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Mayor Bowser and Councilmember White Move Forward First-Ever TIF in Ward 8

Monday, March 2, 2020
TIF Will Help Deliver More Affordable Housing for Seniors and Increased Activity for Ward 8 Small Businesses

(Washington, DC) – Today, Mayor Muriel Bowser announced that through collaborations with Ward 8 Councilmember Trayon White and the Office of the Deputy Mayor for Planning and Economic Development (DMPED), emergency legislation was filed to move forward with the Tax Increment Financing (TIF) for Reunion Square, a mixed-use development project that will create affordable housing for seniors and support small business growth in Ward 8. The 1.5 million square-foot development is adjacent to Martin Luther King, Jr. Avenue, Shannon Place, Railroad Avenue, V Street, and W Street, SE in Anacostia and is the first-ever TIF in Ward 8.

“I have remained committed to moving this project forward because of how important it will be for Ward 8. This TIF means more jobs, more affordable housing, and new opportunities to participate in our prosperity,” said Mayor Bowser. “I thank Councilmember White for continuing to work with me to ensure that the Reunion Square project will benefit Ward 8 residents and small business owners.”

“This agreement is the result of months of hard work in negotiating with the development team to ensure that this development is responsible, inclusive, and equitable. I am happy to announce that as a result, Ward 8 will have its first hotel. And we doubled the amount of affordable housing, including for seniors, deepened the levels of affordability, and expanded contracting and job opportunities for Ward 8 residents. This agreement will also increase benefits to Ward 8 community groups,” said Councilmember White. “Moving forward, I will work to ensure that all new Ward 8 development represents the commitment to responsible and equitable development that is reflected in this agreement. I’d like to thank Mayor Bowser, the community, and the Reunion Square team for their work to bring this to fruition.”

The Reunion Square TIF will support the redevelopment of an underutilized site located near the Anacostia Metrorail Station. The development plan for the project includes 133 units of senior affordable housing, affordable retail and office space for Ward 8 businesses, and a hotel. Additionally, the DC Department of Health will relocate its headquarters to the site. In September, Mayor Bowser issued a Mayor’s Order directing DMPED and the Department of General Services (DGS) to first identify potential relocation properties in Wards 7 and 8 neighborhoods when considering office space for District government agencies.

“This TIF will help us deliver on our promise to bring more economic activity and neighborhood amenities to all eight wards,” said John Falcicchio, Acting Deputy Mayor for Planning and Economic Development. “Reunion Square will yield jobs, affordable housing, and greater retail opportunities in the heart of historic Anacostia.”

The emergency legislation was filed to authorize $25 million in bonds to enable the project to move ahead. The full TIF package that will be finalized by DMPED and the Chief Financial Officer this spring and be considered by the Council. The first phase of this development yielded a Class A office building at 2235 Shannon Place, SE.

Tax Increment Financing is a program through which the District provides funding for economic development projects by borrowing against future tax receipts that will be generated by the project. Other development projects in the District that have utilized TIFs include the Skyland Town Center in Ward 7 and the redevelopment of The Wharf along the Southwest Waterfront and City Market at O Street in Ward 6.