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					2005
DOWNTOWN BUSINESS IMPROVEMENT DISTRICT

state of downtown
                                                                                                          WASHINGTON, DC METROPOLITAN AREA




                                                                                                                                                                                                   MONTGOMERY
                                                                                                                                                                                                     COUNTY




                                                                                                                                                                                                                          Maryland




                                                                                                                                                                                                                                                         DC                        DOWNTOWN BID
                                                                                                                                                                               Virginia
                                                                                                                                                                                                                 Falls         ARLINGTON
                                                                                                                                                                                                                 Church           COUNTY
                                                                                                                                                                                        Fairfax
                                                                                                                                                                                                                                                                                                  PRINCE
                                                                                                                                                                                                                                      Alexandria
                                                                                                                                                                                                                                                                                                 GEORGE’S
                                                                                                                                                                                                       FAIRFAX                                                                                    COUNTY
                                                                                                                                                                                                       COUNTY



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                                                                                                                                                                                                                                                                                                                   MILES




DOWNTOWN BID MAP


                                                                                                                                                                                                                    N ST.                                                                                                                         N ST.
                                                                    13TH ST.



                                                                                       12TH ST.

                                                                                                       11TH ST.

                                                                                                                       10TH ST.




                                                                                                                                                9TH ST.




                                                                                                                                                                  7TH ST.




                                                                                                                                                                                         6TH ST.

                                                                                                                                                                                                       5TH ST.




                                                                                                                                                                                                                                                                            DOWNTOWN BID
                                                                                                                                                                                                                                              NEW




       Scott                               Thomas
       Circle                               Circle                                                                                                                                                                                                                                                                                                PATTERSON ST.
                                                                                                                                                                                                                                               JERS




                                                                                                                                                                                                                                                                            Metro
                                                                                                                                                                                                                    M ST.                                                                                                                         M ST.                    NoMA
                                                                                                                                                                                                                                                   EY A




                                                                                                                                                Washington
          16TH ST.




                                                                                                                  Shaw                                                            Shaw
                                                                                                                                                                                                                                                        VE.




                                      Midtown                       MA                                                                          Convention
                                                                               SSA
                                                                                     CHU                                                          Center                                                                      VE.                                          Northwest                                                              PIERCE ST
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                                                                                           SET                                                                                                                     YOR                                                        One
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                                      NT




                                                                                                                                                                                                                                              395
                                 MO




                                                                                                                                                                                                                                                                                  1ST ST. NW
                           VER




  Central                                                                                                                                                                                                          Mount
                                                                                                                                                    Mt. Vernon
 Business                                                 K S T.
                                                                                                                                                     Square
                                                                                                                                                                             K S T.                               Vernon                                                                                                                          K S T.
                                                                                                                                                                                                                                                                                                                                 N. CAPITOL ST.




  District           McPherson                           Franklin                                                                                                                                                 Triangle
                      Square                              Square
                                                          EYE ST.                                                                                                                                                   EYE ST.
                                                                                                                                                                                                                                                          395
                                                                                        .                         Old Convention
                                                                                  AVE
                                                                                                                                                                                                                                                                                                                                                                       E
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                                                                               RK                                   Center Site                                    Chinatown
        H ST.                                                           YO                                                                                                                                                                                                                                                                        H ST.
                                                                    W
                                                               NE                                                                                         H ST.                                                                                   MA
                                                                                                                                                                                                                                                                                                                                                                1ST




      Lafayette                                                                                                                                                              Gallery                                                                     SSA                                                                                      G PL.
       Square                                                                                                                                                                 Place                                 General                                    CH
                                                                                                                                                                                                                                                                    USE
                                                                                                                                                                             Retail                              Accountability                                            TTS
                                                                                                                                                                                                                                                                                 AVE                                                              G ST.
                                                                                                                                                                                                                    Office                                                                .
                                                          G ST.                                                                                                             Verizon                                 G ST.
                                                                                                                                                                            Center                                                                                        Georgetown
                                                                                                                                                                                                                                                                          Law School                                                                                  Union
                                                          F ST.                                                                                                                                                                                                                                                                                                      Station
       White
                                                                                                                                                                                                                                               3RD ST.
                           15TH ST.



                                              14TH ST.




                                                                    13TH ST.




                                                                                                       11TH ST.

                                                                                                                      10TH ST.




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                                                                                                                                                                  7TH ST.




                                                                                                                                                                                         6TH ST.

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                                                                                                                                                                                                                                    4TH ST.




       House                                                                                                                                                                                                                                              395
                                                                                                                                                                                                                                                                                               NEW
                                                                                                                                                                                                                                                                2ND ST.




                                                          E ST.                                                                                                                                                     E ST.
                                                                                                                                                                                                                                                                                  1ST ST.
                                                                                                                                                                                                                                                                                                JERS




                                                                                                                                    FBI
                                                                                                                                                                                                                                                                                                     EY A




                                                                                                                                                                  Penn Quarter
                                                                                                                                                                                                                                                                                                                                                                E.
                                                                                                                                                                                                                                                                                                                                                           E AV




                                                                                                            PEN                                                                                                     D ST.
                                                                                                                                                                                                                                                                                                                            E.
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                                                                                                                      NSY                                                                  VE      .
                                                          Ronald                                                                  LVA                                                   AA                                                          Dept.                                                              AV
                                                                                                                                                                                  IAN
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                                                                                                                                        NIA
     The Ellipse                                         Reagan                                                                               AVE                           IND                                                                    of Labor                                                       NA
                                                                                                                                                    .                                                                                                                                                         A
                                                         Building                                                                                                                                                                                                                                          SI
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                                                                                 Federal Triangle

                                                         CONSTITUTION AVE.                                                                                                                                                                                       CONSTITUTION AVE.

                                                                                                  NATIONAL MALL                                                                                                                                                                                                                                       0                    N   1000
                                                                                                                                                                                                                                                                                                                                                                      FEET
table of contents
Year in Review                                                               2

Current Development                                                          3

Employment                                                                   5

Office Market                                                                7

Population and Housing                                                      12

Conventions, Hotels and Tourism                                             17

Culture and Entertainment                                                   20

Restaurants and Retail                                                      23

Transportation                                                              27

DC Financial Overview                                                       31




The Downtown Business Improvement District is a private, non-profit organization
that provides safety, hospitality, maintenance, homeless, economic development,
transportation, streetscape and marketing services to Washington’s center city.
Our mission is to help promote Downtown as a premier commercial, cultural
and residential destination.




                                                                             1
year in review
The purpose of the State of Downtown report is to provide the best information available on the current and future state
of the economy of the Downtown Business Improvement District to property owners, commercial tenants, developers,
investors and policy makers.

As with the past several years, in 2005, the state of the Downtown economy was very good. Again, it was a year of major
accomplishments in job creation, in development projects completed and new ones started, and in achieving a “living”
Downtown.

Today, Downtown is almost completely built out, with only seven surface parking lots available for development. When the
Verizon Center opened in December 1997, there were more than 70 surface parking lots in the Downtown BID. The number
of planned projects in Downtown will decline over the next few years as commercial development, job creation and housing
construction move to new center city locations, such as the Mount Vernon Triangle, NoMA and near Southwest and Southeast
(near the site of the new baseball park) or to other large sites, such as St. Elizabeth’s, Walter Reed, Poplar Point, Reservation
13, the Armed Forces Retirement Home and McMillan Reservoir. The success of developers, investors, businesses and residents
in Downtown has created an exciting environment for new projects in these other DC neighborhoods.

Two highlights of 2005 are the continued strong projections for job growth and population growth in Downtown over the
next five years:
• DC job growth is projected at more than 5,000 per year, including more than 4,000 office jobs.
• Downtown and near Downtown populations are projected to grow by more than 21,000 total residents, of which 15,000
  will be within 15 blocks of the Verizon Center

Even Downtown’s long struggling retail economy is now growing quickly. Bed, Bath & Beyond’s recent opening completes
the shoppers’ goods tenancy at Gallery Place. The recent announcement of West Elm coming to the Woodies building and
Johnston & Murphy at 13th and G Streets continues to build the critical mass of shoppers’ goods retail. Next, we expect
the 900 through 1100 blocks of F Street to bring approximately 70,000 to 100,000 square feet of shoppers’ goods. And
the final piece to Downtown’s revitalized shopping destination will be almost 300,000 square feet of retail at the old
Convention Center site, possibly including a boutique department store. Then, Downtown will have more than 600,000
square feet of destination retail.

Two major BID research projects were studies of the DC office market and Downtown shoppers’ goods retail demand. These
are discussed in respective sections of this year’s report.

Maintaining the welcoming, understandable and predictable development environment of the last eight years will be essential
to completing Downtown’s build out and expanding development to new areas of the city. With more than 60 million square
feet of development potential, DC can enjoy annual development of five million square feet over the next 12 years; thus
adding $40 to $60 million of new tax revenue per year. This new tax revenue can insure that all city residents are connected
to current and future development by funding new schools, affordable housing and job/life training.

Downtown continues to be a major contributor to city neighborhoods through employment and net tax revenues estimated
by the Downtown BID to be in excess of $500 million per year, or approximately 50% of the DC public school budget.


The Downtown BID
May 2006




2
current development

Although 2005 was another robust year in project completions, groundbreakings and new announced plans, the Downtown
BID’s development boom will be slowing down over the next several years. In 2005, an almost-record 15 projects worth $660
million were completed. Ten projects worth $590 million broke ground. And, eight new planned projects were announced.

Highlights of the completed projects in 2005:
• Five condominium projects, totaling 835 units and $232 million
• The new Judge William B. Bryant Annex to the Barrett Prettyman Federal Courthouse, totaling 350,000 square feet
  and $120 million
• Two office buildings with law firm lead tenants, totaling 400,000 square feet and $160 million
• The Woolly Mammoth Theater build-out, totaling 265 seats and $8 million
• The Embassy Suites Hotel, totaling 383 rooms and $95 million
The federal and local governments’ investment in these projects totaled $157 million, or 24% of 2005’s total, a bit higher
than the previous five-year total of 26%.

Highlights of the projects under construction at December 31, 2005:
• Eleven office buildings, totaling $840 million and 2.8 million square feet
• Three major cultural projects, totaling $730 million, including The National Portrait Gallery and Smithsonian American
  Art Museum renovation; The Newseum; and The Sidney Harman Center for the Performing Arts
• Four residential projects, totaling 513 condominiums $187 million
The federal and local governments’ investment in these projects totals $192 million, or 10% of the December 31, 2005
$1.9 billion total.

Highlights of the planned projects for the next 36 months at December 31, 2005:
• The new headquarters hotel for the new Convention Center ($550 million)
• The old Convention Center site redevelopment ($900 million)
• Nine new office projects totaling $638 million and 2.1 million square feet
• The Woodward Office Building’s renovation into the Woodward Apartment Building, totaling 189 apartments and $50 million
• The First Congregational Church demolition and rebuilding, with a new sanctuary, several floors for 70 condominiums and
  a new Downtown Homeless Services Center.
The federal and local governments’ investment in these projects totals $500 million, or 16% of the December 31, 2005
$3.0 billion total.

