Multi-Housing News: Bozzuto and MGL Partners to Develop $75M D.C.-Area Community
September 18, 2013
Financing has closed and ground been broken on The Frasier, a $75 million apartment project right across the Potomac from Washington, D.C., in Alexandria, Va. Greenbelt, Md.-based real estate services company The Bozzuto Group and Denver-based development company MGL Partners are teaming to develop the 249-unit community in the Potomac Yard District.
The Frasier will give residents a number of outstanding amenities, including a courtyard with an outdoor kitchen, TV and games, a lounge area with fire pit and waterfall feature, and a pool with sunning shelf. Also included are a 2,200-square-foot fitness center and yoga room, great room with game room, e-lounge, library and hearth room with demonstration kitchen.
Located along busy U.S. Route 1, directly north of Old Town Alexandria, The Frasier is situated to take full advantage of high demand in its highly sought submarket. The Potomac Yard Metro Station, slated for completion in 2016-17, will likely be within walking distance of The Frasier. The site also puts residents within easy commuting distance to the District of Columbia’s three million jobs, a figure that makes D.C. the fourth largest employment hub in the United States.
Among the major employers nearby are the U.S. Department of Labor, the U.S. Marshals Service, the Environmental Protection Agency, numerous defense contractors and the many satellite offices of the Pentagon. Alexandria stakes its own claim as an employment center, its major employers including the U.S. Patent and Trademark Office, INOVA Alexandria Hospital, ABM Industries, Institute for Defense Analysis and Northern Virginia Community College.
When it comes to the rationale for The Frasier‘s development, “it really boils down to strong demand and an excellent location and accessibility,” Doris Gantos, senior vice president, Bozzuto Development Company, tells MHN.
Among the headwinds faced by the developers was financing.
“The Potomac Yard market was very popular,” Gantos says. “Thus, many of the lending institutions had already committed to other projects. While this made securing financing a bit more challenging, we still found ourselves in a competitive market with multiple lenders quoting terms for the construction loan.”
In addition to being near major employers, The Frasier will also put residents in the midst of plentiful shopping, dining and outdoorsy attractions. The Potomac Yard Center, anchored by a fresh grocery Target and offering a number of other stores and eateries, including Barnes & Noble, PetSmart, Starbucks, Hops Restaurant Bar and Brewery, Marino’s Pizza and a 16-screen Regal Cinemas, is nearby. Not far away is a recreational jewel known as the Mount Vernon Trail, its 18 miles of multi-purpose recreational paths beckoning to fitness enthusiasts.
This transit-oriented development is certain to be popular with those who want to be close to everything, officials of The Bozzuto Group believe. “The Frasier expands Alexandria’s rental options at a future Metro location with great access to shopping, dining and entertainment,” Gantos says.