AHC Plans 8-Story Condo for Rosslyn

A three-story apartment complex in Rosslyn could soon be replaced by an eight-story condo and apartment building, bringing upwards of 225 units of metro-centric residential development. AHC, Inc. owns the 67 year old, 42-unit building at 1545 Key Boulevard, five blocks from the Rosslyn metro. AHC plans to build up the 1.24 acre site to replace the outdated building in need of serious upgrades. If all goes according to plan, the new development could be ready for move-in within four years, including planning, permitting and construction.

The developer's rationale behind replacing the existing building with a larger new building is related to concerns over the energy-efficiency of the building, aging systems and handicap-accessibility issues, among others. AHC began the planning process for the development considering the "significant investment needed to address the various deficiencies" and the site's "proximity to D.C."

The proposed project would include between 175 and 225 condominium and affordable rental apartment units with below-grade parking.

AHC's initial timeline includes 1-2 months of community outreach, followed by up to 12 months of planning and review, up to 12 months for permitting and approximately 24 months for construction. The group hopes to submit a site plan application to the County by June 2010. AHC is working with Bush Construction Corp. as their general contractor and development partner for the condo element of the project. Though the group has been consulting an architectural firm, there is currently no architect of record.

District Looking for Takers on 7 Properties in Ward 8

Today, the District Department of Housing and Community Development (DHCD) announced a solicitation for offers for seven properties in Ward 8, with one in southeast and six in southwest Washington DC. The solicitation seeks offers for the development of single and multifamily housing units, including affordable units. Five of the seven District-owned properties sit on the same street.

All offers must include designs that meet the Green Communities Standard, 2008. Additionally the developers must make at least 30 percent of the properties affordable for people at 60 percent AMI.

A pre-bid meeting will be held at the Department’s offices at 1800 Martin Luther King, Jr. Blvd (corner of Good Hope Road), Wednesday, January 27, 2010, at 2 pm. The deadline for submitting proposals will be February 15, 2010 at 3 pm.

Metro Set to Demolish DC Village

Metro (WMATA) is preparing to raze DC Village, a 16-acre Ward 8 homeless shelter shuttered in 2007, to make room for new construction of the SW bus depot. Metro paid $6.45 million in July for the future home of up to 114 buses serving the greater DC area, with the potential to expand service for up to 250 buses. The garage will replace the seldom-missed bus depot near the Nationals' ballpark, sold to Akridge and Monument Realty in 2008 and demolished to make way for a multi-use (but unbuilt) project. The raze application is the first sign of forward motion since the formal groundbreaking in September.

According to Ron Holzer, spokesperson for WMATA, the demolition company, Sabre Demolition, will be paid $1.89 million for their services. Holzer added he expects the first raze permit approval in mid to late January with demolition by February. The District is still seeking applications for contractors to provide design and construction services for a Bus Maintenance Facility for the site through December 23, 2009. Holzer said once Metro award the contract the actual construction could commence in the Fall of 2010.

The Streetcars are Coming!

The District Department of Transportation (DDOT) announced today that DC's streetcars have finally arrived in the District and will no longer be gliding through the streets of the Czech Republic. The three cars, which arrived in Baltimore via ship on Saturday, will be stored in Greenbelt and tested so workers are familiar with their function.

Today's announcement does little to clear up when the cars will be able to roam freely through DC, but does give residents (and taxpayers) a hopeful sign of things to come. DDOT Director, Gabe Klein, said “We’re also thrilled to have the streetcars here locally so we can familiarize ourselves with them, test them and prepare for the day when we will put them in service.”

Manna Seeks to Buy Land, Under Their Building

Non-profit developer of affordable homeownership housing, Manna is trying to buy a parcel of land from the District of Columbia, but it doesn't need a real estate agent to find it. The land sits beneath the historic Whitelaw Hotel at 1839 13th Street NW, which Manna purchased back in 1991. The Whitelaw Hotel is a significant landmark described as a former "haven for African American entertainers, civil rights leaders and entrepreneurs." Manna has been renting the land since, and now the District is pondering whether to sell the land outright.

