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September 9, 2005 News Clips

WASHINGTON, DC NEWS

Cropp's Mayoral Campaign Gets Early Signs of Support

By Lori Montgomery and Eric M. Weiss
Washington Post Staff Writers
Thursday, September 8, 2005; Page DZ02

From the looks of many local streets, Council Chairman Linda W. Cropp must have been awfully busy in the days leading up to her planned announcement to run for DC mayor. In upper Northwest, on Capitol Hill, in Adams Morgan and all along 16th Street NW, lampposts and telephone poles have been blanketed with stark black-and-white signs that say simply, "Think Cropp." (Or "Piensen Cropp," to attract Hispanic voters.)

But Cropp (D) said she had nothing to do with the well-timed campaign.

"They aren't mine," she said Tuesday, after greeting Louisiana evacuees outside the DC Armory.

http://www.washingtonpost.com/wp-dyn/content/article/2005/09/08/AR2005090800415.html

 

Rove Not Entitled to DC Homestead Deduction
Bush Adviser to Reimburse City for Back Taxes

By Lori Montgomery
Washington Post Staff Writer
Saturday, September 3, 2005; Page A02

Presidential adviser Karl Rove may live in Washington. But in his heart ― and for voting purposes ― he remains a Texan. Which means he is not legally entitled to the homestead deduction and property tax cap he's been getting on his Palisades home for the past 3 1/2 years.

This week, the DC tax collector was alerted to the problem. And Rove agreed to reimburse the District for an estimated $3,400 in back taxes, city officials said. But now some Lone Star officials also are wondering about the place Rove calls home.

In a letter released yesterday by the White House, the DC Office of Tax and Revenue accepted blame for the error, which also has affected numerous members of Congress. The homestead exemption gives District taxpayers a substantial tax break on their primary residences. But starting in 2002, a change in the law made it available only to District property owners who do not vote elsewhere, city officials said. That made Rove, and many others, ineligible.

http://www.washingtonpost.com/wp-dyn/content/article/2005/09/02/AR2005090202397.html

 

No Step Too Small in Mayor's Race

By Lori Montgomery and Eric M. Weiss
Washington Post Staff Writers
Thursday, September 1, 2005; Page DZ02

Why do the current DC mayoral contenders insist on turning routine campaign announcements into the dance of a thousand veils?

First, the city watched council members Adrian M. Fenty (D-Ward 4) and Vincent B. Orange Sr . (D-Ward 5) shimmy around. The two men:

a) formed exploratory committees

http://www.washingtonpost.com/wp-dyn/content/article/2005/08/31/AR2005083100993.html

 

1901 L St. Sells for $52M

By Barbra Murray
September 6, 2005

WASHINGTON, DC-McMorgan & Co. has acquired the office property at 1901 L St. NW for $51.5 million from the John Buck Co. managed JBC Fund II. The property last hit the market in 2003 when JBC acquired it from the developer, RREEF Funds, for $38.2 million.

JBC was represented by Holliday Fenoglio Fowler LP, while McMorgan was self represented. According to District real estate records, the 131,700-sf class B+ property has a current assessed value of nearly $38.4 million.

Developed in 1977, 1901 L St. is located on a corner lot in the city's central business district. In addition to the office space, the eight-story structure also features 19,500 sf of retail space, part of which is currently leased by a two-story Staples, and a three-level underground parking facility.

http://www.globest.com/news/364_364/washington/137948-1.html

 

CreateHope Relocates to 10,000-SF Space

By Barbra Murray
September 2, 2005

WASHINGTON, DC-CreateHope Inc. has committed to 10,000 sf at the 94,000-sf office building at 2201 Wisconsin Ave. The web-based workplace-giving solutions provider will relocate from its current home at 7920 Norfolk Ave. in Bethesda, MD.

