Obama Cool in the Age of Insecurity

If the good citizens of Annapolis ever decide to invade the District of Columbia, drunk, chewing on unlit cigars and armed to the teeth, they will make it no further than 99 New York Avenue, the fortress headquarters of the Bureau of Alcohol, Tobacco & Firearms. But until that day, the ATF building will remain the worst building in Washington D.C.

In the immediate aftermath of 9/11, the federal government redoubled its efforts, begun after the bombing of the Alfred P. Murrah building, to make sensitive government buildings more secure. In the fifteen years since Oklahoma City, bollards, planters, walls, and retractable security gates have replaced park benches, eliminated landscaping, and narrowed sidewalks around most federal buildings in Washington and around the nation. For most of our important ceremonial buildings, the GSA has cleverly concealed these security measures within the architecture. For instance, few visitors to Washington would ever guess that the low wall around the Washington Monument is the last line of defense against a dump truck packed with explosives.

But even in Washington, the ATF Headquarters, designed by Israeli/Canadian/American architect Moshe Safdie and completed in 2008, breaks new and disturbing ground for architectural insecurity. Driving along New York Avenue (because nobody would ever want to walk near this building) one is arrested by the colossal barricade trying desperately to fill up the block. The ATF offices cower on the south side of the site away from New York Avenue, like a dog expecting to be kicked. In between the barricade and the building is a lovely no-mans-land. Dead end steps lead down from New York Avenue into this secret garden as if the garden had originally been intended as public refuge from the traffic noise of New York Avenue only to be walled off at the last moment by neurotic security consultants.

On the south and east sides of the site, just steps from the New York Avenue Metro station, gateway to the burgeoning NoMa neighborhood, the bulk of the building is hidden behind a single-story security cordon, making 2nd street feel like an alley where a few of the cordon's undistinguished storefronts have been turned over to retail. But these spaces feel like they've been banished from the kingdom, left to live as undesirables outside the castle walls. The only unobstructed view of the actual office building is from the narrow N Street side, but even here the building is sequestered from the street by bollards and planters and too-tall walls and even taller fences and a pointless pergola.

The dead end steps, the DMZ garden, the inhospitable retail, the planters and bollards and pergola--on all sides this is an unremarkable office building subsumed by architectural paranoia, dressed up with empty urban gestures. So why is this building in Washington DC at all? Why not exile it to a remote site outside the beltway?

This was the strategy of the American Consulate in Istanbul, the first of the post 9/11 embassies, which New York Times columnist Thomas Friedman dubbed the place Where Birds Don't Fly. The suburban embassy is too hard a target for terrorists to bother with, but more to the point, its very inaccessibility has made it a symbol not of our highest values but our worst fears. The best that can be said of the Istanbul Consulate is that it is not in Istanbul at all, but far away from anyplace that matters, like the crazy aunt in the attic. But in Washington DC, the ATF has stumbled out onto the front porch, wearing nothing but a top hat and tutu, and is screaming at the neighbors about alien invasions.
Fortunately there is prescription for this architectural nervous disorder: Philadelphia architects', Kieran/Timerlake’s design for the new American Embassy in London. Perched atop a gently sloping berm and surrounded by a reflecting pool, the glass cube, swathed in bubble wrap, is alighted on an open colonnade at street level. The design for the new American Embassy is distinctly urbane and utterly unflappable: Obama cool. Posed conspicuously on the south bank of the Thames, surround by a decidedly urban neighborhood of office buildings, this building is not afraid of the crowds. It will be the life of the party. Home to the "High-Tech-Modern Architects," Richard Rogers and Norman Foster, London is a showcase of technological innovation in architecture.

But even in such sophisticated company, Kieran/Timberlake's design stands out. The bubble wrap insulates and regulates sunlight and features next-generation "thin film" photovoltaics, a technology pioneered in the United States. But more important than the transparent skin, is the openness at the street. The first floor colonnade is a stylish storefront, taking its cues from the transparent Apple Stores, drawing in shoppers from the marketplace of ideas. Openness, transparency, technology: these are the values that America's buildings should symbolize around the world, and the values that should inform our federal buildings here at home. The ATF building will go down as one of the starkest expressions of a dark age in American federal architecture, but there is light on the horizon.

Courthouse Condos: Someday, Somehow

The on-again, off-again residential project at 2000 Wilson Boulevard, no, make that 2001 Clarendon Boulevard, is on again-ish. In December, Elm Street Development received an amendment to their plan for condos, no apartments, no condos - in the Courthouse neighborhood. The amended plan will increase the number of residential units from 141 to 154 and slightly reduce ground-floor retail, keeping it in the 30,000 s.f. range. And yet construction is unlikely in the near future. Jim Mobley, VP of Elm Street, said the amendment covered minor "tweaks" to the plan and that the group is working with WDG Architecture to update the them accordingly. Mobley expects to finish the revisions over the next six months, though construction is "financing dependent." The developers initially planned construction in late 2007, for what was first intended to be a condominium project, but in October 2008 was switched to apartments with an open-ended 2010 completion target. Now Mobley said about the units "we are looking at them being condos," though he did not venture to give any concrete start dates. Formerly home to a Taco Bell and neighborhood bar, Dr. Dremo's, having been demolished in late 2008 to make way for...something. The development is bounded by Wilson Boulevard, North Rhodes Street, Clarendon Boulevard, and North Courthouse Road, and carries a street address of 2001 Clarendon Boulevard since the building fronts Clarendon.

