History Gets Hipper

Shops, java huts and haute condos keep Georgetown bustling

Real estate brochures love to tout "location, location, location." But if they're meant to sell a condominium or town house in Georgetown, the hyperbole might be true. The historic streets and brick sidewalks of D.C.'s oldest neighborhood may well represent the ultimate capital address.

It's here, after all, where Hollywood comes to film, chain stores come to open and people from college students to socialites come to be seen.

Georgetown actually predates the formation of the District itself. The Town of George began as its own municipality in 1751 and served as a thriving port for goods such as tobacco before it was formally annexed in 1871.

G-town established itself as an affluent neighborhood in 1862 with the addition of horse-drawn streetcars on M Street. But by the turn of the 20th century, the area had become a veritable slum, with industries like lumber yards and meat rendering plants lining the banks of the Potomac River. One remnant of those grimy days -- the 130-foot-high red brick smokestack of a former garbage incinerator -- now crowns a complex holding the Loews Georgetown 14 movie theater and the tony Ritz-Carlton hotel and condominiums.

Thanks mostly to FDR New Dealers, whose interest in Georgetown's storied past (and fab architecture) brought them back in the 1930s, the zone again started drawing the affluent, the fashionable and the politically plugged-in. Big-name residents recently past (John F. Kennedy) and present (John Kerry, George Stephanopolous), lively restaurants and high-end shopping solidified the neighborhood's cachet.

"I can't begin to say how much Georgetown's reputation has to do with why people are looking to buy here," said Nancy Taylor-Bubes, a Coldwell Banker Realtor who knows firsthand. Until recently, she lived in a condominium at the Washington Harbour, the luxe development where Wisconsin Avenue meets the Potomac. "But it's not always easy trying to buy here."

Georgetown, she said, has limited room for new condo complexes. And listings in established buildings often go as quickly as the $100-an-ounce skin creams peddled in the neighborhood's posh shops. "You're not likely to find much for less than half a million dollars," said Taylor-Bubes. On average, residential prices in Georgetown cost buyers upward of $700 per square foot.

But Sarah Hudson and Susan Fagen, Realtors with Long & Foster's Georgetown office, said it's always possible to find something. A recent troll through their listings showed 40 potential properties on the market in and around the area, ranging from a $259,000 studio to a nearly $4 million penthouse in a newer building by the river.

None of the 28 condos at the Ritz was on the market at press time. If they were, one can assume the personalized service of a boutique building (and its accompanying full-time staff) would fall into the upper brackets.

"I think people really like the neighborhood because it's so leafy and charming," said Fagen. "The homes are impeccable, and you walk along cobblestone streets under grand old trees."

It was just the kind of charm that 36-year-old attorney Alex Lakatos was seeking when he bought a two-bedroom condo at 2500 Q Street in early 2001. A partner at Mayer, Brown and Roe's West End office, he especially enjoys the five-minute walk to work each morning.

"And five minutes in another direction will take me right to Dupont Circle, or down to M Street into the heart of Georgetown -- it's just the perfect location," he said.

Lakatos remembers, all too vividly, the difficulties of finding the right place here at the right price. Sometimes, jumping into this hot zone just requires luck and timing.

"After four months of looking, I was actually able to see this place right before it was going on market. I loved it and bought it immediately for the asking price," he said. One of his favorite amenities is simple -- the view. At night, he can take in the sparkling high-rises of Rosslyn, Va. He and his wife, Kelly, make a tradition of watching the Fourth of July fireworks from their bedroom window.

Just down Q Street from Lakatos, there's a rather unusual Georgetown sight -- or site: new construction. Back from the street, and easy to miss, the Sheridan Garage, originally built in 1922 to house the cars of Georgetown's elite, has been vacant since the early 1980s. Local developer Kenner-Squire bought the property back in 2002, and after working with the neighbors and the Old Georgetown Board to come up with the final design, started the project late last year.

The plan calls for a conversion of the garage and the addition of two buildings that, when finished, will look like adjoining row houses. With an average size of 1,100 square feet each, the 34 Sheridan Garage units (priced from $600,000 to $900,000) are expected to deliver next summer.

Conversions of rental units to condos is popular in Georgetown right now. The Madelon, a brick building that shelters popular sidewalk restaurants like celeb haunt Cafe Milano (3251 Prospect St. NW; 202-333-6183), Bangkok Bistro (3251 Prospect St.; 202-337-2424) and Peacock Cafe (3251 Prospect St. NW; 202-625-2740), is in the process of fully renovating its 35 units. The condos, which until March were rentals, have no load-baring walls, meaning that floor plans can be modified to the owner's specifications.

"You basically pay for a clean shell, and the price includes a remodel of a new kitchen and bath," said developer Robert Elliott. "It's the best of both worlds: a brand-new home in a historic, green setting with plenty of shops and spots to eat."

One of the many businesses that make G-town appealing, Baked & Wired (1052 Thomas Jefferson St., NW; 202-333-2500) draws locals with its combo coffee bar and bakery. "Tourists are afraid to come in, because it doesn't say 'Starbucks,' " said owner Teresa Velazquez. "We get businesspeople and our neighbors." Velazquez, who often takes custom orders for parties and events in Georgetown, said she liked knowing what to make for residents even before they order.

The same bustling street scene that draws condo buyers also attracts new shops, many of them locally owned. Nancy Pearlstein, moved her upwardly hip men's and women's clothing boutique, Relish, (3312 Cady's Alley; 202-333-5343) to Georgetown from Chevy Chase two years ago. "I loved the space, the architecture. I like being by the canal," said Pearlstein. "I wouldn't be anywhere else in town."

And like many retailers, she finds that Georgetown crowds -- whether visitors or residents -- have the funds and appetite for high-end, high-style gear from labels like Marni and Junya Watanbe.

Anthony Lanier of EastBanc, the developer behind some of the biggest projects in Georgetown (Cady's Alley, the Ritz-Carlton and 3303 Water St.) sums it up: "There are criteria people look for when they're looking for a home: safety, access, convenience and prestige," said Lanier. "There's no area that combines these better than Georgetown."

So while Georgetown began as a cool spot, those white-wigged colonials probably never dreamed the neighborhood would still be an "it" zone centuries later. But G-town's forefathers might relate to its continuing blend of commerce and chic. Status, it seems, wears even better than cobblestone streets.

This article originally ran in Express on Sept. 28, 2006.