The company is moving in order to meet the qualifications for venture capital funding by DC Capco, which stipulates that funding recipients have a District-based headquarters. Betsy Schuman of CB Richard Ellis represented CreateHope, while Randy Harrell and Ben Adams of Grubb & Ellis repped the property owner. Terms of the lease have not been disclosed; however, space at the property is marketed in the mid $20-per-sf range.

http://www.globest.com/news/363_363/washington/137932-1.html

 

Host Marriott Will Acquire Hyatt Regency DC for $274M

By Barbra Murray
September 2, 2005

WASHINGTON, DC-About one year after having come under new ownership, the Hyatt Regency Washington, DC on Capitol Hill will change hands again now that Host Marriott Corp. has committed to acquiring the property from Blackstone Real Estate Advisors affiliate BRE/Capitol Hill LLC. Host Marriott will spend $274 million to take the 834-room hotel.

BRE bought the property for $160 million in early 2004 from Strategic Hotel Capital, a joint venture involving Whitehall Street Real Estate Fund and Prudential Real Estate Investors. According to District real estate records, the property has a current assessed value of nearly $114.5 million.

The Hyatt Regency DC sits at 400 New Jersey Ave. NW, occupying a full city block a few streets north of the US Capitol. Seller BRE spent more than $10 million on a capital improvement plan that included the recent renovation of all guestrooms. The property features 41,000 sf of meeting space that includes the new rooftop meeting center, a fitness facility, swimming pool, restaurant and lounge.

http://www.globest.com/news/363_363/washington/137907-1.html

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MONTGOMERY COUNTY NEWS

Gang Attacks, County Troubles Cloud Duncan's Introduction to Md. Voters

By Cameron W. Barr
Washington Post Staff Writer
Tuesday, September 6, 2005; Page B06

It wasn't the kind of summer Montgomery County Executive Douglas M. Duncan had in mind when he set out to introduce himself to the rest of Maryland as their best hope for governor.

Duncan's strategy to defeat Baltimore Mayor Martin O'Malley for the Democratic nomination next year has been to match his rival's telegenic glamour by presenting himself as the man of substance. His calling card is his 11 years at the helm of The County That Works.

But this summer, he has had to contend with gang violence and a planning department in which documents were altered to cover up violations by developers. He's even had to have officials mediate a financial crisis at the SoccerPlex in Boyds, one of the gold-star amenities that has gained Montgomery a reputation as a shining example of suburbia.

http://www.washingtonpost.com/wp-dyn/content/article/2005/09/05/AR2005090501541.html

 

Other Md. Projects May Violate Plans
Montgomery Bolsters Review Staff

By Miranda S. Spivack
Washington Post Staff Writer
Sunday, September 4, 2005; Page C08

Montgomery County officials have tentatively concluded that a developer building homes in Germantown and Bethesda violated county-approved plans and constructed them too close to property lines.

The findings emerged from an ongoing review of 118 projects approved since 2003. The assessment began this summer after the county's Planning Board found numerous violations at Clarksburg Town Center. About half the projects have been analyzed to see whether developers violated approved plans.

The board, which had said for months that there were no violations in Clarksburg, ruled July 7 that 433 townhouses and one condominium apartment building are higher than allowed. It also found that 102 homes are closer to the road than permitted by plans.

http://www.washingtonpost.com/wp-dyn/content/article/2005/09/03/AR2005090301392.html

 

Van Susteren Joins Senate Race
Bethesda Psychiatrist, Sister of Fox Anchor, Is 4th Democrat

By John Wagner
Washington Post Staff Writer
Friday, September 2, 2005; Page B04

Lise Van Susteren, a Bethesda psychiatrist, joined Maryland's Senate race yesterday, presenting herself as a political outsider interested in fixing the health care system and willing to take bold stands on social issues.

"I am a citizen fed up with the way the country is headed," Van Susteren said in Baltimore at the first of two news conferences touting her Democratic candidacy. "While they may be well intentioned, I have lost my confidence that the professional politicians can turn things around. The U.S. Senate needs to be shaken up, and I am not afraid to do it."