Arlington Virginia real estate development news

Camp Springs Eternal

If there are no sadder words than "what might have been," many planners must be feeling a bit melancholy these days, not the least of which would be developers of the Town Center at Camp Springs in Prince George's County. If ambition were reality, the Branch Avenue Metro would have joined other metro-oriented developments like Silver Spring or Clarendon, or maybe at least Twinbrook, but then Father Economy intervened. And though several residential projects have delivered, the promise of retail to round out the community is unfulfilled, and the site closest to WMATA's vast surface parking lots remains a sandbox.

In 2008, Archstone secured approval for a massive 19-acre mixed-use development, the Town Center at Camp Springs. The Town Center plans called for 801 rental apartments and 65,359 s.f. of retail to attract young professionals and employees of several nearby federal facilities. Though groundbreaking was supposed to begin this past fall, like so many projects, the Town Center remains another undeveloped Metro site, another victim of the times.

Peter Jakel, a Communications Manager for Archstone, told DCMud, "the project is planned for a future construction start, but we have not yet established a definite start date." An all-too-familiar chorus for a promising metro-oriented development.

In 2008, Archstone Senior Vice President Rob Seldin described his project as a sort of tipping point for the County, that drawing in young professionals and their entrepreneurial spirit would mean jobs and a new tax base. Seldin explained that, historically, "in PG County, it is typically very difficult to have housing approved, so really, what's been happening is these highly educated, highly skilled, highly compensated workers have been systematically disenfranchised, so they go to Arlington." The horror. Camp Springs would, according to Seldin, offer the same Arlington appeal to the young professional demographic and draw them into Prince George's County. But now that many college-educated, potential-homebuying, young professionals are unemployed and living at home, the Town Center at Camp Springs target market has dwindled.

The project, when begun, will deliver in three phases. Ideally, the first phase will offer 416 units, a 7,000 s.f. private club house with pool, followed by the second phase with similar amenities and 385 units. Phase three will be the retail space, all designed by The Preston Partnership, LLC. What year this will happen, no one seems willing to guess.

Other nearby metro-centric projects have fared better. Metropolitan Development's Metroplace at Town Center, situated between Auth Way and Suitland Parkway, began leasing its 397 rental units in 2006, and report being 92% leased. Across from Metroplace are two more residential projects, Chelsea Way and Tribeca, both developed by Wood Partners. Without the added value of retail from Town Center, however, Camp Springs will continue to be relegated to the category of sprawl rather than high-density metro-oriented development.

Prince George's County real estate and development news

Skyland's Supreme Challenge

Real estate development is sometimes an agreeable collaboration, sometimes a struggle, and all too often a wordy brawl, but seldomly is it constitutionally challenging. But that may well be the case in southeast DC's Skyland Town Center project, now in its 8th year of development. What began as a plan to redevelop a needy southeast neighborhood, a benefit most agreed was overdue, has morphed into a property rights battle that tests the U.S. Supreme Court's decisions on property rights.
Eight years ago, the National Capital Revitalization Corporation (NCRC) began planning a makeover of the strip mall, proposing 450-500 residential units and 280,000 s.f. of retail at the intersection Alabama Avenue and Good Hope Road, an area that saw none of the rejuvenation that occurred downtown over the last decade. The District-funded NCRC recognized the spot as a bullseye to spur development, one where private industry alone might not be tempted. The choice seems apt; shuttered beauty salons accompany a check-cashing outlet, a Discount Mart offers faded displays in the window, and the mismatched storefronts are united as much by their nearly-matching green awnings as by their peeling paint and disrepair. On a warm day, car traffic is heavy but the few pedestrians seem more inclined to linger on one of the park benches in front than patronize the stores.

Promoters have a vision: "A 20-year old dream, conceived by Ward 7 residents when this 16-acre site in southeast Washington, D.C. was declared a redevelopment zone in the late 1980's...will transform a disjointed retail area with limited offerings into a cohesive, well-designed, prominent living, shopping, and gathering place." Planners presented at a meeting to the ANC in February, promising a new retail experience for southeast: concentrated retail, multi-family residences, three above-ground parking garages, a 5-story streetfront presence, and reducing vehicular access points for less interrupted pedestrian traffic. As a bribe to locals, builders will throw several million dollars at homeowner counseling services, retail build-out subsidies, park improvements, sidewalk and road enhancements, and job preparedness.

The project was initiated during Mayor Williams' term, but the Fenty administration has gotten squarely behind the project, helping bring together the parties and promoting the project. The Council has even offered a $40 million Tax Increment Financing (TIF) package to provide gap financing to the team, a consortium including Rappaport Companies, William C. Smith & Co., Harrison Malone Development LLC, the Marshall Heights Community Development Organization (MHCDO) and the Washington East Foundation. The Feds, for their part, threw in $28m of funding to show their support. Even the ANC, which usually love development as long as its not in their district, voted to support the project.

