Judge Blocks Sale of Metro Land Across From Stadium

A federal judge has blocked Metro from selling a parcel of land across from the Washington Nationals' new baseball stadium to Akridge Co. after a rival development firm argued that it should be awarded the property.

U.S. District Judge Emmitt G. Sullivan ruled that Monument Realty, which sought to block the sale on the grounds that it offered more money for the land, will have a chance to make its case in a court hearing. Sullivan ordered a status conference for Friday.

The 2.2-acre property, which had been used by Metro as a bus garage, is at M and Half streets SE, one block north of the ballpark, near the Navy Yard and South Capitol Street. The site is in the heart of what D.C. government leaders said would become a lively entertainment district, with shops, restaurants, offices and condos, when they proposed the stadium in 2004.

With the 41,000-seat ballpark set to open at the end of the month, city and team officials are scrambling to finish construction and find enough parking to ensure a smooth opening day. City leaders have long said that the entertainment district will take years to develop, but the legal wrangling could further delay the economic development. That development was a key reason for the city's investment of $611 million in public money for the stadium project.

Monument Realty, which owns several acres near the ballpark, was named co-master developer by former mayor Anthony A. Williams's administration. Monument had sought to purchase Metro's land last year, but the transit authority elected to solicit competitive bids.

Akridge offered $69 million for the property. Monument offered $60 million but included an escalator clause stipulating that the company would pay $250,000 more than any higher offer.

However, Metro's board ruled that the bidding contest had expressly forbidden escalator clauses. The site was awarded to Akridge in October.

Monument officials said at the time that the ballpark district would not fulfill its potential because Akridge had not been part of the master planning and the two companies would be at odds if the sale went forward.

In a lengthy court complaint, Monument attorneys argued that D.C. residents "have an interest in the Ballpark District being developed in accordance with the vision of their elected officials."

In his order, Sullivan wrote: "Plaintiffs have demonstrated a substantial likelihood that they will succeed on their bid protest claim."

Officials for both development companies and Metro could not be reached last evening.