June 30, 2021
The Honorable Phil Mendelson
Chairman
Council of the District of Columbia
1350 Pennsylvania Avenue NW, Suite 504
Washington, DC 20004-3003
Dear Chairman Mendelson:
Pursuant to D.C. Official Code 2-352.02, I have enclosed, for consideration by the Council of
the District of Columbia, the Council Contract Summary for the Agreement to Enter into a Long
Term Subsidy Contract (ALTSC) between the District of Columbia Housing Authority
(DCHA) and The Clara on Martin Luther King Jr. Avenue, LLC (the Owner) and the
resolution cited as the Local Rent Supplement Program Contract No. 2020-LRSP-04A
Approval Resolution of 2021. DCHA proposes to provide a housing subsidy to the Owner in
the initial annual amount of $344,400 for a multi-year term of fifteen (15) years, in support of
the Districts Local Rent Supplement Program (LRSP) to provide affordable housing units at
The Clara on MLK Apartments located at 2323 MLK Jr Avenue, SE.
As always, I am available to discuss any questions you may have regarding the proposed LTSC.
In order to facilitate a response to any questions concerning this ALTSC, please have your staff
contact me at (202) 535-1513.
I look forward to your favorable consideration of this proposed ALTSC agreement.
Sincerely,
Brenda Donald
Interim Executive Director, District of Columbia Housing Authority
Enclosures
TG/hg
cc: Nyasha Smith, Secretary to the Council
Date: June 30, 2021
Pursuant to section 202(c) of the Procurement Practice Reform Act of 2010, as amended, D.C. Official
Code 2-532.02(c), the following contract summary is provided:
COUNCIL CONTRACT SUMMARY
(A) Contract Number: 2020-LRSP-04A
Proposed Contractor: The Clara on Martin Luther King Jr Avenue, LLC (the Owner)
Contract Amount (Base Period): $344,400 initial annual amount
Unit and Method of Compensation: Housing Assistance Payments, paid monthly
Term of Contract: 15 Years
Type of Contract: Agreement to Enter into a Long-Term Subsidy
Source Selection Method: See D below
(B) For a contract containing option periods, the contract amount for the base period and for
each option period. If the contract amount for one or more of the option periods differs
from the amount for the base period, provide an explanation of the reason for the
difference:
This is a multi-year contract.
(C) The goods or services to be provided, the methods of delivering goods or services, and any
significant program changes reflected in the proposed contract:
Pursuant to D.C. Official Code 2-352.02, I have enclosed, for consideration by the Council of
the District of Columbia, the Council Contract Summary for the Agreement to Enter into a Long
Term Subsidy Contract (ALTSC) between the District of Columbia Housing Authority
(DCHA) and The Clara on Martin Luther King Jr, LLC (the Owner). DCHA proposes to
provide a housing subsidy to the Owner in the initial amount of $344,400 annually for a multi-
year term of fifteen (15) years, in support of the Districts Local Rent Supplement Program
(LRSP) to provide affordable housing at The Clara on MLK Apartments located at 2323 MLK
Jr Avenue, SE.
(D) The selection process, including the number of offerors, the evaluation criteria, and the
evaluation results, including price, technical or quality, and past performance components:
In June 2019, the District of Columbias Department of Housing and Community Development
(DHCD) issued a Request for Proposals (RFP) regarding the availability of funds from
multiple district agencies, including DCHA, DHCD, the Department of Behavioral Health, the
Department of Human Services, and the District of Columbia Housing Finance Agency. Of the
total proposals received, certain developers were chosen to work with DCHA and others to
develop affordable housing and permanent supportive housing units for extremely low income
families making zero to thirty percent of the areas median income, as well as the chronically
homeless and individuals with mental or physical disabilities throughout Washington, DC. After
meeting the requirements for DHCD review and LRSP subsidy eligibility, proposals were
evaluated on various underwriting and prioritization criteria including financial feasibility, project
sustainability, development team capacity, amount of capital requested, nonprofit participation,
and furtherance of the development of affordable housing. Additionally, DCHA has determined
that the proposed project meets the District of Columbias Consolidated Plan and the Mayors
goal for providing affordable housing opportunities in neighborhoods.