With all the economic incentives and mutual bonhomie, what could stop such a beloved juggernaut? The people who own the land. A not-so-small detail in the rehash is that neither the development team nor the city owns most of the property; private owners (originally 15, predominantly retailers) still claim title to the land. And with concerns about displacement and the possibility that once the site is emptied developers will not have financing to build up again, owners fret that selling out means closing down, for good.

The District government is sympathetic, but not very. In view of the greater good for the area, the economic development that will ensue and tax revenue that will one day flow, District planners have opted to proceed with or without the owners' approval. In May of 2004, the District passed "emergency" legislation authorizing NCRC to use eminent domain proceedings - where the government determines and pays a fair market value and takes over the land - to acquire the 40 parcels it needed "in order to show the commitment of the D.C. government to the project." As the argument went at the time, if the District could not pull together a united front, financiers and an anchor store would be hard to come by.

That gave gastric reflux to at least some of the owners, who filed a counter suit to prevent the taking. The owners had two primary arguments: that the original PUD filed with the Zoning Commission was filed by a group that did not include the owners - an issue that is still outstanding - and that the eminent domain proceeding was unconstitutional, i.e., that the land was being taken for private use, not "public use" as required for eminent domain.

At this point forgive us for a brief Constitutional digression. The 5th Amendment to the Constitution reads, in part: "nor shall private property be taken for public use, without just compensation." Characteristically simple language for the foundation of U.S. law, but one that has caused recent debate. Until recently, it was obvious that sole authority for snatching land had to spring from a "public use" (building a new road or sidewalk, laying electric cables, forming a park, or even laying a railroad which served without exclusivity) - one where the government could take the land to further provision of a community service.

All that changed dramatically in 2005, when the U.S. Supreme Court issued its decision in Kelo, et al. v. New London, CT, et al. In the Kelo decision, the city of New London created a development plan for a waterfront neighborhood around an upcoming Pfizer research center. The plan was for parks, office space, retail and parking that would enhance the Pfizer site, one that was “projected to create in excess of 1,000 jobs, to increase tax and other revenues, and to revitalize an economically distressed city..." Some lifelong homeowners, however, resisted giving up their waterfront homes, so the city and a private entity called the New London Development Corporation (NLDC), used eminent domain proceedings to oust the residents.

The Court found for the city, arguing that although much of the space would not go to "public use", the Court decided it "had long ago abandoned any literal requirement" for reading the 5th Amendment, literalism being "impractical given the diverse and always evolving needs of society." So much for the 5th Amendment. The court abandoned the "public use" requirement in favor of a "public purpose" requirement; in other words, if the local government found a generalized benefit of some sort (such as "economic development") to the community, it was free to authorize the seizure of one party's land by another party. In addition to getting value-enhancing development next door, Pfizer received corporate subsidies to encourage it to build, while the shore-front owners were soon evicted and had their homes razed.

Kelo remains the Court's official position, and the Skyland project has nearly identical circumstances. But owners here see even less public use than in Kelo - no parks or public waterfront - distinctions that helped the court reach its decision. With the Court having lost Justice Souter, a key liberal vote in the 5-4 opinion, another look at the same issue might find a distinction in the circumstances that warrants a different outcome. (Conservatives, more furious with Souter than ever after this decision, later proposed an eminent domain proceeding against his private New Hampshire home for the "public benefit" of turning his family home into a museum dedicated to individual liberties and the study of the Constitution. Property rights activists used the decision to launch national speaking tours).

While the ruling is a bitter pill to retailers at Skyland, the worse aspect may be the knowledge of what took place after the decision. In New London, the city removed the homeowners and bulldozed historic homes, only to have the development plan fail for lack of financing. The former neighborhood remains flattened and unused. Pfizer later announced that it will pull out of its research center, just as its tax incentives reach their 10-year expiration.

Dana Berliner, Attorney with the Institute for Justice, was co-counsel on the Kelo case. In a conversation with DCMud, Berliner said the instance of eviction without subsequent development is a very common one. "What you are talking about here [at Skyand] is really speculative. Its a big development in a difficult part of town...that project could easily end up destroying the jobs that already do exist at Skyland. They could spend tens of millions of dollars and end up with nothing. Now, the project actually does employ people and raise tax dollars." Zina D. Williams, ANC Commissioner for ANC7B is more sanguine. "We have worked carefully with the developers to ensure there will be a space for the old tenants." Will the developers have the money to proceed with construction? "Yes, they definitely do. Rappaport and the development team have been working with assisting [owners]. ANC7B and the developers have been working very hard to accomplish what's best for the project; we are confident this project will go forward, we definitely support the development team."

In the wake of Kelo, many states revised their eminent domain laws to prevent such abuse, but the District did not. Elaine Mittleman, an attorney representing several of the parties in litigation with the District and aware of the Kelo fallout, refutes the notion that owners and tenants have been well cared for, and notes that this development is "highly speculative." Mittleman believes the developers have neither sufficient financing nor any substantial tenants, despite having previously teased the community with the promise of a Target. Representatives at Target have repeatedly denied they have any plans to open a store there, and the Skyland website says only that "the site is being marketed to prospective tenants."

