Lorton Station. Lorton, Virginia. Project Type: Residential. Subcategory: Planned Communities. Volume 37 Number 04. January March 2007

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1 Lorton Station Lorton, Virginia Project Type: Residential Subcategory: Planned Communities Volume 37 Number 04 January March 2007 Case Number: C PROJECT TYPE Lorton Station is a acre (150-hectare) mixed-use, master-planned community located in Fairfax County, Virginia, just 15 miles (24 kilometers) south of Washington, D.C., in an area that had been overshadowed for more than a century by a large prison complex. Set alongside a commuter rail line (with a station on site), the community contains 1,181 residential units including single-family homes, condominiums, townhouses, and market-rate and affordable apartments as well as 192,842 square feet (17,915 square meters) of retail space and 109,486 square feet (10,171 square meters) of office space in two separate locations (a town center and a shopping center), plus an elementary school, a church, and a 100-acre (40.5-hectare) stream valley park. Lorton Station s designers and developers used smart growth and transit-oriented development principles to create a community intended to appeal to new homebuyers and commercial tenants while providing muchneeded amenities for the area s existing residents. LOCATION Outer Suburban SITE SIZE acres/150 hectares LAND USES Single-Family Detached, Townhouses, Condominiums, Apartments, Retail,

2 Office, Church, School, Recreation Centers, Open Space, Town Center, Neighborhood Retail Center KEYWORDS/SPECIAL FEATURES Mixed Use: Three Uses or More Transit-Oriented Development Planned Community Large Scale DEVELOPER Kettler (formerly KSI Services, Inc.) Vienna, Virginia PLANNER AND ENGINEER (Lorton Station North) Dewberry Fairfax, Virginia ARCHITECTS Lorton Station North Lessard Group, Inc. Vienna, Virginia Lorton Station South Commercial Rounds Vanduzer Architects, PC Falls Church, Virginia LANDSCAPE ARCHITECTS Lorton Station North Streetscape Land Design Alexandria, Virginia Lorton Station Town Center Lewis Scully Gionet, Inc. Vienna, Virginia

3 ENGINEER Bowman Consulting Chantilly, Virginia GENERAL DESCRIPTION Developed by Vienna, Virginia based Kettler (formerly KSI Services, Inc.), Lorton Station is a acre (150- hectare) mixed-use, master-planned community located in a part of Fairfax County, Virginia, that had been overshadowed by the District of Columbia s 3,000-acre (1,214-hectare) Lorton Reformatory prison complex for more than a century. Set alongside a Virginia Railway Express (VRE) commuter rail line, with a station on site, the community contains 1,181 residential units including single-family homes, condominiums, townhouses, and market-rate and affordable apartments as well as 192,842 square feet (17,915 square meters) of retail space and 109,486 square feet (10,171 square meters) of office space in two separate locations (a town center and a supermarket-anchored shopping center), plus a community center, recreational facilities, an elementary school, a church, and a 100-acre (40.5-hectare) park. Lorton Station s designers and developers used smart growth and transit-oriented development principles to create a community with an aggregation of community facilities intended to appeal to new homebuyers and commercial tenants while also providing much-needed amenities for the area s existing residents and visitors. KSI, which changed its name to Kettler in December 2006, is one of the largest private development companies in the Washington, D.C., metropolitan area and one of the nation s top 15 multifamily developers. Founded in 1977 by Robert C. Kettler a third-generation builder and developer the firm has developed more than 5 million square feet (465,116 square meters) of commercial space and over 50,000 homes in the metropolitan area. THE SITE Lorton Station is located 15 miles (24 kilometers) south of Washington, D.C., immediately east of the north-south Interstate 95 (I-95) and west of U.S. Route 1. The area, lying just south of Alexandria and north of Occoquan, was seen as an affordable alternative to many of Fairfax County s closer-in suburbs. Lorton is adjacent to the military base at Fort Belvoir (a major local employer) and just north of Gunston Hall Plantation home to founding father George Mason and Mason Neck State Park and National Wildlife Refuge. The irregularly shaped site was developed in two sections, Lorton Station North and Lorton Station South, to the north and south of Lorton Road, respectively. Both sections are bounded on the west by the Richmond Fredericksburg & Potomac (RF&P) railroad tracks, and originally were owned by the railroad. Lorton Station North is bounded on the north by Pohick Road (VA 638) and on the south by Lorton Road (VA 642). Lorton Station South is located directly south of Lorton Station North and extends south roughly to Gunston Cove Road. The new, fourand five-lane Lorton Station Boulevard and Lorton Market Street have become the community s main streets. Lorton Station lies less than a mile (1.6 kilometers) east of the former Lorton Reformatory. Now renamed Laurel Hill, the prison site is being redeveloped by Fairfax County under a comprehensive plan that emphasizes open space, recreation, and cultural and educational uses, including a recently opened public secondary school and a public golf course developed by Kettler. (Kettler also plans to redevelop several of the original prison buildings as loft-type housing while preserving some of the reformatory s brick walls and guard towers.) When Kettler began a lengthy bidding process to purchase the Lorton Station property from RF&P Railroad in the mid-1990s, the site was largely wooded and was zoned for industrial development. Lorton Road, which runs through the site, was a two-lane rural road, and the only means that area residents had to cross the railroad