(E) A description of any bid protest related to the award of the contract, including whether the
protest was resolved through litigation, withdrawal of the protest by the protestor, or
voluntary corrective action by the District. Include the identity of the protestor, the grounds
alleged in the protest, and any deficiencies identified by the District as a result of the
protest:
None.
(F) The background and qualifications of the proposed contractor, including its organization,
financial stability, personnel, and performance on past or current government or private
sector contracts with requirements similar to those of the proposed contract:
The Clara on MLK Apts The Clara on Martin Luther King Jr. Avenue LLC (The Clara),
intends to develop 2311-2323 Martin Luther King, Jr. Avenue, SE into 81 units of affordable
rental housing with approximately 6,000 sq. ft. of retail space and 7,800 sq. ft. of ground floor
community space dedicated for residents and public use. The design concept that reflects the
priorities of both the District and the neighborhood by activating three underused lots, wrapped in
a high caliber design that offers a contemporary aesthetic. The development team has set out to
ensure that low-income individuals and families are afforded the opportunity to live affordably in
this neighborhood which is beginning to experience some of the changes that pushed rents outside
of the reach of similar individuals and families west of the Anacostia River. Specifically, the
building will provide neighborhood-serving, pedestrian-friendly retail on the ground floor with
six stories of residential above.
Medina LIFE and Banneker purchased most of the land and buildings from Masjid Muhammad
which owned the parcels for more than 50 years. The other parcel was purchased from an investor
who left the property vacant since buying it in 2017. The properties will be developed into
affordable housing which will (1) create an active and vibrant residential community and serve to
further the redevelopment of this corridor in Southeast, Washington, DC; and (2) provide retail
space to meet neighborhood serving retail needs.
The development site, 2311-2323 Martin Luther King Ave SE, (Lots 0039, 0819 and 0047 in
Square 5790) has a land area of approximately 26,000 square feet and is bounded by Martin
Luther King Jr. Avenue, SE, Chicago Street, SE and Talbert Street, SE. The site recently
completed the subdivision process, consolidating the three lots into a single lot (Lot 48 in Square
5790). The project site is in the Anacostia neighborhood of Southeast Washington, DC in Ward 8.
The Scope of Work includes the demolition of the three existing and vacant properties that will
allow for the construction of The Clara, which will be comprised of six-stories, one level of
underground parking, and retail space on the first floor. The 81 affordable residential units will be
located on floors two through six. The unit mix will include studios (6), 1-bedroom (27), 2-
bedroom (24), and 3-bedroom (24) apartments. The units will include energy efficient design
elements and appliances. The building will include underground garage space that will park up to
26 vehicles and include a bike rack, bike room and storage. The building will also include 9
surface level parking spaces at the rear of the building.
The first floor will include a spacious residential lobby, community spaces (including a 24- hour
fitness room and demonstration kitchen), service space (including storage space and an Amazon
hub), and a living green wall. The first floor will house the property management and PSH offices
and the lobby provides two elevators for the residents and patrons of the community space and
2
retail as well. The first floor will also include 6,000 sq. ft. of neighborhood serving retail space,
including a new family style sit-down restaurant, which once built will be only the 2nd new sit-
down restaurant to come to Anacostia in more than twenty years.
The second floor will include residential space, a large outdoor courtyard and a laundry room.
The third thru sixth floor will include residential space and laundry room to serve each floor. The
roof features a landscaped rooftop terrace, green roof which covers over 50% of the roof surface
area and 4,000 sf of photovoltaics panel installation used to offset the electrical demand for the
building. The development is expected to break ground in Summer 2021 and construction is
anticipated to take eighteen (18) months to achieve substantial completion.