                                                                                                                             3
current development



         DOWNTOWN BID PROJECTS COMPLETED SINCE JANUARY 1, 2000                                                                                                                              84

           80                               Total Number of Projects Completed                                                                                 69
           70

           60                                                                                                                       51

           50                                                                                   37
           40

           30                                                     21

           20                          10

           10

            0
                  1Q      2Q      3Q        4Q   1Q    2Q    3Q     4Q    1Q      2Q      3Q       4Q        1Q     2Q         3Q     4Q   1Q     2Q     3Q       4Q     1Q     2Q     3Q     4Q
                                2000                  2001                        2002                              2003                          2004                         2005
                By Year          10                    11                          16                                14                            18                           15


                                                                                                                                                                                            $5.5
         $6.0                                 Total Value of Projects Completed
                                                          (Billions of $)                                                                                    $4.8
         $5.0
                                                                                                                                    $3.7
         $4.0

         $3.0                                                                                   $2.0

         $2.0                                                     $1.1
                                       $0.5
         $1.0

            0
                  1Q      2Q      3Q        4Q   1Q    2Q    3Q     4Q    1Q      2Q      3Q       4Q        1Q     2Q         3Q     4Q   1Q     2Q     3Q       4Q     1Q     2Q     3Q     4Q
                         2000                         2001                       2002                             2003                          2004                           2005
                By Year $0.5                          $0.6                       $0.9                             $1.7                          $1.1                           $0.7

         SOURCE: Downtown BID




    “Washington, DC is a great
                                                                         DOWNTOWN BID DEVELOPMENT YEAR-END PIPELINE
     comeback story. You have more
     people migrating back to the                                                          Number of Projects
                                                                                           Under Construction
                                                                                                                                                       Number of Projects
                                                                                                                                                       In Planning Stage*
     District to live, more companies
                                                                         30
     seeking to locate there and a
                                                                         25
     stable political situation.”
                                                                         20
     TIAA-CREF
                                                                         15

                                                                         10

                                                                           5

                                                                           0
                                                                                 ’00       ’01         ’02    ’03        ’04        ’05         ’00    ’01       ’02     ’03     ’04    ’05
                                                                                $2.2 $2.4 $3.0 $2.0 $1.9 $1.9                                   $2.9 $2.8 $2.4 $2.5 $2.5 $2.5
                                                                                                 Value (Billions of $)                                        Value (Billions of $)

                                                                         *Expected to break ground in 36 months.
                                                                         SOURCE: Downtown BID




     4
employment

Employment growth in DC has been revised upwards to 8,900 from 6,900 since we last reported in
the 2004 State of Downtown. Preliminary employment growth numbers for DC for 2005 are at 7,500 —
another year of strong performance. Projections are for continued strong, but slightly slower, growth
in this sector over the next few years.

In Downtown, the BID estimates job growth at 4,000 in 2005 (53% of the city total), as 800,000
square feet of office space was occupied and the office vacancy rate dropped (2,700 office jobs), more
restaurants opened (500 jobs), several new retail stores opened (200 jobs), 383 new hotel rooms came
on line and hotel occupancy increased (600 jobs). Downtown’s job growth provided employment for
workers at all levels of education and training.

There is additional good news: preliminary numbers for March 2006 showed the DC unemployment
rate at 5.3%, a significant decrease from 7.8% in March 2005 and more than 8% in 2004. Also,
preliminary March 2006 numbers show that the city added another 4,300 jobs in the first four
months of 2006, a growth rate higher than Maryland and Virginia.




                                                                                                         5
employment




        EMPLOYMENT HISTORY FOR                                                                                     EMPLOYMENT GROWTH IN DC, 1994-2009
        DC AND THE REGION, 1990-2005
                                                                                                                                              Increase or Decrease in Jobs
                                      Number of Jobs (Thousands)                                                                                       (Thousands)
                         DC          Suburban Maryland                   Northern Virginia                          25
        1,500
                                                                                                                    20

                                                                                                                    15
        1,200                                                                                                                                                                             7.5
                                                                                                                    10                                                                                                4.0

         900                                                                                                         5

                                                                                                                     0

         600                                                                                                        -5

                       JOBS    686                                 650                             682             -10
         300         PCT. OF
                               30%                                 24%                             23%
                     REGION                                                                                        -15
                                                                                                                                                                                                        PROJECTION
                                                                                                                   -20
            0                                                                                                               94 95 96 97 98 99 00 01 02 03 04 05 06 07 08 09
                 90 91 92 93 94 95 96 97 98 99 00 01 02 03 04 05
                                                                                                                   SOURCES: Bureau of Labor Statistics (actual figures); Center for Regional Analysis, George Mason
        SOURCES: Bureau of Labor Statistics and Center for Regional Analysis, George Mason University              University, March 2006 (projection)




        EMPLOYMENT IN DC–PRIVATE AND GOVERNMENT SHARES

                                    Private Sector                                                                                                     Government Sector
        1995                              60%                                                                                                                    40%

        2005                              66%                                                                                                                    34%

        SOURCE: Department of Employment Services, DC Government




                                                                                              key employment facts AT MARCH 31, 2006
                                                                                              1. DC IS HOME TO 689,600 EMPLOYEES
                                                                                              • 229,600 government sector employees
                                                                                                190,500 federal government employees
                                                                                                39,100 local government employees
                                                                                              • 460,000 private sector employees
                                                                                                307,500 service sector employees
                                                                                                74,000 “other” private sector employees
                                                                                                56,100 leisure and hospitality employees

                                                                                              2. DC IS HOME TO 273,600 EMPLOYED RESIDENTS
                                                                                                 AND 15,800 UNEMPLOYED RESIDENTS




    6
office market

The office market continued its strong performance in 2005, with lower vacancies and higher rents than surrounding juris-
dictions and all other Downtown markets in the nation, except Midtown Manhattan. The Association for Foreign Investors
in Real Estate (AFIRE) ranked DC as the second Best Global City for Real Estate Investment (behind London) after three
straight years in first place and continues to rank DC number one among U.S. cities for real estate investment.

Law firms are lead tenants for most of the new office buildings built in the Downtown BID. Four large law firms signed leases
on F Street east of 10th in the past several years, with another likely at 1199 F Street. Within two years, the Downtown BID
will be home to 15 of the city’s 25 largest law firms and 27 of the city’s 50 largest law firms.

The federal government continued its role as a major tenant in the Downtown BID with several new leases and renewals.

The nonprofit sector also maintained a prominent role in the Downtown BID office market with several smaller buildings
constructed to target this segment. The International Union of Bricklayers & Allied Craft Workers is developing 115,000
square feet of office space above the Shakespeare Theatre’s new Sidney Harman Hall at 620 F Street, NW.

DC’s strong office market is the most attractive in the United States for new capital for developing new office buildings.
At approximately six million square feet of new office/substantial rehab construction, DC represented 31% of all U.S. down-
town office market construction, slightly ahead of Midtown Manhattan’s 29% share. DC’s market share in this category is
up significantly from 15% and 19% in 2004 and 2003, respectively.

DC set a new record for office sale prices per square foot across the board at more than $400 per square foot for all office
classes and more than $500 per square foot for Class A space. The Downtown BID had the highest average prices in the
city at more than $570 per square foot for Class A space. However, the Downtown BID lost its hold on the office price per
square foot sale record to the Central Business District: 1601 K Street, NW (Golden Triangle) sold at $699 per square foot,
topping the 555 11th Street, NW (Downtown BID) sale for $688 per square foot.




                                                                                                                               7
office market



                                                                                                                    DOWNTOWN BID OFFICE MARKET OVERVIEW
                                                                                                                    AS OF DECEMBER 31, 2005
    “While the outlook for Federal demand in 2006 remains                                                                                                                Vacancy*
                                                                                                                    Space Inventory
     uncertain, we expect to see continued demand from                                                              (Millions of SF)                                     All Office                      7.6%
     the private sector, particularly, mid-size[d] law firms and                                                    Privately-owned, rented*   31                        Class A                         7.9%
                                                                                                                    Privately-owned, occupied*  6
     professional service groups. This, coupled with the lack                                                       Government-owned, occupied 17
                                                                                                                                                                         Rental Rates*
     of significant availability (50,000+ square feet) across all                                                   Total Space                              54          (Full Service Rent/SF)
                                                                                                                    Class A Space                            26          All Office                     $44.56
     existing product types, will continue to push rental rates
                                                                                                                                                                         Class A                        $49.05
                                                                                                                    * Downtown BID uses Cushman &
     upward throughout the market. Developers will seek new                                                          Wakefield’s East End office market as
                                                                                                                     the Downtown BID office market.                     Class A Absorption Averages*
     opportunities to add value in emerging infill submarkets                                                        Data does not include bulidings under               (Thousands of SF/year)
                                                                                                                     25,000 SF.
     such as Midtown and Mount Vernon Triangle.”                                                                                                                         Last 5 years                     831
                                                                                                                    SOURCES: Cushman & Wakefield, Downtown BID           Last 10 years                    567
     JONES LANG LASALLE




         NATIONAL COMPARISON OF URBAN OFFICE MARKET STATISTICS
              Increase                              Class A Asking Rents                                     Class A Vacancy Rates                                   Overall Vacancy Rates
              Decrease                                            Percent Change From                                              Change From                                              Change From
                                              2005                    2004 2001                                 2005               2004 2001                         2005                   2004 2001
         DOWNTOWN BID*                  $49.05                          4.0%        8.3%                     7.9%                   -5.9      -6.1                7.6%                        -1.4       -0.3
         DC                             $47.58                          3.2%        6.7%                     9.6%                   –0.3 –2.2                     7.2%                            0.1     0.4
         Atlanta                        $21.12                          0.1%      -2.7%                  21.0%                      -2.0       8.9               21.7%                            1.2     6.1
         Boston                         $39.79                          6.4% -26.9%                      11.4%                      -2.3      -0.4               12.6%                        -1.9        0.5
         Chicago                        $34.03                         -0.1%      -5.5%                  16.6%                         2.8     4.9               18.1%                            0.9     5.4
         Dallas                         $23.26                         -2.5%        1.7%                 14.6%                      -1.1       0.4               27.0%                        -2.6        1.3
         Denver                         $22.41                          3.8% -18.2%                      12.0%                      -5.2       5.9               14.6%                        -4.1        2.8
         Los Angeles                    $28.05                          4.4%      12.9%                  13.5%                      -2.9      -3.9               14.3%                        -2.6       -2.6
         New York (Downtown)            $35.02                         -2.9% -28.2%                      10.1%                      -3.5       2.4               10.6%                        -3.1        1.1
         New York (Midtown)             $54.41                          1.2% -13.2%                          7.6%                   -2.6      -0.1                7.8%                        -2.3       -0.4
         Philadelphia                   $25.53                         -2.4%      -6.2%                  15.1%                      -2.2       2.8               15.6%                        -1.6        2.6
         San Francisco                  $36.48                         19.7%      -9.0%                  14.8%                      -3.2      -0.1               14.8%                        -2.6       -1.1

         * Downtown BID uses Cushman & Wakefield’s East End office market as the Downtown BID office market.