4 tracks and I-95 was via a one-lane road under the railroad bridge. The VRE, however, had completed a commuter rail station on the site, making it more appropriate for a mix of uses, including residential. Kettler thus started planning to develop the site as a large mixed-use development (MXD) even before it purchased the property in June Several large public improvement projects completed during the late 1990s including the construction of a $12 million railroad bridge with two-way access below also helped make development of the site feasible. When the Lorton Station VRE station opened in 1994, it was set at the end of the dead-end Lorton Station Boulevard, in the middle of the woods, and its mostly empty parking lots were filled with tumbleweed. As of early 2007, approximately 6,000 residents live within a mile (1.6 kilometers) of the station, which offers 567 free parking spaces (several hundred of which were added by Kettler as the MXD was built) as well as bicycle racks. PLANNING Kettler s basic planning principles for Lorton Station focused on creating an armature of roadways and walkways, as well as a concentration of uses, that would make possible the planned density of residential, commercial, and civic development. The firm dedicated 100 acres (40.5 hectares) of floodplain along the Pohick Creek stream valley as parkland and miles of new walking trails were connected to a countywide system. The placement of other land uses likewise was fairly evident to planners: the town center, as well as the highest-density housing, is adjacent to the train station, while the community shopping center is set at the easily accessed, high-visibility intersection of Lorton Road and Lorton Market Street (and marked by a freestanding clock tower that can be seen from I-95). Residential neighborhoods are located off Lorton Station Boulevard and, at Lorton Station South, to the south of Lorton Marketplace, and many back onto wooded areas. Marketing a new MXD in an area where most drivers had to cross under a bridge with one-lane access to get to the site was a huge challenge, notes Richard Hausler, president of Kettler. In addition to the Lorton Station site, the firm purchased numerous properties and easements extending from I-95 to the Lorton Station entrance, so it could control the arrival sequence for prospective buyers. (Kettler also bought and has developed a number of other properties in the area, on both sides of I-95.) With a two-lane road leading into the Lorton Station site and little but brush and woods on either side, Kettler was faced with the challenge of how to set the stage for its MXD in a way that would attract prospective homebuilders, homebuyers, and office and retail tenants. The solution was to install temporary post-and-rail fencing in some areas and a permanent brick and wrought-iron wall in others, along what eventually would become the edges of the six-lane Lorton Road leading into Lorton Station North. As sales began, a small residential section of 11 single-family houses was built at the project entrance to illustrate the quality of development the firm had planned for Lorton Station. Since they were first sold in 1997, many of these homes have more than doubled in value. DESIGN AND DEVELOPMENT PROCESS Kettler s attention to the community s image is carried through in its architecture, landscaping, and signage. Simple oval signs mounted on brick columns set into landscaped circles at either side of Lorton Station Boulevard announce the entrance to Lorton Station; similar signs on brick columns and landscaped circles also mark the entrance to Lorton Station Town Center. Neighborhoods, buildings, and bus stops are identified by additional oval signs that recall old railroad stations, reinforcing the community s identity as a rail-oriented project. Likewise, the Lorton Station Recreation Center (a 2,700-square-foot/251-square-meter building containing the homeowners association offices as well as a clubhouse, with a pool and tennis courts) is designed to resemble a 20th-century train station. One of the first projects to be completed within Lorton Station, in 2000, was Kenton Crossing, a 100 percent workforce/affordable rental property with 248 apartments. As Virginia s largest producer of tax credit housing, Kettler wanted to create a significant amount of affordable housing at Lorton Station. A new community school, Lorton Station Elementary School, is located adjacent to and directly north of Kenton Crossing, on a site that Kettler donated to the county. Both the apartment community and the school are within walking distance of the town center and railroad station.

