land. Without the Arts project in hand, JBG opted not to purchase the neighboring lots. Bill McLeod, Executive Director of the Mt. Vernon Triangle CID, indicated it was unlikely that Donohoe would absorb the neighboring properties on Eye Street. Demers Real Estate represents the lots that encompass 443 through 455 Eye street. According to Jon Wilson of Demers, Walnut Street never actually purchased the properties from 443 through 455, though they had been an integral element of the planned residential development, leaving them un-aggregated and, incidentally, some of the rare space actually being converted to use as artists' lofts in place of the old autobody shop, Gold Leaf Studios, the brainchild of Mike Abrams. The property at 459 Eye Street remains under Walnut Street's ownership, according to public records, though the property currently has a Mechanics lien placed on it by the former project architects Eric Colbert and Associates. Still, Jeff Miller, a Managing Principal at Prospect Diversified and board member of the Mt. Vernon Triangle CID, said that though development to date has largely "been multi-family in nature" he expects that "given the dynamics of that market, it will continue to improve." Miller added that the commercial development in Mt. Vernon, given the access to multiple metro lines, will "make the area a natural progression as downtown and the east end get fully leased." We don't expect to be writing about that any time soon. Update 11/11/09 As several readers and developers involved in the area have mentioned the new David Black sculpture installed in front of the Bus Boys and Poets at the corner of 5th and K Streets NW, we decided to include an image as Exhibit A that not everything is stalled in the area. It's a stretch, we know. The DC Commission on the Arts & Humanities, in collaboration with the Office of Planning, CityVista, Mount Vernon Triangle Community Improvement District selected Black, with the Commission allocating $250,000 to sponsor this project through it Public Art Building Communities grant.

Washington DC commercial real estate news

The Dirt on... Capitol Hill (East)

Neighborhood Vibe:

I live in a 1-bedroom condo with my husband. Let's call it cozy. Our condo building is home to law students, Hill staffers and long-time residents. My downstairs neighbor is a retired woman who has lived at our intersection for so long, she remembers when the new condo around the corner was a crack house (no joke). My condo could be a microcosm for the area: an odd mix of young professionals, young families, long-time residents, and active older people.

There are slight tensions in the neighborhood as Hill East continues to grow and change. When I was writing freelance from home I used to joke that as the underemployed political wonk next door, I was personally killing the street cred of the kids around the corner. Joking aside, my husband and I have had a couple unfortunate incidents with people in the neighborhood: first, he was mugged last September, then he and a friend were both shot with a pellet gun one night, and recently we had fruit catapulted at us as we walked home. The upside is that the police are incredibly responsive and very good about following up on reported incidents. (Both the mugger and the shooter were later caught, we decided not to report the fruit pummeling.) And since the perpetrators are at least creative; their entrepreneurial spirit gives us great stories for cocktail parties.

Retail and Restaurants
The occasional un-neighborly conduct does not overshadow the positive parts of living in Hill East. I love living in a neighborhood within a large city and having almost anything I want within walking distance. I have a new grocery store with the Jenkins Row Harris Teeter. I can walk to Eastern Market for not only fresh local produce, meats and fantastic cheeses but how convenient is it to be able to buy handmade jewelry, Indian pottery and a gently used couch all within 20 feet of each other? I even bought my "room-defining" painting from an artist at the Market.

The area is home to tons of thriving small businesses. Hills Kitchen is among my favorite shops in DC, not just my neighborhood. The independent gourmet kitchenware store is a great place for unique gifts or for an aspiring chef to stock up on the newest Staub dutch oven - and, they even offer cooking lessons. Owner Leah Daniels cares about her neighborhood and clearly loves her job; she spent several hours (after the shop had closed) working on my wedding registry and walking through the store, debating the pros and cons of various items. Who does that anymore? Nearby, Remix is one of the best vintage clothing shops around - with new items coming in all the time and reasonable prices, I love to stop in to browse, and rarely leave empty-handed. On the more practical side of retail is Frager’s Hardware. No matter what you need for home repair, Fragers will have it - along with other surprises like camping gear, bocce balls and bubble machine rentals. They also have a great garden section, where I have bought my Festivus (for the rest of us) Fern the past several years.

Hill East proper doesn't really offer much in the way of restaurants or bars. There are a few, such as Trusty's and Wisdom, but for the most part I need to go elsewhere for dinner or drinks. Luckily I don’t have to go too far. Barracks row/8th street is becoming a thriving restaurant and bar corridor. One of my favorite locations is Belga Cafe for their amazing Belgian beer list. A more recent arrival and family-friendly food establishment is Matchbox. Down the street two new bars, Molly Malone’s and Lola’s, offer comfortable locations to hang out, watch the game and get late night bar food (Lola’s serves food until 1 AM on the weekend). If I am looking for a more intimate and upscale setting, Sonoma Restaurant and Wine Bar has a fantastic wine list as well as good food, cheeses and charcuterie (though you might want save this for special occasions and pass on the $16 cheeseburger).

One exception to the walking distance rule is the National's Stadium, but no fear! The Circulator bus picks up on 8th street and takes me right to the Navy Yard Station--the bus is probably one of my favorite parts of going to the Nat's games.