         SOURCE: Cushman & Wakefield




                                                                            OFFICE SALES IN TOP 10 DOWNTOWN MARKETS
                                                                            Ranked by 2005
                                                                            price per SF.
                                                                                                                         Price Per Square Foot                                        Average Dollar
                                                                                                                                                                                      Sales Volume
                                                                                                                                                Percent Change From                    2001-2005
                                                                                                                                                                                        Billions of $
                                                                                                     2005       2004       2003        2002        2004    2002
                                                                            DC                        $409      $360       $311        $271          13.9%        50.9%            $3.2
                                                                            Manhattan                 $399      $298       $314        $337          33.8%        18.2%            $8.6
                                                                            Boston                    $346      $292       $287        $249          18.4%        39.1%            $1.8
                                                                            San Francisco             $313      $296       $203        $220           5.7%        41.8%            $1.6
                                                                            San Diego                 $291      $266       $197        $247           9.4%        17.8%            $0.4
                                                                            Los Angeles               $241      $184       $136        $175          31.1%        38.2%            $1.5
                                                                            Miami                     $210      $150       $140        $202          40.5%         4.2%            $0.3
                                                                            Chicago                   $185      $185       $196        $181           0.2%         2.2%            $3.0
                                                                            Houston                   $159      $137         $68        $90          15.7%        76.4%            $0.5
                                                                            Philadelphia              $137      $129         $94       $122           6.2%        12.1%            $0.6
                                                                            SOURCE: Real Capital Analytics




     8
                                                                                                                                                                  office market



METRO AREA OFFICE MARKET INDICATORS, 1995-2005

VACANCY RATES
                   DOWNTOWN                                                                                               Suburban                     Suburban
20%                                                                           DC
                      BID*                                                                                                Maryland                      Virginia

16%
                                          7.6%                                            7.2%
12%


 8%


 4%                                                                                                                                  10.3%                             10.7%


 0
         95     97      99    01       03     05           95     97     99        01   03     05        95     97        99   01    03     05   95   97     99   01   03     05



RENTAL RATES                       (Per SF, weighted average of both full service and triple net rents)

                   DOWNTOWN                                                                                               Suburban                     Suburban
$60                                                                           DC
                      BID*                                                                                                Maryland                      Virginia

$50

$40                                                                                                                                                                    $28.12
                                                                                                                                     $25.31
$30                                    $44.56                                           $42.37
$20

$10

     0
         95     97      99    01       03     05           95     97     99        01   03     05        95     97        99   01    03     05   95   97     99   01   03     05


OFFICE SPACE INVENTORY                                     (Millions of SF)

                   DOWNTOWN                                                                                               Suburban                         Suburban         117
                                                                              DC
120                   BID*                                                                                                Maryland                          Virginia
                                                                                             92
100

 80
                                                                                                                                          51
 60
                                            31
 40

 20

     0
         95     97      99    01       03     05           95     97     99        01   03     05        95     97        99   01    03     05   95   97     99   01   03     05



NET ABSORPTION                          (Millions of SF)

 12                DOWNTOWN                                                                                               Suburban                         Suburban
                                                                              DC
                      BID*                                                                                                Maryland                          Virginia
 10

     8
                                                                                                                                                                             4.6
     6
                                                                                             2.2
     4                                      0.9                                                                                           1.3

     2

     0

  -2
         95     97      99    01       03     05           95     97     99        01   03     05        95     97        99   01    03     05   95   97     99   01   03     05

* Downtown BID uses Cushman & Wakefield’s East End               NOTE: Data does not include owner-occupied buildings,
 office market as the Downtown BID office market.                one-story buildings, or bulidings less than 25,000 SF.
SOURCE: Cushman & Wakefield




                                                                                                                                                                                   9
office market



                REGIONAL CLASS A OFFICE MARKET COMPARISON

                VACANCY                                 Rates**                            Change from 2001                           Change from 2004
                RATES                         2001        2004       2005                Percentage Point Change                   Percentage Point Change
                Downtown BID*                 11.9%      11.7%         7.9%                                 -4.0                                      -3.8
                DC                            10.1%       8.2%         9.6%                                 -0.5                               1.4
                Montgomery County             10.3%      11.0%         8.3%                                 -2.0                                      -2.7
                Prince George’s County        10.2%       9.3%         6.8%                                 -3.4                                      -2.5
                Suburban Maryland             10.3%      10.7%        8.1%                                  -2.2                                      -2.6
                Alexandria                    12.3%      10.1%        4.2%                                  -8.1                                      -5.8
                Arlington County              11.0%       8.8%        9.5%                                  -1.5                               0.6
                Fairfax County                17.0%      14.1%        9.3%                                  -7.7                                      -4.8
                Loudoun County                27.5%       8.5%       15.0%                                 -12.5                               6.5
                Suburban Virginia             15.5%      12.2%        9.5%                                  -5.9                                      -2.6


                RENTAL RATES                       Rates*** (Per SF)                       Change from 2001                           Change from 2004

                                              2001        2004         2005                  Percent Change                              Percent Change
                Downtown BID*                 $45.29     $47.17      $49.05                    3.8%                                          1.9%
                DC                            $44.60     $46.13      $47.48                    2.9%      9                                   1.4%
                Montgomery County             $31.25     $28.93      $29.97                              -1.3%                               1.0%
                Prince George’s County        $20.86     $21.21      $21.96                    1.1%                                          0.7%
                Suburban Maryland             $29.19     $27.87      $28.91                              -0.3%                               1.0%
                Alexandria                    $28.71     $31.33      $30.29                    1.6%                                                   -1.0%
                Arlington County              $32.32     $33.77      $33.52                    1.2%                                                   -0.2%
                Fairfax County                $28.48     $26.19      $28.81                    0.3%                                          2.6%
                Loudoun County                $25.16     $23.30      $25.68                    0.5%                                          2.4%
                Suburban Virginia             $28.90     $28.83      $30.13                    1.2%                                          1.3%



                SPACE                              (Thousands of SF)                       Change from 2001                           Change from 2004
                INVENTORY
                                              2001        2004         2005                   Net Change                                   Percent Change
                Downtown BID*                 13,397     16,846      15,247                  13.8%                                                    -9.5%
                DC                            25,504     34,222      34,003                  33.3%                                                    -0.6%
                Montgomery County             24,297     21,722      21,855                              -10.1%                             0.6%
                Prince George’s County         6,482      4,058       3,796                              -41.4%                                       -6.4%
                Suburban Maryland             30,779     25,779      25,651                              -16.7%                                       -0.5%
                Alexandria                     8,520      6,243       6,383                              -25.1%                             2.2%
                Arlington County              15,134     16,245      17,067                  12.8%                                          5.1%
                Fairfax County                48,127     39,235      39,432                              -18.1%                             0.5%
                Loudoun County                 1,876      2,024       2,234                  19.1%                                         10.4%
                Suburban Virginia             73,657     63,746      65,117                              -11.6%                             2.2%



                ABSORPTION                         (Thousands of SF)                       Change from 2002                           Change from 2004

                                              2002        2004         2005                   Net Change                                    Net Change
                Downtown BID*                    546      1,567         995                      449                                                   -572
                DC                             1,705      2,785        1,813                     108                                                   -971
                Montgomery County                249      1,477         451                      202                                                   -1026
                Prince George’s County            53        259         189                      136                                                   -70
                Suburban Maryland                301      1,736         640                      339                                                   -1096
                Alexandria                       106      1,760         608                      503                                                   -1152
                Arlington County                 473        345         425                              -48                                    80
                Fairfax County                   767      2,659        2,741                   1974                                             82
                Loudoun County                   127        359        -358                              -484                                          -716
                Northern Virginia              1,472      5,123        3,417                   1945      1945                                          -1706


                * Downtown BID uses Cushman & Wakefield’s East End      ** Includes          ***Each rate is a weighted       NOTE: Data does not include owner-
                office market as the Downtown BID office market.         sublet space.         average of both full service   occupied buildings, one-story buildings,
                                                                                               and triple net rents.          or buildings less than 25,000 SF.
                SOURCE: Cushman & Wakefield




     10
                                                                                                                                                                       office market



OFFICE SALES DATA, 1995-2005

PER SQUARE FOOT*                                                                $572             TOTAL DOLLAR VOLUME*                            (Millions of $)

$600                                                                                             $4,000
                    Downtown BID Class A**                                      $502                                 Downtown BID Class A**                                     $3,296
                    All DC Class A                                                                                   All DC Class A
                    All DC Sales                                                $427                                 All DC Sales
$450                                                                                             $3,000



$300                                                                                             $2,000                                                                         $1,651

                                                                                                                                                                                $1,061
$150                                                                                             $1,000



     0                                                                                                 0
         94    95     96      97   98   99   00    01    02   03   04    05                                94   95    96   97    98    99   00    01    02    03      04   05

* Sales prices not broken down by class from 1994 to 1997.     ** Downtown BID uses Cushman & Wakefield’s East End office market as the Downtown BID office market.

SOURCE: Cushman & Wakefield




  downtown office study
  In 2005, the Downtown BID and the Office of the Deputy Mayor for Planning and Economic Development released a
  comprehensive study of the future of the DC office market. This study will be updated every two years to assure that
  the office market is healthy and that the city is well aware of any threats to this vital source of economic activity, jobs
  and tax revenues.

  Dr. Stephen Fuller of George Mason University and Delta Associates conducted the study, which concluded that the
  current office market in DC is healthy and poised for strong growth over the next 25 years. It projected that the city
  will add approximately 5,000 office-using jobs per year out of a total of 7,000 new jobs, leading to demand for at
  least 1.5 million square feet of office space per year.

  This projection was based on DC capturing its share of the strong projected regional growth, while cautioning the city
  on the following issues:
  Metrorail: maintaining Metrorail’s health, and investing in additional capacity is critical to maintaining DC’s growth.
  Rising Costs and Difficulty of Doing Business in the District: higher rents and other business costs, as well as
  commuting costs and affordable housing availability may reduce DC’s growth.
  Competition for Land from Residential Demand: with more people choosing to live downtown, housing developers
  will take developable land away from office development.
  Increasing Specialization of the Office Tenant Base: rising costs in DC will push out the most cost-sensitive
  tenants, such as membership organizations, nonprofits and small businesses, leaving the city with a narrower tenant
  base in the future.
  Federal Employment and Procurement: federal employment in DC will decline if (i) federal outsourcing continues,
  (ii) security concerns grow or (iii) occupancy costs become a major issue.
  District Leadership: will the District continue as a well-managed, financially sound city government that is responsive
  to it citizens and business community?

  The Downtown BID plans to continue to partner with the DC government to resolve these issues in order to maintain
  a healthy office market that continues to provide hundreds of thousands of jobs, spin-off economic activity (restaurants,
  retail, entertainment and hotel demand) and tax revenues.

  The report is available upon request for $20. Call the Downtown BID at 202-638-3232.



                                                                                                                                                                                         11
population and housing

DC’s number of households is growing, with more than 17,000 residential units completed since the beginning of 2001,
of which 5,700 units are in the Greater Downtown (the Downtown BID and within 15 blocks of the Downtown BID). Less
clear is the city’s population growth as larger families move out and smaller households move into houses, townhouses,
condominiums and apartments. However, Downtown’s population has increased substantially in the past few years and
will increase even more substantially in the next few years if the current strong housing market is maintained. The table
below shows this growth:
                                                                              ACTUAL GROWTH        PROJECTED GROWTH
                                                                             2000–2005               2006–2011
     Downtown BID                                                               2,513 units             1,077 units
     Within 15 blocks of the Downtown BID                                       3,560 units            12,400 units
     Within 15 to 30 blocks of the Downtown BID                                 1,600 units             5,350 units
     TOTAL                                                                      7,673 units           18,827 units

For this growth to occur over the next few years, the DC government must address the following issues: a workable
mandatory inclusionary zoning program; targeted housing tax abatements in commercially-zoned areas; city- and
federally-owned land conversion to residential use; and a predictable and understandable development process. The
18,827 new units will produce $110 million in annual taxes.

