District of Columbia

Joint Venture to Develop Hilton Hotel in D.C. as Part of 830,000 SF Mixed-Use Project

by Julia Sanders July 21, 2021

WASHINGTON, D.C. — Trammell Crow Co., High Street Residential and MetLife Investment Management have plans to develop a 203-room hotel in Washington, D.C., called The Morrow at Central Armature Works. The joint venture plans to partner with Hilton Worldwide Holdings Inc. on the hotel, which will be part of the Central Armature Works development, a 830,000-square-foot mixed-use development that broke ground in 2019. The Morrow at Central Armature Works is slated for completion during the second quarter of 2022. The hotel will have over 6,000 square feet of event space, a 5,000-square-foot outdoor event terrace, 15,000 square feet of indoor and outdoor food and beverage space and a rooftop lounge. Upon completion, Central Armature Works will feature three towers including two residential towers with 640 apartments and a separate tower for the Morrow hotel, located atop a 60,200-square-foot retail podium on the corner of Third and M streets. The project is located directly next to the NoMa/Galludet Metro station. Shalom Baranes Associates is the project’s architect, and Clark Construction is the general contractor. The developers plan for Central Armature Works to achieve LEED Silver certification.

July 21, 2021

District of Columbia Retail Southeast

NRF: June Retail Sales Increase Following a Dip in May

by Julia Sanders July 19, 2021

WASHINGTON, D.C. — The National Retail Federation (NRF) reports retail sales rose 0.8 percent in June over the prior month on a seasonally adjusted basis — not including automobile dealers, gas stations and restaurants — and were up 12.1 percent unadjusted year-over-year. The NRF’s June report confirms the organization’s revised predictions made at the beginning of July. NRF revised its retail sales forecast for 2021 retail sales to increase between 10.5 and 13.5 percent over 2020 to a range of $4.44 trillion and $4.56 trillion. The U.S. Census Bureau reports that retail sales have increased year-over-year every month since June 2020, including May, which had a decline of 1.7 percent month-over-month and a growth of 27.6 percent year-over-year. The Washington, D.C.-based trade association also reports that there was a big increase in sales during the yearly Amazon Prime Day promotion on June 21 and 22, but that hot temperatures and tropical storms like Hurricane Elsa may have negatively impacted retail sales. The NRF expects an increase in back to school shopping as children head back to school, some for the first time since before the pandemic. Clothing and accessory stores increased 2.6 percent month-over-month and increased 49.4 percent year-over-year. Also, …

July 19, 2021

District of Columbia Retail Southeast

NRF Revises US Retail Sales Forecast for 2021 Upward Based on Encouraging Economic Factors

by Julia Sanders July 6, 2021

WASHINGTON, D.C. — The National Retail Federation (NRF) predicts U.S. retail sales in 2021 will increase between 10.5 to 13.5 percent over last year to a range of $4.44 trillion and $4.56 trillion. These predictions are higher than the initial 2021 forecast the organization made in February that was between 6.5 percent and 8.2 percent growth and a total between $4.33 trillion and $4.4 trillion. In the beginning of 2021, the economy was looking more positive for the retail industry, but there were still pandemic restrictions and limitations on businesses. However, states across the country have lifted these pandemic restrictions, allowing for business for retailers to flourish. Jack Kleinhenz, NRF’s chief economist, says the economy is growing at an accelerating rate due to months of pent-up demand from people being stuck inside their homes for a year. The NRF does not revise retail sales’ forecasts often, but the numbers had improved so much since February that they needed to, according to Kleinhenz. The first five months of 2021 showed retail sales were 17.6 percent higher than the same time period the year before, which meant the numbers already surpassed the original forecast of retail sales. Additionally, retail sales in May …

