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Rumors started flying in a few places lately that Whole Foods is coming to New Jersey and K, SE. I usually shy away from writing about rumors, but this one is persistent enough that it probably needs some addressing. It's not listed on their Stores in Development page, and no one's leaping to tell me this is or isn't true (which isn't surprising), but it's not completely out of the realm of possibility. There's been references here or there to "two grocery stores" coming to the neighborhood (with space for one set aside at the The Yards, coming in 2011 or later), and I've heard nonspecific Whole Foods/Near Southeast rumors a few times over the past year.
But I'm skeptical about it coming to the New Jersey/K intersection. There's only 6,000 square feet of retail in 909 New Jersey (not enough for a grocery store), and the plan for the trash transfer station has always been for it to be part of the Capper Hope VI project, with an apartment building that probably won't start before 2011. That leaves the southwest corner, where the Cohen family owns the small lots along K between New Jersey and First; there's also the Positive Nature lot at 1021 New Jersey and one to its south owned by Potomac Development Corp., who it should be noted picked up 51,000 square feet of transferred development rights earlier this year. (Can someone at CHT look out their window and confirm that the Positive Nature sign is still there?)
So maybe the "New Jersey" part is right, but not the "K"? My gaze (and my betting dollars) might head north a block or two, to 800 New Jersey (also sometimes known as 120 Canal), where for years William C. Smith has envisioned a grocery store as part of its planned 1.1-million-square-foot four-building development on the Square 737 block bounded by Second, H, New Jersey, and the eventually reconstituted I Street. No timeline for the start of this project has been announced, though. (In fact, there's so little information about the project that I haven't even felt compelled to build a project page for it.)
In other words, there aren't really any tea leaves to be read on this one, so if someone wants to spill the beans, I'm always listening.
 

Today's print edition of the Washington Business Journal reports that the Blue Castle at 770 M Street has sold again, this time for $25 million to Madison Marquette. The company's managing director of investment told WBJ that the building could be refurbished as a mixed-use development that would serve as an anchor to Barracks Row, and that "the space probably will have one or more major retailers as well as restaurants, an office or residential component and possibly a grocery store." The groups currently in the building have leases that expire in 2012. Preferred Real Estate Investments bought the building in December 2005 for $20.2 million, saying at the time that the building was ideal for retail stores such as a Barnes & Noble bookstore and a Whole Foods grocery, and that they hoped to start construction in 2007.
UPDATE: I guess I should have mentioned that the Blue Castle used to be a trolley barn.
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More posts: Blue Castle, East of 11th Street, M Street, Retail, wholefoods
 

Today was a bonanza of Near Southeast alley closing requests, as four pending bills received their public hearings in front of the city council "Committee of the Whole" (i.e., Chairman Cropp, the only council member in attendance).
The first was B16-0799, alley closings and new street designations as part of the Capitol Quarter/Capper Carrollsburg project. Nothing really new in the testimony, except that it has been requested that the bill be considered by the council on an emergency basis, in order to help speed the process of getting the project underway. Ms. Cropp called the project "very, very exciting" and seemed particularly enthused by the mixed-income aspect of the project, noting that the city's past creation of "economic ghettos" hasn't worked out well.
Next up was B16-0888, which seeks to reopen H and I streets between 2nd and New Jersey, and to close alleys and streets within those two blocks; I was not aware until today that a portion of this land is actually federal land (Reservation 17A), which is part of the land transfer bill currently pending before Congress. The northern block (Square 737, north of I) is where William C. Smith is planning a mixed-use project, which in their testimony they broke out as two office buildings totalling 600,000 sq ft, two apartment buildings totalling 600 units (with a 10% affordable housing component), 1100 parking spaces, and 80,000-100,000 sq ft of retail space. They mentioned that back when they first bought the land in 1999 they got a letter of intent from Whole Foods to include a grocery store in this location, but then Whole Foods came down and saw that at that point there wasn't a whole lot of development going on, they pulled out; but Smith is still very interested in getting a grocery store in this development. They anticipate beginning work on this project in 2008 and completing it in 2011. As for Square 739 (where the DPW trash transfer station currently resides), it is actually part of the Capper/Carrollsburg redevelopment, and plans are for a 322-unit apartment building with 115 affordable units, and also ground-floor retail. They don't anticipate beginning work on the building for at least another 4 to 5 years. Ms. Cropp did express some concerns about where the DPW vehicles will be relocated to, given the lack of industrial land left in the city.
After lunch was B16-0879, Monument Realty's request for alley closings on Square 701 between Cushing, Half, M, and N (in the block just north of the ballpark) as part of their "Ballpark Phase I" project, which also includes the expansion of the Navy Yard Metro station at Half Street, which Monument is responsible for as part of their purchase of the WMATA land on the southwest corner of Half and M. New news from the hearing is that there will also be a hotel in addition to the previously announced 275,000-sq-ft office building at Half and M and the 350-unit residential building (mix of rental and condo, with up to 20% affordable housing) at Half and N--Monument is working with W Aloft to develop a 200-key boutique hotel on Half Street. The entire project will have 700 parking spaces, and Monument is planning to begin construction in January 2007 so that these three levels of underground parking (as well as perhaps some of the 50,000 sq ft of planned ground floor retail) can be completed by Opening Day 2008; they will then continue work on the upper floors to have the entire project completed in 2009. UPDATE: I should also note that as part of their plans, Monument will be extending Cushing Place approximately 80 feet, so that it will run through to N Street
Finally came B16-0880, another request from Monument Realty, this time for alley closings on the west side of Square 700, just across Half Street from the Phase I project in the previous alley closing hearing. They are still negotiating with WMATA to attempt to purchase the bus depot land on Square 700, but in the meantime are moving forward with a 115,000-sq-ft/100 unit residential project on the northwest corner of Half and N, on the site of the Good N Plenty carryout (whose lease expires today, it was mentioned). This project will have 12,000 sq ft of ground-floor retail, which, given its location directly across from the stadium plaza entrance, will be quite a prime location. Ms. Cropp was concerned that the project will only have two levels/74 spaces of underground parking (you got the feeling that parking is very much on her mind these days!). There was no stated timeframe for this project, except to say "after Square 701." And of course by then they'll have probably secured the bus depot.
For all of these bills, the next step I believe is getting them on the council consent calendar, for votes to be taken.
Is that enough information? Can I stop now? :-)
UPDATE: These hearings are all available via DC Cable 13's on-demand video offerings.
 
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