Howard University Sells 99-Year Ground Lease for Multifamily Project
A 10-story, 525K SF building with 500 units, 27K SF of retail planned for DC site.
A group of partners has acquired a 99-year ground lease from Howard University for a 1.9-acre parcel now occupied by parking lots at the university’s DC campus.
Los Angeles-based Lowe, in partnership with DC-based firms FLGA and Davenport Group and in collaboration with USAA Real Estate, is planning to build a 525K SF residential building, including 27K SF of retail, on the property located at 2251 Sherman Ave. NW and 2047 9th St. NW.
JLL represented the partners in securing $45.1M in bridge financing from Eagle Bank for the land transaction.
“This project will deliver much-needed housing and retail space that will serve Howard students, faculty, staff and visitors, as well as our neighbors in the community,” said Wayne A.I. Frederick, in a statement.
The development will feature a 10-story residential building with 500 units and 246 below-grade parking spaces, as well as the ground-floor retail. The plan includes up to 60 units that will be designated as affordable housing, and amenities including a clubroom, fitness center and a pool.
The developers will also install a 25-foot-wide plaza along W Street,
Howard has deployed a strategy of trading its ground-lease assets in DC while maintaining its ownership of the land, reinvesting the proceeds in its academic facilities.
Last year, the university reached an agreement with a team of developers to build a mixed-use project at the intersection of Georgia Ave. and Bryant St. NW.
Capstone Development, Quadrangle Development Corp. and Eden developing the project, which will include more than 250K SF of office and lab space in a facility that will become the National Research Center for Health Disparities.
The center is aiming for tenants including private pharmaceutical companies and biomedical research organization focused on finding solutions to chronic illnesses, particularly those affecting communities of color.
The Georgia Ave. development also will include a 430-unit apartment building and 40K of retail space, as well as two outdoor plazas. Construction is scheduled to begin in 2023.
In 2020, Howard inked a deal with MRP Realty to build a 310-unit apartment building with retail on the property at 2133 Ninth St. NW. In 2019, the university chose Edens, Fivesquares Development and The Menkiti Group for a mixed-use redevelopment at the Bond Bread Factory and Washington Railway & Electric Co. Buildings at the intersection of Georgia Ave. and V St. NW.