Although there may be a condo glut in the surrounding suburbs, there is no such situation in DC—particularly, not in
Downtown. Units are selling more slowly than before, as buyers have more choices and are taking more time to make a
decision. The projected supply of 17,000 condominiums over the next six years is consistent with recent demand. Delta
Associates has reported that new DC condo sales numbers for the three years ending March 31, 2006, were 2,257 (06),
3,232 condos (05) and 1,968 (04). Dividing the supply of 17,000 condominiums by six years equals 2,833 condominiums
per year. If the delivery of these condominiums is extended by a year, the supply will be 2,430 condominiums. A further
sign of strength in the DC condominium market is that Delta also reported that the average condominium sale in the
first quarter of 2006 was at $540 a square foot, up from an average of $530 for all of 2005.




12
                                                                                                                                                       population and housing



DC POPULATION, 1990-2015                                             (Thousands)                                      NATIONAL METRO POPULATION COMPARISON,
700                                                                                           642                     1990-2000*
                                                                                                                      Ranked by                                      Population (Thousands)
                                                       551                                                            2000 population.
600
                                                                                                                                                    2000       Rank          1990          Rank          Change
          607                                                                      609
500                                                                                                                   New York                  18,323           1          16,846          1                1,477
                                             572
                                                                                                                      Los Angeles               12,366           2          11,274          2                1,092
400                                                                                                                   Chicago                       9,098        3               8,182      3                  916
                                                                                                                      Philadelphia                  5,687        4               5,435      4                  252
300
                                                                                                                      Dallas                        5,162        5               3,989      8                1,172
                                                                                                                      Washington                    4,796        6               4,123      7                  673
200
                                                                                                                      Houston                       4,715        7               3,767      9                  948
100                                                                                                                   Detroit                       4,453        8               4,249      5                  204
                    CENSUS                               CENSUS                     MWCOG
                    ACTUAL                              ESTIMATE*                  PROJECTION                         Boston                        4,391        9               4,134      6                  257
     0
                                                                                                                      Atlanta                       4,248       10               3,069      11               1,179
     1990                               2000              2005                   2010          2015
                                                                                                                      San Francisco                 4,124       11               3,687      10                 437
*The 1999 Census estimate failed to capture nearly 53,000 residents reported in the
2000 Census. The DC government is challenging the 2005 Census estimate for the District.                              *Compares Metropolitan Statistical Areas.
SOURCES: U.S. Census (actual/estimate), Metropolitan Washington Council of Governments (projection)                   SOURCE: U.S. Census




REGIONAL POPULATION*

                                Population (Thousands)                                        Change, 1990-2000                             Change, 2000-2004

                           2005        2004         2000        1990               Change       Percent Change                              Change      Percent Change

DC**                          551         554         572          607                  -35            -6%                                    -19                -3%
Suburban Maryland              ***      2,205       2,065       1,789                   276      15%                                          140         7%
Northern Virginia              ***      2,346        2,117      1,691                   426      25%                                          229        11%

*Metro area definitions                **The 1999 Census estimate failed to capture nearly 53,000 residents reported in the 2000                    ***Data not yet available.
as of June 2003.                       Census. The DC government is challenging the 2005 Census estimate for the District.

SOURCES: U.S. Census and Center for Regional Analysis, George Mason University




DOWNTOWN RESIDENTIAL UNITS, 1990-2012                                                                            DOWNTOWN POPULATION, 1990-2012
(Thousands)                                                                                                      (Thousands)
60                                                                                                               60                                                                                      55.1
                   Downtown BID                                                                                                      Downtown BID
                   Downtown BID plus 10 Blocks W, N & E                                                                              Downtown BID plus 10 Blocks W, N & E                        48.4
50                                                                                                               50
                                                                                                                                                                                   40.2
                                                                                          36.8
                                                                                                                          34.2                               34.1
40                                                                                                               40
                                                                                   31.2

30                                                                  24.4                                         30
         21.0
                                             19.4

20                                                                                                               20
                                                                                                                                                                                                  8.2        9.2
                                                                                    5.8       6.6                                                                                    7.2
                                                                      5.0                                                   3.6                                4.2
10        1.6                                  2.5                                                               10


                                                                                        PROJECTION                                                                                                 PROJECTION
 0                                                                                                               0
         1990                                     2000                    05             08     2010                    1990                                      2000                   05             08     2010
                          CENSUS                                                  DOWNTOWN                                                  CENSUS                                              DOWNTOWN
                                                                                     BID                                                                                                           BID*

* Downtown BID estimate based on 1.2 residents per unit.

SOURCES: 1990 and 2000 U.S. Census, Downtown BID




                                                                                                                                                                                                                      13
population and housing




                                   CENTRAL DC NEW HOUSING SUPPLY PROJECTIONS
                                   THROUGH 2011
                                                                                                                               Total Units Under                                                                                                                    Yet to Break
                                                                                                                                Planned Construction                                                                                                                     Ground
                                                                            Mount Vernon Triangle                                      3,800               1,727                                                                                                                                    2,073
                                                                                                               NoMA                    3,000                     480                                                                                                                                2,520
                                                                                14th Street and Shaw                                   2,800               1,330                                                                                                                                    1,470
                                                                                           Near Southeast                              2,000                     344                                                                                                                                1,656
                                        Adams Morgan and Columbia Heights                                                              1,800                     700                                                                                                                                1,100
                                                                                           Downtown BID                                1,607                     837                                                                                                                                  770
                                                                            Southwest Waterfront                                       1,600                            0                                                                                                                           1,600
                                                                                                           West End                    1,050                     860                                                                                                                                  190
                                                                                                       Capitol Hill                    1,000                     350                                                                                                                                  650
                                                                                                                Total            18,657                   6,628                                                                                                                            12,029

                                   SOURCE: Downtown BID




                                                                                                                                                               RO AD
                                                                                                                                            CO LU MB IA
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                                                                                                                                 Heights
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                                                                                                                                                                               7TH ST.




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                         George-                                                           Dupont
                          town                                                             Circle                                                                                                     P ST.
                                                                                                                                                                            Shaw
                                                                                                                                                                                                                                                             VE                .
                                                                                                                                                                                                                                                          KA
                                                                                                                                                                                                                                               YOR                             NoMA
                                                   22ND ST.




                                                                                                                   16TH ST.




                                                                                                                                                               Convention                             M ST.                      NEW
                                                                                                                                                                 Center
                                        West                            Central                                               Midtown           MA
                                                                                                                                                     SS                                                                                                                            1ST ST. NE
                                                                                                                                                                                                                                                        NORTH CAPITOL ST.



                                                                       Business                                                                           . AV
                                        End                                                                                                                      E.                              Mount
                                                                        District                      K ST.                                                                                     Vernon                               K ST.
                                                                                                                                 Old Convention
                                                                                                                                     Center Site                                                Triangle
                                                         George                                                                                                                                                                      H ST.
                                                        Washington
                                                                                           18TH ST.




                                                                                                                                 14TH ST.




                                                        University                                                                          Downtown
                                                                                                                                                                                                                                     NEW




                                                                                                                                                                                                                                                                                                    Union
                                                                                                              White                                                               Verizon                                                                                                           Station
                             Kennedy E ST. EXPWY.
                                                                                                                                                                                                                                         JER




                                                                                                              House                                  E ST.                        Center
                             Center
                                                                                                                                                                                                                                          SEY




                                                                                                                                                                                                                          395
                                                   Foggy Bottom                                                                       Federal                         PEN
                                                                                                                                                                                                                                           AVE




                                                                                                                                      Triangle                                 NSY
                                                                                                                                                                                         LVA
                                                                                                                                                                                                                                               .




                                                                                                                                                                                               N IA
                                                                                                      CONSTITUTION AVE.                                                                                AVE
                                                                                                                                                                                                                    .


                                                                                                                                N A T I O N A L                               M A L L                                                       U.S.                                                    Capitol
                                                                                                                                                                                                                                           Capitol                                                   Hill
                                                                                                                                             INDEPENDENCE AVE.
                                                                                                                                                                                                                                                   SOUTH CAPITOL ST. SE




                                                                                                                                                 Southwest
                                                                                                      Tidal                                        Office
                                                                                                                                                                                                      4TH ST. SW




                                                                                                                                                                                                                                                                                                        3RD ST. SE
                                                                   OH




                                                                                                      Basin                                       District
                                                                        IO
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                                                                                                                                                                                         395
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                                                                       c                                                                            Southwest                                                                                                                                                        295
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                                                                                   v                                                                Waterfront                                                                                                                   Near
                                                                                                                                                                                           Arena
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                                                                                                                                                                                                                                                                               Southeast
                                                                                                                                                     W




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                                                                                                                                                                                                                                          Ballpark
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                                                                                                                                                                      nC




                                                                                                                                            Haines                                                     Fort                                                                                                          Yard
                                                                                                                                                                                                                                                                          Ballpark
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                         0                         N                                 1/2                                                     Point                                                    McNair                                                              Site
                                                                                                                                                                                                                            P ST. SW
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                                                  MILE




     14
                                                                                                                                             population and housing




STABILIZED RESIDENTIAL VACANCY RATES IN CLASS A
HIGH-RISE APARTMENT BUILDINGS, 2001-2005

                                                                                                                                              Rosslyn-              Crystal City/
               DOWNTOWN
                                                                                                                                              Ballston               Pentagon
12%               BID                                      DC                     Bethesda                       Alexandria
                                                                                                                                              Corridor                  City

10%


  8%


  6%                            2.7%
                                                                                                                            3.3%
                                                                  2.4%                                                                                   1.8%                   1.6%
  4%                                                                                              1.5%

  2%


  0
          01    02     03       04    05        01    02     03   04   05   01    02     03    04      05   01   02    03   04    05    01   02    03   04   05   01 02   03   04   05



 SOURCE: Delta Associates




                                                                            WASHINGTON AREA MULTI-FAMILY
EFFECTIVE RENTAL RATES                                                      HOUSING MARKET, 2002-2005 (Thousands)
IN CLASS A HIGH-RISE
APARTMENT BUILDINGS,                                                               Existing Rental Units                          Existing Condo Units
1999-2005 (Per square foot per month)
                                                                            2002                                 480             2002             175
$3.00
                                                                            2003                                 485             2003             180
                                                     $2.47
                                                                            2004                                 486             2004             185
$2.50
                                                                            2005                                 490             2005             190

$2.00
                                                     $2.28                         DC: 107 (22%)                                   DC: 24 (13%)
                                                                            SOURCE: Delta Associates
$1.50

                       Downtown BID
$1.00
                       DC

$0.50


      0
          99    00         01    02        03        04    05

NOTE: One project can have a disproportionate
impact on average selling prices.
SOURCE: Delta Associates




