Today in Pictures - National Gallery of Art

The National Gallery of Art has a new exhibit: its exterior. The 33-year-old East Building is in the midst of a major renovation that recently included the removal and reinstallation of the marble veneer - 16,200 Tennessee pink marble panels with new supports. Each five foot wide, two foot high, three-inch-thick panel weighs about 450 pounds. The I.M. Pei design, completed in 1978, is not holding up nearly as well as the John Russell Pope design of the West Building. A "systemic structural failure" of the facade's design prompted Congressional emergency aid (too big to fail?) and scaffolding to protect pedestrians. On the upside, DC is treated to an architectural undressing thanks in part to an open, vertical-access scaffolding system. Work is expected to be completed by spring 2014.






Photographs by Rey Lopez. 
 Washington D.C. real estate development news

Low Income Housing in Shaw Hits Snag Over "Air Rights"

The Lincoln-Westmoreland apartment complex expansion long slated for 7^th and R Streets NW, next to the Shaw metro station, is being held up by a land rights issue between Lincoln-Westmoreland Inc. and WMATA.
Construction of the 56-unit complex, owned by the Westmoreland Congregational Church (UCC) and designed by Shalom Baranes architects, necessitates the purchase of "air rights" for a small 400-square-foot sliver of land presently owned by WMATA. Lincoln-Westmoreland Inc. sold this sliver of land to WMATA in the Sixties for what Robert Agus, the owner’s representative and development manager for Lincoln-Westmoreland, describes as a “token fee” (“we basically gave it to them,” he says ruefully) but says WMATA is now holding out for “fair market value.”

In their defense, WMATA Director of Real Estate Steven Goldin said that Lincoln-Westmoreland is getting the same treatment everyone else gets. "We're required to ask for fair market value" Goldin said. "It's FTA (Federal Transit Administration) regulations." WMATA can't sell the parcel outright because it contains an important access hatch to an underground section of the Shaw-Howard metro structure.

Phase one of the construction project – a $9 million renovation of the existing ten-story, 198 unit property – is complete, and Lincoln-Westmoreland is well into the planning process for the new structure, says Agus. Plans for the new complex include 3,100 square feet of retail space on the ground floor, as well as a significant expansion of the small greenspace located on the south end of the property. Developers also hope to build a playground at the north end of the complex, though the prospective site for this is a divided property co-owned by the District, which could cause problems.
As for funding, Lincoln-Westmoreland received NIS grants from the District to cover redevelopment costs, and expects to work with District of Columbia Housing Finance Agency (DCHFA) in early January to work out further financing. The units are expected to be leased at 30% - 60% AMI, the lowest income level designations. A majority of the original 108-unit building is dedicated to Section 8 housing.

The several blocks including and surrounding the project were devastated during the '68 riots and were redeveloped as affordable housing in the early 1970's.

Washington D.C. real estate development news

Today in Pictures - Florida Rock

Just below Nationals Stadium, Patriot Transportation Holding Inc. and DC-based Midatlantic Realty Partners LLC, (MRP) began demolishing the concrete plant to make way for RiverFront on the Anacostia, 1.1 million s.f. of residential, office, retail and public access to the riverfront. Construction is expected to begin in 2013.




Washington D.C. real estate development news. Photos courtesy Rey Lopez.

"Ultra-luxury" Georgetown Hotel Secures Financing

The long-simmering Georgetown luxury hotel project has secured financing and is finally moving forward, with an eye towards a December 2012 completion, just in time for the 2013 presidential inauguration.

The Capella Georgetown will be an “ultra luxury” hotel at 1050 31^st Street NW, the former American Trial Lawyers Association building. The five-story building, which overlooks the C&O Canal, will feature just 49 rooms and interiors designed by German firm Peter Silling & Associates. The design also calls for a public restaurant and bar overlooking the canal, but details aren't in place just yet. The project, spearheaded by Capella Hotels and Resorts, ICG Properties, and D.C.-based Castleton Holdings Inc., recently brought in Point Ford Management Ltd., an investment firm based in Indonesia, to complete financing for the project, which is estimated in the $45 million range.

