Washington, DC Economic Partnership (7/24/14) Washington, DC Economic Partnership | BISNOW Tour Notes (7/24/14) The WDCEP offers free tours throughout the year focusing on emerging neighborhoods and commercial corridors. To be added to our mailing list please send an email to [email protected]. Intro/Overview U.S. National Bureau of Economic Research released a study that ranks DC as the 3 rd happiest major metro area in the U.S. The Washington, DC Economic Partnership has been tracking development activity in DC since 2001 Verizon Center opened in 1997 that became the east end anchor that led the way for a re-birth of the downtown. Downtown nearly built out and much of the city’s future residential and commercial growth will come in the neighborhoods we will be seeing along the tour. One of the biggest drivers in DC’s resurgence is its increasing population. DC’s population has increased more than 79,000 over the past 8 years and now stands at 646,000 DC’s population has been on the upswing since 2005 and has increased 14% in that time, compared to an average national growth of between 6% - 7% over the same period. Since 2005, DC has been gaining nearly 10,000 residents annually That 20 – 34 demo has increased by 23% (2000 – 2010) residential market, which has delivered 10 M sq. ft. of residential development since 2012 = 10,600 residential units in the past 30 months (avg. of 350 units per month) Residential Market In 2012 & 2013 combined residential development delivered nearly 8,000 total units So far in 2014, DC has delivered 2,400 residential units with another 11,000 units under construction 4,200 to deliver in the next 6 months 4,300 to deliver in 2015 Apartment Market Delta Associates: DC Rents of Class A product increased 1.8% (2Q 2014 vs 2Q 2013) In areas like NoMa and H Street rents increased more than 6% Developers are building 45% fewer two-bedrooms in D.C. now than they did in 2000 (Delta Associates). The Harper (14 th & U) is mostly comprised of micro-units, ranging from 350 - 600 SF. They started leasing Jan. 20 and are now more than 90% full Condo Market Condo market: the average effective price per square foot for new condo sales in the region rose by 12% between June 2013 and June 2014. Since the beginning of 2013, the ratio of rental unit deliveries to ownership deliveries is about 8.5 to 1. So for every 1 homeownership units (condo or single-family) there are 8.5 apartments being built.
Transcript
Washington, DC Economic Partnership (7/24/14)
Washington, DC Economic Partnership | BISNOW Tour Notes (7/24/14) The WDCEP offers free tours throughout the year focusing on emerging neighborhoods and commercial
corridors. To be added to our mailing list please send an email to [email protected].
Intro/Overview
U.S. National Bureau of Economic Research released a study that ranks DC as the 3rd happiest major metro area in the U.S.
The Washington, DC Economic Partnership has been tracking development activity in DC since 2001
Verizon Center opened in 1997 that became the east end anchor that led the way for a re-birth of the downtown.
Downtown nearly built out and much of the city’s future residential and commercial growth will come in the neighborhoods we will be seeing along the tour.
One of the biggest drivers in DC’s resurgence is its increasing population.
DC’s population has increased more than 79,000 over the past 8 years and now stands at 646,000
DC’s population has been on the upswing since 2005 and has increased 14% in that time, compared to an average national growth of between 6% - 7% over the same period.
Since 2005, DC has been gaining nearly 10,000 residents annually
That 20 – 34 demo has increased by 23% (2000 – 2010)
residential market, which has delivered 10 M sq. ft. of residential development since 2012 = 10,600 residential units in the past 30 months (avg. of 350 units per month)
Residential Market
In 2012 & 2013 combined residential development delivered nearly 8,000 total units
So far in 2014, DC has delivered 2,400 residential units with another 11,000 units under construction
4,200 to deliver in the next 6 months
4,300 to deliver in 2015 Apartment Market
Delta Associates: DC Rents of Class A product increased 1.8% (2Q 2014 vs 2Q 2013)
In areas like NoMa and H Street rents increased more than 6%
Developers are building 45% fewer two-bedrooms in D.C. now than they did in 2000 (Delta Associates).
The Harper (14th & U) is mostly comprised of micro-units, ranging from 350 - 600 SF. They started leasing Jan. 20 and are now more than 90% full
Condo Market
Condo market: the average effective price per square foot for new condo sales in the region rose by 12% between June 2013 and June 2014.
Since the beginning of 2013, the ratio of rental unit deliveries to ownership deliveries is about 8.5 to 1. So for every 1 homeownership units (condo or single-family) there are 8.5 apartments being built.
