Skanska Purchases Development Site in NoMa
Washington, D.C., January 28, 2011 – Development and investor interest in NoMa continues to flourish, as Skanska closed on a development site at First and M Streets, NE. Skanska purchased the 63,790-SF Capitol Plaza II and III site earlier this week, for nearly $41 million from AP-VN Capitol Plaza II-III Venture LLC, an affiliate of the Polinger Company. This purchase is Skanska’s third in the greater Washington, D.C. region since late 2009.
The site offers by-right zoning for approximately 600,000 square feet of commercial development. The site is centrally located in the NoMa submarket, across the street from DC’s largest Harris Teeter grocery store, just blocks from Union Station and the U.S. Capitol. NoMa has 15 modes of transportation, including two Red Line Metro stops, biking facilities, the eight-mile Met Branch Trail, and six Capital Bikeshare stations.
Capitol Plaza I, located at 1200 First Street NE, was built speculatively and completed in 2007; it is now fully leased and on the market for sale. Tenants include District of Columbia Public Schools headquarters, District of Columbia Department of the Environment, NoMa BID, Thomson Reuters (formerly Point Carbon), Department of Homeland Security, and the Internal Revenue Service. A CVS store and pharmacy opened in the ground floor of the building earlier this month.
”The NoMa area has had incredible momentum over the past few years with eight million square feet of office, residential, hotel and retail space developed and thousands of employees and residents moving to the area,” said Rob Ward, Executive Vice President and Regional Manager of Skanska USA Commercial Development in Washington D.C. “With unparalleled access to public transportation and the recent growth in amenities such as retail, restaurants and hotels, we believe that this site will be attractive to both private and government tenants.”
“Development promises to pick up in 2011, and we are excited about the cranes returning to NoMa,” said
NoMa Business Improvement District President Liz Price. “With more than 3 million SF leased in the last three years, NoMa’s is Washington’s fastest growing neighborhood.”
Several new projects have already been announced for 2011, and two projects are under construction:
- Archstone is under construction on 469 luxury apartments at First and M Streets, NE.
- NPR is currently under construction on its new headquarters on North Capitol Street.
- In November, StonebridgeCarras announced plans to break ground in May on Phase II of Constitution Square, which will include 345,000 square feet of office space and 203 residential units.
- Northwest One will break ground on a 300-unit apartment building in NoMa in 2011.
Skanska USA Commercial Development, which launched in late 2008, has delivered Class A commercial buildings with a minimum LEED Gold Certification. Skanska intends to self-finance 100% of the future project costs. Skanska USA Commercial Development will complete its first commercial development project in Washington D.C., a Class-A sustainable mixed-use building located at 733 10th Street in the fourth quarter of 2011. The firm is also breaking ground on a second project in February at 1776 Wilson Boulevard in Arlington.
For more information on Skanska, visit www.skanska.com.
NoMa is a vibrant, growing neighborhood north of Union Station and the U.S. Capitol in Washington, D.C. In the last five years, private developers have invested more than $3 billion in the 35-block area covered by the NoMa BID, and have plans to develop more than 20 million square feet of office, residential, hotel, and retail space. NoMa has leased 3 million SF of space in three years; view a list of recent leases. In 2010, more than 5,000 people moved into NoMa to live or work; and eight new retailers opened for business. NoMa has 15 modes of transportation, including two Red Line Metro stops, and the best biking facilities in DC, with the only East Coast Bikestation, the 8-mile Met Branch Trail, and six Capital Bikeshare stations. For more information about NoMa, visit nomabid.wpengine.com and sign up for our bimonthly newsletter.