The Convergence of History, the Arts and Urban Redevelopment

[ By Mary Margaret Hiller ]

A view from inside the lobby of Carroll Square looking out to the small park and the stained-glass windows of St. Patrick's Church.

Sometimes office building development can take decades, even in a city with height restrictions like Washington, D.C. At several points along the way, it seemed the development of Carroll Square would take an eternity. And with a landowner like the Roman Catholic Archdiocese of Washington, that only begins to capture the irony.

Located in the East End submarket at the corner of 10th and F Streets, and within two blocks of metro rail lines, Carroll Square incorporates the preservation of six 19th century commercial townhouses with a new 177,198-square-foot, 10-story trophy-class office building. The façade of the office tower incorporates a blend of brick, natural and composite stone and accent metals to accentuate the architecture of the preserved townhouses and nearby historic building. The main lobby features marble floors, wood-paneled walls with marble and architectural metal accents and a wide array of amenities such as on-site concierge, athletic facility, rooftop terrace, underground parking and supplemental cooling tower for 24-hour operations.

Within Carroll Square, approximately 7,000 square feet of artist studios are available, with artists appropriately housed in the historic preservation area of the building. Other arts components at Carroll Square include a 700-square-foot public arts gallery managed and operated by Washington's Hemphill Fine Arts Gallery.

Carroll Square's ground-breaking ceremony took place in early 2005 and the first tenants took occupancy in early January 2007. The project was delivered ahead of schedule, but the development had been in process for almost a quarter of a century.

Perseverance Pays Off
After another developer had worked the approval process for several years, the Archdiocese began the search for another developer. Akridge, poised to take over, invested almost eight years before construction on the project began. There was no doubt that the Archdiocese was sitting on an underutilized and underperforming asset in northwest Washington and they were eager to realize greater value from their investment. That investment was initially made in the 18th century when priest Anthony Caffry acquired two lots on F Street for what amounts to about $2,000 today. He wanted to construct the first Catholic Church in the nation's capital located about halfway between the planned "President's House" and the Capitol. St. Patrick's Church, originally built in 1794, rebuilt and dedicated in 1884, still stands today at the corner of 10th and G Streets. Father Caffry later acquired adjoining lots, all of which are still owned and controlled by the Catholic Church. Though the Archdiocese had been collecting rent from previous occupants of the site, the preliminary plans for a new project with increased density in a submarket demanding office product was tempting, so funds were earmarked to support its mission work through Catholic Charities.

Carroll Square's storefront was reconstructed according to its original 19th century plans and features a copper entry and cast iron façade.

In recent years, revenue from the three-story existing F Street buildings on the Church's land was limited to low-rent retail tenants (a pawnbroker, a liquor store and a wig shop) on the ground floor and artists paying well-below-market rents for studio space on the two upper floors. Despite a myriad of obstacles, Akridge persisted and the Archdiocese never lost hope for a better performing real estate asset and a new neighbor for their St. Patrick's Church. Financial implications due to the time frame, complexity and changes in development plans of Carroll Square were realized largely in time lost, a 40 percent reduction in density and expensive construction. While time lost was costly, the ground lease helped ease the burden and, though the perimeter-to-density ratio was not optimal for cost efficiency, ultimately the opportunity to create a unique boutique building incorporating historic preservation at this high-demand location was appealing. As a result, the quality of product and trophy class rents achieved made Carroll Square a successful investment.

Preserving the Past While Designing the Future
In addition to the usual urban development challenges, the Carroll Square site is on a 99-year ground lease from the Archdiocese to an investor group that includes Akridge and partner investor, Seaton Benkowski & Partners. The real challenges came about when month-to-month leases were terminated and demolition permits were filed with the city to demolish the decrepit low-rise buildings in preparation for the construction of the Carroll Square project. Several years of discussions and design revisions commenced, all centered on the issues of historic preservation and support for the local arts group connected to the artists who had been working in the F Street buildings.