1.3 M SF of retail under construction – more SF than all of retail/entertainment space in 2 Potomac Yards
Of this 1.3 M SF, we expect about 390,000 SF to deliver by the end of 2014 and another 450,000 SF by the end of 2015
Leading this trend are grocery stores. Since 2000, DC has seen 26 new grocery stores open with 5 more under construction
Whole Foods has announced 2 more stores (H Street & Capitol Riverfront)
Four theaters are also in the works. Last movie theater to open in DC was the Regal Cinemas at Gallery Place in 2005
o Landmark Theaters x2 (Shaw – 6 screens & NoMa – 10 screens) o Angelic Theater (Union Market – 8 screens) o Showplace Icon (Capitol Riverfront – 16 screens)
Jobs
DC added 4,200 jobs in June
Current employment rate: 7.4% (down full percentage point from last year) CityCenter
Hines/The First Investor (investment bank from Qatar – cu-tar)
10.2 acre site
six buildings on the southern portion of the site
515,000 sq. ft. of office space, 185,000 sq. ft. of retail
1,544 parking spaces and a half-acre civic plaza.
Covington & Burling LLP has leased 417,000 SF of office along with Hines and the American Hospital Association. As of 1Q they were 96% leased.
All buildings and uses started delivering in Fall 2013
Retail: Kate Spade, Tumi, Allen Edmonds, Del Frisco’s Double Eagle Steakhouse, Longchamp, Burberry, Zadiq & Voltaire
Phase II
Plans to start in 2Q 2015 with late 2017/early 2018 delivery
11-story, 370-room luxury Conrad Hotel and 70,000 sq. ft. of retail Phase III – 900 NY AVe
Gould Property
620,000 sq. ft. office building, with 35,000 sq. ft. of retail space and 425 below grade parking spaces
Washington, DC Economic Partnership (7/24/14)
Carnegie Library
Andrew Carnegie donated fund to build DC’s Central Library which opened in 1903 and served as the city’s central library until 1970
In 2003 it became the DC City Museum, but closed its exhibits in 2005.
Spy Museum plans to move from existing site on F Street into the building in 2017
Currently going through the regulatory process now as they are going to be renovating a historic structure
Plan call for 40,000 SF of new underground space below the Library for the Spy Museum
addition of two sculpted glass pavilions (one on the east side and one on the west side of the building) facing the convention center to house the Visitors Center, a new café, and the Spy Museum’s retail store
Proposed site improvements to the Mt. Vernon Square grounds include outdoor seating, a small amphitheater and a playground to create various programming options and other green space public amenities.
Digital DC
Is a marketing campaign and economic development initiative that promotes Washington DC as the leading community in the innovation and high-tech economy.
Washington DC is one of the fastest-growing cities in the world for technology companies and venture capital investment.
The corridor is a designated area spanning nearly three miles from 7th street in Chinatown all the way up to Georgia avenue past Petworth. For businesses who decide to locate on the corridor there is an opportunity to get access to the Digital DC technology fund, which is a catalytic investment fund and customized mentorship program dedicated to promoting the success of early and growth stage technology ventures
pilot investment round will award up to a $1M in grants ranging from $25,000 to $250,000 to early and growth stage tech start-ups on the corridor
Marriott Marquis
15 story, 1,175 room hotel
100,000 SF meeting space and ballroom
25,000 SF of retail
Developed by Quadrangle and Capstone
1 Marriott-brokered restaurant
1 open space that is being brokered by StreetSense
It officially opened in May
2 additional Marriott properties will be built just north of the Marquis on vacant land
Will meet the District’s goal of 1,600 convention center hotel rooms Columbia Place (Marriott Project, Phase II)
A 200,000 sq. ft. Marriott Courtyard will front 9th Street and incorporate facades from existing buildings on the block
A 125,000 sq. ft. Residence Inn will face L Street
Potential for 200 residential units on the site as well
These will meet the District’s goal of 1,600 convention center hotel rooms
Washington, DC Economic Partnership (7/24/14)
Square 450
Developer: Douglas Development
2-building development which will call for over 625,000 sq. ft. of office and 83,000 sq. of retail.
Phase 1 will deliver 372,000 sq. ft. of office and 51,000 sq. ft. of retail space.
Efforts have been made to relocate any businesses that will be displaced by the development and plans call for Phase I to begin in the coming months.
