Downtown DC Is Tearing Down an Office Building for a $250 Million Residential Community — And It Just Landed $175.6 Million
For decades, K Street has been synonymous with offices, lobbyists and Washington's weekday workforce. But one of Downtown DC's most recognizable business corridors is beginning to look very different.
At 1990 K Street NW, an aging office building is being demolished to make way for 1999 Eye Street NW, a roughly $250 million mixed-use residential development that will bring hundreds of new homes, student/co-living housing and ground-floor retail to the heart of Washington.
And the project just reached an important financial milestone.
On September 3, 2026, reports revealed that the development secured approximately $175.6 million in construction financing, while an entity managed by MetLife Investment Management acquired a 72% interest in the project for approximately $58.7 million. (Biz Journals)
This isn't simply another apartment building. It's part of a much larger experiment underway in Washington: Can Downtown DC reinvent itself as a place where people live instead of primarily a place where people commute to work?
This Is What 1999 Eye Street Is Expected to Look Like
The renderings from project architect Design Collective show a dramatically different property from the office building it replaces.
The proposed 14-story building features a contemporary façade with large expanses of glass, balconies, landscaped areas and active street-level retail. Design Collective lists the overall development at approximately 522,000 square feet, including roughly 412,000 square feet of residential and amenity space. (Design Collective)
Rather than another block that becomes quiet when offices close, the vision is for a property occupied morning, afternoon, evening and weekends.
That's a fundamental change for this part of Downtown Washington.
Hundreds of New Homes Are Replacing an Office Building
Current project information describes approximately 434 residential units, although the precise mix has evolved between project documents.
Design Collective currently lists 434 residences, including 44 affordable units, while the latest financing report describes 340 market-rate apartments, 44 affordable apartments and 50 student-housing units accommodating approximately 200 beds. (Commercial Observer)
The project will also contain approximately 16,000–17,000 square feet of retail, depending on the source and stage of plans. (Commercial Observer)
That retail component matters.
Hundreds of residents living here every day create customers for restaurants, coffee shops, grocery stores and other businesses—not simply the Monday-through-Friday lunchtime traffic traditionally associated with K Street.
Imagine Living in the Middle of Downtown Washington
The location is arguably one of the project's strongest selling points.
1999 Eye Street sits in the Golden Triangle area, putting residents within the broader downtown business district and close to Dupont Circle, Farragut Square, George Washington University, Foggy Bottom and the White House area.
For someone who wants an urban lifestyle, the appeal is easy to understand: walkable streets, multiple Metro stations, restaurants, employment centers and many of Washington's major destinations within a relatively compact area.
And because Washington maintains a comparatively low-rise skyline, upper-floor residences and rooftop amenity areas in this part of the city can offer broad views across Downtown.
Downtown DC From Above Can Be Spectacular
These images are examples of elevated Downtown DC views, not confirmed views from 1999 Eye Street. Final sightlines from individual residences will depend on floor, orientation and surrounding buildings.
But they illustrate something important about living high above Downtown Washington.
Unlike cities dominated by clusters of skyscrapers, Washington's height restrictions create unusually open sightlines from many rooftop locations. From elevated vantage points around Downtown, landmarks such as the Washington Monument can rise dramatically above the otherwise relatively low skyline.
At sunset, that can create some extraordinary views.
For 1999 Eye Street, the combination of upper-floor residences, balconies and a central Downtown location could become a major part of the property's appeal, although the developer has not yet published confirmed unit-by-unit monument views.
The Building Is Designed Around Residential Life
This isn't simply an office floor plan being filled with apartments.
The existing building is being demolished and replaced with purpose-built residential construction.
That's important because office-to-residential conversions can become complicated when deep office floorplates, elevator cores and window locations don't work well for apartments.
Instead, 1999 Eye Street can be designed around residential needs from the beginning.
Engineering plans describe a central courtyard, premium residential lobby, below-grade parking and ground-floor retail. The project is also targeting LEED Gold and incorporates high-efficiency mechanical and plumbing systems. (Bala Consulting Engineers)
Why Is DC Replacing Offices With Housing?
Because Downtown Washington has changed.
Remote and hybrid work dramatically altered demand for traditional office space, while Washington simultaneously continues to need additional housing.
The District's response has been the Housing in Downtown program, which uses a 20-year tax abatement to encourage qualifying commercial properties to become residential developments. (DC Government)
But 1999 Eye Street takes the idea one step further.
Rather than simply converting the existing offices into apartments, the developers are demolishing the old building and constructing a new residential property in its place.
DC officials have specifically highlighted the project as an example of using the Housing in Downtown program to rethink underperforming office properties. (DC Government)
DC Wants 15,000 More People Living Downtown
This is where the project becomes much bigger than one building.
The District's broader strategy calls for adding 15,000 new residents to Downtown DC as the city attempts to create a neighborhood that remains active outside traditional office hours. (DC Government)
Think about what that potentially means.
More residents can support more grocery stores.
More restaurants can survive evenings and weekends.