The DC Department of Housing and Community Development (DHCD) will hold a hearing tonight prior to submitting the proposed transfer of ownership to the City Council for review and approval. The current deal would sell the land to Manna for $427,500.

The transaction is part of the Land Acquisition for Housing and Development Opportunities (LAHDO) process by which the District leases land and sells any improvements to developers in order to rehabilitate the space and, in the case of the Whitelaw, to maintain the property for affordable housing. Under a LAHDO agreement, a developer leases the land from the district and within 5 years of the property being "placed in service" can choose to exercise an option to proceed with the land acquisition.

According to DHCD Project Manger Jim Thackaberry, Manna purchased the Whitelaw and began leasing the land in December of 1991. The Whitelaw was put into service in 1994 as a rental property providing hosuing for lower-income families in the Shaw/U Street community. In 1999 the developers began a series of negotiations with the city in hopes of purchasing the underlying land.

The hearing with begin at 6:30 PM and will take place at DHCD at 1800 Martin Luther King Jr. Ave SE.

VIDA Gets Zoning OK for U Street Flagship

VIDA Fitness received the okay today to build its "flagship" gym and spa on U Street. VIDA's owner will renovate the near century-old building at 1612 U Street and add an 8,500 s.f. extension glass extension to accommodate the new gym.


VIDA owner David von Storch, who also owns Bang Salon, Aura Spa and Capitol City Brewing Company, has long sought to replace his tenants in the building to create the 4th VIDA in the area. All the better that the current tenant is Results Gym, a competitor that has reached the end of its lease. The new gym will easily out-muscle the current occupant, as well as existing VIDAs, with a 51,500-s.f., 4-story gym boasting "a private rooftop club with a 60-foot pool, resort cabanas, communal fire pit, outdoor waterfall, sundeck and a member lounge with restaurant service," substantially beating out the 29,000 s.f. Verizon Center location.

The newest gym will also be the first to integrate all four of von Storch's entities at one site, with a new, still unnamed restaurant, operated by Capitol City Brewing Company, taking over the first-floor restaurant space. Architectural design by - you might guess this one - Stoneking-von Storch Architects, which also designed the interior of the other 3 locations. CORE architecture + design designed the addition and rooftop pool facility.

Today's 1pm hearing before the Board of Zoning Adjustment means von Storch can get pumped up for a March 2011 opening, and puts him on track to open what he hopes will be 8 stores by 2015.

Uninspired at Arlington Gateway - No Metro for Now

Residents and commuters in Ballston should probably stop holding their breath for a new metro entrance - it will be a while. Almost four years ago, JBG announced the Spire: a 23-story, 237-unit condominium on the site of the INS building at the corner of N. Fairfax Drive and N. Vermont Street (4420 Fairfax Drive), and with it a new western entrance to the Ballston Metro station. But Arlington County officials confirmed that development is probably 5 or 10 years off, and likely the metro entrance with it.

The last piece of JBG's Arlington Gateway project, the Spire condominium project was put on hold more than 3 years ago, providing temporary respite to the comparatively diminutive office building. But county officials still held out hope for some type of development that would provide the Metro entrance as an amenity, until now.

According to Karen Vasquez, Public Relations Manager for Arlington Economic Development, her office spoke with JBG last week about the project and discovered that redevelopment plans were still very much on hold. In the meantime, says Vasquez, "[JBG is] now working on re-leasing it," adding that the site "will likely remain an office building in its current form for the next 5 - 10 years."

Located above the Ballston-Marymount University Metro station, the condominium project was supposed to include an $11 million contribution towards the $50 million Metro entrance construction project as part of JBG's community benefit package. The new Metro entrance would have been the westernmost entrance in the Rosslyn-Ballston Corridor, making Metro more accessible to neighborhoods west of Ballston, particularly Bluemont.

But alas, barring any drastic change of events, Vasquez says the "western entrance will not be constructed in the near term, at least as part of this project." Leaving one to wonder if WMATA and the county might have other sites in mind.

