Skanska USA’s Commercial Development business unit in Washington, D.C. today announced that it has acquired the development rights for a parcel known as 10th and G located at 733 10th Street. Skanska USA Commercial Development will self-finance 100% of the development costs and restart the project in the 4th quarter of 2009. The site was previously being developed by PN Hoffman, who will continue as a partner in the delivery of the project.
“With the challenges in today’s capital markets we sought all possible solutions to fulfill our responsibilities to the church and our investors,” said Monty Hoffman, Principal of PN Hoffman. “Skanska has the financial capability to complete this important development and we are thrilled that this project will recommence.”
733 10th and G, centrally located for business five city blocks from the White House, will consist of eight stories of office space, 165,000 rentable square feet, ground-level retail space and two floors of space for the First Congregational United Church of Christ, accessible by a separate entrance .
“We firmly believe in the strength and long-term value in the D.C. market, especially the East End. Our commitment is evident in the fact that we are self-financing this project and starting it on a speculative basis in the fourth quarter. The future looks strong in the district with the federal government, professional, and technology drivers, ” said Rob Ward, Executive Vice President and Regional Manager of Skanska USA Commercial Development in Washington D.C. “We have been actively pursuing projects that align with our core values of operational efficiency and environmental sustainability. The 733 10th and G site is an extraordinary site due to its unsurpassed location, fantastic amenities and access to transportation, all of which make it extremely attractive to both office tenants and retailers.”
The development rights have been acquired from the First Congregational United Church of Christ. As part of the agreement, Skanska will integrate the congregation’s new church into the design. Construction work is scheduled to commence during the fourth quarter of this year and the building is expected to be completed during the latter half of 2011. Skanska is committed to delivering sustainable buildings with a minimum LEED Gold certification, which 733 10th and G will be. The building will include features such as a green roof, water use reduction, energy-efficient floor-to-ceiling windows and improved indoor air quality to enhance worker productivity.
Skanska USA Commercial Development, which launched in late 2008, is focused on the development of Class A sustainable office projects, all of which will be self financed.