(G) A summary of the subcontracting plan required under section 2346 of the Small, Local, and
Disadvantaged Business Enterprise Development and Assistance Act of 2005, as amended,
D.C. Official Code 2-218.01 et seq. (Act), including a certification that the
subcontracting plan meets the minimum requirements of the Act and the dollar volume of
the portion of the contract to be subcontracted, expressed both in total dollars and as a
percentage of the total contract amount:
Not applicable.
(H) Performance standards and the expected outcome of the proposed amount:
The housing subsidy shall be used solely to support housing costs associated with the affordable
housing units at The Clara on MLK Apartments located at 2323 MLK Jr Avenue, SE in support
of the Districts Local Rent Supplement Program (LRSP). The project is consistent with the
Districts goal of increasing affordable housing, especially among low-to-moderate income
residents and preserving existing affordable housing opportunities in the District. Additionally,
the Owner is required to fulfill all conditions as set forth in the ALTSC Agreement within the
agreed upon time frames. Failure to fulfill the terms of the ALTSC Agreement will constitute
default.
(I) The amount and date of any expenditure of fund by the District pursuant to the contract
prior to its submission to the Council for approval:
None.
(J) A certification that the proposed contract is within the appropriated budget authority for
the agency for the fiscal year and is consistent with the financial plan and budget adopted in
accordance with D.C. Official Code 47-392.01 and 47-392.02:
CFO Certifications are attached.
(K) A certification that the contract is legally sufficient, including whether the proposed
contractor has any pending legal claims against the District:
Legal Sufficiency Memo is attached.
(L) A certification that Citywide Clean Hands database indicates that the proposed contractor
is current with its District taxes. If the citywide clean hands Database indicates that the
proposed contractor is not current with District taxes, either: (1) a certification that the
contractor has worked out and is current with a payment schedule approved by the
District; or 92) a certification that the contractor will be current with its District taxes after
3
the District recovers any outstanding debt as provided under D.C. Official Code 2-
353.01(b):
Clean Hands certification is attached
(M) A certification from the proposed contractor that it is current with its federal taxes, or has
worked out and is current with a payment schedule approved by the federal government:
Federal Tax Certification is attached.
(N) The status of the proposed contractor as a certified local, small, or disadvantaged business
enterprise as defined in the Small, Local, and Disadvantaged Business Enterprise
Development and Assistance Act of 2005, as amended; D.C. Official Code 2-218.01 et seq.:
The Clara on Martin Luther King Jr Avenue, LLC is not certified as a local, small, or
disadvantaged business enterprise.
(O) Other aspects of the proposed contract that the Chief Procurement Officer considers
significant:
Not applicable.
(P) A statement indicating whether the proposed contractor is currently debarred from
providing services or goods to the District or federal government:
Included in the legal sufficiency memo, attached.
(Q) Any determination and findings issue relating to the contracts formation, including any
determination and findings under D.C. Official Code 2-352.05 (privatization contracts):
None.
(R) Where the contract, any amendments or modifications, if executed, will be made available
online:
The contract will be made available on the DCHA website.
(S) Where the original solicitation, and any amendment or modifications, will be made
available online:
Original solicitation was published 6/29/18 and extended through 9/30/19. See link:
http://dhcd.dc.gov/service/rfps-rfas-sfos.
4
Government of the District of Columbia
Office of the Chief Financial Officer 1101 4th Street, SW
Office of Tax and Revenue Washington, DC 20024
Date of Notice: May 7, 2021 Notice Number: L0005599288
CLARA ON MARTIN LUTHER KING, JR AVENUE, LLC FEIN: **-***7138
1738 ELTON RD STE 215 Case ID: 797760
SILVER SPRING MD 20903-5732
CERTIFICATE OF CLEAN HANDS
As reported in the Clean Hands system, the above referenced individual/entity has no outstanding
CO
liability with the District of Columbia Office of Tax and Revenue or the Department of Employment
Services. As of the date above, the individual/entity has complied with DC Code 47-2862, therefore
this Certificate of Clean Hands is issued.
