Project Status

A Special Exception Entitlement application was approved by the City Council on July 8, 2019. The approved SEE depicts the site layout, building heights, and general uses for the project.

On August 9, 2021, two applications submitted by the developers were approved by City Council:

• Special Exception Entitlement Amendment
• Special Exception Site Plan (SESP) for Phase 1

On August 9, 2021, City Council also approved the creation of the West Falls Community Development Authority for the West Falls District. The City is working with the development team and the Economic Development Authority on the required actions and documents associated with issuance of bonds by the CDA to help finance the public improvements. 

On January 24, 2022, a third amendment to the Comprehensive Agreement was approved by City Council. The Comprehensive Agreement, as amended, sets out the business terms of the land transaction development agreement, such as the schedule of land payments to the City, the construction covenants, the schedule of performance and the like.

The following documents associated with the land transaction and CDA are still subject to change, and additional documents may be added as they are agreed to in sufficiently final form:

Land Transaction Closing Documents

• Deed to EDA from City: This will convey the 7.6-acre parcel, shown on the subdivision plat as D-2, from the City to the EDA.
• Memorandum of Agreement between City and EDA: This MOA will outline the arrangements for handling the property between the City and the EDA.
• Subdivision Plat: As approved by the Planning Commission on February 16.  This lays out the final 4 parcels, including the 1.1-acre fee residential condo parcel (D-4) and the 7.6-acre economic development parcel (D-2) and two lots that are planned to be part of Phase 2 (D-3 and D-5. 
• Comprehensive Agreement and First, Second and Third Amendments: These have been approved by Council over the last couple of years and executed. They are not being changed, but set the transactions that are now being closed out.
• Declaration of Covenants, Conditions, and Restrictions (“DCCR”):   This is a 150-page document that sets forth the relationships between the13 various condominium parcels (each of which will have a ground-lease, except for the common areas and streets parcel). The parcels will be created through a commercial condominium. The DCCR creates a development association, provides for inter-condo parcel easements and relationships, makes the development association responsible for the streets and common areas maintenance, and requires property owners, except for the EDA/City to pay assessments and dues to the association.
  • Exhibits to DCCR:  There are approximately 16 of these, which contain plats of various properties, a schedule of performance for the work, the initial rules of the Association, allocations of cost among the various properties, etc.
• Ground Leases: There is a Form Ground Lease, based upon which specific leases for each commercial condo lot (13) that have specific terms in an attachment for each particular property will be entered into.
  •       Memoranda of Ground Leases: for recording among land records
  •       Non-Disturbance Agreement: From EDA for each lease.
• Construction Covenant: This covenant governs the relationships between the EDA as property owner and the developer and other parties responsible for construction of the parts of the development.
• Economic Development Incentive Agreement: This provides for incentives from the EDA in the first six years of the lease.  The incentives will be paid as rent reductions or payments.
• Completion Guaranties: These documents will include one horizontal development guaranty for the ground structure to be built, and then there will be vertical development guaranties for each building
• Access Easement: The City will provide the developer with an easement over the lot D-5 for Phase 2, so that the developer can use that area during construction.
• Deed to Residential Condo Parcel: This will be executed by the City for parcel D-4 on the subdivision plat, which will allow the residential condominium to be built on that parce.
• Owner’s Affidavit: Title document for City to execute.
• Closing Certificates: Developer and the City will need to each execute a certificate that confirms the representations and warranties that were made in the Comprehensive Agreement back in the beginning. 
• Land Ownership Diagram: document that shows the planned ownership structure of the property.

CDA Documents

• City Council Special Assessment and Tax Ordinance: This will be passed by City Council and shows their intent to impose the special assessments so that the parties taking the bonds to market can rely on there being something in the future to pay the debt service on the bonds. First reading scheduled for Mar. 28, Adoption on April 11.
  
• City Council Bond Resolution: This will be adopted by City Council and will recognize and approve the CDA bond resolution, which in turn approves the bond documents.  Council’s approval is scheduled for April 11, after CDA approval.
• CDA Bond Resolution: This resolution will be adopted by the CDA Board at a meeting on April 5. It approves all of the documents in the forms to be presented to the CDA board at that time. It approves issuance of the Bonds and then includes approval of the following documents:
  • Trust Indenture: The Trust Indenture governs the handling of funds by the parties and the Trustee (US Bank Trust Company, NA) is appointed as trustee, and Municap is appointed as administrator through this document.
  • Preliminary Limited Offering Memorandum: This is a statement that is issued to the market in advance of the sale of the bonds, that describes their terms.
  • Bond Purchase Agreement:  This agreement is entered into at the time of sale of the bonds to a buyer, that contains the agreement for the purchase price, interest rate, etc.
  • Development Agreement: This Agreement covers, generally, how the physical construction will relate to the bond process.  It includes how the engineer hired by the CDA will certify work for payment and related matters.
  • Memorandum of Understanding: This MOU is the agreement between the developer, the City and the CDA in which the parties agree to the Special Assessment and the back-up Special Tax, if needed.
  • Special Assessment Agreement/Rate and Method: This is an agreement that will be executed by the CDA and the property owners (lessees) in the district that agrees to the special assessments to be imposed, and the “rate and method” by which the special assessments will be allocated among the properties.
  • Continuing Disclosure: This document is required to meet the Securities and Exchange Commission requirements for disclosure regarding the bonds. The administrator will assist with this work during the bond term.

Special Exception Site Plan - Block D-1: On February 16, 2022, an application was received for a Special Exception Site Plan for Block D1 for the Senior Housing Building. The submission materials and additional information can be found below.

The City will continue to coordinate with the Falls Church City Public Schools during construction of the development project, which is meant to complement the high school and middle school campus.

The City will also continue to coordinate with the potential Virginia Tech and WMATA redevelopment which is located immediately adjacent to the development.