Mittlement notes a change for the worse once NCRC was abolished and negotiations shifted to District attorneys, claiming that the District has never negotiated in good faith with the current owners, some of whom have come to agreements on a buy-out, only to have the offer reneged when the District took over from NCRC. But others may have it still worse. "While the owners have a right to 'just compensation,' tenants don't have such rights and have never received an offer to be made whole...and while homeowners must be relocated, businesses have no such right, and the District has done very little to help them."

The Mayor's office says only that "there are several outstanding legal issues associated with the project that have complicated the development process, but the District is working closely with the development team...to accelerate the pre-development work so the project moves on a parallel track with the legal process." Mittleman contends that fighting eviction during a recession has pushed several of her clients close to bankruptcy. "Some of the business that are now shuttered were operating when the this plan became known, this process has already forced some to close." Berliner supports that contention. "Many, if not most, condemned business do not reopen. They almost never get enough to start over" she said, citing the Nationals Ballpark as an example of eminent domain that cost alot more and produced less development than predicted.

Councilmember Kwame Brown, who may have the last word on the subject, told DCMud that property owners are at fault for not listening to the community and allowing their businesses and Skyland to become blighted. Brown said neighbors want to be able to shop in their community, but have had to watch as other neighborhoods throughout the city have been redeveloped, some of which came about through eminent domain. "The community is sympathetic toward the owners, but it's hard to attract an anchor tenant when you are mired in a lawsuit...We are going to move forward and get this done. We will develop Skyland shopping center."

Washington, DC real estate development news

Arlington and Alexandria Hope to Lure Developers for Restored Waterfront Property

Have you heard about Four Mile Run, the next hottest waterfront development area in the DC suburbs? Arlington and Alexandria urban planners are hoping to transform the Four Mile Run into a draw for developers seeking to capitalize on a waterfront environment. The restoration project set out a series of wish lists for environmental improvements and guidelines for greener, more modern buildings. Arlington and Alexandria continue to push forward on the three year project, optimistically riding the storm of the current economic downturn.

For those unfamiliar with the Four Mile Run Project, here’s the rundown: The lower 2.3 mile portion of Four Mile Run runs from Shirlington to the mouth of the Potomac and acts as a natural boundary between the cities of Alexandria and Arlington. In the 1970s and 80s, the Army Corps of Engineers channelized this portion of Four Mile Run to control a major flooding problem. The solution worked, but the resulting channel became an eyesore that eliminated the vegetation and aquatic wildlife that used to call that part of the stream home.

In March of 2006, the cities of Alexandria and Arlington drafted a plan to revive the once thriving environment along the channel bed without sacrificing flood control. Enter the Four Mile Run Restoration Plan and the Four Mile Run Design Guidelines—an overview of improvements planned along the stream and a guide for developers hoping to take advantage of what the cities of Alexandria and Arlington hope will become a bustling gateway between the municipalities over the next 10 to 15 years. Another plus for developers: the guidelines do not set new ordinances or even make hard and fast development rules for that matter.

“We wanted future developers to focus their orientation toward the stream instead of turning their backs on it as developers had done in the past,” explains Arlington County Urban Planner, Leon Vignes, adding that in the years to come, the newly revitalized stream will come “to be seen as a feature for building in the area.”

According to Arlington Environmental Planner Aileen Winquist, developers should look forward to the completion of the Tidal Restoration Demonstration Project within the next two years. This project will restore the stream banks and improve the appearance of the channel bounded by Route 1 and extending to Commonwealth Avenue/South Eads Street. Additionally, a design competition for a new pedestrian/bicycle bridge extending from South Eads Street to Commonwealth Avenue to connect the cities of Alexandria and Arlington is also in the works.

“Our mantra in Arlington has been cafes and retail on the first floor. We’d love to see that and development with an eye to the stream. But we don’t make land use recommendations,” says Vignes. “We really just want to leave the possibilities open and see all types of development.”

On the Alexandria side, you’ve got the Potomac Yard project. New apartments and condominiums will join the relocated Signature Theatre in Shirlington. And rumor has it that the Target on the Alexandria side might also be up for redevelopment.

As long as developers strive for greener building practices, do what they can to incorporate public spaces and the newly improved stream in their designs, and take into account storm water management, they'll be welcomed by city planners in Alexandria and Arlington. (Not that they could actually penalize developers for not following the plans).

Public hearings and planning meetings to discuss additions and finalize the Four Mile Run Design Guidelines are scheduled for the 14th and 26th of this month.

The Dirt on...14th and U

Pawn shops no more
As any casual observer of the area can tell you, the post-riot 14^th Street that used to host DC’s finest peep shows and open-air drug markets (RIP Shop Express) is long gone. True, there are probably a dozen dollar stores hocking Obama t-shirts and incense at any one time, but the retail scene has expanded beyond just Footlocker and tattoo artistry of Pinz-N-Needlez. While Whole Foods isn't too far way, the newly-opened boutique grocer, Yes! Organic, should satisfy the immediate needs of hummus-starved newcomers. In fact, the neighborhood today boasts DC’s most impressive array of niche-centric retail with everything from gourmet confectionery (Cake Love) to pricey custom furniture (Vastu) to comic books (Big Monkey) and hand-made jewelry (DC Stem), within walking distance of the U Street/Cardozo Metro station.