Also part of the project are the existing retail spaces fronting 7th Street, which have slowly been receiving improvements to attract retailers.
Gibson Plaza
First Rising Mount Zion Baptist Church Housing Corporation & DC Housing Authority
Built in 1973
217-unit affordable residential building underwent a $31 M gut rehabilitation
Completed in late 2012. Blagden Alley Developments
- Altus Realty Partners have 2 proposed designs for individual vacant lots - 1212 9th Street – 4 story with small ground retail space - 917 M Street - Initial design approved by Historic Preservation Review Board
o With HPRB design approval, building specifications can now be worked on - No timeline set
Scripture Cathedral Church
810 O Street NW
Across from Cambria Suites at CityMarket at O
Four Points and The Warrenton Group acquired for $10.5M
Assessed value $6.9m
No word yet on plans The Colonel
Developers: CAS Riegler, Douglas Development and City Interests
70-unit apartment building with 8,200 sq. ft of ground-floor retail space.
It incorporates an existing 1923 apartment building that was currently on the site
Aiming for a completion in early 2015. CityMarket at O
Anchored by 78,000 sq. ft. Giant grocery store (opened late 2013) with 12,000 sq. ft. of extra retail space.
497 residential units
Market-rate residential delivered in 2013
The Hodge on 7th is a 90 unit, affordable residential building (aimed at seniors)
Cambria Suites opened with the Marriott Marquis in May - 182 rooms
Washington, DC Economic Partnership (7/24/14)
EB-5 Program
Other potential source of financing for projects
Allows foreign investors to obtain permanent residency in the U.S. if they create 10 jobs directly or indirectly (10 jobs)
Typically look for deals at least $10 million
CityMarket at O
Convention Center Headquarters Hotel ($5M) 1336 8th Street, NW – 8th and O Street
DMPED Issued an RFP in December of 2013
Four company were selected in the short list as of June 3rd of this year
A&R Development and the Urban Group, Four Point LLC and the Warrenton Group, Madison Investment and the Audubon Enterprises, Roadside Development and Dante Partners
The companies presented their final proposals to the community on June 30
The Final Selection will be made by the end of the this summer
Zoned c 2 A – total SF of 13,306 Jefferson at Marketplace
Former Kelsey Gardens
The Jefferson Apartment Group is developing
281 luxury apartments with about 13,000 sq. ft. of total retail space o 5,300 sq. ft. currently available through Streetsense –
Impressive 455-feet of frontage on 7th Street
Beau Thai slated to open fall of this year (2014) Lower Shaw Retail
On September 16th, 2013, Mayor Gray hosted a “triple ribbon cutting” in tandem with the Shaw Main Streets to welcome Baby Wale, Thally – all on 9th Street, NW
By June 2nd of 2014, Shaw was ready for a 7 restaurant ribbon cutting event, also led by Mayor Vincent Gray and Shaw Main Streets. This recent tour welcomed The Cambria Suites’ (and their Urban Kitchen restaurant), nearby Starbucks (part of CityMarket at O), Uprising Muffin Company, Fishnet, Wanda’s on 7th, Appioo African Bar and Grill and lastly Dino’s Grotto.
Housing Growth/Rates
Homes south of Rhode Island Avenue: o Condos: $510,000 (up 9.6% from 2012) o Homes: $825,000 (up 21.2% from 2012)
Homes south of Florida Avenue o Condos: $679,000 (up 27% from 2012) o Homes: $887,000 (up 35% from 2012)
Parcel 42
An RFP was awarded to this site in April 2013 to the Ten Square Group and Chapman Development.
Proposed 105 unit residential building with 5,000 sq. ft. of retail
Currently plan to break ground in 2015
Washington, DC Economic Partnership (7/24/14)
Progression Place
Delivered in the fall of 2013
110,000 sq. ft. of office space; 19,200 sq. ft. of retail space and 205 apartments
8/9 retailers are open – restaurants, cell phone store, fitness center, salon/haircare
Rents Studios: $2,058 for 588 sq. ft. 1BR: $2,703 for 854 sq. ft. 2BR: $3,281 for 1,053 sq. ft.