JBG Eyes More Twinbrook Opportunities

JBG is investing a lot of time and energy in the future of the Twinbrook area - courting a Federal tenant and planning Twinbrook Station or "2.2 million square feet on the redline," as the developer calls it. Following the recent rezoning within the new Twinbrook Sector Plan, which encourages mixed-use development in an area once restricted to office space, JBG is now eying two parking lots that currently serve Parklawn, the Health and Human Services/Food and Drug Administration building. Anticipating the departure of FDA in July 2010 for White Oak, JBG hopes to secure HHS for a longer contract and take advantage of the reduced parking demands to build dense residential and retail in place of parking lots.

JBG submitted a bid to keep HHS in their current building; the design included a totally renovated Parklawn. HHS uses about 2/3 of the space, according to Greg Trimmer, a Senior VP at JBG. With the FDA out of the other 1/3, JBG would renovate the building in thirds, moving the current tenants within the building during construction. The HHS building is 18 stories and has 1.3 million s.f. of office space. Under the new sector plan, a building of this size would be a no-go, but JBG's Parklawn was grandfathered.

The firm does not currently have any defined designs for the use of the 5 and 10 acre parking lots on site. But in the next year or two, the developers will begin to develop a clearer plan and begin the zoning process for a development that will certainly fall in line with the sector plan and likely follow many recommendations from the Twinbrook design guidelines.

Rockville real estate development news

Thursday Evening Charity Event

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Bauble is the first show at DC’s newest visual gallery Wool Exploratorium, housed at The Lacey, an Ultra Modern, work of art condominium, created by Division1 Architects, a DC-based architecture firm. The event will take place this Thursday, from 6-9pm.

New Tenleytown and Georgetown Safeways

Take that, Whole Foods. Thursday was a big night for Safeway in northwest DC, with the group announcing that the Georgetown store would seek LEED certification, meanwhile the plan for the Tenleytown location continues its review by the ANC.

The Georgetown "social" Safeway, at 1855 Wisconsin Ave, NW, is expected to complete this May the replacement for the store demolished in April of 2009. Safeway will submit their Torti Gallas-designed building for review by the U.S. Green Building Council, expecting LEED certification for the final product.

Up the hill, the ANC continues to review a similar plan for the Tenleytown Safeway at 4203 Davenport St., but not without much heated debate. The zoning change for the Tenleytown store is set to go before the Zoning Commission on January 14th of the new year. The new design involves a two story building replacing the squat, windowless monolith that now presents its backside to Wisconsin Avenue.

Assuming PUD approval, renovation of the Tenleytown store will not start until the Georgetown Safeway is completed to avoid closing two nearby stores simultaneously.

The two buildings are Safeway's salvo in the supermarket wars; Safeway has been on a binge of renovating and rebuilding its stores to respond to increasing competition among grocers. Whole Foods will answer when it opens its next DC-area store this summer, just five blocks up the street, and Giant will open its flagship on Wisconsin Avenue in 2011, but Harris Teeter seems to have been elbowed out of the Wisconsin Avenue scrum.



Correction: In the original report DCMud indicated the Tenleytown store had received ANC approval. It was brought to our attention by the ANC this was not the case. There was a miscommunication between our staff and the source of the story. We apologize for the mistake.

Clarendon Center Approved and On Schedule

Clarendon Center looks likely to accomplish a feat many other construction projects cannot these days - delivering both planned elements of a project at the same time, on time. Impressive too because the project required complicated excavation, demolition and construction work close to the subway tunnel that runs under Clarendon Blvd. Developer Saul Centers Inc. (SCI) expects both buildings, which offer a mixture of office, retail and residential, to be finished and ready for tenants come the 3rd quarter of 2010.