"The [financing] process was challenging because of the market," says Nick Demas, Partner at Castleton Holdings LLC. "But in challenging markets there is also great opportunity. We worked through the market fluctuations and successfully secured all the funds needed to complete the project this past July. Our lender, PNC Bank, has been really supportive of the project and our partnership. And we are very excited about our relationship with our new equity partners, Point Ford Management Limited. They are terrific partners and are committed to our program of assembling an ultra-luxury hotel portfolio. As a developer, you really can’t ask for anything more."

The Capella Georgetown will cater to foreign dignitaries, captains of industry, and other international clientele (discussion at an October meeting of the Georgetown advisory neighborhood commission touched on possible entourage-related traffic jams), and the hotel will be accordingly discreet. While the interior has been gutted, the drab office building will receive only minor cosmetic changes to the exterior – new window frames and a slightly larger canopy - in deference not only to future guests' desire to keep a low profile, but also to neighborhood preferences for aesthetic continuity. By restricting the heavy redesign to the interior of the site, the developers have sidestepped the community backlash that often follows these sorts of projects. Demas says of the locals: "We are thrilled that our plan was so well received by our neighbors, the ANC and the Old Georgetown Board." And ANC2E Commissioner Tom Birch was quoted recently as praising the developers for "turning a sow's ear into a silk purse." The contrast between this hugfest and, say, the ongoing drama of the Friedman/Schrager Adams Morgan hotel could scarcely be greater.

Still, despite Demas' demurrals, this project was never realistically going to have problem attracting financing. Hotels, especially luxury ones, have proven to be safe money through the recession, and the District hotel market has historically been one of the strongest in the nation. Local occupancy rates have held steady in the low seventies, and while average luxury rates softened in the past few years, they’ve recovered to nearly the level of their 2008 peak.

This will be Atlanta-based Capella’s second hotel in the United States (its other property is in New York), and the company plans to expand into several other U.S. cities in the near future.

Washington D.C. real estate development news

Your Next Place

By Franklin Schneider


Arguably the Georgetowniest house in Georgetown. This classic townhouse is located in the prestigious East Village and has been spectacularly renovated by prestigious architect Outerbridge Horsey, a name you already know if you appreciate peerless design or if you're just into vaguely amusing names.

I almost don't know where to start with this place. It's a brilliant mix of classic charm and modern amenities, from the open floor plan to the burnished hardwood floors. There's an elegant dining room (with fireplace), a palatial sitting room, and my personal favorite, a beautiful library. I always keep books around, not just to read but also for the intellectual cachet. There's nothing like a few dozen leatherbound volumes to make your date forget about how you kept saying “mer-LOTT” at dinner.



The gem of the house, though, is maybe the brightest, biggest (Pedini gourmet) kitchen I've ever seen. Just look at it. I'm pretty sure just the island is bigger than my entire kitchen. Several French doors give out onto a huge double-lot deep garden that's probably big enough for an emergency airplane landing, or at least a spirited game of lawn bowling.

The house also features the wonderfully spartan all-white elegance of Waterworks bathrooms, which is basically the Maybach of water closets. I recently read an interview with the cofounder of Waterworks and she said one of the main reasons she started the company was because she hated seeing so many pink toilets. And in these increasingly troubled times, isn't hating pink toilets something we can all unite around?

1628 32nd Street NW
5 Bedrooms, 3.5 Baths
$3,395,000

The Art of Arts and Crafts

By Beth Herman

Navigating D.C.’s perilous permitting process, razing a house in Washington is not for the faint of heart. The rocky road to tear down and the equally arduous avenue to build anew are clearly "long and convoluted," said Chris Landis of Landis Construction.

For Landis and project manager Andrew Kerr, razing a 1930s group home on a Palisades neighborhood site was an easy decision based on a leaky foundation, extensive termite damage, floors that were not level, a basement that wasn’t deep enough and a series of random renovations over time. “There were a thousand reasons why we could not save it,”Landis said, adding the decaying house was painstakingly deconstructed for as much green value as possible.