Coming Soon
There are also some new additions planned for Pennsylvania Ave near Potomac Ave metro. Annie and Teddy's Po Boys, a New Orleans style cafe with inside and outside seating, is Joe Englert's newest project; Englert is the man behind DC9, The Big Hunt, The Pug, Rock and Roll Hotel, etc. The new cafe would feature live jazz music 4 days a week (Thurs-Sat night and Sat-Sun brunch). I wouldn't quite call Hill East "on the verge," but I would definitely say it's getting there.

TransportationThe closest metro stations to Hill East are Potomac Avenue and Stadium Armory and Eastern Market. The 34 and 36 buses, which can take you to downtown, Georgetown and all the way to Friendship heights, stop at the Potomac Avenue Metro station, as does the B2 bus, which is your round trip ticket to H St. NE. There are lots of other buses, but honestly, I don't take them that much. There are also tons of ZipCars nearby several right across from the metro and lots stashed in residential areas.

Is it for you?
For some people my age (20-something), the Hill doesn't offer enough of the urban bustle they want. No, it doesn't have the edginess of U Street (we've got the crime, just not the trendy bars) or the nightlife of Dupont or Adams Morgan (we have a jumbo slice, but it's never crowded). Most lights are out by 10 PM - both bars and houses. And the tree-lined streets of Eastern Market are frequented by families with strollers. Call me old beyond my years, but I'd rather have to cab, bus or metro somewhere to go out for a rowdy evening, than have that kind of noise and crowd near my home. So I'll continue to love the bar crawl scene on H Street with a cab ride back to my generally quiet neighborhood (barring any fruit attacks).

I moved to Washington for a school, for a job, and for a lifestyle no other city can provide. I choose to call Hill East home because when I walk to the metro, crossing Pennsylvania Avenue, the Capitol Dome view gets me every time. Washington is my city and Hill East is my neighborhood.

Washington DC real estate news

Buzzard Point Gets Attention

A little-known area in the southwest waterfront will get a lot of attention when the American Planning Association (APA) spends four days this month analyzing Buzzard Point, the southern promontory of southwest DC, where the Anacostia and Potomac converge. The Planning Assistance Team (PAT) intends to produce a series of recommendations for further study and suggested visions for the future of the area between South Capitol Street and Fort McNair. The PAT will speak with stakeholders and property owners, and a public meeting to review the recommendations will likely be held on Saturday, November 21st at the Police Building on M Street SW. Details will follow as the event approaches. The area is zoned within the Capitol Gateway Overlay for mixed use of commercial and residential; the APA's review is significant because the area currently has no master plan. A hodgepodge of industrial buildings, Buzzard Point will continue to be the home of the U.S. Coast Guard Head Quarters until its move to St. Elizabeths in Anacostia. It will also be the terminus point for two of the planned DDOT street car lines.During the four-day period the PAT team will speak with area property owners such as Monday Properties, Akridge and Douglas Development as well as representatives from the War College, Fort McNair and other area civic associations. After the four day evaluation, the PAT will make recommendations available at a public meeting, which will be an opportunity for feedback and further suggestions from the community. Michael Stevens, AICP and Executive Director of the Capitol Riverfront BID, said a final report could be expected within two months of the APA evaluation. From that point the report will go to the Office of Planning, Office of the Deputy Mayor for Planning and Economic Development, and to the District Department of Transportation for review and consideration. Stevens hopes the Office of Planning will ultimately develop a Small Area Neighborhood Plan setting out zoning changes and offering a broad vision for the community, which until now has consisted of a few large development firms on an interesting but largely unknown spit land, with only hopeful ambitions of what it some day may become. 

Washington DC commercial property news  Top image from the Capitol Riverfront BID.

Eckington's St. Martin's Still a Source of Tension

Originally scheduled for completion in the first quarter of 2010, Eckington's St. Martin's Apartments are coming together, according to church authorities and architects involved with the project - although, November of 2010 is now looking like the more likely date for completion.  Washington DC based NorthStar Development and Consulting partnered with St. Martin's on the apartments which will ultimately be controlled by The Catholic Charities of the Archdiocese of Washington through a subsidiary. Those curious about the progress on the 178-unit affordable apartment complex located at 116 T Street, NE can now see the recently installed windows, according to Lenora "Chick" Bowser. Built atop St. Martin's land, the four-story complex (plus one story of parking below-ground) has been billed by Parish Pastor Michael Kelley as "The Largest Affordable Housing Project in DC." All units are rental and all are offered below the market rate with one-bedroom public housing units available at 30% AMI and two-bedrooms available at 60% AMI. That's either great news for working families or a ticking property value time bomb for local property owners - depending on who you ask. The project has faced community roadblocks since its inception in 2005 when Hamel Builders was given the unique opportunity to roll the convent 80 feet east of its 116 T Street, NE lot to avoid razing a potential historic site.

  

According to Milan Mehta, Grimm & Parker's lead architect on the project, the convent will now hold six units built in accordance with Historic Preservation guidelines, with the other apartments contextual with the neighborhood. "We tried to break up the façade so that it mimicked the homes to the [Todd Place] side," explains Mehta, adding that the designers included a "grander frontage and greater street presence on the T Street side," facing McKinley Tech and Hyde School.