July 6, 2021

District of Columbia Southeast

US Economy Added 850,000 Jobs in June, Far Above Economists’ Predictions

by Julia Sanders July 2, 2021

WASHINGTON, D.C. — The U.S. economy added 850,000 jobs in June, according to the nonfarm payroll employment report released Friday by the Bureau of Labor Statistics (BLS). Economists surveyed by Dow Jones expected a gain of approximately 706,000 jobs. The BLS also revised the May job gains upward from 559,000 to 583,000. In April, the job gains were revised up from 266,000 to 269,000. Meanwhile, the unemployment rate increased from 5.8 percent in May to 5.9 percent in June, which was higher than the 5.6 percent predicted by economists. Additionally, state governments during June added 69,000 jobs while local governments added 124,000, according to CNS news. The BLS reported that the amount of people who quit their jobs rose by 164,000 to 942,000 last month. CNBC states that the labor force participation rate was unchanged at 61.6 percent. Also, the amount of people who lost their jobs did not change much in June and stayed the same at 3.2 million. While nonfarm payroll employment is up by 15.6 million since April 2020, it is down by 6.8 million, or 4.4 percent, from its pre-pandemic level in February 2020, according to BLS. With little to no pandemic restrictions left on businesses, …

July 2, 2021

District of Columbia Southeast

Weekly First-Time Claims for Unemployment Insurance Fall to 364,000, a 51,000 Decrease From Last Week

by Julia Sanders July 1, 2021

WASHINGTON, D.C. — A total of 364,000 Americans filed for first-time unemployment insurance assistance for the week that ended June 26, the U.S. Department of Labor reported Thursday. These claims were a decrease of 51,000 from the previous week’s revised unemployment claims of 415,000. The claims were also lower than the Dow Jones’ estimate of 390,000, according to CNBC. The jobless claims are still higher than before COVID-19, despite the healing economy. In March 2020, the average weekly jobless claims were 220,000. The latest jobless claims data comes a day before the Bureau of Labor Statistics is set to release the June nonfarm payroll employment report. Some officials predict the June jobs report will show the unemployment rate decreased from 5.8 percent to 5.7 percent, according to the Washington Examiner. In February 2020, the unemployment rate was only 3.5 percent, which is much lower than it is today.

July 1, 2021

Development District of Columbia Mixed-Use Multifamily Retail Southeast

BKV Group Opens Beckert’s Park Mixed-Use Project in D.C.’s Capitol Hill District

by Julia Sanders June 25, 2021

WASHINGTON, D.C. — BKV Group has opened Beckert’s Park, a 2.8-acre mixed-use project featuring 325 apartments and a new 60,000-square-foot Safeway grocery store, in the Capitol Hill neighborhood of Washington, D.C. Located at the corner of 14th Street and D Street SE, the development has replaced a parking lot and existing Safeway store that stood on the site for nearly 50 years. BKV Group worked with developer Foulger-Pratt to create a design for the Beckert’s Park project. The building is a single structure that includes residential units, the upgraded Safeway store and 8,000 square feet of commercial space. Additionally, the property offers underground parking for residents and Safeway customers. Residences at Beckert’s Park include studio, one-, two- and three-bedroom units ranging from 495 to 1,706 square feet, some with private outdoor space. All apartment units feature quartz countertops, customizable closets and in-unit laundry, and some include moveable kitchen islands and double sinks in the primary bathrooms. Community amenities include an outdoor pool, seating, cabanas, dining areas and grilling stations. Indoor amenities include a lobby with lounge seating and coworking space; clubroom with catering kitchen; game room; fitness center; golf simulator and a pet-washing station. Also, a multifunctional indoor sport court …

June 25, 2021

District of Columbia Southeast

First-Time Claims for Unemployment Insurance Decrease Slightly to 411,000

by Julia Sanders June 24, 2021

WASHINGTON, D.C. — A total of 411,000 Americans filed for first-time unemployment insurance assistance for the week that ended June 19, the U.S. Department of Labor reported Thursday. These claims constituted a decrease of 7,000 from the previous week’s revised unemployment claims of 418,000. The claims were also higher than the Dow Jones’ estimate of 380,000, according to CNBC. Continuing claims, data of which lags a week, lowered to 3.39 million, which was a decrease of 144,000, according to the news outlet. First time claims for unemployment insurance have been above 400,000 for the second week in a row, following two weeks in late May and June when the number of claims dipped below 400,000. CNBC reports that there are 9.3 million job openings but still approximately 9.6 million American citizens without jobs. A total of 25 states have opted out of federal unemployment benefits, a full two months earlier than the Sept. 6 deadline. The news outlet also reports that despite the unemployment benefits ending in certain states, many people are not in any hurry to find a job, due to health concerns from the COVID-19 virus.