5 Civic amenities also are important elements at Lorton Station. A small, unassuming church was one of the few structures in the area at the time development began. Although it is located directly across Lorton Station Boulevard from what eventually became the community s primary recreation center, Grace Bible Church faced the woods and was reached from a small, one-lane road that ran through them. Hausler and architect Christopher Lessard worked with the church s pastor to reorient the church toward the Lorton Station community. Kettler purchased some land from the church, with the understanding that the church would use the funds to expand and revitalize its building. Lessard designed plans to wrap the original church structure with a brick facade oriented to Lorton Station Boulevard, with a steeple and formal entry doors. One addition already has been completed as of February 2007, with two more phases to follow, and the church s congregation has grown threefold, according to Hopkins. The use of architectural controls was important to maintain a consistent image for a project that ultimately would be built out by eight different builders (Kettler, NV Homes, M/I Homes, Ryan Homes, Miller & Smith, Drees Homes, Engle Homes, and U.S. Homes/Lennar). Architectural guidelines designed by Kettler and Lessard Group specified the materials, colors, and building styles that could be used at Lorton Station. Additional guidelines specified street furnishings, including brick and wrought-iron fencing, decorative black streetlights and signposts, black mailboxes at the curbs, and brick sidewalks that cross driveways. While some of these standards were relaxed for development at Lorton Station South, the streetscape image remains consistent throughout both parts of the community. Sidewalks and trails throughout Lorton Station make it pedestrian friendly, enabling most residents to walk to shops, medical offices, recreational facilities, and the elementary school. Kettler involved members of the local community in the planning process early on, spending more than two years working with them on revising the county s comprehensive plan for the area. According to Edward Byrne, Kettler s senior vice president of community planning and development, the community wanted to retain the name Lorton, despite its negative association with the prison complex. Originally brought to the area during the mid-1800s by its first postmaster, Joseph Plaskett, from his home in the scenic Lorton Valley in the north of England, Lorton s name held a broader significance for residents. Kettler has installed a historic marker at the town center describing the name s origins, as well as a cornerstone that Nicholson sent from a building in Lorton, England. Lorton Station s residential neighborhoods also reflect Lorton s English origins, with names like Buttermere Heights, Kendall Woods, and Cumbria Green. Kettler also took into account local residents concerns about housing types. There was a stigma attached to townhouses in the Lorton area, since many of those that had been built there prior to the mid-1990s were unattractive and made of low-quality materials. Residents therefore strongly objected to the development of additional townhouses at Lorton Station. Kettler addressed this concern by introducing city homes 24-foot-wide (seven-meter-wide) single-family detached homes on small (30-foot/nine-meter-wide) lots. Although Lorton Station North contains no townhouse products, Kettler was able to achieve a similar density level with a different blend of product types, including several types of condominiums as well as the city homes. Townhouses later were successfully added to the product line in Lorton Station South, and townhome-style duplex condominium units located above retail space at Lorton Town Center in Lorton Station North are being sold as of early Several homebuilders including NV Homes, Ryan Homes, M/I Homes, and Drees Homes began constructing single-family residences in Lorton Station North in The first houses were built throughout Lorton Station North and feature three and four bedrooms, three and four bathrooms, and floor plans ranging from 2,700 to 3,200 square feet (251 to 297 square meters) with either a two-car garage or a one-car garage and a tandem parking space. Initial sales prices ranged from $275,000 to $450,000. By 2000, the average sales price had increased to more than $500,000. While most of the houses feature front-loaded garages, some, in the neighborhood directly south of the recreation center, have front porches and alley-loaded garages. A number of these dwellings resemble some of the Sears catalog homes sold during the early 1900s, many of which were built in railroad towns, thus reinforcing Lorton Station s railroad theme. Pockets of guest parking are located in each neighborhood. Miller and Smith joined the builders in Lorton North in January 2002, with a single-family courtyard product and sales prices starting in the mid-$500,000s. At the same time, US Homes began construction on Lorton North Condominiums, several sets of three-story structures above ground-floor garages located in the northern part of

