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B26-0040 • 2025

1333 M Street, SE Tax Abatement Amendment Act of 2025

1333 M Street, SE Tax Abatement Amendment Act of 2025

Housing Land Taxes
Enacted

This bill passed the Legislature and reached final enactment based on the latest official action.

Sponsor
Allen
Last action
2025-09-12
Official status
Official Law
Effective date
Not listed

Plain English Breakdown

The official text confirms the law is enacted but does not specify if all construction conditions have been met yet; eligibility depends on future Mayor determinations starting in tax year 2029.

Tax Break for the Building at 1333 M Street SE

This law lowers property taxes for a specific building project in Ward 6 if the developer sets aside affordable housing units and builds certain public improvements.

What This Bill Does

  • Lowers real property taxes for the land at 1333 M Street, SE (Lot 2, Square 1048).
  • Allows a tax break starting October 1, 2029, that can last up to 15 years if conditions are met.
  • Reduces taxes by an amount equal to the assessed property tax over $150,000 per year.
  • Requires reserving at least 12% of residential space as affordable units for families earning 60% or less of the median family income (MFI).
  • Includes a requirement that three two-bedroom units in the East Tower be set aside for families earning 50% or less of MFI.
  • Requires building public improvements including a greenway on Water Street, SE; specific plazas and retail promenades; a reconstructed Anacostia Bicycle Trail; improved Virginia Avenue with bioretention facilities; and 52 short-term bicycle spaces.
  • Requires a one-time $25,000 payment to the Department of Parks and Recreation for senior programming at Arthur Capper Recreation Center.

Who It Names or Affects

  • FRFLandOwner LLC and its successors or affiliates who own the property at 1333 M Street, SE.
  • The Mayor of Washington, D.C., who must verify conditions are met before approving tax breaks each year.
  • The Office of Tax and Revenue (OTR), which processes the reduced taxes after receiving certification from the Mayor.

Terms To Know

Tax Abatement
A reduction in property tax bills for a set time, applied here to amounts over $150,000 per year.
Inclusionary Units
Housing units reserved for sale or rent to eligible households with lower incomes as required by zoning rules.
Median Family Income (MFI)
The middle point of family earnings in the area, used to determine who qualifies for affordable housing under this law.

Limits and Unknowns

  • The tax break only happens if the Mayor decides all conditions are met each year.
  • If the developer stops meeting the rules at any time, they lose the tax break starting from that date.
  • This law does not state how much total money will be saved because it depends on future property values.

Bill History

  1. 2025-09-12 Council of the District of Columbia LIMS

    Law L26-0022, Effective from Aug 16, 2025 Published in DC Register Vol 72 and Page 009561

  2. 2025-07-07 Council of the District of Columbia LIMS

    Transmitted to Congress

  3. 2025-07-04 Council of the District of Columbia LIMS

    Act A26-0080 Published in DC Register Vol 72 and Page 007515

  4. 2025-06-26 Council of the District of Columbia LIMS

    Enacted without Mayor's Signature with Act Number A26-0080

  5. 2025-06-25 Council of the District of Columbia LIMS

    Returned from Mayor

  6. 2025-06-10 Council of the District of Columbia LIMS

    Transmitted to Mayor, Response Due on Jun 25, 2025

  7. 2025-06-03 Council of the District of Columbia LIMS

    Legislative Meeting

  8. 2025-05-06 Council of the District of Columbia LIMS

    Legislative Meeting

  9. 2025-04-01 Council of the District of Columbia LIMS

    Legislative Meeting

  10. 2025-03-20 Council of the District of Columbia LIMS

    Committee Mark-up of B26-0040 by the Business and Economic Development Committee

  11. 2025-01-24 Council of the District of Columbia LIMS

    Notice of Intent to Act on B26-0040 Published in the District of Columbia Register

