Ox Hill Companies has secured $31 million in financing to acquire the land needed to develop City Centre West, a 210,472-square-foot mixed residential and office building in Fairfax, Va.
Marcus & Millichap (MMI) facilitated a two-year, interest-only loan for the borrower, but did not disclose the lender.
“Land and office acquisition financing in an illiquid land and office lending market environment made this a savvy financing opportunity,” Gary Sefcik, a director of Marcus & Millichap in Manhattan, told Commercial Observer. “The deal highlights that capital can still be sourced for land and office deals in robust markets with strong business plans.”
Approved by the Fairfax City Council in July, the development, which will be built in the heart of Fairfax, will have up to 79 luxury condominiums, plus a penthouse; 8,500 square feet of medical office spaces; and 28,200 square feet of office space. Ox Hill will also install a pocket park to be named Corner Public Plaza Park.
The project will be built on two separate sites spanning 1.78 acres combined. One portion will replace the 47,979-square-foot office building at 4031 University Drive. The other will replace a collection of buildings on Main Street, including the former Wells Fargo bank at 10501 Main Street, a former OudResto & Hall restaurant at 10515 Main Street, and an office building at 10523 Main Street. All will be torn down.
City Centre West will be designed by renowned NYC architectdesigner Thomas Juul-Hansen.
Douglas Elliman will handle sales for the residential portion of the development, which has been branded Ten501 at City Centre West.
“The successful development of City Centre West will further Ox Hill’s mission of delivering greatly needed Class A commercial, residential, retail, hospitality, and entertainment space in the City of Fairfax and elevate the city’s historic ‘Old Town’ and adjacent areas into a thriving live, work, play destination,” Sefcik said.
Construction is slated to begin in early 2024, with an anticipated delivery date of sometime in the second quarter of 2026.
Keith Loria can be reached at Kloria@commercialobserver.com.