6 Lorton Station, on both the east and west sides of Lorton Station Boulevard. These units, which range in size from 1,200 to 1,800 square feet (112 to 167 square meters), initially sold for prices ranging from $330,000 to $475,000. Once all builders in Lorton Station North were selling, community sales averaged 12 per month. Residential development in Lorton Station South commenced in October 2002 in conjunction with the start of Lorton Marketplace. In addition to single-family homes similar to those in Lorton Station North, development here included 287 townhouses. These range in size from 1,750 to 2,400 square feet (163 to 223 square meters) and initially sold for prices ranging from $475,000 to $550,000. The initial builders in Lorton Station South included NV Homes and Ryan Homes, which later were joined by Miller and Smith. The first commercial development took place at Lorton Marketplace. The Lorton area had long needed additional retail space, including a supermarket and restaurants, to serve both local residents and travelers (particularly passengers boarding and disembarking from Amtrak s Auto Train nearby). Kettler thus built a supermarketanchored center in Lorton Marketplace at the intersection of Lorton Road and Lorton Market Road, which opened in late Lorton Marketplace contains a Shoppers Food Warehouse (the area s first better-quality grocery store) at its northern end and a daycare center at its southern end, with a variety of neighborhood-oriented retailers and restaurants in between. The center's architectural details include partial brick facades, arches, brightly colored metal roofs and awnings, and covered walkways throughout. A second story at the southern end of the structure provides office space for a variety of tenants. There is ample parking, and a number of spaces near the south of the building are reserved for office tenants and daycare center users on weekdays. Two additional commercial sites adjacent to and across the street from Lorton Marketplace remain to be developed as of February 2007; Kettler is waiting for the right tenants and the right deal for these high-profile sites. In 2004, construction commenced on the town center area at Lorton Station North, which is adjacent to the VRE station. Lorton Station Medical Center, the first project to be completed there, consists of two structures designed by Lessard with a 19th-century railroad town vernacular and managed by Med*Builders Associates. The two Class A, two-story brick medical office buildings, which are easily recognized by the clock tower that sits atop the larger South Building, house primary and specialty care physicians and a dental office as well as a dialysis center, radiology unit, and pharmacy. The project opened in March As the medical center was being completed, construction was underway on the two mirror-image buildings with a central green space and bandstand between them that form the heart of Lorton Town Center. These three-story brick structures contain 36,612 square feet (3,401 square meters) (net rentable area) of service-oriented uses (including a dry cleaner, a nail shop, an exercise facility, a cell phone store, and real estate offices) and restaurants on the ground level, below 32 two-story, townhome-style condominiums (16 per building), each of which features two bedrooms, two bathrooms, and a loft. The retail space was fully leased by December 2006, although several tenant buildouts were still underway in January Kettler began preselling the 1,229- to 1,372-square-foot (114- to 128-square-meter) condominiums in June 2005 and the first settlements took place in October The units initially sold at prices ranging from $474,900 to $529,900. Amenities include two assigned, covered parking spaces and a storage unit; 18-foot (5.5-meter) ceilings with two-story windows in living areas and nine-foot (2.7-meter) ceilings throughout; granite countertops and stainless steel appliances; laundry rooms with full-size washers and dryers; walk-in closets; and Juliet balconies with sliding doors. The final piece of Lorton Town Center (as of early 2007) is a residential project that originally was planned as a luxury condominium community by Engle Homes. The architecture has a more industrial look than the community s other structures. Still being completed in early 2007, the project faced an uphill marketing effort due to a local condominium market slump. In late 2006, Engle sold the project back to Kettler, which decided to reposition it as rental units. Kettler renamed the project the Metropolitan at Lorton Station as part of its Metropolitan line of high-end urban apartments, and began leasing its 251 one- and two-bedroom units located in nine interconnected, three- and four-story buildings in mid December. As of mid-january 2007, the Metropolitan already was 21 percent occupied. The project contains 33 different floor plans, including one- and two-bedroom units with lofts or dens. One-bedroom apartments range in size from 711 to 881 square feet (66 to 82 square meters) and rent for $1,470 to $1,790 per month; two-bedroom units measure from 1,050 to 1,275 square feet (98 to 119 square meters) and rent for $1,850 to $2,160 per month. The complex offers residents amenities such as a business center and a fitness center both of which are open 24 hours a day as well as a swimming pool, hot