Van Susteren, 54, the sister of Fox News anchor Greta Van Susteren, enters the race to win the seat of retiring Sen. Paul S. Sarbanes (D) next year as an acknowledged underdog. The Democratic primary has already drawn two established politicians, Rep. Benjamin L. Cardin and former congressman and NAACP leader Kweisi Mfume, as well as community activist A. Robert Kaufman. All are from Baltimore. Several more candidates could soon join the race.

http://www.washingtonpost.com/wp-dyn/content/article/2005/09/01/AR2005090102262.html
 

Cardin Gains in Montgomery
Relationships With Officials Yield Endorsements for Senate

By John Wagner
Washington Post Staff Writer
Thursday, September 8, 2005; Page B09

With three Montgomery County Democrats eyeing Maryland's Senate race, Rep. Benjamin L. Cardin of Baltimore rolled out endorsements yesterday from more than two dozen of the county's elected officials.

The announcement at a community forum in Silver Spring underscored Cardin's early strength with the party establishment as the 2006 primary field grows.

http://www.washingtonpost.com/wp-dyn/content/article/2005/09/07/AR2005090702248.html

 

County's SAT Scores Are Among the Best In the Metro Area
More Students Tested Than Ever Before

By Lori Aratani
Washington Post Staff Writer
Thursday, September 8, 2005; Page GZ03

More seniors in Montgomery County public schools took the SAT this school year than ever before, posting an average score of 1101 ― outpacing the Maryland state average of 1026 and the national average of 1028.

Students at three Montgomery County high schools ― Whitman, Wootton and Churchill ― posted average scores of 1200 or better. All but two campuses, and all the students at the system's special schools, broke the 1000-point barrier.

Scores for the SAT were released at the end of August, but a mailing glitch delayed the release of the scores in Montgomery County until last Friday. As a result, some systems reported their scores before others.

http://www.washingtonpost.com/wp-dyn/content/article/2005/09/07/AR2005090701237.html

REGIONAL NEWS

BRAC Recommendations Now In President's Hands
It's now up to President Bush to decide whether to accept the Base Realignment and Closure Commission's proposal for closing and reorganizing bases.

http://www.kwtx.com/news/headlines/1832767.html
 

Betting on the Right Loan
Buyers Looking Only for the Lowest Payment Could Be Gambling With Their Future

By Sandra Fleishman
Washington Post Staff Writer
Saturday, September 3, 2005; Page F01

Finding the right mortgage loan, like deciding on the right cell phone or the right digital camera, can involve way too many choices these days. The ads scream: Interest-only! No interest! Low, low introductory rates!

But the stakes are much, much higher when it comes to a home than when it comes to entertainment gadgets.

http://www.washingtonpost.com/wp-dyn/content/article/2005/09/02/AR2005090201148.html

 

Duncan letter stirs debate

Friday, Sept. 9, 2005
By Douglas Tallman
Staff Writer

Some political observers criticized Montgomery County Executive Douglas M. Duncan's ''we are now on our own" letter to Gov. Robert L. Ehrlich Jr. as political grandstanding.

The Sept. 7 letter attacked the federal government for its response to Hurricane Katrina, particularly the failure to transport vulnerable victims from harm's way. He called on Ehrlich (R) to convene an emergency meeting of city and county officials to review emergency plans.

''As local and state officials, we must recognize we are now on our own when it comes to timely emergency response," reads the letter from Duncan (D).

http://www.gazette.net/stories/090905/polia%20s194216_31888.shtml

 

Miller to go on offensive next session
GOP sees ambitious agenda as a ploy to undermine governor

Friday, Sept. 9, 2005
By Thomas Dennison
Staff Writer

ANNAPOLIS -- Election-year sessions of the General Assembly are usually 90 days of feel-good bills and political posturing.

But not next year.

With Democrats desperate to reclaim the governor's mansion, Senate President Thomas V. Mike Miller Jr. is promising a far more aggressive legislative agenda than he has pushed at any time in recent memory. His reputation is more political tactician than legislative mechanic.

http://www.gazette.net/stories/090905/polia%20s194216_31889.shtml

 

Slots hot again as Magna makes cuts

Friday, Sept. 9, 2005
By Thomas Dennison
Staff Writer

ANNAPOLIS -- Gov. Robert L. Ehrlich Jr. renewed his call to legalize slot machines on Wednesday, responding to news that the number of live racing days in Maryland will be reduced from 200 to 120.

