|
Commercial Real Estate:
The Art of the Deal
Coming to western Prince William
County:
a mixed-use center with hotel and conference center
by Rob Walker
for Virginia Business
March 2006
THE DEAL: It takes a village to raise a project in
commercial real estate these days. At least that seems
to be the trend with large, mixed-use centers going
up across Virginia. One of the latest is an $80 million,
43-acre project under construction in the western end
of Prince William County. Madison Crescent will contain
a 125,000-square-foot retail center, a three-story
professional building and 37,000 square feet of what’s
known as “traditional neighborhood design,” in
which residences are built above street-level offices
and shops. A central village green, inspired by the
historic English city of Bath — one of the world’s
first planned cities — will serve as a focal
point. Anchoring the retail section will be the county’s
first Harris Teeter grocery store, already under construction.
In the residential area, 216 homes will share space
with the retail center, 242,000 square feet of office
space and a 120-room hotel with conference center.
KEY PLAYERS: The developer is RMJ
Development Group LLC of McLean. John D. Rhoad Jr.
is managing principal,
and Douglas Erdman is president of CRC Commercial,
RMJ’s management and leasing firm. The Lessard
Architectural Group in Vienna is project architect,
Rounds VanDuzer of Falls Church is retail architect,
and EDAW is the landscape architect.
HOW THE
DEAL UNFOLDED: The intersection
of Routes 15 and 29 in Prince William’s rapidly developing
exurbs was marked by county planners years ago as a
critical gateway. “The area has seen a lot of
higher-quality residential growth, and we wanted to
cement this trend toward very high-end development
with an appropriate mixed-use project there,” says
Sean Connaughton, chairman of the county Board of Supervisors.
RMJ worked with the county planning staff to come up
with a plan that met the expectations of the county
and surrounding neighbors. “They wanted a high
quality, mixed-use project that would provide employment
in appropriate retail, professional and support spaces,” says
Rhoad. “We came up with a plan with a village
center orientation that did that.”
MAJOR
HURDLES: Five years ago, RMJ
put together 13 parcels of land at the 15/29 intersection
where the
project is being built. “It was a complicated
land assemblage,” says Rhoad, in an area where
speculators were looking and prices were rising. The
next hurdle was coming up with a concept that integrated
the many uses the area needed into a cohesive plan
acceptable to both the county and neighbors.
ECONOMIC
SIGNIFICANCE: The construction
phase, which should take about five years, will create
about 1,100
jobs, says Rhoad. Upon completion, 850 permanent jobs
are expected. Since it’s located in an area lacking
infrastructure, the developer is building a pump station
and extending water and sewer lines, and is joining
with the Virginia Department of Transportation to fund
improvements along Routes 15 and 29. The county hopes
the project will help attract executive and professional
offices, and government contractors along with upscale
retailers. The hotel and conference center are major
attractions, says Jason D. Grant of the county Department
of Economic
Development. “Businesses need this
kind of space nearby for meetings and clients.” The
more than 200 homes will increase the county’s
inventory of housing options, although prices for the
low end of the new units have not been set yet.
|