For a consulting environmental scientist client with a Mt. Pleasant Colonial townhouse, starting over on a now pristine lot in the Palisades meant the opportunity to replicate what he coveted most about the interior of his former residence, and integrating it into a gleaming Arts and Crafts style bungalow. Initially conceived at 2,400 s.f. by the homeowner himself, who was clear and specific about what he wanted, Landis said further development of the residential design produced a 4,500 s.f. space that included a below grade in-law suite. A long time domestic employee who currently assists the homeowner, and had also cared for his wife before her recent passing, would occupy the basement space which consisted of a bedroom, bath, kitchenette, family room and laundry area. Hardwood floors and ample window wells made for a warm and sun-filled environment.

Aging in style

With an eye to universal design, or aging in place, the two-story home was designed to facilitate living entirely on the first floor. “Very rarely do you find a master suite on the first floor of a house in D.C.,” Landis said, noting that even a powder room on the first level of a row house is unique. In the Palisades bungalow, a master suite, master bath with no threshold shower and study were all key first floor components, along with the kitchen, foyer, living and dining rooms, powder room and laundry closet. Two guest bedrooms and a bathroom occupy the second floor.

In an effort to replicate the Mt. Pleasant interior and also bring in elements of the client’s beach house, which was more in the Craftsman style, Landis project architectural designer Armin Bondoc embellished existing furnishings with colorful cushions and batik throws, wall hangings and artwork from the well-traveled client’s Middle East, Indonesian and Asian collections. His wife had been an avid collector and connoisseur. He also introduced custom millwork for warmth and character. In the living room, trim, columns, crown moldings and the fireplace surround were realized in darker stained cherry, with a wider 5-inch plank rift-cut oak flooring. The fireplace is an organic-looking rough-cut onyx tile mosaic about which, Bondoc said, the homeowner had some concerns but embraced wholeheartedly upon its completion.

The study floor is also cherry, with radiant heat, and a custom cherry built-in desk and flyover shelves add comfort in a rich, soothing hue. Cabinets, bookcases and shelving are finished in a casual distressed cream glaze.

Desiring a smaller kitchen, limestone-colored Silestone countertops brighten and open the space, and a pantry compensates for minimal cabinetry. A side laundry closet precludes the homeowner having to trek down to the basement, and radiant heat rises from ceramic tile flooring.

The master bedroom was kept clean and spare, per the homeowner’s dictum, with an earthy, elegant master bath boasting three different sizes of slate tile flooring and mixture of patterns. The floor is framed in ceramic tiles redolent of warm wood for added effect, and cherry cabinetry and wainscoting in the bath complete the space. To court natural light, frosted clerestory windows open the master bath to the outdoors while ensuring plenty of privacy.

To help illuminate the long foyer—which Bondoc said tends to be dark—without the use of excessive lighting, interior clerestory windows along the wall between it and the dining room direct light through whenever possible. On the exterior, flourishes such as tongue and groove IPE decking and artisan siding by James Hardie, along with hand cut rafter ends and brackets, help define and distinguish the Arts and Crafts style residence.

Ph.D. in sustainability

As an environmental scientist formerly with the IMF, and currently consulting for the Asian Development Bank on a China project, energy efficiency and sustainability were paramount for the erudite and savvy homeowner. Manifested in such elements as an energy recovery ventilator (ERV) to bring in fresh air (often precluding the need for air conditioning), a multi-zone super high efficiency HVAC system and icynene foam insulation for a tight seal were utilized. Two-by-6 construction was also employed to locate studs further apart. A rain screen, which leaves a gap between the siding and actual skin of the frame, helps insulate as well as facilitates evaporation, and a series of rain gardens and native plantings by Landis Garden Design’s Tomi Landis takes the home’s green dimension to its ultimate destination.

Rooflines are lower than those of the surrounding neighborhood as the homeowner didn’t want an imposing home, and the structure is oriented toward the rear of the lot instead of up—not for zoning purposes but with a nod to massing and the bungalow aesthetic.

