Tuesday, May 21, 2019

Revised Agreement Will Bring More Affordable Housing for Seniors and Increased Investment in Ward 8 Small Businesses

(Las Vegas, NV) – Today, at the ICSC Global Retail Real Estate Convention, Mayor Muriel Bowser announced that through collaborations with Ward 8 Councilmember Trayon White and Ward 5 Councilmember Kenyan McDuffie, Chairperson of the Committee on Business and Economic Development, the Bowser Administration will reintroduce legislation for the Tax Increment Financing (TIF) for Reunion Square, moving forward a mixed-use development project that will create affordable housing for seniors and support small business growth in Ward 8. This is the first ever TIF in Ward 8. The 1.5 million square-foot development is adjacent to Martin Luther King, Jr. Avenue, Shannon Place, Railroad Avenue, V Street, and W Street, SE in Anacostia.

“For the residents of Ward 8, this TIF is going to mean more jobs, more affordable housing, and new opportunities to participate in our prosperity,” said Mayor Bowser. “I want to thank Councilmembers Trayon White and Kenyan McDuffie for working together to ensure our residents and small business owners get the fair shot they deserve.”

“This agreement is the result of months of hard work in negotiating with the development team to ensure that this development is responsible, inclusive, and equitable. I am happy to announce that as a result, we have doubled the affordable housing on the deal, included housing for seniors, deepened the levels of affordability, expanded contracting and job opportunities for Ward 8 residents, and increased benefits to Ward 8 community groups from $250,000 to over $1.3 million,” said Councilmember Trayon White. “Moving forward, I will work to ensure that all new Ward 8 development represents the commitment to responsible and equitable development that is reflected in this agreement. I’d like to thank Mayor Bowser, Councilmember McDuffie, the community, and the Reunion Square team for their work to bring this to fruition.”

“This project has come to represent an example of equitable economic development that will create opportunities for residents and businesses to participate in their neighborhood’s growth and prosperity,” said Councilmember Kenyan McDuffie. “I want to thank Mayor Bowser, Councilmember Trayon White, and the Advisory Neighborhood Commissioners for their efforts to improve this important project.”

The Reunion Square TIF will support the redevelopment of an underutilized site located near the Anacostia Metrorail Station. Through collaborations with the councilmembers and the Four Points development team, the revised development plan for the project will include:

• 143 affordable units with 134 dedicated to seniors, the units include 25 for households earning less than 30 percent Median Family Income (MFI) and 95 for households earning less than 60 percent of MFI

• 2,000 square feet of affordable space for local retail and 5,000 square feet of affordable local office space for Ward 8 businesses

• Affordable space for the Anacostia Playhouse

• Additionally, the DC Department of Health will relocate its headquarters to the site

The first phase of this development yielded a Class A office building at 2235 Shannon Place, SE. The next phases are contingent upon TIF funding. The TIF package will be finalized by the Office of the Deputy Mayor for Planning and Economic Development as well as the Chief Financial Officer. The Mayor plans to introduce legislation to the Council next month.

Tax Increment Financing is a program through which the District provides funding for economic development projects by borrowing against future tax receipts that will be generated by the project. Other development projects in the District that have utilized TIFs include the Skyland Town Center in Ward 7, the redevelopment of The Wharf along the Southwest Waterfront, and City Market at O Street in Ward 6.