A new $80 million mixed use project is being developed at Minnesota Avenue and Benning Road Northeast in Ward 7 next to the Minnesota Avenue Metro station. It will offer 325 affordable rental housing units available at 60% area median income, 48 market rate for-sale residential units, 23,000 square feet of retail space that includes a 5,000 square foot restaurant and an allocation of 4,000 square feet for local and small businesses, 270 underground parking spaces and a community meeting room.

Already under construction next door is the $95 Minnesota Benning Government Center, a 350,000 square foot District office building that will bring 500 government employees to Ward 7 and is expected to be complete later this year. The LEED certified facility will be home to the Department of Employment Services and a One-Stop Employment Center.

To make the project possible, the District, through the Office of the Deputy Mayor for Planning and Economic Development, provided a $500,000 grant through its Great Streets Initiative. Both Minnesota Avenue and Benning Road are identified corridors in the initiative which leverages private investment with public actions to improve streetscapes, retail offerings and transportation infrastructure on nine corridors citywide. A Great Streets grant provided support for the recently opened Ray’s the Steaks at East River Park, one of the neighborhood’s first sit-down restaurants. Also nearby, the District’s $2.75 million Benning Library opened in early April.

A partnership of Donatelli Development and Blue Skye Construction was awarded development rights at Minnesota-Benning. The team anticipates a construction start in the spring of 2011 with a fall 2012 expected delivery date. Demolition of the existing buildings commenced in May of 2010 and is being handled by EEC of DC through Department of Real Estate Services.