At this week’s Planning, Development and Real Estate Committee meeting, the committee will consider a proposal to enter an agreement with Marriott, who will be constructing a 162-room hotel on the Prince George’s Plaza Metro station site as part of a ground lease agreement (see map). Originally, the site was to have a free-standing bank, not a very high-density use of land near a Metro station.
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In order to secure a loan to build the hotel, Marriott needs to show its lenders that there is adequate parking for guests. Some of the hotel’s parking needs are being filled by an agreement with the existing retail parking garage, but they also need some additional spaces for guests. Rather than build additional parking, the hotel has proposed using 45 of Metro’s 1,068 parking garage spaces, which are currently only 51% occupied during the peak period.
Marriott will pay to install exit gates that will allow hotel guests to leave using hotel cards, and will pay Metro 150% of the current day parking rate per guest that uses the lot. Spaces will be first-come, first-served, not reserved for guests. If the parking lot starts getting full during the peak period, Metro has the option to cancel the agreement.
The presentation also has some great maps showing the amount of proposed transit oriented development at this metro station.
I think this is win-win-win. Metro gets development on its property, more riders (the station is only 8 stops or 20 minutes away from downtown), and revenue from an underutilized parking garage. Marriott reduces its cost to build new parking spaces and gets to promote its hotel as being convenient to Metro and shops, potentially increasing the room rate. The hotel customers get parking that’s convenient to both Metro and their hotel.
Crossposted on Greater Greater Washington.