April 13, 2023 (Washington, DC) – The Washington DC Economic Partnership (WDCEP) has released the latest edition of their signature publication, The Development Report The Development Report offers an overview of the local and regional economy and includes details on employment, industry trends, and a detailed presentation of development, including leasing activity in the District. The WDCEP has been tracking development and construction in DC since 2001, overall and by sector. Details on office to residential conversions has been added to the 2022/2023 report.
The Development Report reveals that while there are challenges within the local economy, there is positive economic activity and evidence of continued growth and investment. “The District has revealed just how resilient it is and that it is on a continued trajectory of recovery from the pandemic,” said Keith Sellars, President & CEO, WDCEP. According to Sellars “this is demonstrated by positive employment and residential growth, 9.7 M SF of groundbreakings, and the delivery of 6,749 residential units, 582,000 SF of retail, and six new hotels in 2022.”
According to Chad Shuskey, Senior Vice President of Programs, WDCEP “the data and detailed development and construction information presented in this report show that while DC is facing some challenges, the District is benefitting from continued demand from residents and employers who want to be in DC as well as visitors seeking to experience all that the city has to offer.” WDCEP tracks major developments throughout the year and performs an annual “development census” in the month of December. This involves soliciting contributions from more than 60 developers, architects, contractors, and economic development organizations to provide updates to more than 300 projects.
The DC Development Report is a summary of the major development and construction projects in the District of Columbia and produced in collaboration with Delta Associates. The Development Report is used by investors, businesses, and local community-based organizations to track investment in the District. While our database of projects is constantly being updated, for the purposes of this publication all data reflect project status, design, and information as of December 2022.
Highlights from this year’s Report:
- Groundbreakings in the District totaled 9.7 M SF in 2022, a 7.8% increase over 2021.
- Major project starts in 2022 included The Stacks (Phase I), McMillan, The Bridge District (Phase I – The Douglass), Northern Bus Garage Reconstruction project, and Vermeer. These five projects represent 50% of the SF of all 2022 groundbreakings.
- Job growth in the Washington, DC metro area remained positive in 2022, with 52,900 net additions over the year. The District added 10,900 jobs on a net basis in 2022.
- There were no significant office project starts in 2022 in the District – the first time this has occurred since WDCEP started tracking development activity in 2001.
- Currently there are five office to residential conversion projects under construction representing an estimated 1,116 dwelling units.
- At the end of 2022 there were 875,000 SF of retail space under construction with more than half scheduled to deliver in 2023.
- 6,749 residential units delivered in 2022, a 4.7% increase from 2021. There were 15,856 units under construction (as of December 2022) with 49% scheduled to deliver in 2023.
- Six new hotels opened in DC in 2022, representing 1,218 rooms (citizenM – NoMa, Holiday Inn Express, Washington Marriott – Capitol Hill, The Morrow Hotel, Pendry, and Selina Union Market)
For more information on development and investment in the city and downtown see the 2023 Development Report (link to drop box in email). Although every attempt was made to ensure the quality of the information contained in this document, WDCEP and Delta Associates make no warranty or guarantee as to its accuracy, completeness, or usefulness for any given purpose
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Background: A 501(c)(3) organization, the Washington, DC Economic Partnership promotes business opportunities throughout the District and contributes to business retention and attraction activities. WDCEP is the first point of access for real estate and corporate executives seeking market and demographic information, information about the city and incentives, and real estate investment. WDCEP publishes several reports on the market including the DC Development Report and the Neighborhood Profiles. For more information visit www.wdcep.com
The DC Development Report is a summary of the major development and construction projects in the District of Columbia. WDCEP tracks major developments throughout the year and performs an annual “development census” in the month of December. This involves soliciting contributions from more than 80 developers, architects, contractors, and economic development organizations to provide updates to more than 300 projects. While our database of projects is constantly being updated, for the purposes of this publication all data reflect project status, design, and information as of December 2021. Although every attempt was made to ensure the quality of the information contained in this document, WDCEP and Delta Associates make no warranty or guarantee as to its accuracy, completeness, or usefulness for any given purpose.
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