But design aesthetics—including an E-shape somewhat reminiscent of Sursum Corda's horseshoe design—aren't the only concerns some of the area's neighbors have with the 241,000 s.f., $41 million project. At a time when the New Communities initiative has sold the District on the idea that mixed-use, mixed-income, rent-or-own developments will spark progress in neighborhoods, some Eckington residents feel this development will have the exact opposite effect - namely, that it will concentrate poverty and crime into one designated area.

For their part, church officials and developers have repeatedly dismissed these charges as naive mischaracterizations of future St. Martin's residents. "This development will be mixed-income," counters Chapman Todd, director for housing development at Catholic Charities, adding that although the development is a stand-alone development separate from the New Communities initiative, it will serve as "an asset to a vibrant community in need of more affordable housing options."

As for the similarities to failed public housing projects like Sursum Corda, Todd assures that the St. Martin's Apartment design took into account neighborhood concerns about "common areas being open to the street" by placing features like the toddler play area, gazebos, and courtyard terraces one floor above street-level. Whether or not such steps help soothe community concerns, Todd is certain that as the building nears completion, everyone involved will continue to work "to be present for the community and ANC, Bloomingdale Civic Association and Edgewood Neighborhood leaders."

Washington DC retail and real estate development news

Silver Spring Library Design Final Forum Saturday Night

Design of the new Silver Spring Library, attracting lovers and loathers alike, is nearing its final design, and the public will have one last chance to influence the outcome when the final of numerous public design meetings takes place tomorrow at 1pm, at 8901 Colesville Rd.

Officials expect work to begin on the site in mid 2010, though library construction will not start until officials have reached agreement on final design for the building, including how to incorporate the Purple Line, station and all, into the site.

Work on the new library, at the corners of Fenton, Wayne and Bonifant Streets in downtown Silver Spring, has been underway for more than a decade, for a site that will incorporate the library and likely a residential building next door.

The 7-story building will be multi-purpose, with an art center, library, and county office building. The building is being designed by Lukmire Partnership, a locally-based leader in library design.

Congress Passes Homebuyer Credit

After the Senate's approval yesterday (98-0) of the extended homebuyer tax credit, the House followed suit and passed H.R. 3548, which includes a tax credit amendment, putting the bill in the lap of President Obama who is expected to sign it into law. The bill extends the tax credit and widen its breadth to include more buyers, who now have until April to dither. The new law will extend the $8,000 credit for first-time homebuyers who contract for a property by April 30, 2010 and settle by July 1. Unlike the current law, homebuyers that are not first-timers will get a $6500 federal tax credit, and raise the qualifying income from $75,000 to $125,000 for singles and from $150,000 to $225,000 for couples. In a small dose of fiscal restraint, Congress this time around capped the purchase price at $800,000.

Senate Approves Extension and Expansion of Homebuyer Tax Credit

Yesterday the Senate voted 98-0 to extend the first-time homebuyer tax credit and to add a new group of buyers to the fold. The extension means buyers have until April 30, 2010 to sign a purchase agreement and until June 30 to close. The House will vote later today.

Previously only first-time buyers could qualify for a tax credit (worth $8,000). Now, buyers who have owned their current home for at least 5 years can qualify for $6,500 towards a new home. The $8,00 credit will go to both first-timers and those who haven't owned a home in three years. To qualify the homes must be less than $800,000 and buyers can make up to $125,000 per individual or $225,000 per couple (now capped at $75,000 and $150,000).

EYA Moving Forward at Brookland's St. Paul's College

Now that EYA's townhomes in the Navy Yard area are selling and construction is moving along, the developer is setting its sights on the planned townhome project for Brookland's St. Paul's College. Coming off their May 2009 Planned Unit Development (PUD) approval, EYA is finalizing the architecture and engineering plans to move forward with permit applications. Designed by the Lessard Group, the new townhouse development, according to the developer, should begin construction in summer of 2010, with sales beginning as soon as May 2010. VIKA, Inc. is the project engineer.

The 237 single-family units will be built on approximately half of the 20 acres, abutting the Trinity and Catholic campuses along 5th and 6th Streets NE. The townhouses will range in sizes from 14 to 18 feet wide and including between 1,400 and 2,100 s.f., selling between $450,000 and $550,000, with 28 units set aside as affordable housing.

Jack Lester, EYA Vice President, estimated the total cost of the project will come in at a hefty $100 million. When asked about the purchase price, Lester was unwilling to disclose an exact amount but indicated that it was based on a "complicated formula;" the developer paid a fixed amount up front, with a formula for additional payments based on sales. EYA is currently under contract to purchase the property; sales and construction will start after settlement in May of 2010

EYA originally won out over a field of 12 to 15 other developers who responded to a solicitation of interest put forth on behalf of the Paulist order, which plans to retain ten acres that include the school and offices. Lester said his team bested its rivals because the property owners would be a more "sensitive" neighborh; the Paulists apparently prefer to look out on 237 townhouses, rather than commercial space or a residential property with more build out.

Lester added that with all of the "exciting things happening" in the area, EYA was glad "to be part of the vibrant community."