Construction began in summer of 2008 on the south buildings of the large mixed-use project that sit directly across from the Clarendon Metro. The south buildings topped out in late October and the six-story north office building just received an above grade building permit in late November, for 171,000 s.f. of office space and 42,000 s.f. of retail space. Chris Sowick of Cassidy & Pinkard claims "significant interest" in the project, adding that the buildings do not necessarily require a large anchor tenant; the smaller floor plates of the 6-story north building mean a tenant could rent a space "as small as 7,800 s.f." The south buildings offer 9 stories of office and retail space and 12 stories of residential space, which includes 244 rental units. Nothing is leased on the south building either, though Mary Beth Avedesian, the Vice President of Acquisitions & Development at SCI, said there has been a lot of interest in the project given the proximity to the metro, especially from restaurants. Avedesian indicated the group is in "various stages of negotiation," but nothing finalized. Avedesian offered that rents seem to "still be holding up" at the expected level around $50 to $70 per s.f. for retail space. Construction for the project is by Clark Construction. The buildings were designed by Torti Gallas. 

Clarendon real estate development news

Monument Back at the Helm at Watergate?

Monument Realty appears to be seeking contractors for renovation and construction on the Watergate hotel, suggesting the DC developer may be closer to a work-out on the property it lost to the bank earlier this year. Lender PB Capital Corp foreclosed on the famed hotel this past July, and held an unsuccessful auction, with none of the 10 bidders jumping at the $25m starting bid. Since then, there has been no confirmed word on the fate of the historic structure overlooking the Potomac River. In an interview with DCMud following the auction attempt, Monument's Principal and Co-Founder Michael Darby indicated he had raised the necessary funds to buy back the property, but later accounts suggest the bank turned down the developer, possibly hoping to get a sweeter deal with Holland Development, which was rumored to have been interested in the property. An industry source says Monument is seeking contractors for a "top to bottom renovation of the existing 13-story, 250-room hotel. Renovations will include reducing the number of rooms, while expanding the rooms that do remain to 650 s.f." The project costs are estimated at $20 million. When DCMud inquired about Monument's plans, Natasha Stancill, spokesperson for Monument, responded "we are going to pass on commenting." Which of course increased our suspicion. 

Further supporting a rekindling of the romance between bank and borrower is the fact that Holland now appears to be out of contention. In a statement to this journal, Memphis Holland of Holland Development confirmed that Holland is now just watching the action. "The Watergate Hotel is a complex and exciting project. We were just one of a myriad interested in contributing to the growth and development of the Virginia Avenue/Kennedy Center area. We look forward to watching as this development takes shape and becomes a vibrant center of activity," said Holland. Nor will the former architect be part of the redevelopment effort. "Hickok Cole Architects is not going to be working on the Watergate Project if and/or when the project restarts. I would suggest that you speak with Michael Darby at Monument." said Jeff Lockwood of Hickok Cole Architects. Thanks, tried that. Original plans for the building were to convert the 250 rooms into an 96-unit coop, but Monument reportedly sold only 11 of the high-end units, which started at $850,000 for a one-bedroom home - and that wasn't for the good view. 

Washington D.C. commercial real estate development news

Delivering on Promises in Ward 8

A previously stalled residential project in Ward 8's Barry Farm community is one step closer to realization. The 99-unit Matthews Memorial Terrace was scheduled to begin construction earlier this year, but economic constraints delayed the promised affordable housing. Now, however, the developers are seeking general contractors and hope to begin construction in the new year. The planned development would bring four stories of affordable rental units to Martin Luther King Jr. Blvd. next to the Matthews Memorial Baptist Church, which owns the property (and runs a surprisingly hip website). Developer Community Builders (TCB) along with the Church received final zoning approval for the PGN Architects-designed project in May 2009. The construction would mean jobs and new housing for part of DC hardest hit by the current downturn.

The 79,000 s.f. of affordable housing will provide 32 units of senior housing (1 bedrooms, 1 bedrooms plus den and 2 bedrooms), 34 units of multi-family and individual public housing (most of which will likely go to residents displaced by the Barry Farm redevelopment), and 33 units of affordable housing for individuals and families earning less than 60% AMI. Of the four stories, one will be below grade. Donna Freeman from Matthews Memorial Baptist Church indicated the site currently contains a few structures which will be demolished prior to the new construction. Contractor bids for the residential project, valued at $8.5 million, are due December 14th.