Real estate’s best bet
Two blocks north of the famed 14^th and U interchange, DC's largest concentration of new condos and apartments is brewing, with more than 1000 new units of housing going up within a stone’s throw of 14th and W. Among those completed are PN Hoffman’s Union Row and Jair Lynch’s Solea condos, while Level 2’s View 14, UDR’s Nehemiah Center residential tower are under construction, and Perseus Realty’s 14W is scheduled to begin shortly. And, unlike, say, the area surrounding Nationals Park in Southeast, where neighborhood amenities are still absent after the residential building boom, U Street is already loaded with restaurants and nightlife of all stripes. And with Room & Board scheduled to open more than 30,000 s.f. of retail space next year, expect much more visibility for the neighborhood.

Eating out: it’s not just half-smokes anymore

While Taco Bell and McDonald's might be the most popular dining establishments (at least at 2 am), the inroads made by funky restaurants like Busboys and Poets, Marvin (country fried chicken and waffles--who knew?) and Tabaq have gone a long way to bringing some flavor to the neighborhood. In the past months, newly opened establishments like cajun/soul food eatery, Eatonville, and The Gibson, where mixologists design the perfect cocktail, have been abuzz in the press and are the newly-minted, go-to destinations for urbanistas city- (and suburb) wide. Even greasy spoon and DC dive landmark Ben’s Chili Bowl has moved upscale by opening a white table cloth eatery, Ben’s Next Door.  After you've over-indulged, you can work it off with an Urban Funk Class at Results Gym.


Adams Morgan ain’t got nothing on U Street
While nearby Adam’s Morgan may have one thing going for it (read: boozed-up college kids), U Street’s approach to nightlife is more diversified with culture: The Lincoln Theater and Source Theater, DC's most eccentric sports bar, Nellie's, and a laundry list of music venues (The 9:30 Club, Black Cat, DC9, and the Velvet Lounge) share space next to bars that (gasp) don’t specialize in jell-o shots and specials on Miller Lite…not that there’s anything wrong with that.

But it’s still has that old school DC charm

But if you’re really attached to the iPod adapter you keep in your tape deck, it might still be good idea to take it inside before sacking out for the night. Area car thieves have made the old smash-and-grab a fact of daily life at 14^th and U, much like five o’clock congestion or sidewalk sermons from Greenpeace. Whether it is women’s clothing, a half-empty pack of cigarettes or the kids’ car seat, literally nothing is too inconsequential a target for area miscreants. For a closer look, check out the MPD's crime map.

Nonetheless, don't be afraid to chill out. This is a neighborhood with not one, not two, but three yoga studios after all. Santa Monica, here we come.

Washington DC retail and real estate news

McMansion Watch: Chevy Chase

Even through the worst of economic slowdowns, the Montgomery County hamlet of Chevy Chase has proven to be one of the most insulated from market declines - at least with regard to home values. The fact may have something to do with schools, proximity to DC and Metro, walkability or history, but certainly housing is the dominant factor, and close-in single family homes have fared best. Which helps explain the surfeit of increasingly imposing, over-sized homes that have dominated the architectural style of new homes. With that in mind, here's a look at some projects currently underway:

Properties 1 & 2: 3823 Bradley Lane

Two single family homes will soon be situated on these dual 17,000 square foot development lots, which formerly hosted the now-demolished Nigerian ambassador's residence.

Developer: Sandy Spring Classic Homes

Architect: GTM Architects

Builder: Sandy Spring Builders, LLC

3810 Club Drive

Formerly home to a split-level rambler that has increasingly become the target of developers, this parcel has been reborn as a goldenrod...chateau? Or English manor, we're not sure.

Developer: Mitchell & Company

Architect: Mitchell & Company

Builder: Mitchell & Company

3516 Turner Lane

Wrapping up construction next month, this garage-centric home sits on a 7,000 foot lot a block over from Chevy Chase's only (and tre exclusive) shopping center on Brookville Road. The convenience will only run you $2,199,000.

Developer: McNamara Bros., Inc.

Architect: Studio Z Design Concepts

Builder: McNamara Bros., Inc.

Washington Adventist's Move to Silver Spring

Takoma Park's Washington Adventist Hospital will soon be getting a new address, courtesy of owners Adventist Healthcare, Inc. (AHI) and the Montgomery County Planning Board (MCPB). Earlier this month, the Board unanimously approved the healthcare provider's plans to build a sprawling 803,570 square foot hospital complex on a vacant 50-acre parcel in the White Oak/Calverton area (aka greater Silver Spring).

