2013 in Review

Since 2013 has come to a close, let’s take a brief look back at the major events that shaped the year in Southwest and what is in store for 2014. 

The Wharf 

Arguably the largest development project in Southwest took a major step forward in 2013 when the Zoning Commission approved the Stage 2 Planned Unit Development (PUD) application for phase one of the Wharf. While ground breaking was supposed to occur by the end of 2013, the timeline has slipped to 2014 since a financing agreement has not been made public yet. Meanwhile, the houseboats at the Gangplank Marina were moved this fall to make way for construction and businesses along the waterfront were given notice to vacate within five months. 

Rendering courtesy of Hoffman-Madison Waterfront

Apartment Wave Hits Southwest 

Leasing began in April at Camden South Capitol, the first new rental apartment building to open in Southwest in decades. So far, more than half of the units at the 276-unit building have been leased; however, the ground floor retail space at South Capitol and O streets is still vacant. Camden hopes to attract a restaurant to the space, located across the street from Nationals Park. 

In addition, leasing was supposed to begin on December 2 at the East tower of Sky House, the adaptive reuse of the former EPA towers at Waterfront Station, but it was delayed by a month to January 2. There are a total of 266 units at the East tower, located at 1150 4th Street, with 20% set aside as affordable housing for residents earning up to 50% of Area Median Income. A second 264-unit tower will open in spring 2014 at 1151 4th Street. 

Waterfront Station 

Aside from Sky House, other activity is underway at Waterfront Station. The last retailer to open along 4th Street was Z-Burger back in 2012. Since then, it was learned in May that the two vacant storefronts on the northern end of 1101 4th Street have been leased by restaurateur Atul Bhola to open Masala Art, an Indian restaurant. This would be the second Masala Art restaurant – the other restaurant is located in Tenleytown. Building permits are stuck on the windows and visible work on the tenant build-out began in November. It is rumored that the restaurant will open in June 2014. This leaves two vacant retail spaces at Waterfront Station – one each at 1100 and 1101 4th Street. 

Meanwhile, planning is underway for a residential building by Forest City and Vornado on the vacant northwest parcel next to the future Masala Art. A PUD was filed in late 2012 and the project went through the zoning approval process in 2013, with PUD approval received in September. The 360-unit building will have all market-rate units and approximately 5,300 square feet of ground floor retail space. There will be 12 two-level townhouse units with private entrances on Makemie Place and along a private drive to be built to the north of the project. Construction may begin sometime in 2014. 

Rendering courtesy of Waterfront 1001 4th Street, LLC

Town Center East 

In June, HPRB designated both multifamily buildings at Town Center East and the grounds as historic. The buildings, located on 3rd Street between K Street and M Street, were designed by I.M. Pei and built in 1960-61. The owners at Waterfront Tower, along with the Southwest Neighborhood Assembly, applied for historic designation in response to a PUD submitted by The Bernstein Companies to build two large multifamily buildings on the parking lots of the existing Pei buildings and a smaller building on the courtyard separating the two existing buildings. After the HPRB designation, the Bernstein Companies altered their plans and among several things, removed a small building that was to be built along 3rd Street. After reviewing the changes, the ANC reversed their prior disapproval with the PUD and offered conditional support in September.

Rendering courtesy of Maurice Walters Architect, PC

Randall 

 

A contentious proposal to build a charter high school for KIPP DC kept the future of the Randall Recreation Center site at South Capitol and I streets in limbo. Back in the fall of 2012, the District government announced that Randall would be one of 32 playgrounds across the city that it would improve during the 2013 fiscal year. In addition, the plaza area facing I Street would be upgraded with a skate park and fountains. The project was put on hold while the KIPP proposal was being vetted, but ultimately, the city decided against the KIPP proposal. It’s unknown at this point when the playground and plaza area will be improved, but presumably it will happen sometime in 2014. Meanwhile, some limited programming was implemented over the summer at the recreation center, which has been underfunded and underutilized for years. More robust programming is now underway, which started this week. 

Next door to the pool and recreation center, Telesis/Rubell have been advancing their plans for the Randall Junior High School site. According to the revised PUD, a non-profit contemporary art museum from the collection of the Rubell family will be located in the original 1906 center building - the first floor of the museum will be used as a community cultural space that is open to the public, with an art gallery featuring local artists, 100-seat auditorium, library, bookstore, café, and meeting space. The upper two levels will house the museum exhibits. Other arts-related uses will be located in the west wing – perhaps a culinary incubator. A destination restaurant with outdoor seating will be in the east wing (both wings were built in 1927). Behind the center building, a new three-story addition will house additional exhibition space for the art museum. Two 12-story towers with 550 residential units will wrap behind the historic buildings and courtyard. The courtyard will be open to the public and six commercial spaces may be created on the ground level facing the courtyard containing artist studios. Twenty percent of the residential units will be set aside as affordable to households earning up to 80% of AMI. The ANC gave qualified support for the PUD and the Historic Preservation Review Board approved the project in November, while the Zoning Commission generally showed support for the project at the hearing in December. The PUD is likely to receive approval during the first half of 2014 with construction on the first phase (including the historic buildings and at least one of the residential buildings) either in late 2014 or 2015. 