Business that make the shops at progression place:
Wanda’s Hair Salon
Uprising Muffin Company
Fishnet
Eat the Rich
Mockingbird Hill
Right Proper brewpub
Si Tea
Bank of America
Sprint
Solid core (Gym)
Wonder Bread Factory
Douglas Development Corporation
Home of WeWork Shared work Space two top stories
Home of iStrategieLabs – Ground Floor
Renovations done in Spring 2013 Howard Theater
Ellis Development Group
Built in 1910 and re-opening in April 2012
600 - 700 seats
Blue Note Entertainment Group is operating the theater Former WMATA Parcels – The SHAY
JBG
three vacant parcels totaling about 288,000 square feet
242 residential units that will occupy 260,000 SF of the 288 total
The remaining 28,000 SF will be retail
4 quarter of 2015 targeted delivery
Howard University Hospital
5,000 employees (Howard U + college)
Strong daytime population with students
Washington, DC Economic Partnership (7/24/14)
Atlantic Plumbing by JBG
Future home of a six-screen Landmark Theater
310 apartments & 65 condos and 23,800 SF of retail between the two buildings
11,500 SF retail
Delivery target is 2015
651 Florida Avenue, NW
4000 SF of retail available on the bottom floor
Beauty Island and Suplly is occupying the above space of 5200 SF
Two blocks from Shaw metro building was constructed in 1905 and acquired by Douglas Development
Over 81’ frontage on Florida and Georgia
403 Florida Avenue, NW
645 SF retail available immediately
High 30s rental rate NNN
KPI Commercial
501 Florida Avenue NW
Small Neighborhood Tavern by the Carlson Group Restaurant
License description: serve alcohol until 2:00am
Serve “American Food”
636 Florida Avenue NW
1800 SF retail available immediately
$38 per SF triple net
Leasing company is Demer Real Estate and Leasing agent is Jon Wilson 637 Florida Avenue
Liquor License for a New American Tavern
Description on license: late night live music, serving alcohol until 2:00am
Serve basic American food with late night limited menu
Washington, DC Economic Partnership (7/24/14)
Bloomingdale Retail/Restaurant Boom
Since 2010, 9 new retailers have opened within about 2 blocks of here
2010: Rustik Tavern (84 T St)
2011: Bacio Pizza (81 Seaton Pl); Green Paws (81 Seaton Pl); Boundary Stone (116 RI Ave)
2012: Grassroots Gourmet (104 RI Ave) – Started by neighborhood residents; Aroi Thai and Japanese Cuisine (1832 1st St)
2013: Showtime (113 RI Ave); Red Hen (1822 1st St) – whom we heard from on last summer’s tour
Costa Brava (1837 1st St)
Unfortunately, Bloomingdale is running out of possible retail spaces very quickly Bloomingdale Housing
Average Homes Sales: $580,000
Max Price: 4BR on T St: $846,000
Condo Sales: $449,000
Max Price: 3BR on R for $685,000
McMillan Sand Filtration Site
Developers Jair Lynch, Trammel Crow and EYA
Plans call for just under 2 million square feet of mixed use development o 1.1 million sq. ft. dedicated to healthcare
585 residential units for both sale and rent will be built in collaboration with EYA
Plans call for the retail to be anchored by a 80,000 sq. ft. grocery store o 15,000 sq. ft. for a pharmacy o 50,000 sq. ft. for a grocery store
Plans are to preserve the filtration tanks that you see protruding from the ground and the new road system will run on either side of those historic and protected structures
The Commission will reconvene in the coming months to potentially make a final decision on the approval of the re-zoning of the site
Armed Forces Retirement Home
Private 272 acre site along North Capitol Street designed to be an all-inclusive retirement community for retired veterans
Between 2011 and 2013, the Scott building was demolished to make space for a Health Care Facility and community building.
The Health Care Facility will be five small houses separated by the needs of the retirees – long-term care, memory support, etc.
Over 400 existing private rooms for residents
Neighborhood serving retail – bank, laundry, post office, beauty salon, convenience store
9 hole golf course, fishing ponds, libraries, hobby centers, bowling alley, organized bus tours to attractions
Washington, DC Economic Partnership (7/24/14)
Great Streets
A program run through the District’s Office of the Deputy Mayor for Planning and Economic Development – or DMPED
It is a multi-agency commercial revitalization initiative to promote growth in emerging corridors throughout DC.