The residential project will sit next to a planned community building also developed by the Church, which received approval in the same zoning process in May. The community building will include a space on the ground floor for public meetings, a second floor dining room and restaurant and non-profit uses on the third floor. The community building is not part of the current bidding process.

Washington, D.C. real estate development news.

CATO Institute Builds Up and Out

The Cato Institute's landmark headquarters building on Massachusetts Avenue in NW will soon expand up and out after razing its southern neighbor and constructing a 34,000 s.f. addition designed by Gensler Architects. While liberals may groan, both the Advisory Neighborhood Commission (ANC) and the Board of Zoning Adjustment (BZA) approved the plans, including the raze request and relief from rear loading requirements, setting in motion demolition this spring followed by construction expected to last 14 months.

The conservative think tank won plaudits in 1993 for its 6-story, HOK-designed glass atrium that conformed the building to its site on diagonal Massachusetts Avenue. Gensler's plans include adding an extra floor to the existing building and constructing a new, 7-story addition that will attach to the southern perimeter. The final product will include approximately 69,752 s.f. of office use, including the 34,150 s.f. expansion.

Bill Erickson, Vice President for Finance & Administration at Cato, said he had been trying to acquire the National Medical Association (NMA) building for almost 12 years, but the NMA had resisted, wanting to stay within the District. Cato ultimately purchased the property in June 2009 for a $7 million, and filed their raze application in July. The NMA will likely move out in February and start their new lease in Silver Spring.

Cato will welcome the addition because, according to Erickson, it is "totally out of office space" and has been renting about 5,000 s.f. from a nearby office. The think tank is also looking to expand program space, increasing the size of their theater to include 194 seats and adding amenities like a gym and rooftop garden for a growing program staff. They will not seek LEED certification despite several green features.
Akridge is managing the project for CATO, and the firm is currently determining the construction costs through consultation with Clark Construction, though no formal contracting has taken place. The estimated total construction cost is $25 to $28 million, which Cato plans to fund through a capital campaign, according to Erickson.

Erickson described the reaction of the community and various oversight agencies as very positive, including unanimous approval from both the ANC and the BZA. Erickson added the Office of Planning and neighbors at 1010 Mass loved the plan and were happy to hear an "eyesore" would be replaced and improved.

Washington, D.C. real estate and development news

Groundbreaking on $35 Million Affordable Housing Project

The Linda Joy and Kenneth Jay Pollin Memorial Community Development groundbreaking ceremony went off without a hitch this morning despite boycotts by local ANC members and the notable absences of Councilmembers Vincent C. Gray and Kwame Brown.

 

Today's groundbreaking coincides with a public memorial service honoring Washington Wizard's owner and philanthropist Abe Pollin. That service will take place at the Verizon Center tonight, at 7 pm. The $35 million project has sparked some controversy and a press release from Local ANC 7D yesterday. Members staged a boycott of today's event in an effort to convince developers and city officials to be more forthcoming with information about the project's community benefit component, a charge Dena Michaelson, Director of Public Affairs and Communications for DC Housing Authority dismissed as "putting the cart before the horse."

"The t's aren't crossed, the i's aren't dotted," Michaelson went on to say, adding that a community benefits package was still being negotiated and would be available to the public upon its completion. 

Washington DC commercial real estate news

Community Boycotts Groundbreaking for Affordable Housing

When the development team for the $35 million Linda Joy and Kenneth Jay Pollin Memorial Community Development in northeast DC announced its groundbreaking scheduled for tomorrow, one thing they didn't count on was fierce opposition from the community. But they've gotten it, and then some. ANC7D organized a phone and email campaign that ultimately convinced Councilmembers Kwame Brown and, according to the ANC press release, Chairman Vincent Gray to boycott tomorrow's press conference and groundbreaking scheduled for 10:45 AM at Anacostia Avenue and Hayes Street, NE. Though Gray's office indicated the groundbreaking was still on his schedule. Pollin Memorial Community Development, LLC's planned development would bring 125 new affordable for sale and rental homes to northeast, a site which is a composite of property belonging to 3 government entities – the District of Columbia, the District of Columbia Housing Authority (DCHA), and the National Parks Service (NPS).