Council Approves New Southwest Fire Station

Today the Washington DC Council approved the Land Disposition Agreement for 4th and E Streets SW, and 6th St E Streets SW, formally binding the District to a partnership with Potomac Investment Properties, City Partners and Adams Investment Group in a 99-year lease agreement.

The approval grants the ground lease between the District and the development team, selected last May, for a site now occupied by a fire station and a parking lot, answering the question of "what to do" with the fire station next to the future DC Crime Lab. The disposition did not specify a lease price, but dictated that the property be sold for the "fair market value of the property, less the value of the public benefits provided" with the District retaining long-term control of the property.

The development team plans to construct over 500,000 square feet of new office and retail space on the two District-owned parcels. In addition, their mixed-use complex will also house a new, state-of-the-art, 22,000 square foot fire station. A 9-story building will replace that former fire station and house a cafe and work site for DC Central Kitchen, and possibly even a stationery store, wine store and coffee shop.

About the planned projects, At-Large Councilmember Kwame Brown said, "It’s critical that we keep projects moving forward in these tough economic times. We must also maintain integrity and transparency in the process while ensuring District residents and businesses participate in the economic rewards of the city," in reference to the to the criticism of the Mayor's handling of development contracts which peaked last week with a short-lived threat of formal investigation.

Demolition Makes Way for DC's $218 million Crime Lab

Today DC officials began demolition work at the Metropolitan Police Department's former First District Headquarters at 415 4th Street, SW, the future site of the District's $218 million Consolidated Forensics Laboratory (CFL). Developed by Whiting-Turner and designed by HOK Architects, the six-story, 287,000 s.f. state-of-the-art crime lab will be situated in the shadow of the new Constitution Center complex near the L'Enfant Plaza Metro.

The new CFL will house the forensic arms of the Metropolitan Police, as well as the Department of Health and the Office of the Chief Medical Examiner and will be LEED Gold certified when it is completed sometime "in late 2012," according to DC Mayor Adrian Fenty. The First District's MPD headquarters relocated to the Bowen School at 101 M St SW in March to make room for the CFL lab.

CFL Director, Dr. William Vosburg said the new facility will allow for "synergy" between health and safety departments so that they are able to fight crime, identify disease outbreaks, and support public health and safety in general. And who couldn't use a little more synergy these days?

Meanwhile, the search continues for a temporary headquarters for the adjacent Engine 13 Fire House. The Ward 6 fire station will move to the adjoining parcels at 450 6th Street, SW just as soon as Mayor Fenty and the fire chief work out a suitable location for a temporary headquarters.

Congress Closes in on Homebuyer Tax Credit

Legislation to extend a tax credit for first-time homebuyers passed another hurdle today as Senators voted overwhelmingly in favor of a motion that could bring the bill to a floor vote as early as tomorrow, with pressure on the House to do the same.

The new bill would not only extend the credit - now set to expire December 1st - to April 30th, but would increase the scope of qualification for the credit, including those who make up to $125,000 per individual or $225,000 per couple (now capped at $75,000 and $150,000) and even apply those who already own a home. DC buyers have long had a $5,000 tax credit for the purchase of their first home, a credit that cannot be combined with the $8,000 credit. The Treasury Department reports $8.5b in credits since the plan began in February.

Tysons Tower Tees Up

Tyson's Corner has a new office building. 1850 Towers Crescent, the newest addition to the office building refuge, adds new landmark for beltway drivers, with 295,000 s.f. in 13 stories and 14,451 s.f. of retail and restaurant space - all now looking for takers. Designed by SmithGroup, the structure features a south-facing brick facade opposite a curved glass curtainwall, maximizing natural light on its northern exposure and presenting its better side to south-bound travelers. DC-based Quadrangle Development Corporation touts the empty building as the only new corporate home to open in Tysons in 2009. Construction began in August of 2007 and achieved substantial completion in August of this year. Designers did not shoot for green certification on the building. 1850 Towers Crescent Plaza is the last of 4 office buildings designed for the complex, but plans for 3 residential buildings are being kept warm. The office park includes the iconic, Philip Johnson-designed office tower known to any Tysons visitor for its curved facade and slender, impractically-scaled columns meant as a nod to Jeffersonian design principles, but for which few people have much affection. Steven Cohen, Vice President and Project Manager at SmithGroup, says the biggest challenge in realizing the 10-year-old project plans was second-guessing the market. Given the cap on total development space for the project site, Quadrangle had to decide how much square footage to leave on the table for its three un-built residential components. Meshing with the existing fabric proved another obstacle. "There was the challenge of making it unique, especially trying to balance it against the Philip Johnson building; our charge to give it its own presence, but one that ties in nicely with the existing buildings. That's why we gave it two very distinct faces." said Cohen. County planners also prioritized the plan to integrate the site with the Tysons Corner mall, and work continues on a pedestrian bridge, nearly complete, that will link Towers Crescent with the mall via the top level of the parking garage and link, they point out, the Silver line metro when it opens "in 2013," providing a "pedestrian-oriented urban center." Interested corporate tenants should contact Jones Lang LaSalle, which is leasing the building, but did not return calls for this article.