The Great Streets Small Business Capital Improvement Grants provides reimbursable individual grants of up to $85,000 for small businesses who are located within predetermined Great Streets corridors
o Georgia Avenue, NW o 7th Street/Shaw, NW o North Capitol Street, NW o Rhode Island Avenue, NE o H Street, NE o Minnesota Avenue & Benning Road, NE o Nannie Helen Burroughs Ave, NE o Pennsylvania Avenue, SE in Ward 8 o Martin Luther King Jr. Avenue & South Capitol Street, SE o A portion of Connecticut Avenue, NW
The grant money must be used on capital improvements, so that can be a façade, adding a patio, installing a new HVAC system, etc.
Catalytic Investment arm to Great Streets, which is reserved for large-scale projects along the great streets which, as the name implies, can catalyze additional development.
o Recipients for this include the Howard Theater, H Street Giant and St. Elizabeths East Pavilion
North Capitol Street
Traffic Counts: 38,000 – 45,000 in the upper North Capitol Street area
This is on-par with Connecticut Avenue, Wisconsin Avenue, Pennsylvania Avenue, SE and Rhode Island Avenue, NE
Riggs Park and Fort Totten
Metro Counts: 7,422 weekday exits/ 7,943 weekend exits
Riggs Road: 26,400 average traffic ART Place at Fort Totten
A large, mixed use project from The Morris and Gwendolyn Cafritz Foundation
Located steps from the Fort Totten Metro station – 3 metro lines – red, green, yellow
929 total residential units will be built at completion – at minimum 171 to be affordable
Up to 333,500 sq. ft. of retail space in the entire project
Replacing the existing, outdated, 15 building Riggs Plaza apartment complex with 4 higher-density buildings surrounded by a new network of streets and improved utilities
Phase 1 began earlier this year preparing the land at the southern end of the property for the first building in the ART Place complex
Ph. 1: 520 apartments (141 affordable and 98 senior), just under 100,000 sq. ft. of total retail space
Phase 1 is set to deliver in late 2016 or early 2017
Phase II will be just north of the first
Washington, DC Economic Partnership (7/24/14)
Phase II will be on the site of existing residential units which cannot be vacated until Ph 1 is fully complete and residents are relocated, therefore Phase II cannot begin until Phase 1 is finished
Phase II is expected to start construction in 2019
Phase III is planned to be a 400 unit residential-only building (specifics to building certainly open to change given market trends in the coming years)
Phase IV will be smaller than the other buildings and be located adjacent to the metro tracks o It is slated to house arts and community space
Fort Totten Housing
We are entering more the Michigan Park area, but in the area we just drove through and in the areas surrounding Fort Totten Square, there’s been a big boom to residential values.
According to a study done in 2014 by Redfin – a residential real estate tracking company – several DC neighborhoods ranked as the nation’s leaders for flipping homes – or for those unfamiliar, purchasing cheap homes in need of serious renovation, completing said renovation and putting it back on the market
o Fort Totten ranked 7th nationally in average monetary gain in a flip - $233,300 Average pre-flip price: $284,000 Average post-flip price: $518,000
Michigan Park Housing
2012: Avg home sale: $258,000 for a 3 BR
2013: Avg home sale: $319,000 for a 3BR
$60,000 increase in 12 months
In 2012, homes sold on average for $6,500 under list price and in 2013 they sold on average $1,100 over list price.
Brookland Middle School
100,000 sq. ft. middle school for grades 6-8 o Can accommodate up to 540 students and 60 faculty o $58M investment from the District
The school is scheduled to open for the 2015-2016 academic year
The former school building was demolished in 2013, making way for the new, 3 story school
Although scheduled to open for students in August/September 2015, the school should be complete by the first quarter of 2015
The school will specialize in arts and world languages, which gives local students a different option from the recently completed McKinley Tech, which is about 2 miles from here.
Turkey Thicket Playground
Opened in March 2014
Began construction in the summer of 2013
Provides ADA accessible activities, interactive and creative and themed structures such as mountains, trains and houses for children.
