Northeast DC – The New Health Care Corridor?

In The News August 18, 2017

Jair K. Lynch comments on the potential future redevelopment of the Providence Health Systems campus in Northeast DC.

Providence’s ‘health village’ part of a booming health triangle in upper Northeast and Northwest

Aug 18, 2017
Washington Business Journal

The potential future redevelopment of the Providence Health System campus could bolster the creation of a health care triangle in the northern portions of the District while driving new health care investment well to the south, real estate and city leaders said this week.

Ascension, the St. Louis-based system that owns the 408-bed hospital, announced this week it is looking to transition Providence, located at 1150 Varnum St. NE, into a “health village” to include both health and nonhealth offerings such as retail, housing and recreation space on the site of the hospital.

“You can imagine, similar to the I-270 technology corridor, we’re starting to create this health care corridor when you think about McMillan and Providence and other stuff that headed up in that direction,” said Jair Lynch, president and CEO of Jair Lynch Real Estate Partners.

About two miles to the southwest of Providence, Lynch, EYA and Trammell Crow are trying to advance the controversial $720 million redevelopment of the McMillan Sand Filtration Plant. The 25-acre McMillan project, immediately south of MedStar Washington Hospital Center, Children’s National Health System and the VA Medical Center, is to include housing, retail and roughly 1 million square feet of medical office space.

Just up North Capitol Street from McMillan, the Armed Forces Retirement Home plans, eventually, to offer roughly 80 of its 272 acres for private redevelopment, which could include medical uses. And to the northwest of the AFRH, on Georgia Avenue, the revamp of the shuttered Walter Reed Army Medical Center campus is underway with plans for a mixed-use town center and a Children’s National research and medical building.

D.C. Councilman Vincent Gray, D-Ward 7, chairman of the health committee, said the Providence project could ultimately boost his plans for an East End Medical Center in Southeast. There is already a need for inpatient beds in Southeast, which will only grow as nearly 30 percent of Providence’s patients are from United Medical Center’s catchment area. UMC, in far Southeast D.C., was recently forced to temporarily shut down its obstetrics ward.

At the same time, the Providence “health village” could contribute much need walkable space and commercial uses to its Michigan Park neighborhood, Gray said.

“There is not much there in terms of restaurants or eating establishments,” said Gray, the former mayor, who started his career as executive director of the Arc of D.C., at the time located next to Providence. “Something that would address those needs or issues would make a nice contribution to that area of the city.”

Redeveloping Providence, like McMillan or a handful of residential projects proposed for Brookland and Michigan Park, might prove controversial given the hospital property is roughly a 1-mile walk from both the Brookland-CUA and Fort Totten Metro stations. The density and uses that Providence proposes for its project will be key to earning neighborhood support — or angst.

That said, the proposal itself is a sign of Northeast’s promise.

“I imagine Providence is trying to rightsize their business. When they do that, they have to ask themselves: How do their real estate assets help their bottom line?” Lynch said. “Real estate people are often asked to come in and provide some imagination and some innovation. We think this is a great site and we think the northeast corridor of Washington, D.C., just continues to mature.”

Original Article posted here –