7 tub, and spacious sundeck in a large courtyard; four additional smaller courtyards; and one unreserved parking space per apartment in a controlled-access, precast multilevel garage. Units feature stainless steel appliances, granite countertops, and full-size, side-by-side washers and dryers. Still to come in the town center area is an additional building for which Kettler has obtained entitlements but which has not yet been built. A 30,000-square-foot (2,787-square-meter), two-story structure planned for the rear of the town center will contain retail uses on its first floor, with a 5,000-square-foot (465-square-meter) meeting room for large community association gatherings above. This project will be user driven, and Kettler wants to identify the right tenant for this high-profile project before beginning construction. OPEN SPACE AND RECREATION Lorton Station contains 142 acres (58 hectares) of open space and parkland. One hundred acres (40.5 hectares) of this open space lies along the Pohick Creek stream valley and has been named Joseph Plaskett Park in honor of the area s first postmaster. The park features trails that connect with Fairfax County s 40-mile-long (64-kilometerlong) Cross County Trail and with the Potomac Heritage National Scenic Trail. An additional 42 acres (17 hectares) of green space are spread throughout the community, much of it in small pocket parks, some of which contain playgrounds and tot lots. Additional recreational amenities include swimming pools and tennis courts in both Lorton Station North and South neighborhoods and the playground and playing fields at Lorton Station Elementary School. FINANCING SunAmerica provided $13.5 million in equity financing for the initial land purchase. In October 1998, SunAmerica (now AIG) and Kettler formed a joint venture, KSI America, to purchase land for development. Three limited liability corporations (LLCs) were formed to develop separate parts of the project: South Station LLC, which developed Lorton North; Lorton South LLC, which developed the residential portion of Lorton South; and Elmwood LLC, which developed the Lorton South commercial space. Additional financing came from Wachovia Bank, which provided construction financing for Lorton Marketplace and Lorton Town Center. The Virginia Housing Development Authority (VHDA) provided the construction loan for Kenton Crossing, the affordable apartment community, which was built using tax-exempt bonds through low-income housing tax credits allocated in At Lorton North, Provident Bank, Wachovia, and BB&T provided development financing. At Lorton South, a seller note was replaced by development financing from Acacia Federal Savings Bank. MARKETING AND MANAGEMENT Kettler implemented a master branding campaign for the community, which was funded by a builder co-op marketing program to which each homebuilder contributed $5,000 per lot. This campaign which included print advertising, extensive signage, a Web site, and promotional events stressed Lorton Station s on-site VRE station, its identity as a commuter-friendly community, and the convenience of riding the train from homes in Lorton Station to jobs in Washington, D.C., and the closer-in Virginia suburbs of Arlington and Alexandria. Initial marketing efforts were geared to residents of these closer-in suburbs, and many of the community s initial homebuyers were former Arlington and Alexandria residents who were attracted by Lorton Station s more affordable single-family homes, the community s amenities, and the easy commute. Promotional events also stressed the community s connection to the railroad; one offered a free six-month VRE pass to the first 100 homebuyers, and giveaways at the ground breaking included conductor caps and train whistles. Lorton Station s compact development and railroad-focused marketing process in turn created ridership for the railroad. According to Hausler, the president of Kettler, VRE reports that more residents walk (rather than drive or take a bus) to the Lorton Station than to any of the commuter rail system s 15 other suburban and rural stations. EXPERIENCE GAINED Early in the development process, Kettler staff noticed cars in the train station parking lot after the last train of the evening had arrived and before the first morning train had departed. They discovered that