For adults, several community garden boxes were installed
Washington, DC Economic Partnership (7/24/14)
WMATA Brookland Green Development
WMATA released an RFP last spring for a single developer for two parcels immediately outside the Metrorail station
o Northern: 1.1 acres butting up to the Michigan Ave flyover o Southern: 0.85 acres which is currently a bus turnaround and Kiss and Go drop zone
0.75 acre green space and unintentional park was removed from the RFP based on public requests
4 bids were received o MRP Realty
North lot: 150 apartment units and 7,000 SF of retail South lot: a new Kiss and Ride turnaround with 130 apartment units and 2,000
SF retail above o Donatelli Development
North lot: 34,500 sq. ft. Harris Teeter 250 total apartment units – most on Northern lot
o A&R Development and Urban Atlantic North lot: 104 residential units South lot: 91 residential units 1,135 sq. ft. of retail in one of the buildings Some residential units to be condo’d
o Four Points North lot: 146 apartment units South lot: 110 apartment units 6,800 sq. ft. of retail in one/both of the buildings
WMATA expects to have a final decision made in the late summer or early fall with one of the developers
Brookland 2013 Housing Information
Rental Rates are roughly $1,350 per bedroom
Average Home Sale 2013: o $521,000 o 44% sold were 4BR or larger
Average Condo Sale 2013: o $191,000 o 64% sold were 1BR
Monroe Street Market
Barnes & Noble and Starbucks to open on Monday, July 28th o 11,000 sq. ft. will serve as the CUA bookstore as well o Grand opening will include an appearance by Bret Baier, chief political anchor with Fox
News, who will be promoting his new book. o Also present will be Red, Catholic University’s mascot cardinal in the children’s section
and a live string orchestra which specializes in pop songs.
Washington, DC Economic Partnership (7/24/14)
SeaUA Shipping Container Apartments
Permits were pulled last month for the demolition of a single family dwelling for a 4 unit shipping-container dwelling
The owners of this lot are 2 Catholic University graduates who bought the house in 2009 as a student rental property
o They chose to raze the house and begin to build with shipping containers
Working with Catholic University graduate and architect for a 3 story building which will require 6 containers per floor with a cellar unit below
Basic interior buildout should make these ready for Catholic students come late August 2014. The Arcadia at Brookland Station
Formerly known simply as 901 Monroe Street
Menkiti Group development which was on hold for some time while OP reviewed their design and plans to ensure it did not violate zoning code
The project has been cleared to move forward as-planned and they began the initial construction phases this past spring.
The Arcadia will have 213 apartment units, 13,000 SF of divisible retail facing Monroe Street. 12th Street Restaurant Boom
In 2013, several restauranteurs invested in opening stores on this corridor – who were also owners of other DC restuarants
These restaurants have all opened in the first half of 2014 o Smith Public Trust – from Smith Commons owner (H St. NE) o Brookland’s Finest Kitchen & Bar – co-owned by owners of The Pug and Sova o Steel Plate – from Rustik Tavern owner
Jackson Place Flats
Raze permits were filed in late June for the future home of Jackson Place Flats
34 unit condo project at 12th and Jackson
All units will be two stories, 2 BR with 2.5 baths with direct street access
The upper units will also have access to rooftop patios
20 on-site parking spaces
No projected delivery date has been set Brookland’s Finest Kitchen and Bar
Former vacant dry cleaner space
Extensive permitting process where they worked very closely with the neighborhood to ensure that their bar would not become a black eye on the long-time sleepy neighborhood
Note the very unique garage door outdoor bar – if you plan on having a beer outside, you have to grab one of those stools
o Part of the neighborhood agreement includes measures to prevent a beer garden-like atmosphere
Washington, DC Economic Partnership (7/24/14)
Israel Senior Residences
Project from the Israeli Baptist Church, MissionFirst and Henson Development which broke ground in early 2014
Unassisted living for seniors
4-story, 47 unit housing complex
No retail component
Plan to be complete by the end of 2014 or early 2015
Rhode Island Row
$109M mixed-use project sitting on an 8.8 acre development site adjacent to the Rhode Island Avenue Metro station
274 residential units o Private garage o Average unit size of 800 SF o Currently about 96% leased
Pricing: $1,700 for 719 SF 1BR o $2,200 for 985 SF 2BR o $3,500 for 1,500 SF 3BR
215 car garage for Metro transit (56,000 sq ft)
70,000 sq ft of retail o Open: CVS, DMV, Sprint, TMobile, Arte Nail Salon; 18 Month Food boom: Chipotle,
Jersey Mike’s, Sala Thai, Carolina Kitchen, TKO Burger, Bergami’s Pizza o Coming Food Boom: Phoenix Salon Suites o Still several inline opportunities still available
Rhode Island Avenue, NE
one of the original streets in L’Enfant plan for the Capital
traffic counts of up to 38,800 cars each day
Main Street organization formed late last year Brookland Square – 1300 Rhode Island Ave
2-acre investment opportunity
Represented by MAC Realty Advisors
Site is for sale, and with zoning C-2-A could do a mixed-use project Brentwood & Langdon neighborhoods
This area is predominantly residential
Only the areas zoned commercial along this stretch of Montana Ave are near the intersections of Rhode Island and New York Avenue
Home prices: 20% increase from 2012 to 2013 Single-Family homes avg. sales (2013): $280,000 Single-Family home sales (2013): $165,000 - $500,000
Washington, DC Economic Partnership (7/24/14)
Shops at Dakota Crossing
Fort Lincoln New Town Corporation & Trammell Crow
44-acre site with plans for a 420,000 SF retail power center
Anchored by 154,000 SF Costco (was projected to do $150M in its 1st year)
Working on finalizing a deal with Lowe’s who intends to buy their parcel
Close to deals with a pets store, gym and Marshalls
Beyond the anchors there is about 35,000 SF for center retail strip (restaurants) Square 4268
14.73 acre site that can accommodate up to 1.9 M SF of development
Douglas Development bought the site from the Schaeffer family Hecht Warehouse District
Douglas Development Corporation
The art deco Hecht's Warehouse was built in 1937 with several additions in stretching from 1948 to 1994.