  12. 2025-01-21 Council of the District of Columbia LIMS

    Referred to Committee on Business and Economic Development

  13. 2025-01-10 Council of the District of Columbia LIMS

    B26-0040 Introduced by Councilmember Allen at Office of the Secretary

Official Summary Text

1333 M Street, SE Tax Abatement Amendment Act of 2025

Current Bill Text

Read the full stored bill text 
ENROLLED ORIGINAL
ANACT
D.C. ACT 26-80

INTHE COUNCIL OF THE DISTRICTOF COLUMBIA.
JUNE 26, 2025
ToamendChapter46ofTitle47oftheDistrictofColumbiaOfficialCodetoabatetherealpropertytaxesontherealpropertyknownfortaxassessmentpurposesasLot2,Square1048,Suffix-S,andlocatedat1333M Street,SE,inWard6.
BE IT ENACTED BY THE COUNCIL OF THE DISTRICT OF COLUMBIA, That this
actmay be citedasthe“1333 M Street,SE Tax Abatement Amendment Act of 2025”.
Sec.2.Chapter46ofTitle47oftheDistrictofColumbiaOfficialCodeisamendedasfollows:(a)Thetableofcontentsisamendedbyaddinganewsectiondesignationtoreadas
follows:
“47-4682.1333M Street,SEdevelopmentprojecttaxabatement”.(b)A newsection47-4682isaddedtoreadasfollows:“§47-4682.1333M Street,SEdevelopmentprojecttaxabatement.“(a)Forthepurposesofthissection,theterm:“(1)“Developer”meansFRFLandOwnerLLC,itssuccessors,affiliates,andassigns.(2)“InclusionaryUnits”meansaunitsetasideforsaleorrentaltoeligiblehouseholdsasrequiredbytheInclusionaryZoningProgramorestablishedbyanorderapprovingaPlannedUnitDevelopmentpursuanttoChapter3ofTitleI1-XoftheDistrictofColumbiaMunicipalRegulations.(3)“Orders”meansZ.C.OrderNo.20-06,effectiveApril23,2021,asamended
andextendedpursuanttoZ.C,OrderNo.20-06A,effectiveSeptember8,2022,Z.C.OrderNo.20-06B,effectiveApril7,2023,andZ.C.OrderNo.20-06C,effectiveApril28,2023.“(4)“Project”meansthePlannedUnitDevelopment(“PUD*)approvedbythe
ZoningCommissionoftheDistrictofColumbiapursuanttotheOrders.“(5)“Property”meanstherealproperty,includinganyimprovementsthereon,locatedat1333M Street,SE,knownfortaxassessmentpurposesasLot2,Square1048,Suffix-
ENROLLED ORIGINAL
S,oras thelandforsuch lotsmay be subdividedintorecordlots,assessmentand taxationlots,
condominiumlots,airrightslots,oranycombinationinthefuture.
“(b) Subjectto subsections(c)and (d)of thissection,forthe 15 consecutivetax years
beginningonOctober1,2029,thePropertyshallbeallowedanannualrealpropertytaxabatement
equaltotheamountoftherealpropertytaxesassessedandimposedbyChapter8ofthistitle,in
excessofanyamountover$150,000peryear.
“(c)The Propertyshallbe eligiblefortheabatementauthorizedin subsection(b)of this
sectionineach taxyearthatMayor determinesthattheDeveloperhas met thefollowing
conditions,consistent,as applicable,withthetermsestablishedundertheOrde
“(1)To theextentconstructed,theDeveloperhas reserveda minimum of 12% of
theresidentialgrossfloorareaoftheProjectasinclusionaryunitsforhouseholdsearningequal
toor lessthan60% ofthe median familyincome (“MFI”),including3 of the6 two-bedroom
inclusionaryunitsintheEastTower forhouseholdsearningequaltoor lessthan50% of the MFI;
“(2)TheDeveloperhasconstructedorisintheprocessofconstructingeachofthe
followingpublicspaceimprovementsthatprovidebenefitsofspecialvaluetotheneighborhood:
“(A) A neighborhoodgreenway on Water Street,SE, between 12th

andM Streets,SE;
“(B) The ArrivalPlaza,WaterfrontPlaza,14thStreetCorridor
Plaza,and Lower RetailPromenade;
“(C)A reconstructedAnacostiaBicycleTrailon M Street,SE;
“(D)Areconstructed VirginiaAvenue, SE with bioretention
facilities;and
“(E)Theinstallationof52 short-termbicyclespacesinpublic
spaceonM StreetandVirginiaAvenue,SE:
“(3)TheDeveloperhasprovidedaone-timemonetarycontributionintheamount
of $25,000totheDepartmentofParksandRecreationtosupporttheprogrammingforseniorsat
theArthurCapper RecreationCenter;and
“(4)The Developerhas provideda one-timemonetary contributionintheamount
of$25,000totheSeafarer’sYachtClub,locatedinWashington,DC tosupporttheoperationsand
preservationof theYacht Club.
“(@(1)ByOctober31ofeachtaxyearcommencingonorafterOctober1,2029,the
Developershallprovideto theMayor informationwith respecttoeach of theconditionsprovided
insubsection(c)ofthis sectionsufficienttoenabletheMayor todeterminewhethereach such
conditionhas been satisfied.
“(2) By December 31 of the tax year,the Mayor shalldeterminewhether the
Propertyiseligiblefortheabatementprovidedin subsection(b)of thissectionforthattaxyear
and shallso certifytothe Officeof Tax and Revenue (“OTR”). The Mayor's certificationshall
include:
“(A)TheDeveloper’staxpayeridentificationnumber;
2