The Pollin project will replace one-for-one the 42 affordable rental units on site, known as Parkside Additions. The project was initially spearheaded by the late Abe Pollin and his Pollin Foundation, which courted the approval of all landowners back in 2006 and received approval for the project from NCPC last year. The current Parkside project was described by the National Capital Planning Commission (NCPC) as “functionally obsolete,” so no real loss there.

In July of 2009, ANC7D reviewed a loan request for $7.9 million submitted by the Pollin Foundation to the DCHCD (DC Housing and Community Development), however with only 30 days provided to submit a response, the ANC unanimously rejected the request, and continues to object. ANC7C04 Commissioner Sylvia Brown told DCMud in an email that the "Pollin team have not been transparent and open to communications." Of particular concern is the community benefits agreement and the plan for relocation and return for current Parkside tenants. According to Michael Price, spokesperson for Councilmember Kwame Brown, "the community is adamant that they are looking for a community benefits package and the Councilmember stands by them."

Terri Bolling, Spokesperson for Enterprise Community Investment, one of the development partners on the project,was unaware of the community's recent actions and plans to boycott the groundbreaking. She remarked "this is so strange" since community outreach "is what we do."

John Stranix, formerly of Clark Construction and now of Stranix Associates, is spearheading the construction effort using designs by Torti Gallas & Partners. The project aims to begin construction in early 2010 with the first units available in 2011.

Washington, DC real estate and development news.

FDA Blooms at White Oak

The General Services Administration (GSA) is gearing up for Phase 4 of the $900 million (and counting) Food and Drug Administration (FDA) Headquarters Consolidation at the former site of the White Oak Naval Ordnance Laboratory off New Hampshire Avenue in Silver Spring, MD.

More than 4,500 FDA employees have already taken up occupancy within seven completed White Oak campus buildings designed by KlingStubbins and RTKL and built by Tompkins Builders (a subsidiary of Turner Construction). Assuming additional government funding comes through for the 2.3 million square foot facility, construction on the final building should wrap up in 2013. Upon completion, about 8,000 employees from 39 leased offices across DC will relocate to White Oak, uniting at long last the likes of Center for Devices and Radiological Health and the Center for Veterinary Medicine, and fostering what FDA Commissioner Dr. Andrew C. von Eschenbach promised in a 2008 Consolidation Report will be a new spirit of "scientific collaboration."

Phase 4 of the project is slated to begin construction this February. This $130 million portion of the project will add 560,050 s.f. of office, laboratory, and research space to the campus in two buildings and will ultimately toss another 1,159 FDA employees from the Office of Regulatory Affairs and the Office of the Commissioner into the FDA party mix.

Bids for subcontractors are scheduled to be released any day. Until then, FDA Press Officer Chris Kelly tells DCMud that the FDA will be keeping mum "about the construction project, as it is procurement sensitive."

Silver Spring real estate development news

New Toy for Real Estate Geeks: Interactive DC Zoning Map

For those of you who, like us, spend many a gleeful hour pouring over zoning documents in search of a story, project information or lead on a new contract, you now have a fun new toy. Today the DC Office of Zoning launched its new, interactive Zoning Map along with a glossary chock full of terms related to the zoning process- both excellent tools for decoding public information and being generally nosy. The map allows a user to "determine the zoning classification for any property in the District" and to search by address, parcel, square & lot or by PUD (Planned Unit Development). Users can select from a list of zoning data to display such as Overlays, pending PUD's, Zoning District, etc. A report will appear based on the selected data fields with the information requested, including the most recent case numbers. Happy searching!


DC real estate and development news.

The Policy, Kalorama

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