The race for development around the nascent Commanders stadium has begun — and the first proposal is a big gamble.
Chatman Holdings LLC, a minority and woman-owned Pittsburgh-based real estate firm, outlined a proposal for a riverfront casino and hotel on one of the last parcels on Reservation 13 at the Nov. 18 meeting of Advisory Neighborhood Commission 7F (ANC 7F).
The proposed casino-hotel would anchor a development including a long-sought full-service grocery store, restaurants, jobs, walkable retail, housing and year-round amenities. Landscape architect Rebecca Mizikar of PVDEDI provided an overview of the project’s layout.
The casino and hotel would serve as a “revenue engine” for the larger mixed-use development, stated Chatman CEO Robin L. Young (CEO). Young was joined by Chatman CFO Andrew L. Young and COO Justin L. Young (COO). The proposal responds directly to conversations with Ward 7 residents about the area’s unmet needs, they said.
A Casino at RFK
Surrounded by up to 1,400 units in mixed-use buildings, a 1,000-room hotel, a 75,000 square foot convention center, and 900,000 square feet of office space, the casino would rise up to ten stories at the corner of Massachusetts Avenue SE and Water Street, stated Chatman’s executives. It also would include a movie theater, bowling alley, civic uses, and a grocery store located near Stadium-Armory Metro. The waterfront would be re-imagined with an amphitheater, an ice rink, plazas and pedestrian connections, Mizikar said.
“Our design allows us to deliver great benefits to the community,” CEO Robin Young told commissioners. But without high-revenue uses, “the numbers didn’t work.”
The Ask: Support Gaming Legislation
Reservation 13 is owned by the District of Columbia. The Office of the Deputy Mayor of Planning and Economic Development (DMPED) has not issued requests for proposals (RFPs) for parcel in question consisting of Lots D, I, J and M. These lie along the Anacostia River, between the DC Water “Swirl” Facility and the Park Kennedy.
The first two phases of Reservation 13 development were competitively bid. In Hill East Phase I, Blue Skye Construction and Development built the Kennedy and Ethel. In 2021, Blue Skye also won the right to build on part of Phase II along with R13 Community Partners, a consortium of eight different developers. This phase includes parcels C, E and H. However, their plans have been held up by infrastructure work, DMPED said at a recent public meeting. DMPED has yet to start the Phase III RFP process.
At the meeting, ANC 7F Chair Tyrell M. Holcomb (7F01) acknowledged the earlier phases were competitively awarded by DMPED. However, the sole source awarding of the land to Chatman, he argued, would speed development.
“Instead of us waiting on DMPED another 5, 10, 15 years to come to us and say, “We want to put the rest of these parcels out,” we’re saying to DMPED, “hey, as a matter of fact we want you to award these parcels to this group now,” Holcomb said.
After the meeting, Holcomb said that the ANC recognizes that the District is in an important moment. “The Washington Commanders returning to RFK unlocks opportnities for Hill East/Reservation 13,” Holcomb said after the meeting, “and we don’t believe DMPED should wait to place the remaining parcels for bid.”
The ANC is supporting the Chatman Holdings proposal because they believe it will bring benefits that position Ward 7 for long-term growth, he said. “This is about Ward 7 getting its opportunity at economic viability,” Holcomb finished.
Chatman has contacted Ward 7 Councilmember Wendell Felder (D) about the project, the developer said.
Are other developers competing for Phase III of the Hill East project? commissioners asked the ANC chair. The commission, one said, had not yet heard from DMPED. “Nobody has engaged them beyond this particular team is what I understand,” Holcomb said.
Chatman executives requested ANC 7F send a resolution to Ward 7 Councilmember Wendell Felder (D) asking him to introduce legislation “making this project viable,” including permitting table games in the District. They asked the commission to contribute a resolution supporting transfer of site control of the Phase 3 parcel to Chatman Holdings.
In a statement, a spokesperson for Councilmember Felder said his office “has not received any official materials or briefings on the proposal presented by Chatman Holdings or PVEDI, and was not aware of it prior to the ANC presentation. As a result, the Councilmember has not had an opportunity to review or consider any legislation related to this concept.”
“At this time, the Councilmember is focused on advancing community-driven development at Hill East that brings family-serving amenities, housing, recreation, and economic opportunities to residents,” the statement concluded.
Community Benefits
Community benefits, Chatman executives promised, would be part of any legislation. They outlined a multi-part community benefits package tied to the casino proposal, including workforce development partnerships for training and job pipelines; a labor peace agreement and project labor agreement to ensure labor stability. They say the project will create 5,000 permanent jobs and up to 5,000 construction jobs.
