EB-5 loan also closes, marks progress for a Ward 7 retail destination
Washington, D.C. (February 22, 2017) – Today, the development team for Skyland Town Center in Ward 7 announced the closing of $58.5 million in foreign investment and the signing of a lease by CVS Pharmacy to remain at the development.
Skyland Town Center, the first town center development in Southeast DC, is an 18-acre mixed-use development that will deliver 275,000 square-feet of retail and more than 400 residential units at completion. CVS Pharmacy is a long-time tenant from the original Skyland Shopping Center and has remained open at a temporary trailer location since construction started in 2015.
“We are pleased that CVS will be staying at Skyland and the development continues to move forward,” said Rappaport CEO Gary D. Rappaport. “There is also significant retailer interest in the next phase of the project and the development team is looking forward to providing significant new retail in Ward 7.”
Mayor Muriel Bowser announced the significant investment in EB-5 funds for Skyland Town Center during a trade visit to China in November 2015. The EB-5 Immigrant Investor Program was created by Congress and encourages the infusion of foreign capital, exchanging U.S. legal residency for the creation of American jobs. The Skyland development team and the District of Columbia Office of Deputy Mayor for Planning and Economic Development also recently renegotiated $18.75 million of tax increment financing (TIF) to allow the construction of Block 2, the first delivered section of Skyland Town Center, to move forward. At completion, it will create 84,000 square-feet of retail, 263 residential units, hundreds of new jobs in the District.
“The District is committed to advancing development at Skyland Town Center to provide much needed retail, housing and jobs to Ward 7,” said Brian T. Kenner, the District’s Deputy Mayor for Planning and Economic Development. “Today’s announcement is yet another milestone in Mayor Bowser’s commitment to deliver Skyland to a community that deserves it – no matter the challenge.”
The development team began off-site construction and land development for Skyland Town Center in 2015, then retooled phasing plans for Block 1, the space originally intended for an anchor retail tenant. The Skyland Development Team prioritized the delivery of Block 2 to establish a strong community and retail destination that attracts future residents and tenants. On-site construction recommenced November 2016 and the project is moving forward at the intersection of Alabama Avenue, Naylor Road and Good Hope Road in Southeast Washington, D.C.
The Skyland Development Team includes WC Smith, Rappaport, Skyland DC LLC, and Washington East Foundation. Skyland Town Center is a partnership between the development team and District of Columbia Government, with strong community involvement in the planning and design.
About the USCIS EB-5 Visa Program
In 1990, Congress created the EB-5 Immigrant Investor Program to stimulate the U.S. economy through job creation and capital investment in U.S. businesses by foreign investors. In exchange for investing in a business that creates jobs for American workers, foreign nationals and their families can become permanent residents of the United States. The Program’s name, “EB-5,” comes from the visa category for which immigrant investors apply – the Employment-Based Fifth Preference Visa. The Program is administered by the United States Citizenship and Immigration Services (USCIS), an agency of the Department of Homeland Security.
About EB5 Partners
An affiliate of the DC Regional Center, EB5 Partners is a leader in the EB-5 immigrant investor industry, raising more than $375 million of foreign capital for investment in job-creating real estate projects in the Washington, D.C. region.
About WC Smith
WC Smith (www.wcsmith.com) is a DC-based company that has been providing real estate development and property management services since 1968. WC Smith recently opened Park Chelsea in the Capitol Riverfront neighborhood and 2M Street in NoMa.
Rappaport (www.rappaportco.com) has provided the Washington, DC area with professional real estate services centered exclusively on the retail segment for over 30 years. Founded in 1984 by Gary D. Rappaport, Rappaport owns and develops shopping centers and provides retail leasing, tenant representation, property management, receivership, bankruptcy trustee management, construction management and development services for space in shopping center and mixed-use properties throughout Washington, D.C., Maryland and Virginia.