Tysons Corner, Virginia real estate development news

District Gets 2 West End Development Offers

Plans to redevelop three West End parcels including the West End Library, fire station, and special operations police unit were due to The Office of the Deputy Mayor for Planning and Economic Development last Friday at 3 PM, and DMPED Communications Director Sean Madigan tells DCMud that "at least two packages" came in before the deadline. "We’ll have to start vetting them now to see if they are responsive." No news yet on the timeline for selection, nor would DC reveal the identity of the bidders, but given the recent flap over Mayor Fenty's procedures for choosing development partners, you can bet the Council will vet this carefully.

DMPED originally issued its Solicitation for Offers back in July. When offers didn't start pouring in by mid-September, DMPED extended its due date from Oct. 2nd to Oct. 30th. The District sought proposals that could effectively address issues such as coming up with interim library facilities during construction, developing housing for Metropolitan Police and Fire Departments, and figuring out how to gain support for the projects from the Department of Homeland Security. Local residents became incensed over the lack of BID competition in July when the District attempted to sell to Eastbanc Development, which developed the Ritz Carlton hotel and condo and 22 West condos, but which the community viewed as not arms-length.

Washington DC retail and commercial real estate news

Crescent Falls Church

Falls Church will soon have a new high-end, mid-rise apartment building, when construction on the new Crescent Falls Church finishes next spring. The 6-story, 214-unit Crescent is a new mixed-use and multi-family residence near the East Falls Church Metro, which its developers now say will finish in the spring of 2010 and to begin leasing next spring or summer. Located mid-way between the District and Tysons Corner just off I-66, the new community will sit adjacent to the Washington & Old Dominion Trail (W&OD) and Falls Church Park, and across from the Westlee, a condo completed in 2006. The area was the focus of a study that began in 2007 that aimed to improve the metro site's land use, recently dominated by parking lots, and connect it better with the city of Falls Church. Given its proximity to DC and rare undeveloped metro locale, planners have sought a more urban landscape and transport integration The Crescent will apply for LEED certification upon completion, in the hope that its metro location, recycling center and technical features will secure the status. The Crescent's planned attractions will include a private screening room, concierge, daily hot beverage service, two courtyards – one with conversational firepit and outdoor grilling and dining areas, and the other with dual-sided fireplace and outdoor grilling and dining areas - and each unit should have a view of green space. Developers also plan an "oversized" bike room - intrepid residents could even ride the W & OD and Custis trail into DC - and underground parking garage with preference for low-emission vehicles. Crescent Falls Church is being built by Texas-based Hanover Company, which has a sizable record of apartment building construction and operation, though the Crescent is only its second DC area foray, having completed Ashton Judiciary Square, one of DC's more design conscious apartment communities, earlier this year in DC's Penn Quarter. The project site had been purchased from K. Hovnanian Homes, which had begun the project as the Easton condo project.

Falls Church commercial real estate news

Industry Insight: Cecilia Cassidy, Rosslyn BID Executive Director

Cecila Cassidy has been Director of the Rosslyn Business Improvement District for 17 years, during which time most would agree that Rosslyn has changed, for the better. She spoke with DCMud this week about development, elevated sidewalks, traffic, and the only skyline DC has to offer.

DCMud: Why don’t you tell a little bit about yourself and your role here in the Rosslyn community. 

CC: I'm the Executive Director of the Rosslyn BID. I am also Executive Director of our sister organization, Rosslyn Renaissance which was started in 1992 based on a recommendation of the County Board when they approved the Rosslyn Sector Plan. The Rosslyn Sector Plan included two recommendations. One was to create a special zoning district that would encourage developers to redevelop Rosslyn. It was very well-tenanted at the time and developers didn’t have any incentive to redo their buildings. In 1996, the County Board created the C-O-Rosslyn Zoning district, which allowed developers to build up to 300 feet and a ten F.A.R. density, in exchange for a package of community benefits. The second major recommendation of the sector plan was to create a funding mechanism, in addition to the zoning, to implement some of the amenities that were called for in the Sector Plan. That was the creation of the Business Improvement District. Those discussions for the creation of the district took a long time and it finally started up in 2003. 

DCMud: As you mention, Rosslyn was designated by several urban planning groups as how not to build a city. How would you say Rosslyn has changed since then? 

CC: In the 1960’s and ‘70’s, there were some buildings that didn’t have visible entrances. The retail is hidden away. The sky walk system was part of ‘60’s planning to get people off the street because Rosslyn was a thruway to D.C. So the way Rosslyn has changed is that the buildings that have been improved since C-O-Rosslyn was passed in ’96 have all contributed to fixing up that approved image. Several of them have been completed: The Waterview building was approved in 2000, the Turnberry Tower was approved and has just been completed. Abdo built the Wooster and Mercer Lofts, which have been award-winning residences. The Hollady Corporation has built 1800 Wilson Boulevard. 

DCMud: How are they different? What have they done to change that image besides just building a new building? 