“It was really nice to work with him on the design because he knew what he wanted,” Bondoc said of the homeowner. “It’s a very comfortable home.”

photos courtesy of Sam Kittner

Washington DC real estate development news

Friedman/Schrager AdMo Hotel Rebuked by Office of Planning, May Shrink

The Brian Friedman/Ian Schrager/Marriott International Adams Morgan hotel project received a mild rebuke when the Office of Planning issued a setdown report last month criticizing the hotel design as too tall, among other things. The report went on to list several other points of contention, including concerns about the roof design, the inadequacy of Champlain Street as a main thoroughfare, a dearth of information about potential transit use by hotel patrons, and an “overall lack of information and inadequate drawings.” (!!)

The most potentially problematic of the Office's objections was the height overrun, which at 92 feet was two feet over the C-2-B PUD maximum. While the Office does have the prerogative to grant a 5% flexibility height exception, an anonymous source tells DCMud that developers are now leaning towards lopping off that two feet rather than making the case that the 92-foot height is "essential to the functioning of the project."

One possible avenue to this (speculation alert!) would be amendment of the roof design, to which the Office of Planning also took exception. Looking at the mockups, the present roof design seems to consist of multiple stacked tiers or platforms ("the rooftop would exhibit multiple heights where only one is allowed"). Amending this to a flatter, more consistent design seems like an obvious two-bird-one-stone solution.

Friedman’s plan to convert the historic First Church of Christ building at 1782 Columbia Road into an 174-room Ian Schrager-designed Edition boutique hotel has traveled a bumpy road from the very beginning. Early community resistance centered around a 20-year $46 million tax abatement the city awarded the project. With the D.C. budget in tatters and the tide of conventional wisdom starting to turn against Nineties-era orthodoxy about the public value of municipal givebacks like tax abatements and publicly-funded stadium construction (many studies have shown the economic benefits promised by builders seeking subsidies have been negligible or nonexistent), many observers wondered why a luxury hotel needed handouts. (Standard rebuttal - a number of hotels in DC received similar abatements; the abatement is a vital part of the financing package, i.e. the hotel can't be built without it; the abatement is just a discount on future tax revenues - estimated at $7 million per year - none of which will reach city coffers if the hotel isn't built.)

Local critics also wondered if the location was right for a high-end hotel, pointing out the neighborhood’s lack of access via public transportation, its potential harmful effects on area rents and, again, the narrowness of adjacent Champlain Street (some online commenters astutely observed that design mockups seemed to fudge street proportions). Friedman assuaged some of these concerns by emphasizing the number of jobs that will be created by the hotel's construction (1,500 construction jobs alone), partnering with the Adams Morgan Youth Leadership Academy to provide jobs and apprenticeships to local youth, and throwing in a 4,000 square foot Adams Morgan community center.

Overall the plan calls for a conversion of the existing church building into a restaurant and bar, with the southfacing c-shaped hotel itself being built on the church's rear parcel (now a parking lot) and on the adjacent lot on Champlain, the present home of Washington City Paper and jazz radio station WPFW.

Washington D.C. real estate development news

Lincoln Theatre Brings Films Back to U Street

The District government will announce today a plan to energize the Lincoln Theatre with an (expected) blockbuster that will run for the next 4 weeks, the first such first-run movie to have premiered at the Lincoln in many years. Landmark Theatres will sponsor The Girl with the Dragon Tattoo, David Fincher's $150-million Hollywood adaption of the wildly popular book, one in a trilogy of novels by the late Swedish writer Stieg Larsson. 

 In an effort to assist the city's efforts to animate the historic building, Landmark will donate all proceeds of ticket sales to the city. Screening will begin next Wednesday, the date of the film's release, with 3 screenings planned per day. Mayor Vincent Gray and Deputy Mayor for Planning and Economic Development Victor Hoskins plan to hold a press conference next week in advance of the opening. The 1,225-seat Lincoln Theatre is owned by the District, and has been under a management contract by the U Street Theatre Foundation (USTF). One month ago the District gave the D.C. Commission on Arts and Humanities oversight of the theater and announced it would look for other operators of the site to address the site's solvency after an emergency request by USTF for $500,000 to keep the theater operational, a shortfall that threatened to close the theater. 