Retail gets customers beyond office workers.
Public spaces become neighborhood amenities rather than places primarily used during the workday.
And buildings that have lost office tenants can potentially find entirely new uses.
1999 Eye Street is effectively a test case for that vision.
This One Project Could Bring More Than 700 Residents Downtown
When demolition began in September 2025, DC officials estimated the redevelopment could ultimately house more than 700 residents. (DC Government)
That's hundreds of people who could be walking these streets on Saturday mornings, eating at nearby restaurants at night and using neighborhood businesses throughout the week.
Multiply that across dozens of future residential projects and Downtown begins functioning differently.
Instead of:
Commute in → work → commute home
the neighborhood becomes:
Live → work → eat → shop → socialize → stay
That's the transformation DC is trying to encourage.
The Financial Deal Makes This Story Even Bigger
Lots of developments around the DMV produce impressive renderings.
Financing is where things become more serious.
The redevelopment has now secured approximately $175.6 million in construction financing, according to the latest reporting. A MetLife Investment Management-managed entity also acquired a 72% stake for approximately $58.7 million. (Biz Journals)
The roughly $250 million overall investment represents a substantial institutional bet on residential demand in Downtown Washington.
And that's arguably the biggest development in this story right now.
The project isn't simply sitting in the planning pipeline waiting for capital.
Major money is moving behind it.
Construction Is Already Underway
Demolition of the existing 1990 K Street NW office building began September 3, 2025. (DC Government)
The latest DC Development Report lists 1999 Eye Street as under construction, with targeted delivery in Q3 2028. DC's earlier announcement said the first residents were expected to move in by May 2028, so the exact opening schedule may continue to evolve as construction progresses. (Washington DC Economic Partnership)
Current Project Timeline
September 2025 — Demolition beginsThe existing office building at 1990 K Street begins coming down.
2025–2026 — Site preparation and redevelopmentThe property transitions from an aging office asset toward the new residential project.
September 2026 — Major financing milestoneApproximately $175.6 million in construction financing is secured and a MetLife-managed entity takes a majority interest. (Biz Journals)
2026–2028 — ConstructionThe new 14-story mixed-use building rises at the site.
2028 — Residents arriveCurrent public sources point toward delivery during 2028, with the DC Development Report targeting Q3 2028. (Washington DC Economic Partnership)
What Could This Mean for Downtown DC Real Estate?
This may be the most important part of the story for DMV homeowners, buyers and investors.
One apartment development isn't going to transform Downtown DC by itself. But hundreds—or eventually thousands—of additional residents could fundamentally change the economics of the neighborhood.
More residents create demand for retail and services. Better retail and neighborhood amenities can make Downtown more attractive to additional residents. More residential demand can encourage developers to redevelop additional obsolete offices.
That creates a potential cycle:
Empty offices → housing → residents → retail → neighborhood activity → additional investment.
The outcome isn't guaranteed, but that's essentially the real-estate thesis behind DC's strategy.
Could K Street Eventually Feel Like a Residential Neighborhood?
That's the fascinating question.
For generations, K Street's identity has been overwhelmingly commercial.
Imagine instead a future where people walk dogs outside former office towers, families live above restaurants, grocery stores serve thousands of Downtown residents and rooftops become residential gathering spaces overlooking Washington.
That doesn't mean offices disappear.
Washington remains a major employment center.
But the balance could change considerably.
The redevelopment of 1990 K Street provides a glimpse of what that future could look like.
And 1999 Eye Street Isn't Alone
DC says its Housing in Downtown pipeline already includes projects representing 1,745 housing units, including 176 affordable homes, across more than 2.1 million square feet of property. (DC Government)
Other projects are pursuing similar transformations.
That means Downtown's residential shift is becoming less of an experiment and increasingly a development trend.
If enough projects move forward, the Downtown Washington of the 2030s could feel considerably different from the Downtown many DMV residents remember before the pandemic.
From Office Cubicles to Downtown Living
That's ultimately what makes 1999 Eye Street interesting.
An older office property is disappearing.
In its place will rise a $250 million residential and mixed-use community designed to bring hundreds of people into Downtown permanently.
And now nearly $176 million in new construction financing has moved behind the project. (Commercial Observer)
For Washington real estate, this isn't merely a story about one building.
It's about what happens when a city realizes its traditional downtown needs an entirely new purpose.
If Downtown DC's offices continue becoming apartments, would you actually consider living there?
Thinking About Buying, Selling or Investing in the DMV?
Major redevelopment projects like 1999 Eye Street can change how entire neighborhoods function long before construction is finished.
If you're considering buying, selling, investing, relocating or exploring new construction anywhere across Washington, DC, Maryland or Northern Virginia, DMV Homes can help you understand the projects shaping the region.
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For official project renderings and additional design information, see Design Collective's 1999 Eye Street project page.
Development plans, unit counts, amenities and completion dates can change as construction progresses. Example skyline photographs above illustrate elevated Downtown DC views and should not be interpreted as guaranteed views from 1999 Eye Street.
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