Comstock Homes of Washington is teaming up with real estate investment company Stratford Capital Group on a transit-oriented, multifamily project located near a key Maryland suburban station in Washington, DC's Metro rail system.
The proposed four-story building will contain 110 workforce-housing units atop two levels of covered parking.
- Construction is expected to begin this summer and take one year. The companies are seeking financing through the U.S. Department of Housing and Urban Development's Program Section 221(d)(4), in addition to the county and the state.
Transit-oriented developments are gaining traction nationwide, and DC is no exception. While real estate development around the district's Metro stations totaled $50 billion in 2015 alone, however, the system itself is creaking under the weight of insufficient investment.
Plagued by chronic delays, maintenance problems and safety concerns, the system is believed to require $12 billion to $18 billion in capital investments over the next decade, in addition hundreds of millions of dollars in unfunded operating costs.
Still, developers believe that properties walkable to the rail network will keep drawing higher rate investment than those in driving distance.
The fate of other projects, like the proposed $5.6 billion Purple Line light-rail line in the Maryland suburbs of DC, are linked in part to the Metro system’s viability. However, the project hit a roadblock when an advocacy group sued to stop construction of the rail system, citing concerns over its environmental impact on noise, stormwater runoff and general safety. A judge has ordered a second environmental review before deciding whether the project can move forward.
For more housing news, sign up for our daily residential construction newsletter.