                                                                                                                                                                                         15
population and housing




                                                                                                                         reasons for strong condo
                                                                                                                         and apartment demand in
          WASHINGTON AREA CONDOMINIUM
          MARKET, 2000-2005 (Thousands)                                                                                  downtown dc
                                      New Condo Units Sold                             DC Share                          • Citywide employment base of 690,000 jobs
                                                                                       of Area’s
                     DC          Total for Washington Area                               Sales                             compared to 285,000 citywide housing units;
          2002        .42            1.2                                                  35%                            • Downtown office job base of more than
          2003        1.3                  4.4                                            30%                              450,000 office workers;
          2004        3.1                           9.1                                   34%                            • DC job growth of more than 5,000 jobs
          2005        2.6                                      13.7                       19%                              per year (4,000 office jobs);

                                      Condo Resale Activity
                                                                                                                         • Regional job growth of more than 50,000
                                                                                       DC Share
                                                                                       of Area’s                           jobs per year;
                     DC                    Total for Washington Area                     Sales
                                                                                                                         • Significant increase in Downtown and DC
          2000       2.6                                        14.1                      18%
                                                                                                                           residential amenities (from grocery stores
          2001       2.7                                               17.0               16%
                                                                                                                           to reduced crime);
          2002       3.0                                                   18.4           16%
                                                                                                                         • Very high and increasing traffic congestion
          2003       3.4                                                      19.9        17%
                                                                                                                           in the region;
          2004       3.6                                                    19.1          19%
          2005       3.8                                                    18.9          20%
                                                                                                                         • Lower DC income and property tax rates; and
                                                                                                                         • Very high gas prices.
          SOURCE: Delta Associates




          AVERAGE NEW CONDOMINIUM PRICES PER SF, 2002-2005                                                                     (Thousands)

                    DOWNTOWN                       Near the                        DC                     Suburban              Suburban            Suburban      Suburban
                       BID                           BID                                                     MD                    VA                  MD            VA
                                                                                                           (inside               (inside             (outside      (outside
                                                          $559                        $530                Beltway)              Beltway)            Beltway)      Beltway)
          $600                 $531

                                                                                                                                       $445
          $500
                                                                                                                      $290                              $370
          $400                                                                                                                                                           $335


          $300


          $200


          $100


              0
                    02 03 04 05                  02 03 04 05                02 03 04 05                 02 03 04 05            02 03 04 05         02 03 04 05   02 03 04 05

          NOTE: 2003 figures are average prices from 2002 to 2003. The rest of the figures are average prices for each year.

          SOURCE: Delta Associates




     16
conventions, hotels and tourism

The DC Convention Center generated record attendance and had a significant economic impact in 2005 with 1,153,000
attendees (442,000 attendees at conventions and 711,000 attendees at day shows) and 615,000 hotel room nights (24%
of all Downtown BID hotel room nights in 2005).

The strong Convention Center performance contributed to a record year for hotels in the Downtown BID — room rates
jumped $22 per night to $193. Often, on weekdays, rates were more than $300 per night and occupancy pushed 95%.

One new hotel opened in the Downtown BID, the 383-room Embassy Suites Hotel at 1000 K Street, NW.

This strong hotel performance has improved the market for hotel financing and helped to move forward plans for a new
headquarters hotel at 9th and L Streets, NW. The new headquarters hotel will be adjacent to the Convention Center, allow-
ing for shared loading and service facilities. The hotel will have 1,450 hotel rooms, 100,000 square feet of hotel meeting
space, and 600 parking spaces. The Convention Center will build another 55,000 square feet of meeting and ballroom
space. A partnership of Marriott Hotels and RLJ Development LLC will develop the project, with the city contributing $135
million in net proceeds from tax increment bond financing. Just 18 months ago, plans for this hotel called for the city
to finance the entire hotel, as the hospitality debt market still had not recovered from the aftermath of 9/11.

Downtown visitors increased in 2005 by 600,000 to 7.3 million based on increased attendance at the Verizon Center
(formerly MCI Center) and the Regal and Landmark Cinemas. In 2006, the National Portrait Gallery and the Smithsonian
American Art Museum will reopen, bringing another one to two million visitors Downtown. In 2007, the exciting
Newseum will open to provide a Pennsylvania Avenue address for the “fourth branch of government” — the free press.
For Downtown, this will mean an additional one to two million visitors and a stepping stone for bringing more
tourists and visitors off the National Mall into Downtown.




                                                                                                                       17
conventions, hotels, and tourism


     DOWNTOWN BID HOTELS


                                                                                                                                                                                                                               N ST.                                                                                                                             N ST.




                                                                             13TH ST.



                                                                                                12TH ST.

                                                                                                                11TH ST.

                                                                                                                                10TH ST.




                                                                                                                                                         9TH ST.




                                                                                                                                                                             7TH ST.




                                                                                                                                                                                                    6TH ST.

                                                                                                                                                                                                                  5TH ST.




                                                                                                                                                                                                                                                          NEW
                  Scott                                Thomas
                  Circle                                Circle




                                                                                                                                                                                                                                                           JERS
                                                                                                                                                                                                                               M ST.                                                                                                                             M ST.




                                                                                                                                                                                                                                                               EY A
                                                                                                                                                         Washington                                                                                                                   Hotel
                    16TH ST.




                                                                                                                                                                                                                                                                    VE.
                                                                             MA                                                                          Convention                                                                             .
                                                                                        SSA                                                                                                                                                VE                                         Metro
                                                                                              CHU                                                          Center                                                                       KA


                                                      E.
                                                                                                    SET                                                                                                                           YOR

                                                      AV
                                                                                                                                                                                         L ST.
                                                                                                           TS
                                                                                                                AVE                                                                                                         NEW                                                 SOURCE: Downtown BID
                                                  NT             L S T.                                                    .                                                                                                                                                                                                                                     L ST.
                                                                                                                                                                                                                                                          395
                                                 MO
                                          VER




                                                                 K S T.                                                                                      Mt. Vernon                                                        K S T.                                                                                                                            K S T.
                                                                                                                                                              Square
                               McPherson                         Franklin
                                Square                            Square
                                                                 EYE ST.                                                                                                                                                       EYE ST.
                                                                                                                                                                                                                                                                      395




                                                                                                                                                                                                                                                                                                                                             N. CAPITOL ST.
                                                                                                 .                         Old Convention
                                                                                           AVE




                                                                                                                                                                                                                                                                                                                                                                                     E
                                                                                                                                                                                                                                                                                                                                                                               ST. N
                                                                                        RK                                   Center Site
                   H ST.                                                         YO                                                                                                                                                                                                                                                                           H ST.
                                                                             W
                                                                        NE                                                                                          H ST.                                                                                     MA




                                                                                                                                                                                                                                                                                                                                                                          1ST
               Lafayette                                                                                                                                                                                                                                             SSA
                Square                                                                                                                                                                                                         General                                     CH
                                                                                                                                                                             Gallery Place                                                                                      USE
                                                                                                                                                                                                                            Accountability                                            TTS
                                                                                                                                                                                Retail                                                                                                      AVE                                                               G ST.
                                                                                                                                                                                                                               Office                                                              .
                                                                  G ST.                                                                                                                Verizon                                 G ST.
                                                                                                                                                                                       Center                                                                                                                                                                                    Union




                                                                                                                                                                                                                                                                                              NEW
                                                                  F ST.                                                                                                                                                                                                                                                                                                         Station
                  White




                                                                                                                                                                                                                                                           3RD ST.
                                      15TH ST.




                                                                             13TH ST.




                                                                                                                11TH ST.

                                                                                                                               10TH ST.




                                                                                                                                                                                                                                                4TH ST.
                  House




                                                                                                                                                                                                                                                                                                       JERS
                                                                                                                                                                                                                                                                      395
                                                                                                                                                         9TH ST.




                                                                                                                                                                             7TH ST.




                                                                                                                                                                                                    6TH ST.

                                                                                                                                                                                                                  5TH ST.




                                                                                                                                                                                                                                                                                                        EY A
                                                                                                                                                                                                                                                                            2ND ST.
                                                                  E ST.                                                                                                                                                        E ST.




                                                                                                                                                                                                                                                                                             1ST ST.
                                                                                                                                                                                                                                                                                                             VE.
                                                                                                                                             FBI

                                                                                                                     PEN                                                                                                       D ST.




                                                                                                                                                                                                                                                                                                                                                                          E.
                                                                                                                               NSY                                                                    VE      .                                                                                                                         E.




                                                                                                                                                                                                                                                                                                                                                                     E AV
                                                                 Ronald                                                                    LVA                                                     AA                                                           Dept.                                                              AV
                                                                                                                                                 NIA                                         IAN
              The Ellipse                                       Reagan                                                                                 AVE                             IND                                                                     of Labor                                                    N   A
                                                                                                                                                             .




                                                                                                                                                                                                                                                                                                                                                                 WAR
                                                                Building                                                                                                                                                       C ST.                                                                                S   IA
                                                                                                                                                                                                                                                                                                               UI
                                                                                                                                                                                                                                                                                                          LO




                                                                                                                                                                                                                                                                                                                                                                DELA
                                                             CONSTITUTION AVE.                                                                                                                                                                                               CONSTITUTION AVE.

                                                                                                                                                                                                                                                                                                                                                                 0                       N        1000
                                                                                                           NATIONAL MALL
                                                                                                                                                                                                                                                                                                                                                                                   FEET




          DOWNTOWN BID HOTEL PERFORMANCE, 1997-2005

                                  Occupancy (%)                                                                                                                    Room Rate ($)                                                                                                               Revenue Per
                                                                                 75%                                                                                                                                        $193                                                            Available Room ($)
          80%                                                                                                          $200                                                                                                                                $200
                                                                                                                                                                                                                                                                                                                                                                           $146
          60%                                                                                                          $150                                                                                                                                $150


          40%                                                                                                          $100                                                                                                                                $100


          20%                                                                                                              $50                                                                                                                                $50


              0                                                                                                                0                                                                                                                                     0
                   97 98       99     00              01   02      03        04           05                                                97         98          99       00         01      02             03            04     05                                      97          98          99               00             01               02          03             04            05

          SOURCE: Smith Travel Research




                                                                                                                                                                                                    ROOM NIGHTS GENERATED
                                                                                                                                                                                                    BY CONVENTIONS IN DC, 2003-2005

                                                                                                                                                                                                    2003                                                                                315,000
                                                                                                                                                                                                    2004                                                                                                                           460,000
                                                                                                                                                                                                    2005                                                                                                                                                               615,000

                                                                                                                                                                                                    SOURCE: Washington DC Convention and Tourism Corporation




     18
                                                                                                    conventions, hotels, and tourism




VISITOR ATTENDANCE IN THE DOWNTOWN BID, 1997-2010                                                                  (Thousands)

1,5000                                                                                              5,000
                                                Overall                                11,900                                                Museums
                                                                                                                                       (Excludes Mall museums)
1,2000                                                                                              4,000
                                                          7,327                                                                                              2,602                          4,800
 9,000                                                                                              3,000

 6,000                                                                                              2,000

 3,000                                                                                              1,000
                                                                                PROJECTION                   9*            9*            7*     6*     6*     8*      8*    NUMBER OF MUSEUMS   11
       0                                                                                               0
            97           99            01     02     03     04    05                          10            97            99             01     02     03     04     05                         10

 4,000                                                                                              4,000
                                         Verizon Center                                                                                 Convention Center
                                                                                        2,700
 3,200                                                                                              3,200