 Landmark currently operates E Street Cinema and Bethesda Row Cinema, as well as 61 other movie theaters nationwide, making it "the nation's largest theatre chain dedicated to exhibiting and marketing independent film." "We're pleased to help the city in its efforts to revitalize the Lincoln Theater" said Landmark CEO Ted Mundorff, who hoped the partnership would augur a more profitable future for the historic venue. Alan Zich of DCRE represented Landmark in the transaction. Once a dignified theater, the Lincoln fell into disrepair and disuse after the widespread riots in 1968, finally shutting its doors in 1981. In the early '90s, the Lincoln was restored and reopened on a limited basis. In 2007 the Fenty administration attempted to resurrect the Lincoln by letting developers compete to develop the back lot, now a parking lot, promising to earmark some of the sale proceeds for the theater, a proposal that was canceled when the District did not receive the proposal it expected. 

  Top Photo the work of Mark Podger, taken from CityStream.com 

  Washington D.C. real estate news

Your Next Place

By Franklin Schneider


This amazing Woodley Park classic is ten pounds of Old World charm in a five pound satin bag. (Note: that's a good thing.) I like bleeding-edge trendy things as much or more than the next guy (you should see how I dress) but this house has a sort of sophistication and fine craftsmanship that's timeless and irresistible.

The house still has much of the original woodwork and details and boasts beautiful seasoned hardwood floors, a vast kitchen, and a spectacular dining room. Check out the ceilings. If I had a dinner party here I'd make people eat while lying on their backs. I should start doing this anyway, just for the comedic potential. Upstairs there are six large bedrooms and 3.5 baths; the master bath is Tony Montana nice. The house comes with a two car garage and multiple canopied deck areas, because everything is more enjoyable outside. Yes, even that.

Downstairs, the basement is a fine one bedroom apartment that you can rent out to defray the cost of your mortgage, or you can just use those monthly checks to buy shoes. And really, who wouldn't want to live in Woodley Park? It's scenic and you're close to everything but not actually right in the middle of it all. (I once lived right in the heart of Adams Morgan – you know how it feels to try and sleep in a busy airport? Imagine feeling like that all the time for an entire year.) A short walk to the metro, shops, nightlife, restaurants, and the zoo, which is arguably the only place you're always guaranteed to see something more miserable than you are.

2626 Woodley Place NW
6 Bedrooms, 3.5 Baths
$1,300,000

Brookland Mixed-Use Project to be Reviewed by Zoning Commission, Finally

Shortly after the first of the year, the Zoning Commission will finally review the Planned Unit Development application for 901 Monroe Street, a 220-unit apartment building with 12,700 s.f. of street-level retail, running the length of Monroe between 9th and 10th Streets.

As the Washington Examiner reported this past spring, the "hotly contested development project" was, as of last March, "deemed too controversial by a city zoning panel to move forward just yet." A hearing date has now been set for January 19th.

The joint development team - The Horning Brothers, The Menkiti Group, and property owner Jim Stiegman - will once again attempt to move forward, with the aim being to follow close behind the 9-acre, mixed-use Monroe Street Market, a $200-million transformation south of Catholic University that broke ground last month. "We're excited about [901 Monroe]," said CEO and president of Horning David Roodberg. "It'll be a nice connection to Abdo and Bozzuto's development [Monroe Street Market] on the other side of the metro tracks."

Eventually, Brookland will become "a metro-accessible destination in itself," believes Roodberg, highlighting the continuous frontage of street-level retail bays included in 901 Monroe that will seamlessly connect to the retail corridor running through Monroe Street Market (site plan at left).

Of course, some fear that the quantity and scale of new residential and retail development in the area will render Brookland unrecognizable in coming years, while others argue that's not a bad thing.