Magna Entertainment Corp., owner of Maryland's two major horse racing tracks, Laurel Park and Pimlico in Baltimore, will cut the number of racing days because the purses in Maryland cannot compete with slot machine-fueled prizes in neighboring West Virginia and Delaware, Ehrlich (R) said.

The governor also sounded a familiar warning that Magna could move the Preakness Stakes, the second jewel of racing's Triple Crown, from Pimlico to another track in another state.

http://www.gazette.net/stories/090905/polia%20s194217_31890.shtml

 

Duncan, O'Malley urge override of vetoes

Friday, Sept. 9, 2005
By Thomas Dennison
Staff Writer

Two Democrats running for governor have joined forces with the social advocacy group Progressive Maryland to urge the General Assembly to override vetoes on two bills that Gov. Robert L. Ehrlich Jr. has called ''anti-business."

Montgomery County Executive Douglas M. Duncan and Baltimore Mayor Martin O'Malley put aside their competing campaigns this week to bash Ehrlich (R) and his decision to veto bills increasing the state's minimum wage a dollar to $6.15 per hour and requiring large corporations to provide health care benefits for their workers.

The so-called Wal-Mart bill would require companies with 10,000 or more employees to designate 8 percent of their payroll to provide health care benefits. The bill, along with the minimum wage hike, were vigorously supported by organized labor this session and opposed by business groups.

http://www.gazette.net/stories/090905/polia%20s195152_31902.shtml

  

Big Ballot for County in 2006
Election to Include Top Offices and a New School Board

By Ovetta Wiggins
Washington Post Staff Writer
Thursday, September 1, 2005; Page T17

Prince George's County politicians are already maneuvering for the 2006 contests for county executive, state's attorney, sheriff and nine council seats. School board elections also will be held for the first time since the elected board was disbanded amid controversy in 2002.

The only contender to step forward to challenge County Executive Jack B. Johnson (D) is Rushern L. Baker III, one of the five candidates in the county executive's race three years ago. Baker, an education advocate and former chairman of the county's House delegation, is trying to raise money in a county where Johnson has amassed more than $600,000.

The big question is swirling around State's Attorney Glenn F. Ivey (D), who has been mentioned as a possible candidate for lieutenant governor, governor or attorney general.

http://www.washingtonpost.com/wp-dyn/content/article/2005/08/31/AR2005083101380.html

  

GMU Competitors Welcome Plans for Loudoun Campus

By Michael Laris
Washington Post Staff Writer
Thursday, September 8, 2005; Page B09

George Mason University's plan to build a campus in Loudoun County was born out of a tough Northern Virginia reality: There's not enough room in local colleges and universities for the region's booming population.

While a political struggle continues in Loudoun over the planned campus and a development project near Dulles International Airport, higher education officials said yesterday that a major new outpost would be a welcome ― though insufficient ― addition to the region's strained network of two- and four-year colleges.

"Northern Virginia is the place people want to be. It's reflected in our housing prices going up. It's reflected in our road congestion. And it's reflected in our demand for higher education," said Robert Templin, president of Northern Virginia Community College. "The population is exploding faster than we can possibly keep up."

http://www.washingtonpost.com/wp-dyn/content/article/2005/09/07/AR2005090702226.html

 

Va. Governor Rivals Wrangle on Schools
Kaine Questions Kilgore's Tax Opposition

By Michael D. Shear
Washington Post Staff Writer
Thursday, September 8, 2005; Page B09

RICHMOND, Sept. 7 ― Democratic gubernatorial candidate Timothy M. Kaine accused his Republican opponent of wanting to roll back billions of dollars in spending on public schools that the Virginia General Assembly approved last year.