The new Washington Adventist will be erected at 12030-12110 Plum Orchard Road - a site within the Westfarm Technology Park that also includes Target, Kohl's and PetSmart locations, in addition to United States Postal Service distribution facility and a Marriott Residence Inn. The location also adjoins nearby residential neighborhoods like Riderwood Village and West Farm. The Citizens Associations of both those developments have lent their approval to the project, as have a number of other local authorities including the Calverton Citizens Association, Greater Silver Spring Chamber of Commerce and the US Food and Drug Administration, headquartered nearby.

In all, the MCPB received only one complaint from a local resident, out of more than 700 hundred in favor of the project. Jerry and Alice Wahl, residents of nearby Featherwood Street, expressed concern about ambulance and helicopter noise resulting from day-to-day hospital activities. However, AHI’s stated intention is to impact the community as little as possible, and, in the areas that it does, for the change to be nothing short of positive.

At present, AHI plans to build the facility in two phases with four overlapping sub-phases. The first such phase is set to include construction of the main 7-story, 500,083 square foot main hospital building and emergency room; a 2-story, 60,888 square foot ambulatory care building that will connect with main facility via enclosed pedestrian bridge; and two supporting parking garages on the north and south ends of the site, respectively, for a total of 2136 new parking spaces.

With those primary facilities in place, AHI will then move on to constructing a ground-level helipad; two 100,000 square foot “medical office buildings”; a 9,264 square foot multi-denominational “Faith Center” with amenities including an outdoor plaza, overhead canopies, an arts component, and water features; and finally a lakefront “Healing Garden” to be connected to public walkways and a fitness trail. Per the MCPB’s ruling, the development must feature at least 37-acres of green space – meaning AHI will be preserving as much heavily forested area as possible. Furthermore, in keeping with the eco-centric tone of the Board’s conditional approval, the new Washington Adventist must achieve a LEED certification.

Meanwhile, AHI will continue to use their 13-acre Takoma Park campus as part of the Hospital’s Vision for Expanded Access, which, in short, aims to make healthcare as accessible as possible for Montgomery County residents. In a statement following the ruling, Geoffrey Morgan, Vice President for Expanded Access at Washington Adventist Hospital, said, "The new campus and the future services at our Takoma Park site will allow us to continue our more than 100-year tradition of improving the health and wellness of our communities.” AHI also plans to update the roster of services available at their present location with a new “Village of Health and Well-Being” that will be constructed as other hospital components are demolished or moved off-site.

AHI is currently projecting a 2013 opening for the new facility – a point at which hospital officials expect the new, state-of-the-art Washington Adventist to greatly improve the metro area’s ability to deal with public health crises. The project is being designed by a panel of local architects in order to better serve a variety of medical specifications.

Use 'Em or Lose 'Em Credits for Views at Clarendon

The Arlington County Board has put the long-delayed Views at Clarendon project on the fast-track, after approving up to $6.5 million on Saturday in additional loans for the development. This follows a December ruling, wherein the Board of the Virginia Housing Development Authority offered another $700,515 in annual tax credits for the project, adding to the $1.5m of tax credit already available.

While the approval was good news for the project, every silver lining at the Views seems to have a cloud. In accordance with Internal Revenue Service deadlines for the tax credit program, the project’s developer, the Views at Clarendon Corporation (VCC), must have the development "ready for occupancy" by December 31, 2011 - meaning that the developer must turn paper into bricks soon, or face the prospect of losing their $2.3 million in credits.







This is just the latest wrinkle for the much embattled project, which has faced not one but two legal battles in 2004 and 2007, respectively – including one that took them all the way to the Virginia Supreme Court. Additionally, construction delays, legal fees, and the downturn in the economy, have driven the project’s budget from $41.2 million to $49.2 million. With the newly approved addition to their cache of county dollars, the total of the Views’ Affordable Housing Investment Fund loans has now reached $13.1 million – not to mention the aforementioned tax credits.

David Cristeal of the Arlington Department of Community Planning characterized the inclusion of tax credits as "essential" to the project's budget and said without them, it cannot be built. He did, however, confirm that the developer now plans to break ground on September 1st, 2009 and said that "It gives [the development team] a 24 month construction period and some cushion." But not much.

In order to keep the project on target and keep costs down, the First Baptist Church of Clarendon – the entity that owns the proposed site at 1210 North Highland Street and makes up one-half of the VCC development team, along with the Arlington Partnership for Affordable Housing – has elected to defer a portion of its developer fee and accept $500,000 less for the development rights above their church.

At least the road to the Views is paved with good intentions. The 116-unit, mixed-income building promises to add 70 affordable apartments – including 12 reserved for the County Department of Human Services’ Permanent Supportive Housing Program - within earshot of the Clarendon Metro. Arlington County Board Chairman, Walter Tejada, described the county as “committed to increasing the supply of affordable housing” and said that the Board is “working closely…with the [VCC] and their development team…to make this development happen.” Lacey

Half Street Digs Itself Out of a Hole

After weeks of speculation, construction is underway at Monument Realty's Half Street residential project. The prime real estate sits directly across from the Nationals' ballpark, was dug in the first months of 2007, with Monument's 275,000-s.f. office project rising on the northern portion of the crater. But when the remaining 2-acre hole sat vacant as the market was free-falling and funding of residential projects evaporated, speculation ensued about its demise. The hole became metaphorical as well as literal once it was revealed that Lehman Brothers, in a hole of its own, had an equity stake in the project.