A notable aspect of the development is that the site is a 60,000-s.f. area (below, in yellow) currently fringed with several small buildings, both commercial and residential, including a long-standing local pub, Colonel Brooks' Tavern.

The tavern's owner, Jim Stiegman, started down the path to develop, back in 2006. Last year he told the Washington Business Journal that the beginning of the end for his watering hole was in 2003, when the tavern was the victim of a bungled - and horrific - robbery on Palm Sunday that left three employees dead, and his business debilitated.

It's believed that Stiegman approached the Menkiti Group with the idea to develop, and The Horning Brothers were brought on board soon after.

Eight years later, a PUD is ready to be reviewed, and once approved, the development checklist will begin: construction documents, permits, and financing, confirmed Roodberg. If zoning approval is swift - if - construction could begin as early as the fall of 2012, said Roodberg, with delivery in 2014.

Designed by Esocoff & Associates, the building has already made some concessions, including the loss of 12 percent of its density, down to 197,000 s.f. of gross floor area (from just over 220,000 s.f. sought in the initial 2010 design). The zoning application proposes somewhere between 205 to 220 residential units, mostly 1 bed/1 bath, 150 parking spaces below-grade and 66 bicycle parking spaces. The development will also create wider sidewalks through 15-foot setbacks around the property. The architecture also bears an uncanny resemblance to the Whitman Condos (see picture below), one of Esocoff's recent residential projects.

Alternatives for community benefits offered through the project include the creation of a community park on the west side of 9th Street, on property owned by DDOT and WMATA. Developers say they "found those agencies to be receptive to the idea of a community park" due to the area's shallow depth (limiting potential uses), as it's hemmed in by WMATA/CSX train tracks.

The Brookland business community has also been gunning for "significant sign pylons welcoming people to Brookland, heavy duty mounted poles and banners advertising the Brookland commercial area, potential art/sculpture in public space, the installation of six Metropolitan Police Department cameras, enhanced landscaping and various public space improvements."

The pre-hearing statement for the PUD was filed in October, and all 147 pages are available for late-night reading.

Washington D.C. real estate development news

Once Uncertain Rosslyn Office Tower Reaches Milestone

Judging by the 1812 N. Moore construction livecams, the historically massive Monday Properties Rosslyn project is about to hit ground level - a significant milestone for any big project, much less The Tallest Office Tower in D.C. Area History - that almost wasn't.

When project backer Lehman Brothers went belly up in the wake of the financial crisis, some wondered if the 580,000-square-foot 35-story property at 1812 N. Moore would run out of funds, raising the specter of a skeletal, half-finished tower marring the Rosslyn skyline (or worse yet, a gaping pit in the middle of downtown).

Those doubts (groundless in retrospect, as Monday says it always had completion funds on hand) were put to rest when Goldman Sachs stepped in last month and bought out Lehman's stake in the 1.2 billion dollar portfolio, and the project has remained on schedule for a late 2013 delivery date.

As of today, below-grade construction is nearing completion, and the project should break above grade in a matter of weeks, if not days. “The crane is scheduled to jump up next month,” said Tim Helmig, Executive VP and Chief Development Officer at Monday. He also noted, with evident pride, that their construction crane when fully extended

to its maximum of 451 feet, will be the tallest in area history.

1812 is only one part of a massive ten building, three million square foot portfolio that altogether comprises over a third of the entire Rosslyn office submarket of Arlington, making Monday/Goldman the Microsoft of florescent-lit Starbucks-and-Dockers NOVA anomie.

Construction on 1812 was started on spec – a risky proposition in a down economy and a soft-ish market. But Monday assures DCMud it's in active negotiations with three clients to collectively lease out the entire tower. Questions about these three mega-tenant's identities were met with amusement but then expected silence. At present, 1812 is LEED Gold certified for Neighborhood Development, and anticipates being LEED Platinum certified for Core and Shell when delivered in 2013, keeping it on track to be the first LEED Platinum certified office building in Virginia, as certified by the USGBC.

