Old Town North, Walkable and Not Downtown

The coronavirus pandemic has hurt the downtown office and apartment markets in cities such as D.C., but close-in suburban areas like Alexandria appear poised to benefit from shifts in the market.

Developers with multifamily, office and retail projects in Alexandria said Tuesday on Bisnow's Future of Alexandria webinar they see the city as sitting in the ideal position to capture new demand from people who want a walkable environment without being downtown.

Courtesy of Carr Cos.

A rendering of the Muse condo project at 1201 North Royal St. in Alexandria.

Carr Cos. President Austin Flajser said he has already begun to capture this demand at one of his company's condo projects.

The developer began sales in June on a project with 190 condos and 41 townhouses at 901 North Fairfax St. in Old Town North. The project, branded as Venue, has sold roughly a half-unit per day since June, a faster pace than Carr had projected in its pro forma, he said.

"What we found is a tremendous amount of interest in Old Town, in Old Town North, and people wanting to purchase and have permanent homes there," Flajser said. "Our sales pace at that project has been outstanding."

Flajser attributes this strong sales pace in part to the pandemic, which is leading people to prioritize the space and outdoor amenities available in the suburbs, while still wanting the walkability of a city. Seeing this demand, Carr Cos. in July broke ground on another Old Town North condo project with 73 units at 1201 North Royal St. 

"Given the changing dynamics of the way people live and work, at least temporarily as a result of COVID but also perhaps the long-term trends, we are big believers in urban-suburban markets," Flajser said. "It has urban-esque amenities, great restaurants and shops you can walk to ... but people can space out and feel like they can live a little differently than in the true downtown."

Austin Flajser is a Founding Member of the Old Town North Alliance