The redevelopment plan calls for 330 apartments above two stories of retail in the historic Hecht's Warehouse and a total of 200,000 SF of retail
An adjacent building will include one floor of retail below a parking garage with 900 spaces.
The garage will be built so that it can be converted to residential.
MOM's plans to open a 16,000 sq. ft. store in 4Q 2014.
Other potential retailers: Planet Fitness and Bus Boys & Poets Hechts Phase II
1-2 story warehouse buildings are still there (not yet demoed)
Opportunity for up to 135,000 SF big box user, although those plans are fluid
16th Street: Douglas also owns 2 parcels to your right Union Kitchen
Opening a 2nd location at 1369 NY Ave (red brick building on your left, across the street from the Hechts Warehouse) toward end of 2014
Union Kitchen is a food incubator that allows its members to rent out commercial kitchen space and equipment
Already have seen its members graduate to brick-and-mortar spaces o Takorean (Korean BBQ Tacos) is opening in the Capitol Riverfront o RareSweets, is opening at CityCenterDC
Love The Club
Douglas Development bought it at auction
Land Area: 12,300 SF 1345 New York Avenue
Willco Companies purchased the 3.1-acre site at 1345 New York Avenue for $8 million from Greyhound in March 2013.
The site is currently being leased to the DC Government through 2018 (school bus parking lot).
The site is already approved for 545,000 sq. ft. of development.
Washington, DC Economic Partnership (7/24/14)
Distilleries & Breweries
Green Hat Distillery – DC’s first gin distillery since prohibition when it opened in 2012
One Eight Distilling - vodka, gin and unaged whiskeys (scheduled to open Fall 2014)
Atlas Brewing – brews American-style craft ales and lagers Burger King – 320 Florida Ave
Level 2 has purchased the 28,000 SF Burger King site for $8.8 M from Lionstone Investments
This is their 2nd investment in the Union Market area H Street, NE
2013 Great American Main Street (National Trust for Historic Preservation)
1.5 mile long corridor, anchored by Union Station to the West (90,000 visitors & travelers per day) and to east Hechinger Mall and the Atlas Performing Arts Center
Home prices in the area are up 17% between 2012 and 2013
Home prices avg. in the $500,000 - $600,000 range
H Street Festival draws 100,000+ each year
Also a Great Street - incentives from the DC Government H Street/Benning Road Streetcar
$65 million streetscape improvements (included the streetcar tracks)
Currently all 4 streetcars have now been permanently moved to H Street
Testing the cars on the tracks and educating drivers about not parking illegally so they don’t block the tracks
Each streetcar can hold 144 people –Metrorail cars can hold 120
Part of the planned 37-mile network of streetcars for DC - DC Council reducing funds for future lines from the FY2015 budget
Line will run from Union Station to Oklahoma Ave (by Langston Golf Course) H Street Connection
Developer: Rappaport Companies
432,000 SF mixed-use project
384 residential units
51,500 SF of retail/restaurant space Apollo
Developer: Insight Property Group
490,000 SF mixed-use building
430 – 450 apartments
75,000 SF of retail - 39,000 SF Whole Foods (lease signed end of 2013)
start demolition of the existing buildings in September and then move into excavation as soon as demo is complete
Have about 35,000 SF left to fill – looking for a gym on the second floor and mix of food, restaurant and service users for the first floor space.
