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Is the market ripe for $2.5 million-plus condos in Bethesda?

By WTOP Staff

D.C.-based developer 1788 Holdings is going big on Bethesda’s high-end condo market, where it is planning to build 40 luxury residential units with an asking price in excess of $2.5 million.

The developer, teaming with Persimmon Capital Partners, has started work on The Lauren at 4901 Hampden Lane in Bethesda and plans to deliver the first of the condos in early spring 2016. The project is part of a continuing turnaround for the region’s condo market, which bottomed out during the recession but is now coming back in select markets across Washington.

“It went from being a space that was universally despised by the debt and equity markets to one that is now coming back,” said 1788 Holdings Principal Larry Goodwin. “We have had a tremendous amount of interest in The Lauren given it’s a downtown location and it’s urban.”

Goodwin said 1788 and Persimmon decided to move forward with the project for several reasons — its location, a lack of other newly built, high-end condos in the area, and the strong interest he has seen in another project, The Estate Condominiums at Quarry Springs that 1788 is building on River Road near Seven Locks Road.

The developers recently landed financing for the project through a series of lenders, including mortgage real estate investment trust Apollo Commercial Real Estate Finance Inc. They plan to begin demolition this week in time to break ground on the project later this month.

That still begs the question of whether D.C.’s condo market has come back enough to support a condo project with units selling for in excess of $2.5 million.

Goodwin believes it has, or will have come 2016, especially considering that D.C. hasn’t seen the kind of high-end condo development that have caught on in other major markets. Rather, he said, most of D.C.’s so-called condos are really just apartments dressed up with high-end amenities. Aside from the Parc Somerset, he added, there is not much to compare The Lauren to in the area, which will be more high end.

How so? Units in The Lauren will be between 2,500 and 3,500 square feet, bigger than the typical 1,300-square-foot unit in D.C. The ceiling heights will run between nine feet and 10 feet, compared with an average of eight feet or less. They’ll include gas appliances, vented fireplaces, a home automation system and custom cabinetry. About 70 percent will have their own direct-entry elevators. The project, as well as The Quarry, was designed by Robert M. Swedroe Architects with interior designs by Akseizer Design Group. The developers have retained James G. Davis Construction as their general contractor.

The developers have also retained TTR Sotheby’s International Realty to market units in The Lauren, with an asking price of between $2.5 million and $5 million. That does not include the penthouse suite, which will have 5,700 square feet of interior and an equal amount of exterior terrace space. That one, Goodwin said, “will be priced fairly dearly.”

Don’t Settle for Student Loans to Pay for Online Education

By WTOP Staff
Online college programs are becoming a more popular choice for prospective students, with one study finding that more than 6 million students enrolled in at least one online course in fall 2015. The popularity of these courses can be attributed in part to their flexibility with working adults' schedules, students' ability to progress more quickly through online programs and, oftentimes, cheaper tuition. [See 10 low-cost online bachelor's programs for out-of-state students.]Online degrees can be beneficial to many college students, but some studies have shown online learners complete their programs at lower rates than students at traditional brick-and-mortar campuses. Individuals with student loans but no degree comprise two-thirds of defaulted borrowers. Though these numbers are not encouraging, just like for traditional programs, there are ways to reduce how much you'll need to borrow for an online program to ensure you won't become one of these statistics. Don't just settle on borrowing student loans to cover the whole cost of your program and living expenses. Instead, start thinking about how to cut costs and cover your balance in different ways, such as the following. -- Grants and scholarships: Even though you are taking an online course, you can still apply and receive grants and scholarships. But your first step should be to complete the Free Application for Federal Student Aid, commonly referred to as the FAFSA, which will allow you to receive a Pell Grant if your expected family contribution is low enough. The EFC criteria and award amounts are adjusted annually, but the 2017-2018 academic year awards range from $606 to $5,920, which could significantly lower the amount you borrow annually. Your next step is to apply for scholarships. You can start by checking online scholarship search engines, such as the Salt Scholarship Search, College Board's BigFuture and Peterson's. But don't forget to take advantage of local organizations and your school's financial aid office. Both may offer scholarships that you can't find with a national scholarship search. [Review these 10 sites to kick off your scholarship search.]For instance, organizations like the Elks Club, Knights of Columbus or the Rotary Club typically offer scholarships annually to local students. Just because you're going to school online doesn't mean you're ineligible. Visit your local library for scholarship listings, and ask around town. You might be surprised how many local organizations offer scholarships. While these scholarships typically aren't large, every little bit counts. Each dollar you receive in a scholarship is a dollar you don't have to borrow and pay interest on. -- Work-study: Another option for online students may be work-study awards. Not all students enrolled in online programs are eligible, but students at some schools -- including, for example, SUNY Empire State College and Liberty University -- are. Work-study awards are not given upfront like scholarships and grants. In most cases, they are an offer to earn up to the awarded amount if you secure an eligible work-study job. While there is a misconception that all work-study jobs must be on campus, students can work for off-campus, nonprofit or public employers as long as the work is in the public's interest. You may be able to work for a for-profit employer if the job is relevant to your course of study. No matter who the outside employer is, it will need to have an established agreement with your college for you to receive work-study funds. Remember, to be eligible for federal financial aid, you must be enrolled and pursuing a degree or certificate. If you're not working toward a credential, Pell Grants and work-study won't be option, but you may still be able to take advantage of private scholarships -- just be sure to read the eligibility criteria carefully. [Explore what to know about financial aid in online programs.]-- Pay as you go: One of the great benefits to enrolling online is the flexible schedule, which can allow you to complete your college coursework around your responsibilities. But prospective students often overlook using their part- or full-time job earnings as an option for paying for college. Almost 80 percent of college students in 2015 worked at least part time while attending classes, according to the National Center for Education Statistics. By budgeting and thinking strategically about your college costs, you can likely reduce your dependence on student loans by paying a portion out of pocket. Many -- but not all -- online programs are less expensive than traditional programs and often have shorter payment periods. Six, eight or 10 weeks are common course durations. Because of the frequency of payments in an online setting, you may be well-placed to pay as you go and possibly avoid borrowing altogether. Attending college online and avoiding student loans may be challenging, but if you are willing to put in the effort, you can limit the amount you need to borrow. More from U.S. News Q&A: Understanding Student Loan Discharge Eligibility Student Loan Refinancing Isn't Right for All Borrowers
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