Ballston Common Redevelopment

June 16, 2015

• 1951 – 1986 Parkington Shopping Center Site History

Ballston Common Mall History • 1986 – Ballston Common Mall is developed

– 580,000 SF – Anchors

• Hecht’s • JC Penney

• 1999 Expansion – Regal Cinemas – 3 Restaurants – E-Trade Tower

• 2004 – Ballston Point

• 2006 – Ice Plex

The Need for Redevelopment • 29 Years old, suburban regional shopping mall with an inward-

focus • Steady decline in sales and occupancy • Major renovation required to attract new retailers – street

connectivity, visibility, accessibility from garage • Create an amenity that improves property values, attracts new

residents / employers and contributes to the overall vitality of the community

Redevelopment Vision • Complete transformation into a vibrant mixed-use district • Premier dining and entertainment destination • Unique retail shops and service providers • Highly experiential urban street and gathering place • Iconic and authentic architecture • Major improvements to the public parking garage • Significantly improved connectivity to the garage and Ice Plex

• 375,000 S.F. of Shopping, Dining, Service and Entertainment

• 400 Unit, 22 Story Residential Tower

• Open-air Pedestrian Shopping and Sidewalk Cafes

• Community Amenities Plaza

• $300 mm investment • $8 mm in incremental

sales, meals and real estate taxes annually

• $125 mm in net value to Arlington County over 30 years

• Major catalyst for Ballston

Why Now?

• Mall Vacancy, Tenant Expectations • Leasing Horizon, Market Competition • Stakeholder and Community Support • Unprecedented Opportunity

• Create Significant Value • Raise the Profile and Perception • Catalyst for Other Ballston Development

Challenges • Attracting the right tenants requires high

quality place-making and a major renovation

• Significant bonus density and height required

• Substantial public improvements, including major garage improvements

• Costly and complex phasing

• Critical timing window requires efficient yet comprehensive review and approval

The Need for

Partnership By November 2015: • Culminate a comprehensive, efficient review

process • Address required density, height and related

zoning considerations • Implement strategic public-private financing tools

that leverage significant value creation to meet the financial challenges of the redevelopment

• Facilitate the value creation