8 employees at nearby Fort Belvoir were leaving station cars at Lorton Station overnight, so that they could take the train to Lorton Station from their homes further to the south, then drive the short distance to their jobs in the morning. Some of the station s parking spaces thus get double use. The timing of the prison closing in 2001 was a great good fortune for the Lorton Station project, according to Hausler, since it helped created a groundswell of support for new, more upscale development in the area. Kettler was part of a public/private partnership that financed the development of South County Secondary School, and later developed a public golf course for Fairfax County on part of the former prison site. Flexibility and Kettler s continuing involvement in the community have allowed the firm to respond to market shifts. When a mid-2006 market slump resulted in Engle Homes having trouble selling its nearly completed Park Place condominiums, Kettler recognized that at least in the short term the project would work better as upscale rental apartments and converted it to a rental complex. Protecting wetlands and keeping residents happy can be conflicting goals. Kettler preserved a wetlands area between the medical buildings and the Lorton North Condominiums, which resulted in the preservation of wildlife habitat and created views from many of the condos. But unusually wet conditions in the summer of 2006 resulted in standing water and an increased insect problem. Kettler has resolved these issues by improving drainage in the area. Working closely with local citizens groups, Kettler was tasked with the overall market repositioning for the greater Lorton area. Residents felt strongly about keeping the heritage of their town alive and were adamant that Lorton be used in the community name. Intensive research and interviews led the developer to capture the flavor of Lorton, England, and bring pieces of history to this modern-day community. PROJECT DATA LAND USE INFORMATION North South Total Site area (acres/hectares) 300/ / /150 Percentage complete Gross density (units per acre/hectare) 3.1/ / /7.9 Number of off-street parking spaces 2,005 1,824 3,829 GROSS BUILDING AREA (GBA) Area (Gross Square Feet/Square Meters) Use North South Total Office 72,486/6,734 37,000/3, ,486/10,172 Retail 62,842/5, ,000/12, ,842/17,916 Church 50,200/4, ,200/4,664 School 100,000/9, ,000/9,290 Clubhouse/recreation center 9,500/883 1,500/139 11,000/1,022 Total GBA* 295,028/27, ,500/15, ,528/43,063 *Excludes residential buildings. LEASABLE AREA Area (Square Feet/Square Meters) Use North South Total Office (net rentable area) 58,603/5,444 35,350/3,284 93,953/8,729 Retail (gross leasable area) 70,382/6, ,345/11, ,727/17,998 Total 128,985/11, ,695/14, ,680/26,726

9 Floor/area ratio LAND USE PLAN Use Area (Acres/Hectares) Percentage of Site Buildings 25.6/ Streets/surface parking 121.4/ Landscaping/yards 64.5/ Open space / Church 4/ School 12.8/ Total / RESIDENTIAL INFORMATION North South Total Number of residential units ,181 Unit Type Average Floor Area (Square Feet/Square Meters) Number Sold/ Leased Range of Initial Sales/Rental Prices Single-family detached 2,500/ $275,000 $650,000 Single-family attached 1,300/ $475,000 $550,000 Condominiums 1,650/ $330,000 $475,000 Apartments 1,000/ $1,100 $1,600/month OFFICE INFORMATION Percentage of NRA occupied: 75 Number of tenants: 18 Average tenant size (square feet/square meters): 3,900/362 Annual rents (per square foot/square meter): approximately $10 $20/$ $215 Office Tenant Size Number of Tenants Under 5,000 square feet/465 square meters 16 More than 10,000 square feet/930 square meters 2 Total 18 RETAIL INFORMATION* Tenant Classification Number of Stores Total GLA (Square Feet/Square Meters) General merchandise 2 5,280/491 Food service 16 40,640/3,776 Drugs 1 NA** Personal services 11 25,346/2,355 Recreation/community 2 6,285/584 Financial 2 8,300/771 Grocery/beverage 2 65,800/6,113 Gas/service station 1 3,750/348 Realtor 1 10,826/1,006 Total ,227/15,443