CC: The main thing is that they’ve begun to pay attention to the streetscape and the pedestrian experience. So all of those buildings include retail at the ground-level. They meet the street in a different way than the former buildings. They allow for wider sidewalks. The rooftops are more interesting. And there are amenities that were not thought of when Rosslyn was first built. Among the amenities that we’ve negotiated are an observation deck, the only one in the region, atop JBG’s Central Place project (pictured at left). We also negotiated the re-use of the Newseum space as a cultural center. That project was part of Monday Properties’ site plan approval for 1812 North Moore (below at right), which is a 34-story building ready for construction. 

DCMud: Are they having financing delays? 

CC: Well, like everybody else, the economic situation is affecting both of those projects. The existing buildings have been demolished so they’ve completed the demolition stage. 

DCMud: Rosslyn has some of the highest numbers of commuters that pass through each day. Do you see that as a blessing or a curse? 

CC: Oh, it’s absolutely a blessing. This is the most highly-used metro station in the system. It drives the work force. Those are people that are coming to work in Rosslyn. Arlington has a day-time population of 200,000. Rosslyn is a major work center for Arlington. All the commuters are definitely a blessing.

DCMud: Rosslyn has been fairly retail, restaurant, and super market challenged. Not that long ago the Arlington Planning Commission said that Rosslyn has “very little presence or impact.” Do you think that’s changing? Or do you think that’s going to change now especially since a lot of retailers are cutting back? 

CC: We should probably talk about our new developments that have been approved, such as JPG’s Central Place, which is in the heart of Rosslyn. Here’s the metro station, right across from Metro. 1812 North Moore, the Monday Properties’ project. When this is built, it will be ringed by retail. We hope that there will be a variety of white table cloth restaurants and other retail at Central Plaza which will have 45,000 s.f. of retail. 

DCMud: Have they secured any tenants in advance? 

CC: No, because we don’t know when they’re going to start construction. They’re hoping that the economy will loosen up and the financial markets will loosen up so that they are able to begin next year. It’s all a waiting game. 

DCMud: And you’re hoping that it’s white table cloths? Are there any plans for any other supermarkets in the area, even a smaller one? 

CC: There was a low-rise project that was approved at 1716 Wilson Blvd. It’s next door to the 1800 Wilson Condominium that was developed by Holladay. They designed the space so that it could accommodate a smaller Trader Joes, for example. You know we have the Safeway at 1525 Wilson—the underground Safeway that was developed in conjunction with the retail for that building. 

DCMud: How is Rosslyn becoming more walkable, more drivable? You have a waterfront location. Is there an effort going on to make that more accessible, more walkable? 

CC: We have to talk to the National Park Service about that. In terms of the waterfront, one fantastic asset Rosslyn has that nobody else can claim in the region is the nature preserve—the sanctuary that is Roosevelt Island. Roosevelt Island is accessible by foot, directly from Rosslyn. The foot ramp is right next to the I-66 ramp. You walk 5 to 7 minutes away, but it is an incredible asset for Rosslyn. The same goes for the grounds or the Iwo Jima Memorial. Between those landmarks and Key Bridge, we are surrounded by green.The walk over Key Bridge to Georgetown is another wonderful pedestrian experience. On the streets of Rosslyn itself, the BID has undertaken an extensive beautification project. We have literally taken over all of the traffic islands and done plantings that are just lush and beautiful. Our customer satisfaction survey cites our beautification program as the number one improvement that the BID has undertaken since we began. We’ve made a real effort to green Rosslyn. We put plant containers on the streets as well as trash and recycle bins. We have also developed a wayfinding program. The first part of that program is a parking program that we’ve just installed. The pedestrian part of it will be installed as soon as we name the cultural center. It’s all ready to go, the fabricator has the design, but the cultural center is going to be named in the next few months. So when that is done we’ll install the pedestrian way-finding system. Following that, we will install a vehicular finding system. Gensler was our contractor on the wayfinding system. 

DCMud: And as far as making it safer for people to just cross the street, are you working with the Virginia Department of Transportation to make sure you have signaling, you have signage, to make it a safer intersection for people? 

CC: Transportation planning’s a part of every site plan. So you’ll see the sidewalks around the Waterview, for example, and around the Turnberry project, the sidewalks and crossings are all very clearly marked—you can not miss if there’s a crosswalk around Waterview. All the crossing signals are all timed. We also installed a lighted street sign program. Rosslyn is one of the few areas in Arlington where the street signs are illuminated. We paid for it, and worked in cooperation with the County to get the signs installed. That goes a long way to helping drivers know where they’re going. 

DCMud: As far as parking, what is the plan? You said you'll have more signage. Are there plans to have more on-street parking or garages? 

 CC: There has been a lot of on-street parking added during the last five years — we made a real effort to find every nook and cranny where we could cram in a parking spot and have done that. The fact is there are 12,000 parking spaces underground in Rosslyn and the challenge is for people to be able to find them.

DCMud: I was happy to find on here this morning. 

CC: We put up big blue P’s, universal “P’s for Parking” on five buildings with parking spaces that are available to the public. It was a matter of identifying those lots so that people understand they can park there, since many lots are private. 

DCMud: I saw an article in the Washington Examiner about trying to extend the Circulator Bus instead of the Blue Bus. Have you been involved in this process at all? 