Chatman executives pledged $10 million in funding to the DC Office of Lottery and Gambling to mitigate social impacts of gambling, including addiction-related harms and youth and adult educational programming on gambling risks as well as public advertising and outreach about gambling addiction.
Chatman would allocate funds to community organizations, the company’s executives stated. 2.5 percent of adjusted gross receipts (AGR) from the casino’s operating license would be dedicated to a local nonprofit focused on social equity and disenfranchised communities. They will also select four additional local nonprofit organizations for a revenue-sharing agreement.
Promises were also made for substantial investment in Kingman Park, funded in part by 10% tax revenue and a municipal bond measure linked to the gaming license.
However, Chatman executives made no specific promises around transit and public services, other than committing to work with the District government and WMATA to improve and extend transit services. The project would be phased, but the casino and other components would be built simultaneously, not sequentially, they stated.
Commissioners Push Back
Commissioners across 7F have heard community demand for grocery stores, workforce development and everyday retail — but not for a casino, they said.
Would the casino’s economic model depend on the patronage of area residents who have a median income between $40,000 and $50,000? asked Commissioner Chanettia Nelson (7F04).
“Pulling money from individuals to fund a casino is not, in my opinion, the way to go about funding a casino from a low-income community,” Nelson said. While it was a “win” to have more development and a grocery store, “a casino is not one of them,” she added.
Nelson questioned the affordability of condominiums mentioned as part of the housing, including whether the development would serve local incomes or primarily attract higher-earning newcomers.
Other commissioners questioned the employment promises. Would the promised jobs truly be accessible to Ward 7 residents? they asked. Some were worried about the gambling harms and social impacts. Others raised the past failures to capture the benefits of agreements between the developer and communities elsewhere in DC.
Commissioner Shirley Thomson-Wright (7F07), whose Single Member District borders the proposed casino, is not a gambler. However, she believes that the casino will bring in the funds to support the surrounding development such as retail and entertainment, which she does want.
“More jobs are created with a casino,” Thomson-Wright said. Tourists will come to watch the games, attend concerts and visit the city’s free museums and monuments, she added.
She said it might not be the ideal way to bring revenue into the community, but few alternatives have been proposed. “Everyone talked about ‘casino’ when that word was said,” Thomson-Wright said after the meeting. “Everyone forgot about the land just being developed, casino or not.”
What Ward 7 wants, Thomson-Wright said at the meeting, is entertainment, walkable spaces and more than one full-service grocery store. “With DC hitting us on all fronts with the speed cameras that generate millions each year, I really never see the city have legislation that gives it back directly,” Thompson-Wright added.
Thomason-Wright raised concerns about traffic congestion and parking. She expressed hope these issues could be worked out together with the developer.
“I heard the mayor speak about gambling on several occasions,” Thomson-Wright added. “I think it will carry great weight once we hash out the kinks.”
Other commissioners also raised concerns about traffic and access, including limited pedestrian and bike crossings over the river and whether parking would be free for local shoppers.
Commissioners repeatedly pressed for concrete guarantees for a grocery store and basic retail to be built before or concurrently with the casino, rather than years afterwards.
Residents have been misled by developers in the past, Commissioner Ashley Renee Ruff (7F02) emphasized. “I don’t want to give you my yes right now,” she told Chatman executives, “and then we don’t get what we asked for in the community, but we’re giving you everything you’re asking for up front.”
Other Unresolved Questions
Commissioners questioned whether the land is “shovel-ready.” Would the District need to spend millions on infrastructure upgrades? they asked. Chatman executives were not able to provide any numbers.
Had any other proposals been presented to the ANC? asked State Board of Education Representative (SBOR) Eboni Rose Thomson, who was present at the meeting. Commissioners said they had not.
The ANC voted 3-2 with Commissioner Orendoff (7F03) and Commissioner Cunningham (7F08) abstaining, to support a resolution asking Councilmember Felder to introduce legislation including that awards HE-3, parcels D, I, J and M to Chatman Holdings for development. They also supported a resolution 5-3 to support legislation permitting gaming on the site.
On Oct. 1, DC Council Chair Phil Mendelson introduced legislation from Mayor Muriel Bowser (D) that would legalize betting on blackjack and poker games at certain locations in the District. That legislation is in committee.
There is no indication the Bowser administration would be open to a casino on Reservation 13. DMPED has not met with or reviewed plans with Chatman, said a source within the agency, adding there are no immediate plans to solicit proposals for Phase III of the Hill East project.
Ward 6 Councilmember Charles Allen (D) represents the neighborhoods to the west. “It’s a bad idea. DC doesn’t need a casino,” he stated.
Chatman did not respond to follow-up questions in time for publication.
This story has been updated to include comment from Councilmember Felder’s office.