10 *Does not include a 31,000-square-foot (2,880-square-meter) mixed-use structure or a 12,000-square-foot (1,115-squaremeter) building on a pad side for which the developer has obtained entitlements but which has not been built as of April **The drugstore is located in one of the medical office buildings and therefore is not included in the retail GLA. Percentage of GLA occupied: 100 Average rents (per square foot/square meter): approximately $13 $35/$140 $378 Average length of lease: 5 20 years DEVELOPMENT COST INFORMATION Site Acquisition Cost North South Total $8,742,034 $10,038,103 $18,780,137 Site Improvement Costs North South Total Excavation/grading/utilities $9,008,525 $11,870,149 $20,878,674 Sewer/water/drainage $1,122,365 $3,074,953 $4,197,318 Paving/curbs/sidewalks $641,169 $4,174,050 $4,815,219 Landscaping/irrigation $1,812,892 $1,251,043 $3,063,935 Fees/general conditions $3,816,639 $6,824,366 $10,641,005 Signage/striping $108,192 $162,813 $271,005 Amenities $2,253,780 $1,094,381 $3,348,161 Total $18,763,562 $28,451,755 $47,215,317 Soft Cost North South Total Architecture/engineering $2,151,695 $1,403,934 $3,555,629 Project management $1,322,315 $1,900,516 $3,222,831 Marketing $1,811,298 $649,652 $2,460,950 Legal/accounting $284,811 $371,342 $656,153 Taxes/insurance $879,989 $862,889 $1,742,878 Loan fees $344,813 $506,691 $851,504 Interest expense $2,675,440 $2,053,473 $4,728,913 General conditions $2,900,756 $2,391,672 $5,292,428 Total $12,371,117 $10,140,169 $22,511,286 Construction Costs North South Total Office $5,880,000 $2,605,000 $8,485,000 Retail $5,869,919 $8,000,000 $13,869,919 Residential $29,877,568 NA $29,877,568 Total $41,627,487 $10,605,000 $52,232,487 Total Development Costs at Buildout North South Total $81,504,200 $59,235,027 $140,739,227 DEVELOPMENT SCHEDULE Planning started: August 1996 Site purchased: June 1997 Construction started: May 1999 Sales/leasing started: July 1999

11 Phase I completed: September 2001 Project completed: 90 percent complete as of April 2007 DRIVING DIRECTIONS From Ronald Reagan Washington National Airport: Follow signs exiting airport to I-395 south. I-395 becomes I-95 south. Continue 15 miles (24 kilometers) to the Lorton Road exit. At the end of the ramp, turn left at the light onto Lorton Road. Follow Lorton Road to a left on Lorton Station Boulevard. Lorton Town Center will be on the left. Driving time: 20 minutes in nonpeak traffic. Julie Stern, report author Jason Scully, editor, Development Case Studies David James Rose, copy editor Joanne Nanez, online production manager This Development Case Study is intended as a resource for subscribers in improving the quality of future projects. Data contained herein were made available by the project's development team and constitute a report on, not an endorsement of, the project by ULI the Urban Land Institute. Copyright 2007 by ULI the Urban Land Institute 1025 Thomas Jefferson Street, N.W., Suite 500 West, Washington, D.C

12 A acre (150-hectare) mixed-use, master-planned community located in Fairfax County, Virginia, Lorton Station contains 1,181 residential units, a town center, an elementary school, a church, recreation facilities, and a 100-acre (40.5-hectare) park with a stream. Courtesy of Kettler

13 Housing types at Lorton Station include single-family residences, duplexes, condominiums, and townhouses ranging in size from 1,000 to 2,500 square feet (93 to 232 square meters). Courtesy of Kettler

14 Located less than a mile (1.6 kilometers) east of the former Lorton Reformatory, the community chose to retain the name despite its negative association with the prison. Courtesy of Kettler Lorton Station's town center contains housing, 192,842 square feet (17,916 square meters) of neighborhood-oriented retail and restaurants, including a daycare, as well as 109,486 square feet (10,172 square meters) of office space. Courtesy of Kettler

15 Promotional events stressed the community's proximity to the Virginia Railway Express (VRE) commuter trains that connect the development to Washington, D.C.; during one of the events, free six-month VRE passes were offered to the first 100 homebuyers, and giveaways at the ground breaking included conductor caps and train whistles. Courtesy of Kettler

16 Lorton Station offers many opportunities for recreation, including tennis courts, swimming pools, and walking trails that connect with Fairfax County's 40-mile-long (64.4-kilometer-long) Cross County trail and with the Potomac Heritage National Scenic Trail. An additional 42 acres (17 hectares) of green space are spread throughout the community. Courtesy of Kettler

17 Lorton Station site plan. Courtesy of Kettler