                                                                                                                                                                                            2,000
 2,400                                                                                              2,400

                                                                                                                                                             1,153
 1,600                                                                                              1,600
                                                           2,200
   800                                                                                               800
           Opened in Dec.
                                                                                                            89            116           165 169 163 201 189 NUMBER OF EVENTS
       0                                                                                               0
            97           99            01     02     03     04    05                          10            97            99             01     02     03     04     05                         10

 2,000                                                                                              2,000
                                               Theaters                                                                                         Cinemas

 1,600                                                                                  1,200       1,600                                                                                   1,200

 1,200                                                                                              1,200                                                      800
                                                                   672
   800                                                                                               800

   400                                                                                               400
            4             4             2*     4      4      4    5     NUMBER OF THEATERS      7                                                              2      2     NUMBER OF CINEMAS   2
       0                                                                                               0
            97           99            01     02     03     04    05                          10            97            99             01     02     03     04     05                         10

* One or more venues were closed for renovation.
SOURCE: Downtown BID




VISITORS TO THE                                                                                        OVERSEAS VISITORS TO TOP TEN CITIES
NATIONAL MALL*                            (Thousands)                    Average                       IN THE UNITED STATES*
                                                                        2002-2005                      (Thousands)                                           2004
Ranked from highest to lowest.
                                                                                                                                                            Market          Percent Change
                                                                                                       Ranked by market share.             2004             Share           in Visitors from 2003
Air and Space Museum                                               7,225
National Museum of Natural History                                 5,900                               New York City                       5,162            25.4%           29.6%
National Gallery of Art                                            4,325                               Los Angeles                         2,276            11.2%             7.0%
National Museum of American History                                3,175                               Miami                               2,195            10.8%             5.9%
National Museum of the American Indian**                           2,265                               Orlando                             1,951              9.6%          10.4%
Holocaust Museum                                                   1,500                               Oahu/Honolulu                       1,870              9.2%          15.3%
Smithsonian Castle                                                 1,375                               San Francisco                       1,870              9.2%          10.4%

Arts and Industries Building***                                        535                             Las Vegas                           1,565              7.7%          20.6%

Hirshhorn Museum and Sculpture Garden                                  677                             Washington, DC                      1,057              5.2%          22.2%

Total Visitors                                                    26,977                               Chicago                                935             4.6%          20.6%
                                                                                                       Boston                                 833             4.1%          10.0%
*Does not represent unique visitors to the National
Mall as some visitors go to multiple museums or galleries.             **Opened Sept. 2004.
                                                                                                       * Excludes Canada and Mexico. Some destinations are not shown due to low sampling
***Closed indefinitely in 2004 for extensive repairs and decision on future use.                       size of overseas visitors (i.e., fewer than 100 respondents in 2002 and 2003).
SOURCES: Smithsonian, Holocaust Museum, National Gallery of Art                                        SOURCES: U.S. Department of Commerce, ITA, Office of Travel and Tourism Industries




                                                                                                                                                                                                     19
culture and entertainment

Downtown continues in its role as the regional center for culture and entertainment in the
Washington metropolitan area, while also attracting national visitors and international tourists to
its shows and productions. Overall in 2005, 6.2 million people attended culture and entertainment
events in the Downtown BID area, an increase of 10 percent from 2004.

The cultural development highlight of 2005 was Woolly Mammoth Theatre’s new 265-seat theater
opening at 641 D Street, in the heart of the Penn Quarter neighborhood. Woolly’s edgy productions
bring an exciting point of view and a new crowd to Downtown.

Five other culture and entertainment projects under construction, such as the National Portrait Gallery
and the Smithsonian American Art Museum, and the Newseum, along with the new Sidney Harman
Performing Arts Center of the Shakespeare Theatre and a new theater for the Washington Stage Guild,
will further cement Downtown DC as an international center of culture and entertainment, comple-
menting the city’s other well-known venues.




20
                                                                                                                 culture and entertainment




DOWNTOWN BID CULTURAL AND ENTERTAINMENT AUDIENCE, 1997-2010                                                                  (Thousands)
Includes visitors to the Verizon Center, museums, theaters and cinemas.
                                                                                                                                                        9,900
10,000




 8,000

                                                                                                       6,174

 6,000




 4,000




 2,000         2,718

                                                                                                                                    PROJECTION

     0
           1997           1998           1999              2000   2001     2002      2003       2004      2005                                              2010

SOURCES: Verizon Center, theaters, museums, Downtown BID




FUTURE OPENINGS IN THE DOWNTOWN BID
In 2004, the Downtown BID had nearly six million culture and entertainment visitors.
Visitation will increase substantially during the next four years to almost 10 million
visitors due primarily to the following exciting projects:

                               June 6, 2006                               Mid-2007                               Mid-2007                         Mid-2007

                            The Smithsonian’s                            The Newseum at                     The Shakespeare Theatre                Washington
                         National Portrait Gallery                   Pennsylvania Avenue and           Company’s new 800-seat Harman              Stage Guild’s
                            and American Art                         6th Street, NW. Designed            Center for the Performing Arts.         new 225- seat
                           Museum, which will                        by Ralph Applebaum, the             The Harman Center will be the           theater at 505
                         reopen in the beautiful                      Newseum will be one of                 most technologically-               9th Street, NW.
                          original Patent Office                       the most interactive             advanced performing arts venue
                                Building.                             museums in the world.                       in the world.

Projected Annual                   One million                             One million                            280,000                          15,000 to
Attendees:                                                                                               (up from 146,000 in 2005)                  25,000




                                                                                                                                                                   21
culture and entertainment




          DOWNTOWN BID MUSEUM AUDIENCE                                                              LARGEST PERFORMING ARTS SPACES, 2005
          Ranked from highest to lowest in 2005.
                                                                     2004           2005                                                     Downtown BID Theaters highlighted.
          National Archives                                        796,895       1,003,000          Current Venues                                                     Seats
          International Spy Museum                                 749,000         725,000          The Kennedy Center for the Performing Arts                         6,389
          National Building Museum                                 368,797         261,615          DAR Constitution Hall                                              3,702
          Old Post Office Tower                                    250,000         250,000          Warner Theatre                                                     1,847
          Navy Memorial                                            170,114         200,000          National Theatre                                                   1,676
          National Museum of Women in the Arts                     130,000         113,183          The Lisner Audutorium, GWU                                         1,490
          National Law Enforcement Officers Memorial                 28,991          29,535         Arena Stage                                                        1,300
          — Visitors Center
                                                                                                    Lincoln Theatre                                                    1,250
          Marian Koshland Science Museum                             18,465          20,036
                                                                                                    Ford's Theatre                                                       741
          Total Museum Attendance                                2,512,262       2,602,369
                                                                                                    The Marvin Center, GWU                                               480

          NOTE: Museum of American Art and National Portrait Gallery were closed for renovations.   Lansburgh Theatre, Shakespeare Theatre Company                       451
          SOURCES: Museums                                                                          Studio Theatre, Mead                                                 405
                                                                                                    Tivoli Theater                                                       270
                                                                                                    Woolly Mammoth Theatre                                               265
                                                                                                    Studio Theatre Expansion                                             200
          DOWNTOWN BID THEATER AUDIENCE                                                             H Street Playhouse                                                   100
          Ranked from highest to lowest in 2005.
                                                                      2004           2005           Total Current Seats                                               20,566
          National Theatre (4-year average)                         243,935         211,869
          Warner Theatre                                            274,331         191,121         Future Venues (Under Construction)                                 Seats

          Shakespeare Theatre                                       156,000         146,000         Sidney Harman Hall, Shakespeare Theatre Company                      776

          Ford’s Theatre                                              98,125         98,505         Atlas Performing Arts Center, Fixed Seat Theatre                     250

          Woolly Mammoth Theatre (Opened May 2005)                          —        25,000         Atlas Performing Arts Center, Flexible Seat Theatre                  276

          Total Theater Attendance                                  772,391         672,495         Washington Stage Guild                                               225

          SOURCES: Theaters
                                                                                                    Total Future Seats                                                 1,527

                                                                                                    *Seating capacity of the main performing arts spaces.
                                                                                                    SOURCE: Downtown BID




     22
restaurants and retail

Downtown restaurants and retail continued their steady growth in 2005. The Downtown BID’s destination restaurants
increased in number from 76 in 2004 to a total of 82. American Apparel and Bandolino were the apparel and other shop-
pers’ goods retail openings of note last year. However, in January 2006 a 50,000 square-foot Bed Bath & Beyond opened
in Gallery Place to great acclaim. In addition, plans have been announced for a Johnston & Murphy’s and West Elm
to open later in the year.

The realized and projected milestones in the revitalization of shoppers’ goods retail in the Downtown BID are as follows:
• As of January 2006, Gallery Place had 95,000 square feet at Benetton, City Sports, Urban Outfitters, Ann Taylor Loft and
  Bed Bath & Beyond.
• For 2006, the focus of retail in the Downtown BID shifts to the 900 and 1000 blocks of F Street, with the potential for
  200,000 square feet of shoppers’ goods. On F Street, H&M, Jos A. Bank, American Apparel and West Elm are waiting to
  be joined by another 130,000 square feet in shoppers’ goods, of which 110, 000 square feet is available today or will be
  available by the end of 2006.
• Downtown’s 200,000 square-foot Hecht’s Department Store converts to a Macy’s in 2006/2007.
• In 2008, the 60,000 square-foot Gallery Row project by Riverdale International will anchor a potential total of 100,000
  square feet on the west end of the 600 block of H Street.
• By 2010 /2011, approximately 17,000 new residential units will have opened since 2005 within 30 blocks of the Verizon
  Center, for a total of 23,000 new residential units since 2000.
• In 2011, Hines will complete development of 275,000 to 300,000 square feet of retail at the old Convention Center site.

Thus, in 2011, there should be approximately 900,000 square feet of shoppers’ goods retail within a block of the square
formed by F, Seventh, Eye and Eleventh Streets — creating a shopping circuit surrounded by outdoor cafes, restaurants,
museums, cinemas and theaters.




                                                                                                                             23
restaurants and retail




     DOWNTOWN BID ZAGAT-RATED RESTAURANTS, MARCH 2006


                                                                                                                                                                                                                                     N ST.                                                                                                                       N ST.




                                                                                  13TH ST.



                                                                                                     12TH ST.

                                                                                                                     11TH ST.

                                                                                                                                     10TH ST.




                                                                                                                                                              9TH ST.




                                                                                                                                                                                7TH ST.




                                                                                                                                                                                                        6TH ST.

                                                                                                                                                                                                                      5TH ST.




                                                                                                                                                                                                                                                             NEW
                Scott                                Thomas                                                                                                                                                                                                                                       Restaurant
                Circle                                Circle




                                                                                                                                                                                                                                                              JERS
                                                                                                                                                                                                                                                                                                  Metro
                                                                                                                                                                                                                                     M ST.                                                                                                                       M ST.




                                                                                                                                                                                                                                                                  EY A
                                                                                                                                                                                                                                                                                            SOURCE: Downtown BID
                                                                                                                                                              Washington
                   16TH ST.




                                                                                                                                                                                                                                                                       VE.
                                                                                  MA                                                                          Convention
                                                                                             SSA                                                                                                                                                 VE.
                                                                                                   CHU                                                          Center                                                                      KA
                                                    E.




