Retail Properties in partnering with AvalonBay to redevelop the existing strip center at the location into a 390 luxury high rise building with retail.

The companies still need to submit the development plans for approval but they expect to break ground in June 2017 and deliver phase one in 2018. The building will integrate with Retail Properties' adjacent Towson Square.

According to an investor presentation, Retail Properties estimates net costs will be $30 to $32 million and the project will deliver a 8% to 10% return on costs.

Another project the company has in its near to mid term pipeline is Merrifield Town Center II in Falls Church, Va. There, Retail Properties plans to turn the existing storage facility and thrift store into a mixed-use, vertically integrated building with 335 residential units and retail. “We would look at delivering that in Q3 2021,” Steffan said.

TYSONS, VA–Last week Retail Properties of America announced it had entered into a $163.1 million purchase agreement to buy One Loudoun Downtown. It was a fairly significant deal for the Oak Brook, Ill.-based REIT, considering that in the first five months of the year it closed on four assets for a combined $216 million. It was also confirmed for the region that Retail Properties was serious about its growing footprint here. Indeed, the DC area has become Retail Properties' second largest investment market, Tim Steffan, president of the Eastern Division tells GlobeSt.com.

For that reason, it opened an office in Tysons in April in order to keep a better eye on the local market and to centralize its US eastern operations. The company recruited, among other local talent, Nick Overs as VP of development, an industry veteran from Federal Realty and the Peterson Cos.

The Loudoun deal is probably Retail Properties' last major transaction here for 2016, Steffan says. Even if a great new opportunity arises, chances are the deal won't close by year's end.

Meanwhile, Retail Properties is moving forward to its next big project in the area: the redevelopment of Towson Circle in Baltimore, Md.

Retail Properties in partnering with AvalonBay to redevelop the existing strip center at the location into a 390 luxury high rise building with retail.

The companies still need to submit the development plans for approval but they expect to break ground in June 2017 and deliver phase one in 2018. The building will integrate with Retail Properties' adjacent Towson Square.

According to an investor presentation, Retail Properties estimates net costs will be $30 to $32 million and the project will deliver a 8% to 10% return on costs.

Another project the company has in its near to mid term pipeline is Merrifield Town Center II in Falls Church, Va. There, Retail Properties plans to turn the existing storage facility and thrift store into a mixed-use, vertically integrated building with 335 residential units and retail. “We would look at delivering that in Q3 2021,” Steffan said.