Thursday, July 31, 2014

Oxford Mills: Kensington's factory-turned-apartment complex a success



It didn’t take long for Oxford Mills to prove it’s unique approach to residential real estate is so far an early success.

D3 Real Estate, which is a development team consisting of Greg Hill and Gabe Canuso, partnered with Seawall Development Co. of Baltimore to convert an old dye works manufacturing plant at 100 W. Oxford St. in South Kensington into what is called Oxford Mills — The Center for Educational Excellence.

The $36 million project involved converting two buildings totaling 160,000 square feet into 114 apartments of which 60 percent have discounted rents and are set aside for teachers. The remainder of the units are rented at market rate. So far, more than 75 percent of the apartments have been leased out and finishing touches are being put on the development.

“The market rate units are going as fast as the teacher units,” Hill said.

Oxford Mills also includes 40,000 square feet of office space that is leased to educational nonprofits. It is anchored by Teach for America’s regional headquarters. About 2,500 square feet remains unoccupied.

Gryphon Cafe, which has its base on Lancaster Avenue in Wayne, Pa., has leased space in the building. Oxford Mills also has conference rooms and meeting spaces that are rented out for free to residents, non-profits and education entrepreneurial incubators.

In another way to cater to its main constituency, a dedicated area has been outfitted with teaching supplies and other equipment so that the teacher-renters can use it to help come up with their lesson plans. Yoga classes and other activities have also been planned to create a community within the new development, Canuso said.

While the rental numbers and other indicators show this type of special development can work, Hill is hesitant to say whether it can be easily replicated.

“It’s a delicate balance,” he said. “You have to have the right site, the right neighborhood...It’s a very challenging type of project.”

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