June 24, 2021

District of Columbia Southeast

First-Time Claims for Unemployment Insurance Rise to 412,000

by Julia Sanders June 17, 2021

WASHINGTON, D.C. — A total of 412,000 Americans filed for first-time unemployment insurance assistance for the week that ended June 12, the U.S. Department of Labor reported Thursday. These claims constituted an increase of 37,000 from the previous week’s revised unemployment claims of 376,000. Many states across the country have decided to end unemployment benefits. Starting on Saturday June 19, eight states will no longer take part in federal unemployment benefit programs, according to the CNBC. The news outlet reports that about 417,000 people will no longer receive federal unemployment benefits in those eight states, which are Alabama, North Dakota, West Virginia, Idaho, Indiana, Wyoming, Nebraska and New Hampshire. CNBC also reports that these eight states are part of a total of 25 states that have decided to opt out of federal unemployment benefits earlier than the Sept. 6 deadline, when federal unemployment benefits approved in response to the pandemic are set to expire.

June 17, 2021

District of Columbia Multifamily Southeast

MBA: Commercial, Multifamily Debt Originations in First Quarter Increase 1.1 Percent

by Julia Sanders June 16, 2021

WASHINGTON, D.C. — In the first quarter of 2021, originations for commercial and multifamily loans totaled $3.9 trillion, according to the latest report from the Mortgage Bankers Association (MBA). Compared to the Washington, D.C.-based organization’s findings from fourth-quarter 2020, the first-quarter originations increased by $44.6 billion, a 1.1 percent hike quarter-over-quarter. According to the MBA report, commercial banks held the largest share (roughly 38 percent) of commercial and multifamily mortgages at $1.5 trillion. The second largest holders of commercial and multifamily mortgages were Fannie Mae, Freddie Mac, HUD and other mortgage-backed security lenders at $861 billion, or 22 percent. Additionally, life insurance companies provided $588 billion (15 percent) in the first quarter and issuers of commercial mortgage-backed securities (CMBS), collateralized debt obligations (CDO) and other asset-based securities (ABS) generated $540 billion in debt (14 percent). In the first quarter, agency lenders saw an increase of $23 billion in loans, a 2.8 percent jump. CMBS, CDO and other ABS issuers increased their holdings by $7 billion, or 1.3 percent. Banks increased their holdings by $6.8 billion (0.5 percent), and REITs increased their holdings by $4.9 billion (5.2 percent). Finance companies, however, saw their holdings decrease 1.2 percent.

June 16, 2021

Acquisitions District of Columbia Office Southeast Top Stories

WashREIT Agrees to Sell Office Portfolio for $766M, Shifts Focus to Multifamily Sector

by Kristin Harlow June 16, 2021

WASHINGTON, D.C. — WashREIT (NYSE: WRE) has agreed to sell substantially all of its office portfolio to a Brookfield Asset Management private real estate fund for $766 million. The portfolio consists of 12 office assets spanning nearly 2.4 million square feet in metro Washington, D.C. The transaction is expected to close in the third quarter. As of May 31, the office portfolio was approximately 83 percent occupied. Six of the properties are located in Northern Virginia — 515 King Street, Courthouse Square, 1600 Wilson Boulevard, Fairgate at Ballston, Arlington Tower and Silverline Center. The other six assets are located in Washington, D.C. They include 1901 Pennsylvania Avenue, 1220 19th Street, 2000 M Street, 1140 Connecticut Avenue, the Army Navy Building and 1775 Eye Street. The sale coincides with WashREIT’s multi-year strategy of transforming into a multifamily REIT. The company has also signed a letter of intent to sell its remaining eight retail assets, and expects to complete that sale in the third quarter. WashREIT says it plans to use the net proceeds from the sales to fund the expansion of its multifamily platform through acquisitions in Southeast markets and to reduce its leverage by repaying outstanding debt. After the transaction …

June 16, 2021

Newer Posts

Older Posts