Rendering courtesy of  Bing Thom Architects

SWBID Legislation Introduced

Legislation was introduced yesterday in the DC Council to create a new Business Improvement District in Southwest. Steve Moore from PN Hoffman, who has been spearheading the BID effort, came before ANC 6D this evening to seek their support for the creation of the BID. After some questioning by the commissioners, the ANC unanimously supported the BID organizers' efforts.

The rough boundaries of the SWBID are Independence Avenue to the north, 15th Street and Water Street to the west, Maine Avenue and M Street to the south, and South Capitol Street to the east. In order to fund the BID, there will be four classes of membership, each with their own set of fees: commercial property, industrial or unimproved land, hotels, and residential. The residential class includes apartment buildings with 10 units or more and the BID fee will be sent to the owners of the buildings. Condominiums, co-ops, town homes, public housing, and apartment buildings with less than 10 units are exempt, but will have the opportunity to opt-in if they want.

The mission of the SWBID will be to advance the SW quadrant as a cleaner, greener, better connected place. There are seven main categories of services that the new BID will provide, including:

• Cleanliness/Maintenance/Beautification
• Safety and Hospitality
• Marketing/Branding/Special Events
• Public Space Management
• Transportation, Infrastructure and Sustainability
• Homeless Services
• Economic Development

Over the next year, there will be several initiatives undertaken by the BID, including an ambassador program; a "clean team", an inventory of public space; homeless outreach; creating a transportation network; a merchandising plan to attract and maintain businesses; creating special events; developing an identity for the BID; and keep stakeholders updated on progress made by the BID. If the DC Council and the Department of Small and Local Business Development approves the BID creation, services could begin as soon as the spring of 2014.

Google Earth map

SW BID in the Works

(This post is an abbreviated version of the South by West article that will appear in June's Hill Rag.)

There are currently nine Business Improvement Districts (BIDs) in the District of Columbia and by this fall, a 10th could be created right here in Southwest. BIDs are funded by a property assessment levied on property owners in order to provide services such as cleaning, hospitality, marketing, beautification, planning, safety, event organizing, and programming. In the case of Southwest, commercial property owners and large apartment building operators will be taxed, while condo and co-op buildings, as well as single-family/townhouse owners will not. Organizations such as the Waterfront Gateway Neighborhood Association, a group of six homeowner associations located south of the Southwest freeway, may have the option to opt-in for certain services, such as landscaping and security. 

While the Capitol Riverfront BID includes a small portion of Southwest in Buzzard Point, the proposed Southwest BID will cover a large swath of the quadrant. The proposed boundaries of the Southwest BID are Independence Avenue to the north, 15th Street and the Washington Channel to the west, M Street to the south, and South Capitol Street to the east. This geography includes a diverse area, including the federal enclave around L’Enfant Plaza; the existing residential communities north of M Street; Waterfront Station; Arena Stage; as well as The Wharf development. 

Steve Moore, who was once the Deputy Director of the Downtown BID, is now with Hoffman-Madison Waterfront and is helping to get the Southwest BID off the ground. Hoffman-Madison Waterfront is the master developer of The Wharf project along the Southwest Waterfront and during the Planned Unit Development process for that project, the possible creation of a BID was one of the line items the developers agreed to undertake.

Services could begin as soon as next spring, but before that happens, a lot still needs to happen over the next few months. Solicitations went out to commercial property owners in April to gauge interest in forming a BID. A bylaws structure still needs to be firmed up as well as incorporation as a non-profit, raise funds, and get legislation introduced into the DC Council establishing the BID. Some of the goals of the Southwest BID are to help give the area an identity and program public spaces, along with the more conventional BID services such as street cleaning. While the GSA is not allowed to be taxed for BID services, they will be involved in the BID in some capacity. While the creation of a BID will not be the cure-all for everything that ails Southwest, it can help with some basic issues such as cleanliness and safety, which could go a long way towards making the area a more enjoyable place to live and help to market the neighborhood for additional investment, retail, and office tenants.

Does the Southwest Waterfront Area Need a BID?

According to reSTORE DC, a business improvement district (BID) is organized and established by property and business owners to enhance the economic vitality of a downtown or neighborhood commercial area. The cost of BID services is financed by a self-imposed tax on the businesses within the community. There are currently eight BIDs in the District, but only one of them covers parts of Southwest. The Capitol Riverfront BID is one of the newest BIDs in the city and its borders include most of Near Southeast and Buzzard Point. (See above map for the BID's borders, from the Capitol Riverfront BID website) I recently interviewed Michael Stevens, Executive Director of the Capitol Riverfront BID, to find out some more about what's going on in the area and whether the BID will expand to other areas of Southwest. See the interview below the photo.

Here is a photo of the South Capitol Street corridor taken in December 2008, which is a part of the Capitol Riverfront BID.