Historic preservation advocates were from the D.C. Preservation League with support from The Committee of 100 on the Federal City, the oldest civic planning organization in Washington. They were empowered by legislation passed in the late 1990s designating the area surrounding Carroll Square a Historic District. The preservationists were in favor of a small-scale project and wanted all of the existing buildings to remain and be restored. Akridge worked with certified historic preservation architects and consultants to redesign the project entirely, reducing the density from the previous developer's design by about 40 percent. The existing buildings, seven adjoining townhouses, were incorporated into the design. These storefronts, modified many times, were constructed in the 19th century incorporating architectural details and textures rarely seen today. Of the seven buildings, two were preserved and restored in whole. The facades of four other storefronts were also preserved and restored to their 19th century charm. This process, described as "facadectomy," is not the optimal solution according to some historic preservation purists, but the result does pay tribute to a time past. In its restoration, this preserved architecture accurately portrays this historic F Street Corridor of Washington, D.C. in its prime. The seventh townhouse had been completely reconstructed years earlier and replaced with a historically insignificant building. Akridge recreated the building's original 19th century cast iron façade that had been absent from the streetscape for decades.

Historical Preservation Meets the Arts
The local arts group who joined these challenging discussions was the Downtown Artists Coalition (DAC) led by a local painter who was working out of a studio in one of the original F Street buildings owned by the Archdiocese. Like other artists in the buildings and throughout the East End submarket, he was in danger of losing his low-rent studio space to make way for high dollar office leases. With the realization that the less desirable, run-down areas across the city - old warehouses and retail strips perfect for second generation uses in the arts community - were disappearing, a coalition came together to secure space for the artists living and working in downtown Washington. The artists aligned with the preservationists were campaigning for more than just preservation of the existing buildings. A win for the preservationists did not ensure that the artists would have affordable studio space - not in such a competitive submarket. Their advocacy for historic preservation then grew to a focus on the need for a work environment, an office, of their own and securing space for D.C. artists in the future. Through artistic protests and multiple op-ed press opportunities, the DAC reminded the public, the zoning commission and the D.C. office of Regulatory Affairs (from whence the demo permits would be issued) that the Carroll Square neighborhood was not only a Historic District, but a designated Arts District as well. This legislation was instituted by the city to support public and private arts uses in the East End area.

Carroll Square incorporates the preservation of six 19th century commercial town-houses with a new 177,198-square-foot, 10-story trophy class office building. In addition to the public art gallery, approximately 7,000 square feet of subsidized artist studios are housed in the historic area of the building.

After two years of four-sided meetings with a city-designated mediator and local architect, Lee Quill, a master covenant governing the overall massing, design and use mix for the project was executed between the developer, landowner, preservationists, artists and the city. The lengthy and trying process was successful and city officials hope to use the process as a model for similar situations in the future.

With all parties in agreement, the Carroll Square project was offered demolition permits for the non-historic buildings and a building permit for the modified design. What grew out of the project's complications was a unique mix of historic buildings, subsidized artists studios, a public art gallery and a boutique building that pays homage to the neighboring St. Patrick's Church.

The Challenges of Urban Development
After the parties agreed on what would be preserved and what would be built, it was time to deal with the physical challenges. Urban development involving tight sites, high-pedestrian traffic and mass transit infrastructure is always complex and when unforeseen issues arise, the latitude to deal with those issues is minimal. This is not new territory for Akridge who has developed almost 10 million square feet in its 30-year history, often taking over sites at below-market rates to complete an otherwise too complicated development. At Carroll Square, a major complication was the physical security and uninterrupted services of the gorgeous St. Patrick's Church at a very active construction site. The gothic church, built with a dated support system, needed extra reinforcement to protect it from the unavoidable ground movement and vibrations of the construction.

These issues and more, including the re-engineering of an additional basement level for the lead tenant, were successfully navigated in this urban development. What stands today is the culmination of very thoughtful urban planning, civic stewardship, community investment and smart investment. With expertise from architectural firm SmithGroup and interior design by Studios Architects, Carroll Square is beloved by its new tenants and is currently being courted by the Washington brokerage community representing office and retail tenants. Artists are preparing to move in to new studio space in their old neighborhood and the art gallery is preparing for its first opening.