21 Jul No Comments admin Uncategorized

Around Florida Avenue and 9th Street are large super blocks of mostly-vacant land. Current plans to redevelop one long-debated parcel would bring activity to the area, a grocery store, and substantial new affordable housing—but only if DC Council moves on the project.

Rendering of 965 Florida Ave. NW by MRP Realty.

The project, led by MRP Residential in partnership with The JBG Companies, will include 352 apartments including 106 affordable units, anchored by a ground-floor Whole Foods.

The affordable housing will meet the requirements of a new law passed this spring to increase the city’s affordable housing supply. Under the law, when the District sells off public land for new housing development, 30% of that housing must be affordable to “deeply affordable” levels. This is especially important here, since the site is so close to a Metro station and major bus lines.

Accordingly, 106 of the project’s 352 apartments (30%) will be permanently affordable for households earning below 50% of the area median income (AMI) and 30% AMI. For example, a two bedroom apartment affordable to a family earning 30% AMI would rent for $722 rather than the market price of more than $3,000.

The project is also slated to incorporate support for a number of job training and local business assistance programs. These will include a Community Grants Program to support local non-profit organizations provide employment training and skill development for DC residents, as well as a Local Retailers Assistance program to provide rent subsidies for nearby small businesses.

The surrounding area. Image from Google Maps.

Community members support the project, but it hasn’t moved forward

The DC Deputy Mayor for Planning and Economic Development (DMPED) reached an agreement to sell the land to developers MRP and Ellis Development in 2013, but it was then modified to comply with the new law requiring substantially more affordable housing at deeper levels of affordability.

Despite agreement on the revised plan between the development team and the mayor, the DC Council hasn’t yet approved the deal. According to the Washington Business Journal, if they don’t move soon, Whole Foods could pull out of the project.

On Thursday night, Advisory Neighborhood Commission 1B, where the project is located, passed a resolution encouraging the council to move the project forward. “965 Florida is critical to continuing the growth in our neighborhood, and meeting the expectations of our neighbors, numerous civic and neighborhood associations, two Mayoral Administrations and their agency offices, and the current and previous Ward-1 Council members,” said Commissioner Robb Hudson, who chaired the evening’s meeting.

Councilmember Brianne Nadeau has introduced an emergency resolution aimed at pushing the project ahead. The bill, which is expected to come up for a vote at the DC Council on Tuesday, would both declare the land surplus and approve of its sale.

Bills to declare the parcel surplus and approve the sale to MRP and Ellis Development have been before the Council’s Committee of the Whole since May, but haven’t been brought up for vote. If the emergency legislation passes Tuesday, the development team’s next step will be to take their plans through the review process at the DC Zoning Commission.

Paying for more affordable housing is the sticking point

The sticking point for Council Chairman Phil Mendelson and Councilmember Mary Cheh (ward 3) may be the proposed sale price of $1.4 million, given that DC government appraisal has valued the property at $27 million.

Despite the District frequently selling DC land for a nominal price in exchange for public benefits, this proposal seems to have caught the attention of some decision makers. As Rebecca Cooper reported, at a hearing in June, Cheh said, “[It] seems so paltry, compared to the other valuations. I’m trying to find out that the District [is] getting proper value for this property.”

But DC is getting more value than just $1.4 million; it’s getting substantial affordable housing which it would otherwise pay money for. According to Matt Robinson of MRP Realty, the sale price was reduced thanks to the increased affordable housing components earlier this spring, when Council passed the new law mandating 30% of public land deal projects be deeply affordable. That requirement increased the number of affordable units from 65 to the current 106, and made them even more affordable.

Regardless, given the community’s strong support of the project, and the urgent need for additional affordable housing stock close to Metro, advocates say the Council should move the project forward.

“Political battles should not be fought over this well-discussed and well-settled development,” said ANC Commissioner Hudson. “It’s costs are real, but 965 Florida Ave should not fail just because some on the Council are not comfortable with the unintended consequences of last year’s affordable housing legislation—namely moving the price of affordable housing from essentially a line item in the budget and into the land valuation of public parcels up for development—we all must pay for it somewhere.”