ENROLLED ORIGINAL
“(B)AdescriptionoftheeligibleProperty,bystreetaddressandsquare,lot,
parcel,orreservationnumber,includingthenumberoffloors,location,andsquarefootage;
“(C)A statementas to whether the Developer has satisfiedtheconditions
enumeratedinsubsection(c)ofthissection;and
“(D)AnyotherinformationthatOTR considersnecessaryorappropriate.
“(3)Ifatanytime,theMayordeterminesthatthePropertyhasbecomeineligible
fortheabatementprovidedpursuanttothissection,theMayorshallnotifyOTR oftheProperty’s
ineligibilityandshallspecifythedatethatthePropertybecameineligible.
“(e)IfthePropertyiseligibleforthetaxabatementprovidedpursuanttosubsection(b)of
thissection,OTR shallprocesstheabatementbeforethefirstsemi-annualbillingof thetaxyear.
“()Therealpropertytaxabatementprovidedpursuanttosubsection(b)ofthissection
shallbe inadditionto,and not in lieuof,any othertaxreliefor assistancefrom any othersource
applicabletotheProjectortheProperty.
“(g)ThissectionshallnotpreventorrestricttheDeveloperfromutilizinganyothertax,
development,or othereconomic developmentincentivesavailabletotheProjector theProperty.
“(h)Nothing in thissectionshallbe construedto limitthe owner of the Propertyfrom
appealingorcontestingitsrealestatetaxassessment.”.

Sec.3.Fiscalimpactstatement.TheCounciladoptsthefiscalimpactstatementinthecommitteereportasthefiscalimpactstatementrequiredbysection4aoftheGeneralLegislativeProceduresActof1975,approved
October16,2006(120Stat.2038;D.C.OfficialCode§1-301.47a).
Sec.4.Effectivedate.
This actshalltakeeffectfollowingapprovalby theMayor (orintheeventof vetoby the
Mayor, actionby theCounciltooverridetheveto)and a 30-day periodof congressionalreview

ENROLLED ORIGINAL
asprovidedinsection602(c)(1)of theDistrictof Columbia Home Rule Act,approved December
24, 1973 (87 Stat.813;D.C. OfficialCode § 1-206.02(c)(1)).
‘rman
Councilof theDistrictof Columbia
UNSIGNED
Mayor
ie96ob

COUNCILOF THEDISTRICTOFCOLUMBIA
WASHINGTON,DC,20004

[ITEMONCONSENTCALENDAR.
[XTACTION FirstReading
(X]VOTEDATE ‘April,2025
(X1VoIcEvore Approved
RECORDEDVOTEONREQUEST Mendelson
‘ABSENT
[}ROLLCALLVOTE-Result

[CouncilMember_| Aye|Nay[NV|AB[Rec|CounciMember[Aye|Nay|NV|AB|Rec|CouncilMember|Aye[Nay|NV[AB[Rec
ChairmanMendelson)| X Henderson x Pinto
Allen x LewisGeorge_| x R.White
Bonds x McDuffie x
Felder x Nadeau x
Frumin x Parker x
X-IndicateVote AB Absent NV-Present,NotVoting Rec-Recused
CERTIFICATIONRECORD be A wwe
Date
[]ITEMONCONSENTCALENDAR
DacTion FinalReading
[xX]VOTEDATE June3,2025
[DgVoicevoTe ‘Approved
RECORDEDVOTEONREQUEST Mendelson
ABSENT Pinto
[JROLLCALLVOTE~Result

CouncilMember[Aye[Nay|NV[AB[Rec[CouncMember[Aye[Nay|NV[AB[Ree|CouncilMember[Aye[Nay|NV[AB[Rec
ChairmanMendelson]| X Henderson|x Pinto x
Allen x LewisGeorge| x R.White x
Bonds x MeDutfe x
Felder x Nadeau x
Frumin x Parker x
X--IndicateVoto ‘AB~Absent NV--Present,NotVoting Rec-Recused
CERTIFICATIONRECORD

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