TITLE 47. TAXATION, LICENSING, PERMITS, ASSESSMENTS, AND FEES
CHAPTER 28 GENERAL LICENSE
SUBCHAPTER II. CLEAN HANDS BEFORE RECEIVING A LICENSE OR PERMIT
D.C. CODE 47-2862 (2006)
PY
47-2862 PROHIBITION AGAINST ISSUANCE OF LICENSE OR PERMIT
Authorized By Marc Aronin
Chief, Collection Division
To validate this certificate, please visit MyTax.DC.gov. On the MyTax DC homepage, click the
Validate a Certificate of Clean Hands hyperlink under the Clean Hands section.
1101 4th Street SW, Suite W270, Washington, DC 20024/Phone: (202) 724-5045/MyTax.DC.gov
CERTIFICATIONS
I hereby certify that the proposed for the Agreement to Enter into a Long Term Subsidy Contract
(ALTSC) between District of Columbia Housing Authority (DCHA) and The Clara on
Martin Luther King, Jr. Avenue, LLC to provide annual subsidy for twenty (20) affordable
housing units, for a term of fifteen (15) years, in the initial annual amount of Three Hundred
Forty Four Thousand Four Hundred Dollars and Zero Cents ($344,400.00) to be financed from
DCHAs allocation of Local Rent Subsidy funds, is in compliance with the applicable Federal
and District of Columbia (the District) Regulations and the DCHAs policies and procedures.
6/30/21
Brenda Donald Date
Interim Executive Director, DCHA
I have reviewed this proposed ALTSC action and have determined that upon the Districts
release of the Local Rent Subsidy funds and the satisfaction of all requirements of the LTSC,
DCHA will make available of Three Hundred Forty Four Thousand Four Hundred Dollars and
Zero Cents ($344,400.00) in initial annual subsidy. This action is within DCHAs
apportionment and budget authority, and is within the Districts Financial Plan and Budget for
FY21, and such funds are available for administration by DCHA to support the action.
6/30/21
John Sarah Date
VP and Chief Financial Officer, DCHA
MEMORANDUM
TO: Brenda Donald
Interim Executive Director
Carolyn Punter
Sr. Vice President, Housing Choice Voucher Program
FROM: Andrea Powell
Deputy General Counsel
DATE: June 30, 2021
SUBJECT: Local Rent Supplement Program Agreement to Enter into a Long Term
Subsidy Contract between the District of Columbia Housing Authority and
The Clara on Martin Luther King Jr. Avenue, LLC
This memorandum responds to a request that the Office of the General Counsel review the
proposed Agreement to Enter into a Long Term Subsidy Contract (ALTSC) between the
District of Columbia Housing Authority (DCHA) and The Clara on Martin Luther King Jr.
Avenue, LLC (the Owner) for legal sufficiency:
Project:
The Clara on MLK Apts The Clara on Martin Luther King Jr. Avenue LLC (The Clara),
intends to develop 2311-2323 Martin Luther King, Jr. Avenue, SE into 81 units of affordable
rental housing with approximately 6,000 sq. ft. of retail space and 7,800 sq. ft. of ground floor
community space dedicated for residents and public use. The design concept that reflects the
priorities of both the District and the neighborhood by activating three underused lots, wrapped
in a high caliber design that offers a contemporary aesthetic. The development team has set out
to ensure that low-income individuals and families are afforded the opportunity to live affordably
in this neighborhood which is beginning to experience some of the changes that pushed rents
outside of the reach of similar individuals and families west of the Anacostia River. Specifically,
the building will provide neighborhood-serving, pedestrian-friendly retail on the ground floor
with six stories of residential above.
Medina LIFE and Banneker purchased most of the land and buildings from Masjid Muhammad
which owned the parcels for more than 50 years. The other parcel was purchased from an
investor who left the property vacant since buying it in 2017. The properties will be developed
into affordable housing which will (1) create an active and vibrant residential community and
serve to further the redevelopment of this corridor in Southeast, Washington, DC; and (2)
provide retail space to meet neighborhood serving retail needs.
The development site, 2311-2323 Martin Luther King Ave SE, (Lots 0039, 0819 and 0047 in
Square 5790) has a land area of approximately 26,000 square f