D.C. officials are considering a plan to use tax dollars to finance the construction of a massive new development in Ward 7, not long after pushing one of the city’s largest agencies to relocate there and anchor the project.
Namely, the city is considering creating a tax increment financing district to support a project helmed by Cedar Realty Trust and Trammell Crow Co. dubbed Northeast Heights, a 2 million-square-foot redevelopment of two old shopping centers at the intersection of Benning Road NE and Minnesota Ave NE. These TIF efforts allow the city to borrow against future tax revenues expected to be generated by the new buildings in order to offer cash to developers up front, providing a key financial lifeline to help projects get moving.
However, the exact details of this TIF arrangement — the first such district created since lawmakers finalized one for Anacostia’s Reunion Square project last year — are still in flux.
