A busy developer in Scott’s Addition is teaming up with the folks that own the Washington Nationals to bring hundreds more apartment units to the neighborhood.
Locally based Capital Square is under contract to purchase the N. Chasen & Son building at 2924 W. Marshall St. as well as some surrounding parking lots, all totaling about 2.25 acres.
Capital Square is planning to redevelop the site into approximately 350 apartment units with Lerner Enterprises, a Maryland-based development firm whose owners are also majority owners of the Washington Nationals baseball team. Lerner develops residential, commercial, office and sports and entertainment projects.
Adam Stifel, Capital Square’s executive vice president of development, confirmed the plans.
“Lerner found us. They were looking for a local development group to partner with and formulate this project,” Stifel said.
Lerner did not respond to requests for comment by press time.
- N. Chasen & Son is a 107-year-old painting and carpentry firm. Jeff Chasen, the third-generation owner of the business, confirmed the deal and said the land in Scott’s Addition has been owned by his family for decades.
“My dad bought the property circa 1972 and I went to work there in 1977. It was my first and only full-time job,” Chasen said.
As the neighborhood gained steam in recent years, the company continued operating on West Marshall Street. Eventually, it began getting unsolicited offers on its land from developers.
“We really had no desire to leave or a specific need to leave,” Chasen said, citing rising property taxes as part of the reason why it ultimately listed its land for sale.
N. Chasen & Son CFO Leisa Deffenbaugh said once the offers began rolling in, they hired local architecture firm Johannas Design Group to help reimagine the property before taking it to market.
“We asked (Johannas) to basically put together marketing materials that would help prospective buyers visualize the opportunity,” Deffenbaugh said. They hired CBRE’s Matt Hamilton, Chris Wallace and Jason Hetherington to represent the company in sale negotiations.
Deffenbaugh said the deal with Capital Square and Lerner’s will include 2.25 of the 2.5 acres N. Chasen & Son owns, with the seller holding onto 2939 W. Clay St., which it leases to restaurant Longoven.
Stifel at Capital Square said the redevelopment of the site will be roughly the same size as the one Capital Square’s working on with Greystar at 1601 Roseneath Road.
“It’ll be about 350 units,” Stifel said. “There’ll be some retail as needed but it’s mostly residential.”
He added that it’ll likely reach five stories with apartments above a one- or two-level parking deck.
Costs for the project and land acquisition were not disclosed, and Stifel said they’re still looking into how they intend to finance the project. He said they’re scheduled to close on the land sometime this year.
“It’s a feasible case for us to be in the ground sometime in the first quarter (of 2022),” he said.
While the project looks to be Lerner’s first in the Richmond region, it’s the latest in a string of developments Capital Square is working on in Scott’s Addition in addition to the aforementioned Greystar development.
The company is also under contract to purchase the Hutcheson & Co. building at 3015 W. Leigh St., where it’s considering renovating the building into a food hall. It also has ground moving on Scott’s Collection, a trio of buildings that will bring a total of 212 apartments to the neighborhood.
Chasen, meanwhile, is preparing to find the next home for his family’s business. He said they’re open to looking in both the city and the surrounding counties.
“Most of our customers are in and around Richmond, so being central to our customers is probably the most important part of a new location,” Chasen said.
“Other than that, we’re not that fancy. We’re a painting and carpentry contractor. We need a lot of parking for our employees and a decent-sized warehouse.”