Sunday, October 26, 2014
Phase 1 of "The Wharf" -- a three-phase redevelopment of the lackluster Southwest Waterfront in Washington, D.C. -- broke ground in March 2014 now that the developer, Hoffman-Madison Waterfront LLC, just got $270.3 million in private equity funding.
Redevelopment of the Southwest Waterfront -- which is on the northeast bank of the Washington Channel (a man-made segment of the Potomac River between East Potomac Park and the D.C. mainland) -- has been a decade in the making. The city approved a land lease and sale in 2008, after five years of negotiations bewteen the city and Hoffman-Madison.
The total cost of Phase 1 of The Wharf will be $775.7 million, of which $270.3 million comes from private funding. Debt, in the form of bonds, will raise another $392.4 million and public funds will add another $113 million.
Phase One includes 233,270 square feet of office, 662 apartments, 239 condos, a 278-room hotel, a 150,000-square-foot cultural venue, 1,285 parking spaces for residents and the public, and more than 1,000 bicycle spaces for both public (e.g., Capital BikeShare) and private use.
When complete, the three-phase The Wharf will cost a whopping $2 billion. (That's double the cost of CityCenterDC -- the $1 billion mega-development currently nearing the finishing line in downtown.) The total project will have 700,000 square feet of office space, 300,000 square feet of retail, 1,200 apartments, 350 condos, three hotels, 400 marina slips, 140,000 square feet of cultural venue space, and several public parks.