At a news conference in front of Maggie L. Walker Governor's School, the lieutenant governor said former attorney general Jerry W. Kilgore's intentions were made plain in a fundraising letter the Republican sent to supporters in June 2004, though a Kilgore spokesman said later that the Kaine campaign was twisting the meaning of the letter.

http://www.washingtonpost.com/wp-dyn/content/article/2005/09/07/AR2005090702239.html

 

GlobeSt.com EXCLUSIVE: Transportation Department Renews 122,300 SF

By Barbra Murray
September 8, 2005

CHANTILLY, VA-The 166,000-sf office building at 14685 Avion Parkway in the 188-acre Avion Business Park will hold on to its largest tenant, the Northern Virginia District headquarters of the Virginia Department of Transportation, now that the agency has renewed its lease on 122,300 sf of office space.

Specific terms of VDOT's lease renewal agreement with property owner Advance Realty Group have not been disclosed; however, class A office space in the Chantilly area goes for $24.41 per sf, according to Cushman & Wakefield's MarketBeat Mid-Year 2005 office report. Brad Davis of CB Richard Ellis represented the tenant, while Advance Realty's David Fisher stood in for the owner.

http://www.globest.com/news/366_366/washington/138064-1.html

 

52,400-SF Office Building Trades at $8M-Plus

By Barbra Murray
September 8, 2005

SPRINGFIELD, VA-The Cary Building has sold for nearly $158 per gross sf. Trimark Corp. represented itself in the $8.3-million transaction that left the building under the ownership of Alum Ridge LLC, which was represented by Wellborn Management Co. Inc.

According to Fairfax County real estate records, the building and the approximately three-acre parcel it occupies off the Capital Beltway have a current aggregate assessed value of $5 million.

The Cary Building is a three-story structure divided into two linked rectangular wings that reached completion in 1974 following a two-year development process. The property is fully occupied under 29 leases, the largest of which is the County of Fairfax, occupying about one-third of the property. The tenant roster also includes physicians, and such organizations as Mid-Atlantic Publishing Inc. and World Hope International. According to Trimark's offering memorandum, the property has an annual net rental income nearing $1 million.

http://www.globest.com/news/366_366/washington/138063-1.html

 

DRA Investors Take Auto REIT for More Than $3B

By Barbra Murray
September 7, 2005

(For more retail coverage, click GlobeSt.com/RETAIL.)

MCLEAN, VA-A group of investors operating under the advisement of real estate investment management services provider DRA Advisors LLC of New York City will acquire locally based Capital Automotive REIT. The investors will acquire Capital Automotive in a transaction valued at $3.4 billion that is on schedule to close toward the end of this year or in early 2006.

The multi-billion deal, in which Capital stockholders will exchange their common shares for cash in the amount of $38.75 per-share, calls for the investors to assume an undisclosed amount of debt, as well as the REIT's Series A and Series B Cumulative Redeemable Preferred Shares.

"We strongly believe that this transaction provides substantial value to our shareholders and is in their best interests," Capital Automotive president and CEO Thomas D. Eckert says. He notes that tenants will also be well-served by the arrangement. According selected portfolio data detailed in Capital Automotive's earnings report for the second quarter of 2005, the REIT has 345 properties accounting for nearly 2,700 acres and 15 million sf in 32 states.

http://www.globest.com/news/364_364/washington/137980-1.html

 

Company Takes 17,900 SF in Tysons Corner

By Barbra Murray
September 7, 2005

MCLEAN, VA-Information technology services provider Optimus Corp. has signed a lease for 17,900 sf at 7926 Jones Branch Dr., a 250,000-sf office building in the Tysons Corner submarket. The move took the company out of Montgomery County―where it occupied a similarly-sized space at 8600 Georgia Ave. in Silver Spring, MD―to Fairfax County.

"All of our business associates are located in Tysons Corner, our lawyers are here, our bank is here," Optimus Corp.'s Pete Spewak tells GlobeSt.com. "It makes a lot of sense for us to be located here for business purposes." Additionally, the relocation allowed for the consolidation of office space onto a single floor, instead of on three different floors, as was the case at the firm's previous location.

http://www.globest.com/news/365_365/washington/138020-1.html

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