Southwest...TLQTC: How long has the Capitol Riverfront BID been in existence and how did the BID get started?
Stevens: The Capitol Riverfront BID was approved by the District Council in July 2007 and by Executive Order of the Mayor on July 8, 2007. We have been officially in existence and issuing the BID tax for one year and six months. The BID began as a planning process with property owners and stakeholders that started in June 2006 after I approached area stakeholders about the possibility of and the need for creating a BID for this area. I was hired by property owners as a consultant to lead the planning process that involved numerous public meetings that focused on issues confronting the area, the proposed boundaries, the type of BID tax, the necessary budget, etc. I worked with property owners and other stakeholders over an 11 month period before submitting the full application to become a BID to the city in May 2007.

Southwest...TLQTC: What kinds of services does the BID provide?
Stevens: The Capitol Riverfront BID provides the following services:
• Clean Teams that maintain the public realm and keep it trash free
• Hospitality/Safety Ambassadors that provide assistance, directions and answer questions from employees, visitors and residents
• Marketing, PR and branding initiatives for the entire 500 acre BID and its development dynamic
• Economic development activities that include business attraction efforts for office, retail and residential uses; infrastructure and access planning; small area plans; and planning for streetscape/landscape systems
• Special events and community building activities including a weekly, seasonal farmers market with DOT; summertime concerts; summertime outdoor movies; and a Holiday Market in December
• Advocacy and educational outreach to DC decision makers on behalf of our property owners, tenants and residents
• Information and database development and research services
• The maintenance and programming of two new parks – the 5 acre Riverfront Park and the 2 acre Canal Park – once they are opened in 2010

Southwest...TLQTC: The Capitol Riverfront BID is competing with other emerging areas of the city, including NoMa and Mt. Vernon Triangle. What competitive advantage does the Capitol Riverfront BID have compared to these other emerging areas?

Stevens:

1) I think that the riverfront is a major competitive advantage. We have only about six areas in the entire region where you can develop a new community with access to the river, or where a riverfront community has been developed (Alexandria & Georgetown). People are drawn to the water and we will have marinas, a 5 acre riverfront park and be a part of the 16 mile Anacostia Riverfront Trail system. We consider the river our ”front porch” and our new parks the “living rooms” of our community.

2) Proximity to the U.S. Capitol Building and the House and Senate complexes, Capitol Hill itself, Reagan National Airport and downtown DC.

3) Regional accessibility from the I-395 and I-295 highway system, the 11th Street and Frederick Douglass Bridge, Metro’s Green Line (only 4 stops from Gallery Place & Chinatown), and from the Blue/Orange Lines at Capitol South.

4) Four new parks that will provide a sense of place and community for our residents, employees and visitors – Canal Park, the Riverfront park, Diamond Teague Park, and Tingey Square – as well as a segment of the 16 mile Anacostia Riverfront Trail system.

5) An established residential neighborhood with more units coming. We have almost 2,000 residential units completed and over 1,200 residents already. At build-out we will have over 9,100 units with a population of over 18,000 residents.

6) Nationals Park is a vibrant sports destination and attraction that attracted 2.3 million visitors last year.

7) A true mix of uses – at build-out we will be home to the following: 1) Over 15 million SF of office space (over 100,000 employees); 2) over 9,100 residential units (approximately 18,000 residents); 3) approximately 1 million SF of retail, restaurant and entertainment uses, including 2 new grocery stores; 4) at least 1,200 hotel rooms; and 5) 4 new parks and a segment of the Anacostia Riverwalk Trail system.

8) We are building a brand new city on the river that embraces our past through the renovation of several historic buildings, engages and celebrates the Anacostia River, provides a sense of place and community through the development of new parks, provides neighborhood and employee serving retail and restaurants, and provides a range of residential lifestyle options (apartments, condos, townhouses, etc.).

Southwest...TLQTC: The BID’s current boundaries include Buzzard Point, which is in Southwest. What development plans are in store for Buzzard’s Point over the next 5 years?
Stevens: If some office attraction efforts are successful, you may see the development of a secure office campus for a federal agency or two. Otherwise, with the current economic downturn, we may not see development activity in that area for another 5-7 years.

Southwest...TLQTC: Speaking of Southwest…will the Capitol Riverfront BID eventually expand to include other areas of Southwest, including the Southwest Waterfront and Waterfront Station?
Stevens: I have spoken to the Hoffman team about that possibility and I think it might be best for a new BID to be created that would address the area that includes Waterfront Station, Arena Stage, the SW Waterfront project, the Mandarin Oriental Hotel and perhaps some of the office in the SW Federal Center. It seems that that area will have a different development dynamic and destination qualities from our BID that would warrant the creation of a new BID.

I agree with Michael Stevens and think that the Southwest Waterfront needs a BID. The Southwest Waterfront area is experiencing a lot of development activity and will look a lot different in five years than it does now. Forming a BID would do a lot to help market the area to attract office tenants and retailers, keep the neighborhood clean, and deter crime. What do you think?