                                                                                                         SET                                                                                                                          YOR
                                                    AV




                                                                                                                                                                                            L ST.
                                                                                                                TS
                                                                                                                     AVE                                                                                                        NEW
                                                NT




                                                                     L S T.                                                     .                                                                                                                                                                                                                                L ST.
                                                                                                                                                                                                                                                             395
                                               MO
                                      VER




                                                                                                                                                                                                                                                                                                 1ST ST. NW
                                                                     K S T.                                                                                       Mt. Vernon                                                         K S T.                                                                                                                      K S T.




                                                                                                                                                                                                                                                                                                                                                N. CAPITOL ST.
                                                                                                                                                                   Square
                                                                    Franklin
                              McPherson                              Square
                               Square                                EYE ST.                                                                                                                                                         EYE ST.
                                                                                                                                                                                                                                                                         395
                                                                                                      .                         Old Convention                                  Gallery Place
                                                                                                AVE




                                                                                                                                                                                                                                                                                                                                                                                      E
                                                                                                                                                                                                                                                                                                                                                                                ST. N
                                                                                             RK                                   Center Site                                      Retail
                  H ST.                                                              YO                                                                                                                                                                                                                                                                          H ST.
                                                                               W
                                                                          NE                                                                                            H ST.                                                                                    MA




                                                                                                                                                                                                                                                                                                                                                                               1ST
              Lafayette                                                                                                                                                                                                                                                 SSA
                                                                                  13TH ST.




               Square                                                                                                                                                                                                              General                                    CH
                                                                                                                                                                                                                                                                                   USE
                                                                                                                                                                                                                                Accountability                                            TTS
                                                                                                                                                                                                                                                                                                                                                                 G ST.
                                                                                                                                                                                                                                   Office                                                       AVE
                                                                                                                                                                                                                                                                                                         .
                                                                                                                                          G ST.                                           Verizon                                    G ST.
                                                                                                                                                                                          Center                                                                                         Georgetown
                                                                                                                                                                                                                                                                                         Law School                                                                                  Union
                                                                                                                                          F ST.                                                                                                                                                                                                                                     Station
                White




                                                                                                                                                                                                                                                              3RD ST.
                                    15TH ST.




                                                                                                                     11TH ST.




                                                                                                                                                              9TH ST.




                                                                                                                                                                                7TH ST.




                                                                                                                                                                                                        6TH ST.

                                                                                                                                                                                                                      5TH ST.




                                                                                                                                                                                                                                                   4TH ST.
                House                                                                                                                                                                                                                                                    395




                                                                                                                                                                                                                                                                                                              NEW
                                                         14TH ST.




                                                                                                                                                                                                                                                                               2ND ST.
                                                                     E ST.                                                                                                                                                           E ST.




                                                                                                                                                                                                                                                                                                 1ST ST.
                                                                                                                                                                                                                                                                                                               JERS
                                                                                                                                                  FBI




                                                                                                                                                                                                                                                                                                                    EY A




                                                                                                                                                                                                                                                                                                                                                                               E.
                                                                                                                                                                                                                                                                                                                                                                          E AV
                                                                                                                                                                                                                                     D ST.




                                                                                                                                                                                                                                                                                                                         VE.
                                                                                                                                    PEN                                                                  AVE
                                                                                                                                                                                                                  .                                                                                                                        E.
                                                                                                                                                NSY                                                NA                                                              Dept.                                                              AV




                                                                                                                                                                                                                                                                                                                                                                         WAR
                                                                     Ronald                                                                           LVA                                     IA
              The Ellipse                                           Reagan                                                                                  NIA                           IND                                                                     of Labor                                                        A
                                                                                                                                                                  AVE                                                                                                                                                          AN




                                                                                                                                                                                                                                                                                                                                                                     DELA
                                                                    Building                                                                                            .                                                            C ST.                                                                                SI
                                                                                                                                                                                                                                                                                                                     UI
                                                                                                                                                                                                                                                                                                                LO


                                                                    CONSTITUTION AVE.                                                                                                                                                                                           CONSTITUTION AVE.

                                                                                                                                                                                                                                                                                                                                                                     0                    N   1000
                                                                                                                NATIONAL MALL
                                                                                                                                                                                                                                                                                                                                                                                     FEET




          RESTAURANT GROWTH IN DOWNTOWN BID, 1999-2006

                                 1999                                    2000                                                   2001                                        2002                                        2003                                       2004                                                2005                                                 2006*

              Restaurants          49                                        62                                                     64                                       71                                                 71                                      76                                                 82                                                  87
              Newly                                                          16                                                     6                                        13                                                 7                                       10                                                 10                                                       6
              Opened




              Closed
                                                                              3                                                     4                                           6                                               7                                       5                                                       4                                                   1
          * Opened or projected to open as of April 30, 2006.
          SOURCE: Downtown BID




     24
                                                                                                                                           restaurants and retail



DOWNTOWN BID RETAIL SPACE ANALYSIS, MARCH 2006
As percentage of existing retail and potential retail space.                                                                                 Non-retail Vacant–
                                                                                                                                             First Floor Tenants
                                                               Occupied                                                                      Uses*       Coming             Vacant
                                                                 74%                                                                             8%             4%          14%

                                                           1,658,498 SF                                                                178,393SF           97,026 SF       305,705 SF
                                                           Use of Space

              30.7%                                                               26.6%                                   16.7%

      Food and Beverages              687,187 SF                 Shoppers’ Goods               596,824 SF        Services                     374,487 SF
      Deli, Fast Food and Coffee               12.9%             Department Stores                        8.8%   Banks                                   6.7%
      High-end Restaurants                      8.6%             Clothing and Shoes                       5.1%   Pharmacies                              2.1%
      Casual Restaurants                        8.1%             Book Stores                              3.6%   Printing and Mailing Services           1.9%
      Nightclubs and Bars                       0.6%             Home Supplies                            2.6%   Fitness Centers                         2.0%
      Liquor Stores                             0.5%             Gift Shops, Florists and Newsstands      1.9%   Hair and Nail Salons                    1.6%
                                      Total: 30.7%               Jewelry and Specialty Stores             1.9%   Travel Agencies                         1.4%
                                                                 Electronics and Camera Shops             1.4%   Shoe Repair, Drycleaners and Optics     1.1%
*Used for offices, conference                                    Cellular Stores                          0.6%                                 Total:   16.7%
 rooms, mail rooms, etc.
                                                                 Art Galleries                            0.6%
SOURCE: Downtown BID                                                                            Total:   26.6%




DOWNTOWN BID RETAIL SPACE BY SUB-MARKETS, MARCH 2006                                                                                                                  Judiciary
                                                                                                                                                                     Square and
                           Total Downtown BID                                                                            Gallery Place– Franklin                       Federal      Capitol
                                (Thousands of SF)                      Metro Center                                       Chinatown      Square                       Triangle       Hill

Occupied Retail Space                 1,658                                   50%                                               24%                              20%              5%    1%

Vacant Retail Space                     306                             39%                                        27%                                   26%                   6%       2%

Vacant-Tenants Coming                     97                            39%                                                   41%                                        20%

Non-retail First Floor Use              178                    24%                                         36%                               21%                     11%                8%

Future Retail Space*                    580                                                  61%                                           17%              7%           13%            3%

*Under construction or planned.
SOURCE: Downtown BID




  downtown retail market study
  The Downtown BID commissioned Gould & Associates and Chapman Consulting, firms with more than 70 years
  of combined retail research experience between them, to look at the market potential for destination retailing
  in the Downtown BID. The report made the following major points:
  1. DC residents purchase $1.1 billion in shoppers’ goods outside of the city.
  2. Retail demand fundamentals for Downtown Washington are strong and getting stronger.
  3. The Office Worker Market was 222,500 employees in 2005, generating demand of $267 million, and is projected
     to increase to 240,700 in 2010, generating annual demand of $289 million.
  4. The Primary Residential Trading area had 299,000 residents in 2004 and 146,000 households in 2004 — generating
     $1.2 billion in shoppers’ goods expenditure potential.
  5. The Primary Residential Trading area is expected to grow to 316,000 residents and 164,000 households by
     2010 — generating $1.6 billion in shopper’s goods expenditure potential.
  6. The visitor market is multi-dimensional: tourists, business travelers, convention attendees and residents of the
     broader region that come Downtown to museums, consumer shows and other attractions.
  7. Regarding department stores:
     • Nordstrom is a candidate for its 125,000 SF prototype at the old Convention Center site.
     • JC Penney is a candidate for a 100,000 SF store at a site other than the old Convention Center site.
  The report is available upon request for $20. Call the Downtown BID at 202-638-3232.



                                                                                                                                                                                              25
restaurants and retail




     CURRENT AND FUTURE DESTINATION RETAIL SPACES IN DOWNTOWN BID, MARCH 2006
     Along the retail core of F and G Streets and between 11th and 7th Streets.



                                                                                                                                                                                                                                                                                          N ST.                                                                                                                                       N ST.
                                                                                                                                                                                                                                                                                                                                                      Existing Retail
                                                                                                                             13TH ST.



                                                                                                                                                 12TH ST.

                                                                                                                                                                      11TH ST.

                                                                                                                                                                                      10TH ST.




                                                                                                                                                                                                                9TH ST.




                                                                                                                                                                                                                                        7TH ST.




                                                                                                                                                                                                                                                               6TH ST.

                                                                                                                                                                                                                                                                             5TH ST.




                                                                                                                                                                                                                                                                                                                      NEW
                             Scott                                             Thomas
                             Circle                                             Circle                                                                                                                                                                                                                                                                Vacant Space




                                                                                                                                                                                                                                                                                                                       JERS
                                                                                                                                                                                                                                                                                          M ST.                                                       2006 Retail Space                                                               M ST.




                                                                                                                                                                                                                                                                                                                           EY A
                                                                                                                                                                                                                Washington                                                                                                                            Future Retail Space
                               16TH ST.




                                                                                                                                                                                                                                                                                                                                VE.
                                                                                                                           MA                                                                                   Convention
                                                                                                                                        SSA                                                                                                                                                           VE   .                                          (after 2006)
                                                                                                                                              CHU                                                                 Center                                                                           KA
                                                                              E.




                                                                                                                                                    SET                                                                                                                                      YOR
                                                                              AV




                                                                                                                                                               TS
                                                                                                                                                                      AVE
                                                                                                                                                                                                                                                    L ST.
                                                                                                                                                                                                                                                                                       NEW                                                            Retail TIF
                                                                          NT




                                                                                                     L S T.                                                                      .
                                                                                                                                                                                                                                                                                                                     395                              (Tax Increment                                                                  L ST.
                                                                         MO




                                                                                                                                                                                                                                                                                                                                                      Financing) District
                                                                VER




                                                                                                     K S T.
                                                                                                                                                                                                                    Mt. Vernon                                                            K S T.                                                     Metro                                                                            K S T.
                                                                                                                                                                                                                     Square
                                                   McPherson                                       Franklin                                                                                                                                                                                                                                       SOURCE: Downtown BID
                                                    Square                                          Square
                                                                                                     EYE ST.                                                                                                                                                                              EYE ST.
                                                                                                                                                                                                                                                                                                                                  395




                                                                                                                                                                                                                                                                                                                                                                                                           N. CAPITOL ST.
                                                                                                                                                  .
                                                                                                                                           AVE




                                                                                                                                                                                                                                                                                                                                                                                                                                                E
                                                                                                                                                                                                                                                                                                                                                                                                                                          ST. N
                                                                                                                                        RK
                              H ST.                                                                                               YO                                                                                                                                                                                                                                                                                        H ST.
                                                                                                                          W
                                                                                                                     NE                                                                                                   H ST.                    Gallery Place                                                          MA




                                                                                                                                                                                                                                                                                                                                                                                                                                         1ST
                       Lafayette                                                                         Hecht’s Dept Store                                                                                                                                                                                                      SSA                                                                                        G PL.
                        Square                                                                                                                                                                                                                                                            General                                      CH
                                                                                                       (converting to Macy’s)                                                                                                                                                                                                               USE
                                                                                                                                                                                 Former Woodies                                                                                        Accountability                                              TTS
                                                                                        14TH ST.