Late 2016 or early 2017 delivery
Washington, DC Economic Partnership (7/24/14)
609 H Street, NE
corner of 6th & H Street, NE
Cassidy Turley is marketing the property on behalf of the owner Jair Lynch
existing 81,000 square foot office building can be redevelopment up to 96,000 square feet of office or 120,000 square feet of residential or hotel by adding up to three floors on the existing five story building
360 H
Steuart Investment
215 apartments (range from studios to 2 bedroom/2 baths)
41,200 sq. ft. Giant Food (opened in May 2013)
site is the former BP Amoco station Capitol Place
Developer: Fisher Brothers
10-story, 375-unit apartment building
24,000 SF – 31,000 SF of retail
1Q 2015 delivery Senate Square
Abdo Development bought the 2.4 acre site from the Capital Children's Museum ~10 years ago
The former museum was renovated into 44 condos in 2008
430 residential units were built on the vacant land by Broadway Management in 2007
Westbrook Partners purchased the building at auction for about $120 million in 2/2010 and then sold it to LaSalle Investment Management for about $160 million in 7/2010.
Burnham Place at Union Station
Akridge
$1.3 B, three million square foot mixed-use development on a 14-acre platform built atop the rail yards north of the Station
joins together the city’s central business district, Capitol Hill, and the emerging NoMa and H Street, NE
1.5 M SF office
1,300 residential units
400 hotel rooms
100,000 SF retail uses Union Station
Plans for $7 B in redevelopment efforts – includes 750,000 SF expansion (most of that would be built under ground)
eventually triple the capacity of Union Station and offer 5,000 parking spaces and add 10 new station entrances
o original architecture of the century‐old building would remain unchanged o multiple levels of tracks (just one now) o linear parks o bring natural light into the station
Washington, DC Economic Partnership (7/24/14)
could start in 2015 and finished all phases by 2029
originally opened in 1907 and today sees 30M visitor and passengers a year – more than any DC area airport
Lorree Grand
Cohen Companies
nine-story, 212-unit apartment building, with 4,000 sq. ft. of retail
opened in 2010
There are 30 units designated for affordable housing for artists in the project earning 80% of AMI.
This project is part of the 850,000 sq. ft. mixed-use Union Place development.
TD Burger – Timothy Dean (former Top Chef contestant – season 7) Union Place (Phase II)
Toll Brothers purchased the western portion of site for $30 M in April 2013
Site is 55,000 SF
14-story, 525-unit residential apartment building with 17,000 sq. ft. of retail and a plaza will connect the two buildings.
The project would be built in two phases (296 units and 229 units).
Currently working through the PUD process Storey Park
Perseus Realty & First Potomac Realty Trust
350,000 SF of office
65,000 SF of retail - design from retail first
300 residential units
looking for anchor restaurant (4,500 SF), can't do theater
can do up to 40,000 SF on two levels (23,000 on 1 floor)
600 parking spaces
Potential 2017 delivery 77 H
JBG Companies & Bennet Group
76,000 sq. ft. Walmart (opened in December 2013) and 9,000 sq. ft. of additional retail space that fronts on H Street
303 apartments above the store
This project is a finalist for the ULI Global Awards for Excellence.
Grade change on the site put the Walmart on the second level (from H Street entrance) which allowed streetfront retail. Future plans to development the lot to the left and right of the site. And having nearly contiguous retail will help enliven H Street.
Walmart preferred the 2nd level store since they could then load the store directly from the trucks and didn’t have to worry about a freight elevator
Project was sold to Clarion Partners in December 2013 for $127 M.
The second phase of the project is currently planned to be an office building at the corner of H Street and New Jersey Avenue.
Washington, DC Economic Partnership (7/24/14)
Capitol Crossing
Property Group Partners
2.2 million sq. ft. mixed-use development that will be built above I-395.
Three distinct city blocks will be created, providing a seamless connection between Capitol Hill and the East End of downtown.
largest continuous undeveloped site remaining in Downtown Washington
1.9M SF of office space in four buildings
63,000 SF of retail space
150 residential units
The plan also calls for moving the entrance to I-395 from its current location to the middle of Massachusetts Avenue (similar feel to going under some of DC’s circles
