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River Place in Rosslyn is perhaps one of the most well-known multifamily complexes in the county.
The series of four buildings containing about 1,720 units between Route 50 and Wilson Blvd make up the cooperative complex that was built seven decades ago. Despite its age, River Place remains valued by residents, owners and real estate agents.
In conversations, phrases like “oasis of affordability,” “jewel of Rosslyn,” “prime location,” and “views that… can’t be beat in the market” get tossed around with regularity.
But what makes River Place truly unique is that it very well could be on borrowed time.
It’s a fact that has been known for awhile, as detailed in this 1982 Washington Post article. The complex was built in the early 1950s on top of 13 acres of land owned by a developer. That land is, essentially, rented from the developer through an agreement that’s known as a “ground lease.”
In 1953, a 99-year lease was agreed to, meaning River Place’s lease runs out in 2052 — 30 years from now. That timeframe, of course, holds a good deal of significance for those looking to take on a 30-year fixed-rate mortgage in order to buy a property inside of the complex.
Today, the underlying land is owned by local real estate development firm Monday Properties.
When the lease expires in 2052, Monday Properties will be able to do whatever it wants with the well-located land in Rosslyn. Theoretically, Monday Properties — or a new developer, if Monday ends up selling the land — could demolish the by-then century-old River Place.
This potential would leave unit owners out in the cold and their investment, essentially, a pile of bricks.
Monday Properties hasn’t disclosed its plans just yet.
James Marandi, president of the River Places Owners Association, tells ARLnow that neither he, the association, nor the committee assembled to deal with the ground lease situation has had any “recent” conversations with the company.
Monday Properties wouldn’t discuss the situation with ARLnow, either. When reached for comment, a company spokesperson said in an email that Monday Properties does “not have a comment on this story.”
An Arlington County spokesperson tells ARLnow that there isn’t much the county can do.
“This is a private property matter, which limits what the County can do,” the spokesperson said. “This is a matter between the building occupants and the landowner.”
This uncertainty has left some unit owners and residents thinking, perhaps even anxious, about an uncertain future that’s now not as far off as it once was.
“We are not necessarily nervous yet. Thirty years is a long way away,” Marandi tells ARLnow. “But we do realize that the lease expires and something has to be done.”
The unresolved ground lease situation also could have a direct impact on the accessibility of lower-priced housing stock in Arlington, a long-running concern that the county is now trying to grapple with.
As of Friday afternoon, there appeared to be 15 River Place condos for sale on Zillow. All of the units were listed for sale under $300,000, with most under $200,000.
The average price for a home in Arlington, as of earlier this year and including townhomes and condos, is more than $800,000.
In theory, this could make River Place one of the best buys in the Arlington market. But the expiring land lease makes it potentially inaccessible for some.