CC: We have been a partner with the Georgetown BID since the year 2000, when they began the Blue Bus. Rosslyn Renaissance raised $100,000 already to go toward the support of the Blue Bus. The Blue Bus was always intended to be a pilot project and what it has demonstrated is the viability of having a bus that goes back and forth across Key Bridge from Dupont Circle down to Georgetown through Rosslyn. So the initial funding used to finance the bus was Federal dollars to enable workers in the inner-city to get jobs in the suburbs, “outside of the District” and it has succeeded that way. There are workers at the Key Bridge Marriott who live in the District and take the Blue Bus to work. Absent a metro stop in Georgetown, it’s really a critical part of the transportation infrastructure that has been provided privately by the property owners of Rosslyn—and primarily Georgetown. Rosslyn gave a relatively small donation, but it was a donation that helped serve as a matching fund needed in order to receive Federal money. So it was a very critical component. We have always had a very cordial and close working relationship with the Georgetown BID. So we’re very pleased that the Circulator is going to take over that route. 

DCMud: I was under the impression that they're just lobbying for it to do so. 

CC: It had been our understanding that it was going to happen. But we aren’t as close to it as the Georgetown BID. They really take the lead on dealings with the DC government. We worked with Congressman Moran on this because he’s been very helpful in supporting the project. 

DCMud: Do you want to tell me a little bit more about the two biggest real estate projects in the works, Central Place and Monday Properties? 

CC: JBG's Central Place project is split into two towers, an office tower and a residential tower. The office tower will have 549,00 s.f. and the residential tower will have 350 condo units. 

DCMud: And they’re still slated for condos even though the market’s leaning toward rentals? 

CC: As far as I know. I don’t know that that decision has been made. It will include 44,554 s.f. of retail. The other benefit is a 27,000 s.f. public plaza between the two buildings. So where Metro Park is now, on the opposite side of the Metro Station, that park will almost triple in size. We worked very closely with the landscape designer - Michael Vergason Landscape Architects. The architect is Hany Hassan with Beyer Blinder Belle. The most significant amenity that is part of that project is an observation deck which has a 360 degree view. It will be a major tourist attraction. It has a view of the monumental core, of the Potomac out to Tysons Corner, over to the Iwo Jima Memorial…it will be the Washington Monument of Virginia. But it was designed so that it would not compete with the Washington Monument. It will be spectacular.

DCMud: So, right now they're just trying to decide when they're going to start construction, but they have all the zoning approvals? 

CC: Two of the three buildings on the site have been demolished. One remains because it is immediately adjacent to the skywalk that runs between the Rosslyn Metro Center building and the International Place building. That skywalk will be taken down when they begin construction. 

DCMud: And Monday Properties... 

CC: We don’t have all the particulars, but the most significant aspect of that project is that it’s the first LEED Platinum commercial office building in Virginia and it’s one of only 50 in the United States. 

DCMud: And its also pending financing. 

CC: Yes. Going back to the question about making the streets more pedestrian-friendly - one of our goals was to break up the super-blocks in Rosslyn because they’re long, long, blocks. So that was the reason for having the park between JBG’s two buildings. The original plan did not have that. As it went through site review, the community helped develop that park. The 1800 North Moore Street building has a walk-through - so the park for Central Place is on this side of the street, this is on the other side of the street - you can walk through this lobby and go over to Fort Myer Drive. It will be very accessible. The pathway from Central Place over to that building will easily be seen and there’s retail at the bottom. There will be some kind of retail environment around the Virginia Power Sub station, so everything is very retail and pedestrian-oriented for 1812 N. Moore. This whole streetscape is part of their site plan approval so that it’s highly pedestrian-friendly. And it is 569,000, almost 570,000 s.f. It will have 11,000 s.f. of retail and it will be 384 ft or 30 stories. The architect is Davis, Carter, Scott 

DCMud: What do you think Rosslyn is going to be like in 10 years? 

CC: It will be unbelievable, with the cultural center, the observation deck, and the Synetic Theater, which is now the resident theater company in the Rosslyn Spectrum. We’re saying Rosslyn is going to be the next hot place. With our proximity to Washington, the nexus to transportation, and the kind of amenities that will finally come to fruition, particularly with the arts, it will be terrific. The Cultural Center will have Synetic Theater, Washington Shakespeare Company. Hopefully, there will be a well-known restaurant. There are negotiations that are going on that fit in with that type of activity. The Ellipse Art Gallery will move into the Center. There will be the largest ball room outside of Glen Echo. There will be all types of dance activities. And the Dome Theater will have music events and all kinds of activities - it’s a 200 seat theater and there’s also a small 36-seat film theater. There will be a high-end craft center run by, I think it’s the Artisan Center of Virginia. Until we get to that point, the other thing that we do is "Alive in Rosslyn." What’s happening now is that where we do not have the infrastructure the BID has taken a major lead in providing amenities to the community. We have a free movie series for the summer, the I Love the 80s movie series. It packed in 1,500 people at Gateway Park on Friday nights. Sometimes it would only be 1,000 people, but huge crowds. Our lunch time concert series in conjunction with our weekly farmers market runs from May to October. We have music in our restaurants called the Restaurants and Rhythms series. We pay to have performers go into restaurants and they draw crowds. Our jazz festival is renowned throughout, not just in the region, but I think its on the map of the great jazz festivals that have evolved. We just had our 19^th annual festival this year, next year’s our 20^th anniversary. We put on a lecture series called Room with a View, to take advantage of the views. Until we have the observation deck, we bring people into private rooms they wouldn’t necessarily have access to. We have had Cokie Roberts, editors from Politico, a whole range of people who have helped us show off what Rosslyn is all about. 