But after 18 months without activity, construction is now underway on the site. Workers now seem to be assembling a subterranean parking garage at Half and N Streets SE - presumably a component of the hotel and 340-unit residential buildings planned for the site. And while the developer will not be able to hit their original target of a 2009 completion date, it does seem that rumors of the project's death have been greatly exaggerated.

"Monument is pursuing financing for the residential projects at the corner of N and Half Streets, SE. Clearly the changes in the market have made that task more difficult, but we have not made any plans to refill the excavated hole," says Monument Executive Vice President Russel Hines. "In addition to the office building [55 M Street SE], which will finish up in January, we are also building a portion of the garage that extends under the residential buildings – so, yes, there is some construction underway at this time."

In a related item, some portions of the Half Street project could be getting a new address, if a measure before the DC City Council goes through. According to the Washington Examiner, a vote next week will determine if a three-block portion of South Capitol Street (that also happens to border locale célèbre, Nationals Ballpark) will be renamed “Taxation without Representation Street.” Among those most directly affected by the switch would be Camden USA – which just happens to have a $105 million mixed-use project in the planning stages that fronts the avenue in question. We can see the signs now: Taxation without Representation Street Lofts now available! Have fun with that one, marketeers.

Washington DC commercial real estate news

Organic Grocer in Columbia Heights to Build in March

Richmond-based organic grocer Ellwood Thompson’s Local Market has announced it will start construction on its second location (and first District store) in March of next year. The grocer, which announced its intention to occupy the space last month, will build out the 15,000 square foot store inside the DC USA at 14^th and Irving Streets NW. It’s an area that Ellwood Thompson’s CEO, Ryan Youngman, saw as a perfect fit for his stores’ locally grown, organic produce.

ET bills itself as supporting "sustainable practices ...supporting local farmers" with food "free of artificial flavors, colors, preservatives and sweeteners." Said Youngman: "We’ve always seen DC as market that could really handle it. It’s always been on our list of places to go...We’re one independent store and wherever you grow, you want to get your biggest possible audience."

After meeting with nearly 20 developers and scouting locations across the city (including PN Hoffman’s storefront at Union Row, now occupied by Yes! Organic), Ellwood formally partnered with MV+A Architects to resurrect a derelict storefront at 14^th and Irving that the architecture firm had been seeking to fill with a viable tenant. Once completed – with historic facade intact - the new Ellwood Thompson’s will share the block with a recently opened Washington Sports Club location and Best Buy.

According to Youngman, the local community registered almost immediate support once word got out that his organization was vetting it as the possible location for an independent, health-conscious grocer – a feeling that was reciprocated on Ellwood Thompson’s end as well. Says Youngman:

We really just loved the walk of it. We loved the people and the activism aspect of it. I’ve got thousands of e-mails of testimony from people who wanted us to come up there...we just got hit after hit after hit and we’d like to profess our undying gratitude. After 800 or 900 e-mails, it just became the obvious location for us. This is also an economy where we really need to be in a place where the discretionary income is there and it’s under-served in that area. Giant is cranking away up there, but there’s no alternative for a grocery.

Washington DC-based Prince Construction has been selected to build the project. Construction is slated to begin in March of 2009.

Washington DC commercial real estate news

2000 Wilson Finally Making Rubble in Clarendon

2000 Wilson, the oft-delayed Clarendon apartment complex, has finally taken its first steps towards fruition. The Taco Bell franchise and abandoned Dr. Dremo's occupying the site are now being demolished to make way for 141 rental apartments and 36,000 square feet of ground floor retail.

Developer Elm Street Development initially planned construction late last year of what was first intended to be a condominium project (that's just so 2006), but now forecasts an open-ended 2010 completion target. Dr. Dremo's, the beloved neighborhood bar that used to stand on the site, closed its doors last January in anticipation of imminent demolition.

With that out the way and approval from the Arlington County Board locked, the WDG-designed project can now move forward unimpeded. The development is bounded by Wilson Boulevard, North Rhodes Street, Clarendon Boulevard, and North Courthouse Road, but confusingly carries a street address of 2001 Clarendon Boulevard despite the 2000 Wilson title; meaning the next hurdle for the project lies at the feet of the marketing team.

The District's Best Buy

Just a few weeks after the opening of the city's first Target store, in Columbia Heights, Best Buy is set to open in the same retail complex, the DC USA Center, helping to make the center the largest retail space in the District. The office of Councilmember Jim Graham announced that the ribbon-cutting ceremony will take place Thursday on site - 3100 14th St. NW, at 6pm. This will be the second Best Buy to open in the District, following three years after the success of its first store other in Tenleytown. The store has stressed their commitment to offering employment to members of nearby communities and helping local non-profits.

Columbia Heights Opens Retail Center

Last week marked a proud moment in District of Columbia history - the city's first Target store opened in the DC USA retail complex in Columbia Heights.