Central Place, the competing project from JBG and Beyer Blinder Belle right across N. Moore Street, hasn't broken ground yet, but its developers offer assurances as to its progression. JBG spokesman Charles Maier told DCMud that is JBG is finalizing permits for the project and doesn't anticipate any obstacles to a 2012 start date.

Arlington, VA real estate development news

Shops at Dakota Crossing and Costco to Start Now, Open Next Year

It's official. The District and the developers of the Shops at Dakota Crossing - a forthcoming 42-acre big-box retail destination revolving around Costco - have struck a deal.

On Friday, the development team, facilitated by a $46.5-million construction loan, acquired the Fort Lincoln land from the District. In turn, the District pledged a final $17 million in tax increment financing (TIF) subsidies. The site is now ready for construction to begin on the 430,000-s.f. mall, capping a portion of the city's urban renewal retail redevelopment vision for Fort Lincoln that dates back to the '70s.

Joint developers Trammel Crow Companies, Fort Lincoln New Town Corporation (FLNTC), and CSG Urban Partners (a CBE partner) will commence site work immediately ("any day now" sources say) to prepare for a formal ground breaking - likely in January or February - under general contractor Harvey Cleary.

The approximately $60-million project, with urban planning/architecture by Bignell Watkins Hasser, was also on hold pending environmental approvals, secured about a month ago says Cel Bernardino, VP of Development and Construction for FLNTC. Bernadino adds that despite skeptical press of late, the project still has the interest of several big retailers, and that the loss of Target, which is halting expansion nationwide, is not fatal. In addition to Dakota Crossing, Target at one time was also considering - but abandoned - both Georgetown Park and Skyland.

All incoming retailers will benefit from the $17 million in TIF subsidies from the District, which has supported the development as a neighborhood improvement initiative. Developers expect Costco to be open for business in less than a year - next November - just in time for large-scale, back-your-truck-up holiday shopping.

As for the rest , the Washington City Paper pointed out earlier this fall that it appears that the development is moving forward essentially on spec, after Shoppers Food Warehouse (and pharmacy) and Target pulled out of the site. But Bernardino says that although that lease has not been signed, Shoppers, along with plenty of others, did not back away and continue to eye the site, but that Costco is driving the project. "Costco has always been the big dog."

In all, the plan allows for 26 tenants in 13 buildings at the Shops, but as of now, only 182,060 of the 430,000 s.f. has been claimed by tenants: 154,000 s.f. by Costco and 28,060 s.f. by Marshalls. After Costco's building is delivered late next year, the rest of the development will continue to rise and retailers are expected to be able to settle into spaces by mid-2013.

CBRE has been responsible for leasing retail space at the Shops' site, which the company is marketing as "a strategic location on New York Avenue/Route 50... [with] easy access to an impressive 100,000 vehicles per day." Of these vehicle passersby, 2,500 will be able to swoop into a parking spot at the Shops.

Bounded by New York Avenue NE, South Dakota Avenue and 33rd Place, the location was hotly debated because the site is currently a forested area with wetlands that filter waste and prevent flooding. In order to move forward, the developers agreed to incorporate a new wetland into the site, with the design reviewed and approved by the US Army Corps of Engineers, the EPA, and the District Dept. of the Environment.

Additionally, in April of 2010, the District committed $3 million toward an effort to construct stormwater management ponds that will support the entire 360-acre Fort Lincoln redevelopment area, which includes the $80-million residential portion, The Villages at Dakota Crossing, with 334 townhomes and condominiums. The first of three phases will be underway soon, development of the site (roads, etc.) has already begun. Ryan Homes expects the first phase - construction of 63 townhomes and 11 townhome condominums (2 condos contained in each, for a total of 22 condos) to begin to deliver in 2012. Sales have begun, and already 15 condos have sold.

In the decades since developers of the Shops have been trying to gain ground, players have come and gone, and then come back again. Before Trammel Crow was involved, it was The Peterson Companies, and before The Peterson Companies there was Federal Realty Investment Trust and Trammell Crow. When Peterson Companies bowed out in 2007, Trammell Crow Companies stepped back in.

Washington D.C. real estate development news