Trio of Projects to Bring 1.7M SF to Suburban DC
- Jul 23, 2008
The souring economy hasn’t altogether dampened development activity. In the Washington, D.C., suburb of Arlington, Va., news has emerged about three new office and mixed-use projects that will bring a total of 1.7 million square feet to an area just minutes from the District. The Arlington County Board has been doing its part to facilitate development in the area, having worked late into the night yesterday to complete the approval of a Phased Development Site Plan for Pentagon Centre (pictured), a mixed-use development that will sit in the Pentagon City submarket. Kimco Realty Corp. is behind the project, the first phase of which will create a 20-story office building with 333,00 square feet of office space and 13,000 square feet of retail space; an eight-story structure featuring 150,000 square feet of office space with 14,600 square feet of ground-level retail; and a seven-story parking structure. Additionally, the Board convened last Saturday to green light developer Ashton Park Associates’ Founders Square, a 660,000-square-foot office complex highlighted by 23,000 square feet of ground-level retail and two residential towers encompassing 362 units in Arlington’s Ballston submarket. And Monday Properties has gotten in on the development frenzy, too. The company just revealed plans to build a 580,000-square-foot high-rise in Rosslyn, Va. Upon completion, the 35-story structure will be the tallest of all presently existing buildings in Metropolitan Washington, D.C. With an address of 1812 N. Moore St., the building–which will also encompass 11,000 square feet of retail–will sit just across from a Metro station on a site that Monday Properties acquired last year. The land is presently home to a 108,000-square-foot, 46-year-old office structure that will be demolished this month. Development is scheduled to reach completion 2011. All three of the projects are transit-oriented developments and are being designed to adhere to LEED certification standards, with Monday Properties seeking LEED Platinum certification that, if achieved, will make 1812 N. Moore the only LEED Platinum-certified building in the State of Virginia. The aforementioned office projects join a long list of such announcements that have been made in Arlington County in the last several months. Unlike many areas in Metropolitan Washington, D.C.–including the District itself–Arlington County has an office market that continued to tighten in the first three months of the year. The average vacancy rate in Arlington County dropped to 8.5 percent in the first quarter from a 2007 average of 9 percent, making it the only county in Northern Virginia to have a decrease in vacancy. Other projects in the works include Monument View, a five-acre mixed-use project with more than 320,000 square feet of office space, which is being developed by MR Boundary Channel L.L.C. and Monument Realty L.L.C. And The JBG Cos. is developing a mixed-use project with 400,000 square feet of office space on the former site of a car dealership. As evidenced by the companies behind the newly announced Pentagon Centre and 1812 N. Moore projects, interest in Arlington County’s office market is not just among the local development set. Kimco is a New Hyde Park, N.Y.-based REIT that owns and operates the largest portfolio of neighborhood and community shopping centers in the country. Monday Properties is headquartered in New York City. The company is the owner and/or manager of 4 million square feet of space in Manhattan and an additional 4 million square feet in the Washing ton, D.C., area. Ashton is a local company, managed by Arlington, Va.-based real estate development concern Shooshan Co. Shooshan has developed more than 2 million square feet of real estate in Grater Washington over the last 22 years.