The 540,000-s.f., three story 'urban center', on roughly five acres of land between Irving Street and Park Road, is expected to garner more then $12 million in revenues for city coffers and will supply the District with more than 1000 jobs. Coming on the coattails of a 180,000-s.f. Target are Bed, Bath and Beyond, Washington Sports Club, Best Buy and a number of smaller retailers more often relegated to the suburbs, like Caribou Coffee, Mattress Discounters, Quizno's, Marshall's and Staples. New York based Grid Properties and Gotham Developers saw the project through to completion.

In a statement to the press last week, Mayor Fenty said: “[I]t is fitting to call this project both the catalyst and the capstone to an unprecedented economic resurgence in Columbia Heights – where nearly $1 billion worth of new housing, retail and office space has moved through the development pipeline since 2001.”

George Washington University professor, and economist, Tony M.J. Yezer opined. "If you think about what happens when you have group houses or [families with] double income-no kids, if they work downtown, they're not particularly fond of the suburbs. Its logical, that since there is a lot of employment of those types, they're going to want to live in Columbia Heights. If I could speculate, this [growth] might have happened earlier, except that perhaps, the government in DC was somewhat problematic in the 1980s.

"Does retail follow housing, or does housing follow retail, the answer is yes to both. This retail growth in Columbia Heights is caused by the population transformation and the population transformation will bring further retail. Things may be going fast in DC now, and the reason is that they didn't happen over time because they were delayed by what I consider to be problems with local government. You can have the economic rationale for converting a neighborhood to be fairly large, but you can also have regulatory impediments. The dam has burst. [Development] is going to happen very fast."

Bring on the cheap sneakers.

Washington DC commercial real estate news

Neil Alblert's Stimulus Package for DC Developers

The Office of Planning and Economic Development announced yesterday nearly $9 million in development grants for neighborhood projects through the Neighborhood Investment Fund (NIF), a subsidiary program of OPED. The seed money is being offered to catalyze further development in neighborhoods that need it most.

The District's development booty will be offered offered through two programs: $6.9 million, managed by The Reinvestment Fund, will be offered through NIF's Land Acquisition and Predevelopment Loan Fund, which will help to provide non-profit and Local, Small and Disadvantaged Business Enterprises (LSDBE) with low interest loans for land acquisition and predevelopment purposes. The second program will offer another $2 million, managed by Local Initiatives Support Corp (LISC), through NIF's "Predevelopment Grant and Project Grant Fund" to help finance construction and rehabilitation.

“Our charge is to ensure that every section of our city enjoys real economic development opportunities...We expect qualified organizations will put these funds to work – leveraging our initial investment to create some real community benefits,” said Neil Albert, Deputy Mayor for Planning and Economic Development.

In order to qualify for a grant, a project must be considered eligible in both location and scope. The funds apply to projects that would create either affordable housing, mixed-use development, or community facility projects in 12 NIF target areas, namely: Anacostia, Bellevue, Bloomingdale/Eckington, Brightwood/Upper Georgia Avenue, Brookland/Edgewood, Columbia Heights, Congress Heights, Deanwood Heights, H Street, NE, Logan Circle, Shaw and Washington Highlands neighborhoods.

The deadline to apply for one of these grants ends on July 31, 2008, or until the grant the District gives away all of its money. To get a pice of the pie, check out their website.

Allegro says: Arrivaderci Condos

Metro Properties Inc. has just announced that the Allegro Condominiums, their 297 unit project at 3460 14th Street, NW, in Columbia Heights, has joined the tide of reverse condo conversions and is now destined to become an apartment building.

According to Jeremy Rubenstein, CEO of Metro Properties, the firm had finished their sales for the initial phase back in July, "right before the worst part of the instability of the housing market hit." MP had planned to resume condo sales this spring. "It actually has been an enormously successful condo sales program," Rubenstein said, adding "we reasonably suspected it would continue to be successful, but we looked at the risk in the financial environment and the uncertainty that many of our purchasers faced if sales did not meet our hopes and expectations. The rental market is tremendous in that location, and we decided it was the best choice for the area...we had been mulling it over for the past couple months. We're tremendously excited about this. We decided that our purchasers and our firm would be far better off."

Rubenstein expects that the entire building will be converted to apartments, and that Metro Properties will not keep any of the original purchasers as condo owners. Rubenstein predicts that its unlikely that leasing agents will have any trouble unloading the metal panel and brick apartment building with its nine foot ceilings, large balconies, hardwood floors, and underground parking. For the truly discerning, Allegro will have 62 two-level penthouse units with gigantic private outdoor roof decks, and interior apartments that face a courtyard with a reflecting pool. If all of that isn't enough, the largest retail project in DC history will be opening its doors in March, just 1000 feet from Allegro, offering tenants an assortment of shopping choices...and a Target.

The Allegro site is on the location of the old Giant Supermarket and surrounding parking lot, which was bulldozed in 2006 to make way for the new building. Metro Properties purchased the whole site in three phases, buying the Giant lot in June of 2006, and acquiring the two supplementary sites the next month. Marriottsville Construction, LLC, an affiliate of Harkins Builders, expects to complete construction by the fall of this year (construction photo at bottom).

Washington DC real estate development news