DCMud: Anything else you want to add? 

CC: There are other major events we participate in. The Marine Corps Marathon comes to Rosslyn the last Sunday in October and brings tens of thousands of people. Eighty to 100,000 people just jam the streets. The last thing we have is our skyline. We have the only skyline in the Washington Metro area. And over the holidays we light up the rooftops. We have a lighting ceremony the first Thursday after Thanksgiving. our homeless services program works in conjunction with our light-up program. We have a gala benefit [for the homeless] that many Rosslyn businesses contribute to. We also run a warm, winter clothing drive in conjunction with that. So there's a social service component to our work as well.

Arlington Virginia commercial real estate news

Silver Spring Library Nears Design Completion

The new Silver Spring Library has taken another step toward realization, with the release of initial designs born out of the county's design process. Officials expect to break ground, at least for site preparation, in the summer of 2010. Library construction has not yet been scheduled.

Work on the new library, at the corners of Fenton, Wayne and Bonifant Streets in downtown Silver Spring, has been underway since at least 1999, when Montgomery County approved an initial budget. The northern half of the site, on Wayne Avenue, will hold the library and Arts Center, the southern half will be reserved for future housing.

The 7-story building will be multi-purpose, with the first two floors designated, for now, as an art center with a combination of functions such as classes, offices and an art gallery. Floors 3, 4, and 5 will hold the library, and the 6th floor is set aside for county offices and possibly Health and Human Services office space. The top floor, stepped back, will hold meeting rooms for the library. Design specifications also call for a LEED-certified green roof and garden; plans for the 2nd-story pedestrian bridge from the parking garage to the library were scotched as being against Montgomery's urban planning guidelines.

The most interesting element may be the underside of the building, since the site is traversed by the proposed track of the Purple Line, and has been designated as one of the light rail stations, raising the main body of the library well above street level. "Anyone attending the design meetings would recognize that this is a challenging building, working with the purple coming right through" said Williams Evans, project architect for the Lukmire Partnership, which is responsible for the overall design. Lukmire specializes in such challenges, however. "Our firm is probably one of only a handful of firms that have done as many libraries as we have, 35 or 36, to date" said Evans.

Initial site planning was performed by RTKL, and interior design will be completed by the Sandra Ragan Studio. County standards require LEED Silver certification for the building, but Evans says the team is trying to achieve a Gold rating; though the Silver rating is required as a minimum to earn the county's Certificate of Occupancy. " That gets you up in the morning", Evans says of the requirement.

The final public design meeting will take place November 7, at 1pm, in the library at 8901 Colesville Rd.

Stumping for Investors in Shady Grove

Last week, the Montgomery County Planning Board passed preliminary site plan approval for the Residences at Shady Grove, a mixed income housing development slated for the Old Derwood Neighborhood on Redland Road at Yellowstone Way.

Keystone Real estate and Corporate Investment will head up development on what county officials hope will be the first of many projects within the larger Shady Grove Sector Plan, one that Keystone Managing Member and Gaithersburg Mayoral candidate, Richard Koch, promises "will transform this industrial use area to an urban village."

The four-acre project near Rockville's Shady Grove Metro will include 117 multifamily units (18 MPDUs), with another 36 townhouses acting as a bridge between the two types of homes, and three "affordable" single family cottages. Whether the units in this new urban village will be available for rent or to own still remains to be seen.

Assuming Koch scares up an investor and financing for the project - "a joint venture between my company, KeystoneREI, which provides the local development expertise and an opportunity fund which provides the equity financing" - Shady Grove residents could be looking forward to a LEED certified development described by County Planning officials upon site plan approval as a "safe and convenient" pedestrian neighborhood complete with "diverse housing types" and ample amounts of open space.

Potential investors might want to take note, however; that just last year Winchester Homes abandoned plans to develop their own townhouses at Yellowstone Way and Chieftain Avenue - a parcel adjacent to Koch's Shady Grove project that is owned and currently home to Derwood Bible Church. As church staff member Joan Furlani explains to DCMud, "We had been under contract with Winchester" but when the time came to say yes or no to development, the church "decided it just was not a good time to build homes."

Not surprisingly, Koch takes a different view on Derwood's housing potential. As a developer - but mostly as a candidate for Mayor - he expresses few doubts in the neighborhood's potential, explaining that the project will bring "financial, economic, social and public benefit" to the area and serves as a shining example of "my successful leadership skill and ability to work with existing communities and the public sector to obtain approval of exemplary projects."

We'll be waiting at least 12 months to find out the future of this project, as Koch expects it will take at least that long to secure additional development and building permits, as well as to determine how the project will be financed. On the more certain side, the answer to whether Gaithersburg residents are more credulous than investors lies just around the corner on Election Day, November 3rd.