(For more retail coverage, click GlobeSt.com/RETAIL.)
WASHINGTON, DC-Development of DC USA, a 500,000-sf shopping complex, has taken a big leap forward with today's scheduled closing of an $89-million construction financing deal. Citicorp is providing the construction loan to project developers Grid Properties and Gotham Organization; the Development Corp. of Columbia Heights is also part of the team behind the endeavor.
The retail site will be anchored by a 173,000-sf Target store and will carry a total development price tag of about $140 million. DC USA will occupy about five acres on 14th Street NW near Park Road in the Columbia Heights neighborhood, which was tapped by the city for revitalization a few years ago.
In addition to Target, the three-story Bower Lewis Thrower Architects-designed center will be home to Best Buy, Bed Bath & Beyond and Washington Sports Club, to name a few, leaving only about 50,000 sf available. Newmark Knight Frank is handling the leasing responsibilities.
Additionally, DC USA will feature a 1,000-vehicle underground parking facility financed by the National Capital Revitalization Corp. through the issuance of $48 million in tax-exempt bonds to Citibank in a transaction that closed yesterday.
Closing of the financing comes on the heels of the delivery of the building permit, which took place last week. "Now that the building permit has been issued, it's just a matter of when Grid and Gotham issue Clark a letter to proceed," DCCH president and CEO Robert L. Moore tells GlobeSt.com. Clark Construction Group Inc. is the general contractor on the project along with the Sherman R. Smoot Co. "The project is supposed to take two years to complete," Moore says, "but I'm hoping for 16 months."
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