BID Annual Meeting
Capitol Riverfront BID
The Capitol Riverfront Business Improvement District (BID) held its Annual Meeting Luncheon on Thursday, Jan. 12, at Nationals Park to celebrate our ninth year of BID activities and the accomplishments of our Clean Team and public and private partners. Over 250 attendees heard a summary of the BID’s activities over the past year, including new development that is occurring in all four market segments. It was also noted that the civic side of the neighborhood is growing, with the recent opening of the Arthur Capper community center and the continued growth of the Van Ness Elementary School.
Residential growth continues to exceed expectations, with over 2,400 units under construction and approximately 3,800 units in the immediate pipeline. Residential buildings delivered in 2016 include the Park Chelsea, Arris, Ore 82, Dock 79, and the Bixby. Based on this residential surge, the neighborhood will increase its population from today’s 6,400 residents to 14,400 by the end of 2019. Numerous condominium projects slated to break ground in 2017 will add needed for-sale inventory to our product mix.
The residential growth is fueling retail expansion as well, with approximately 200,000 square feet of retail and restaurants under construction and another 100,000 square feet being readied for construction along Half Street. More than 10 new restaurants will deliver in 2017 as will the new Whole Foods store at New Jersey and H Streets SE (part of the Agora residential building). Orange Theory Fitness and Conte’s Bike Shop will deliver in 2017, adding to the outdoor recreation ethos of the Capitol Riverfront.
Two new hotels delivered in 2016 – the Hampton Inn & Suites on First Street and the Homewood Suites by Hilton at 50 M St. SE. The next hotel delivery will be the Marriott Residence Inn at the end of February 2017 on First Street, bringing the number of hotels to four with a total of 737 rooms.
At the annual meeting, the BID recognized two recipients of its Foundation Awards. The Public Sector Partner award went to the DC government and the Private Sector Partner award went to the DC United team ownership group. With these awards the BID recognized the catalytic nature of the new soccer stadium for Buzzard Point and how the stadium and new development will fill the “gap” between the Capitol Riverfront and the Southwest Waterfront and Wharf project.
We also recognized our Clean Team members for their invaluable contributions throughout the public realm that make the Capitol Riverfront an inviting and attractive place to live, work, and visit. Three members received special accolades for their outstanding performance in 2016.
Peter Harnik, the former director of The Trust for Public Land’s Center for City Park Excellence, gave the event’s keynote address on the value of urban parks in a densifying US cityscape. Harnik spoke to design and programming qualities that make parks special and well-used, citing numerous best practices from across the country. He noted that a park’s success is measured not only by simple usage but also by the range of activities provided, the diversity of users in age and ethnicity, the common ground it creates, and the real estate value it can leverage. He cited Yards Park and Canal Park as two world-class parks that have defined and helped create the Capitol Riverfront neighborhood and its sense of community.
The BID also released new research conducted by RCLCO Real Estate Advisors as an update to the 2012 “GreenPrint of Growth” study, which pronounced the Green Line corridor as the District’s preferred location for new households and development. We at the BID were suspecting that the findings from 2012 had improved and even accelerated, and the updated study findings did not disappoint. Simply put, the Green Line has captured more housing along its Metro stations than any other line in Metro’s system since 2000. Significant findings of the “GreenPrint of Growth 2.0” study include the following:
- In 2012, the study called the Green Line the region’s growth driver; today it is the region’s corridor of choice for young professionals.
- The Green Line is the strongest growth corridor for young professionals, attracting one of two new households under age 35 in DC since 2000.
- One out of four new apartments built in DC since 2000 has been built within the Green Line corridor. During that time the Navy Yard/Ballpark station has added more units than any other Green Line corridor station, and more than twice as many as Shaw or U Street.
- Based on the average resale prices of condos built after 2000, the average income for new Green Line households has increased since 2012 by nearly 50 percent to $121,600. For the Navy Yard/Ballpark station new household incomes have increased over 80 percent to $108,600.
- Green Line stations have captured 50 percent of DC’s retail development since 2010. The Navy Yard/Ballpark station area alone will add the equivalent of 1.5 CityCenters worth of retail by 2019.
- The number of jobs located on the Green Line corridor grew by 50 percent between 2010 and 2016, to 76,000 jobs, with high-wage sectors representing the majority of the growth.
- Residential growth and development activity along the Green Line corridor is anticipated to generate $3.66 billion in tax revenue to DC over the next 20 years, with 22,500 permanent jobs.
What does this all mean? New growth, and particularly residential development, is following the Green Line corridor as young professionals seek the “one-seat ride” to employment centers and destination neighborhoods. It also speaks to the compelling nature of water as a neighborhood amenity. The Navy Yard/Ballpark and Waterfront stations saw more residential development than the Mt. Vernon Square, Shaw, U Street, and Petworth stations combined.
The preferred growth corridor is shifting from Northwest to Southeast and Southwest, and this should be good news for our office-attraction efforts in the Capitol Riverfront. The next generation of employees is clustering along the Green Line corridor, which may cause a shift in office locations and further enhance the retail and entertainment destination qualities of neighborhoods along the corridor.
The Capitol Riverfront office market is seeing positive response to this trend, with two new office buildings having started construction in 2016, a third starting in early 2017, and the possibility of a fourth in 2017/18. The Green Line has become a series of destination neighborhoods, but it also provides accessibility to other entertainment and retail activity centers that professionals desire. And it brings the region to the Washington Channel and Anacostia River as waterfronts play an increasingly important role in our city.
Both the full report and the executive summary of the “GreenPrint of Growth 2.0” study, the 2016 BID Annual Report, and the “State of the Capitol Riverfront” presentation from the BID’s annual meeting are available on our website at www.capitolriverfront.org.
For the Capitol Riverfront neighborhood and the BID, 2016 was quite a year, as we experienced the largest development cycle in the neighborhood’s history and continue to be the District’s fastest growing neighborhood. Please visit us over the next few months as new restaurants open, more residential is added, baseball begins play in April, and our outdoor concerts and movies begin in late spring and early summer. It is compelling and interesting to see city-building occurring on such a large scale.