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For all the new jobs, ribbon-cuttings, and phone calls from amazed, returning locals first glimpsing the Target—-“You wouldn’t believe where I just went shopping!”—-the gentrification of 14th Street NW has encountered some persistent, nagging problems.
And I’m not talking about the ongoing, well-documented crime issues.
Several notable residential developers in the area have struggled to stay afloat even as shopping bags swirl around on the sidewalks outside their buildings. Back in March, View 14—-located at the corner of 14th St. and Florida Ave. NW—-received a tax abatement of $5.7 million from the D.C. Council. The Allegro Apartments—-located up by 14th and Newton Streets—-were sold in an auction on Nov. 18, after the developer defaulted on his loan (all this according to the Washington Business Journal).
And now Highland Park and Highland Park Phase II—-located at 14th and Irving Streets NW—-not to mention Park Place at Petworth on Georgia Ave., are also in hot water. The D.C. Council is on the brink of passing a substantial tax abatement of $8.47 million through fiscal year 2028 for these buildings. The developer on these projects is Donatelli Development.
(b) The Park Place at Petworth, Highland Park and Highland Park Phase II Properties are hereby exempt from real property taxation under chapter 8 for twenty (20) consecutive years, ten (10) years at 100% and a ten (10) percent increase in years eleven (11) through twenty (20) until the annual real property taxation equals one hundred (100) percent.
(c) The tax exemptions pursuant to subsection (b) of this section shall be in addition to, and not in lieu of, any other tax relief or assistance from any other source applicable to the Park Place at Petworth Project, Highland Park Project and Highland Park Phase II Project, the Park Place at Petworth Property, the Highland Park Property, the Highland Park Phase II Property or the Developer.
The D.C. Council already voted on the legislation last week—-with all but one CM voting yes (that lone vote belonged to At-Large Councilmember Phil Mendelson, according to Jeff Coudriet, clerk for the finance and revenue committee.) The Council’s final vote will occur on January 5. There were no amendments adopted during the first reading, Coudriet says.