This Week's D.C. Deal Sheet
EagleBank is providing financing for an Amazon-backed transit-oriented housing development, the lender announced Wednesday.
Urban Atlantic’s The Margaux received $54.25M in construction financing from the bank. The 291-unit development is located on Garden City Drive in New Carrollton and is part of Urban Atlantic’s 2.3M SF mixed-use hub at the intersection of Metro, Amtrak, MARC and the eventual Purple Line.
EagleBank’s Andrea Berkeley, Richard Koller and Nette Antehun assisted in finalizing the deal.
Previously, The Margaux received $25.4M from Amazon’s Housing Equity Fund, which is partnering with WMATA to invest at least $125M in affordable and workforce housing near public transit.
The multifamily project will neighbor Metro’s Maryland headquarters, which broke ground in 2020. The Margaux is designed with “market-rate finishes,” according to Urban Atlantic, and is expected to deliver in late 2023.
SALES
Affiliates of AllianceBernstein and Crescent have closed on the sale of the 356-key The Madison Hotel in Downtown D.C. The $61.2M sale was recorded in D.C. property records on April 1. It is the first acquisition by Fort Worth-based Crescent Real Estate’s GP Invitation Fund III. The Madison, located at 1177 15th St. NW, has changed hands multiple times in the past decade, most recently when AllianceBernstein acquired the hotel for $65.3M in 2020. The hotel will switch from Hilton to HEI Hotels & Resorts under its new ownership. Eastdil Secured advised the seller in the deal.
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An industrial outdoor storage property just over the District border in Brentwood, Maryland, has changed hands for $3.25M. The sale, brokered by the Colliers Industrial Capital Markets team of Michael Blunt and Clay Ellis and Colliers' Adam Schindler, transferred the property from an undisclosed private investor to a joint venture between Biynah Industrial Partners and Platform Ventures. The 22K SF property at 3520 Bladensburg Road is fully leased to Dynamic Concepts Inc.
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Douglas Development closed on a $12M acquisition for an Old Town Alexandria office building with parking on Thursday. The 70K SF building located at 515 King St. was sold by Brookfield Properties. Douglas is planning to embark on a capital improvement project that will include upgraded coworking spaces, office suites and ground-floor retail. The new owner is also hoping to bring a restaurant to the property once renovations are complete.
FINANCING
Fairfax County’s Redevelopment and Housing Authority is planning to join the Arlington Partnership for Affordable Housing and Virginia Housing on Tuesday to announce a $55M investment in Tysons’ first fully affordable housing project, according to a press release. The Dominion Square West development is planned to feature two apartment buildings with more than 500 total residential units. The public investment will allow developer APAH to advance construction of both buildings simultaneously, as opposed to in phases, according to the release.
MILESTONES
Zebox, a tech incubator backed by logistics giant CMA CGM, officially opened its first U.S. location in Arlington, Virginia. The 14K SF space is located in JBG Smith’s 1550 Crystal Drive office building. Zebox cited Arlington’s plan to roll out a 5G smart city grid as part of its reasoning behind the location. The startups that will work at Zebox at launch include an analytics hub for supply chain data, a “real-time search engine for the physical world” and various logistics assistants, joining what may be a growing tech ecosystem in the greater D.C. region.
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Mayor Muriel Bowser was on hand to cut the ribbon for a just-completed townhome project at St. Elizabeths East on Monday. District Towns, developed by Redbrick LMD, The Knutson Cos. and Gragg Cardona Partners, brings 88 for-sale townhomes to Ward 8 on Sycamore Drive next to Alabama Avenue. Roughly a quarter of the townhomes will be reserved as affordable: 14 for those with an income at or below 50% area median income and 13 for those with an income at or below 80% AMI.
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St. James, the brand behind the 450K SF sports and entertainment complex in Springfield, Virginia, is opening its new Performance Club at Reston Town Center on Saturday. The 25K SF club will feature two separate turf areas and more than 70 fitness classes and will serve the office community in Boston Properties’ growing mixed-use development.
PERSONNEL
JLL Capital Markets hired Jillian Grzywacz to be a senior director for its affordable housing production team. Grzywacz comes to JLL after six years with Freddie Mac’s multifamily affordable housing team, where she most recently served as production manager. Grzywacz will now serve in JLL’s D.C. office, reporting to affordable housing leader C.W. Early.
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The former vice president and chief of staff to the CEO at Freddie Mac has joined NewPoint. Susan Mudry will serve as senior managing director for process re-engineering and strategic execution, a role in which she will also oversee diversity, equity and inclusion efforts. Mudry joins NewPoint after 25 years at Tysons-based Freddie Mac, where she started as a financial analyst but also gained experience in capital markets, strategy and operations, according to a press release. She will work out of NewPoint’s D.C. office.
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CBRE hired two former Savills brokers to advise occupier clients. Scott Hoffman and Tyler Bensten will serve as executive vice president and senior vice president, respectively, in CBRE’s advisory and transaction occupier business after gaining more than three decades of combined experience. The two have worked on several major deals in recent years, including Williams & Connolly’s 300K SF lease at The Wharf’s second phase.