                                                                                                                                                                                                                                                                                                                                                         AVE                                                                G ST.
                                                                                                                                                                                   Dept. Store                                                                                            Office                                                                .
                                                                                                     G ST.
                                                                                                                                                                                                                                                  Verizon                                 G ST.
                                                                                                                                                                                                                                                  Center
                                                                                                                                                                           H&M                                                                                                                                                                    Georgetown
                                                                                                                                                                                                                                                                                                                                                  Law School
                         White                                                                                                                                                                                                                                                         F ST.                                                                                                                                                    Union




                                                                                                                                                                                                                                                                                                                       3RD ST.
                                                                                                                                                                                                                                                                                                                                                                                                                                               Station
                                                              15TH ST.




                                                                                                                                                                                     10TH ST.




                                                                                                                                                                                                                9TH ST.




                                                                                                                                                                                                                                                               6TH ST.

                                                                                                                                                                                                                                                                             5TH ST.




                                                                                                                                                                                                                                                                                                           4TH ST.
                         House                                                                                                                                                                                                                                                                                                    395
                                                                                                                             13TH ST.




                                                                                                                                                                                                                                                                                                                                                                    NEW
                                                                                                                                                                                                                                                                                                                                        2ND ST.
                                                                                                     E ST.                                                                                                                                                                                E ST.




                                                                                                                                                                                                                                                                                                                                                          1ST ST.
                                                                                                                                                                                                                                                                                                                                                                     JERS
                                                                                                                                                                                                    FBI




                                                                                                                                                                                                                                                                                                                                                                          EY A




                                                                                                                                                                                                                                                                                                                                                                                                                                         E.
                                                                                                                                                                                                                                                                                                                                                                                                                                    E AV
                                                                                                                                                                                                                                                                                          D ST.




                                                                                                                                                                                                                                                                                                                                                                               VE.
                                                                                                                                                                           PEN
                                                                                                                                                                                     NSY                                                                         VE      .                                                                                                                           E.
                                                                                                                                                                                                 LVA                                                          AA                                                           Dept.                                                                AV




                                                                                                                                                                                                                                                                                                                                                                                                                                   WAR
                                                                                                   Ronald                                                                                               NIA                                             IAN
                       The Ellipse                                                                 Reagan                                                                                                     AVE                                 IND                                                                     of Labor                                                      N   A
                                                                                                                                                                                                                    .
                                                                                                                                                                                                                                                                                                                                                                                     IA




                                                                                                                                                                                                                                                                                                                                                                                                                               DELA
                                                                                                   Building                                                                                                                                                                               C ST.                                                                                  S
                                                                                                                                                                                                                                                                                                                                                                            UI
                                                                                                                                                                                                                                                                                                                                                                      LO


                                                                                                   CONSTITUTION AVE.                                                                                                                                                                                                                     CONSTITUTION AVE.

                                                                                                                                                                                                                                                                                                                                                                                                                               0                    N    1000
                                                                                                                                                               NATIONAL MALL
                                                                                                                                                                                                                                                                                                                                                                                                                                               FEET




     DOWNTOWN BID LUNCHTIME
     PEDESTRIAN COUNT, MAY 2005                                                                                                                                                                                                                                AVAILABLE AND FUTURE DOWNTOWN BID
                                                                                                                                                                                                                                                               DESTINATION RETAIL SPACE, MARCH 2006
              #      Average number                                      EYE ST.
                                                                                                                                                                                                  7TH ST.




                                                                                                      VE        .
                                                                                                                                                                                                                          6TH ST.




                     of lunch-time                                                                 KA
                                                                                      YOR                           Old Convention                                                                                                                             Availability                                          Project                                                                                                 Square Feet
                     pedestrians                                           NEW                                        Center Site
                     per hour
                                                                                                                                                                                                                                                               Today                     1025 F Street (Woodies)                                                                                                                         74,000
          Circles are proportionate                                      H ST.
                                                                                                                                                                                                              591
          to numbers.                                                                                                                                                                                                                                          Today                     National Place and National Press Club                                                                                                          10,000
                                                                                                     11TH ST.


                                                                                                                       10TH ST.




                                                                                                                                                                                                            Gallery Place
          SOURCE: Downtown BID                                                                                                                                                          1,163 1423
                                                                                                                                                                                               Retail                                                                                    (1300 Block of F Street)
                                                  G ST.                                                                                                                                                                                                        Today                     Terrell Place (500 Block of 7th Street)                                                                                            15,000–20,000
                                                                                                                                                            9TH ST.




                                                                                                                                                                                                            Verizon
                                    963                       777                                                                                                                                           Center
                                                                948                                                                                                                                                                                            2006                      950 F Street (Atlantic Building)*                                                                                                  25,000–45,000
                                                                                                                                                                                 935
                     F ST.                   1,391                       810                                                             F ST.                               564
                                                                                                                                                                                                                                                               2006                      975 F Street (Carroll Square)*                                                                                                                  16,000
                                             1778
                                                          13TH ST.



                                                                                   12TH ST.
          15TH ST.




                                14TH ST.




                                                                                                                                                                                                                                                               2007                      1199 F Street (Lerner Site)                                                                                                         8,000–16,000
                                                                                                                                         E ST.
                                                                                                                                                                                                                                                               2007/8 Gallery Square                                                                                                                                                     50,000
                                                                                                                                                                                                  7TH ST.




                                                                                                                                                                                                                          6TH ST.




                                              587                                                                                        FBI
                                             1062                              PEN
                                                                                                                                                                                                                                                               2008/9 1000 to 1006 F Street                                                                                                                                  8,000–12,000
                                                                                              NSY
                                                                                                    LVA
      0                 N                  1000                                                                 NIA
                                                                                                                      AVE                                                                                                    VE     .                          2011                      Old Convention Center Site                                                                                          275,000–300,000
                                                                                                                                  .                                                                                       AA
                       FEET                                                                                                                                                                                         IAN
                                                                                                                                                                                                              IND                                              2005-                     Potential Lease Expirations on Office                                                                                          50,000–100,000
                                                                                                                                                                                                                                                               2011                      Space or Service Space at Street Level
                                                                                                                                                                                                                                                                                                                                                                             Total                        531,000-643,000
                                                                                                                                                                                                                                                               * Under construction.
                                                                                                                                                                                                                                                               SOURCE: Downtown BID




     26
transportation

This was the year of the DC Circulator bus. Launched in July, this new public transportation service provides rapid bus
transit between Union Station and Georgetown, the Convention Center and the Southwest Waterfront. The Circulator is
a public/private partnership between the District Department of Transportation (DDOT); the Washington Metropolitan
Area Transit Authority (Metro); and the Downtown, Georgetown, Capitol Hill and Golden Triangle BIDs. Other public sector
partners include the Washington Convention Center Authority, the Washington Convention and Tourism Corporation and
the National Capital Planning Commission. Ridership has grown steadily each month.

Traffic congestion for commuters continues to be an important source of increased demand for Metrorail service in and out
of the Downtown BID. Metrorail ridership for both weekdays and weekend days rose by 4,000 per day in 2005 — an increase
of 4% and 15%, respectively. Higher weekend readership is most certainly due to a new theatre, cinemas, restaurants, stores
and residents in the Downtown BID.

Initiatives underway to maintain and build upon Downtown’s competitive transportation position include:
• DC has passed, and Maryland and Virginia have introduced sales tax based permanent funding legislation to be matched
  by federal permanent funding of $1.5 billion per year.
• The Downtown BID is leading a partnership with other BIDs and DDOT to eliminate double parking for loading and
  unloading during business hours.
• DDOT has designated four locations in Downtown as carsharing sites to reduce the demand for parking and congestion.
  More locations are expected in the future.
• The Downtown BID and DDOT installed more than 50 bike parking racks in public space to encourage this form of
  transportation. In addition, DDOT assisted property managers with commuter bicycle parking inside office buildings to
  accommodate tenants’ transportation needs.
• Signalized intersections in Downtown were retrofitted with pedestrian countdown signals in 2005. Motorists and
  pedestrians appreciate the predictability these devices provide at intersections.

Improved public transit will help all Downtown businesses, allowing workers access to more affordable housing in the
city and surrounding jurisdictions. Using public transportation, these workers could eliminate the stress and pollution
of a long automobile commute.



                                                                                                                          27
transportation




     DOWNTOWN BID TRANSIT, MARCH 2006

                                                                                                                                                                                                                                      N ST.                                                                                                                  N ST.
                                                                                                                                                                                                                                                                                                   Metro




                                                                                            13TH ST.



                                                                                                               12TH ST.

                                                                                                                              11TH ST.

                                                                                                                                            10TH ST.




                                                                                                                                                                                                                                                               NEW
                                                                                                                                                                                                        6TH ST.

                                                                                                                                                                                                                      5TH ST.
                   Scott                                Thomas
                   Circle                                Circle                                                                                                                                                                                                                                    Metro




                                                                                                                                                                                                                                                                JERS
                                                                                                                                                                                                                                      M ST.                                                        Lines                                                     M ST.




                                                                                                                                                                                                                                                                    EY A
                                                                              MA                                                                                       Washington      Mt. Vernon
                      16TH ST.




                                                                                                                                                                                                                                                                                                   Circulator




                                                                                                                                                                                                                                                                         VE.
                                                                                   SSA                                                                                                 Square
                                                                                             CH                                                                        Convention                                                                   .
                                                        E.




                                                                                                       USE                                                                                                                                     VE                                                  Routes
                                                                                                                                                                                                                                            KA
                                                        AV




                                                                                                             TTS                                                         Center
                                                                                                                   AVE                                                                                                                YOR
                                                    NT




                                                                                                                                                                                               L ST.
                                                                                                                          .                                                                                                     NEW
                                                   MO




                                                                                                                                                                                                                                                              395                          SOURCES: WMATA,                                                   L ST.
                                              VER




                                                                                                                                                                                                                                                                                           Downtown BID


                                                                                                                                                                                                                                      K ST.




                                                                                                                                                                                                                                                                                                                                            N. CAPITOL ST.
                                 McPherson
                                  Square                                EYE ST.
                                                                                                                                                                                                                                      EYE ST.
                                                                                                                                                                                                                                                                           395
                                                                                                                                         Old Convention
                                                                                                                                           Center Site
                    H ST.                                                                                                                                                                     Gallery Place-                                                                                               H ST.
                                                                                       E.
                                                                                  AV                                                                    H ST.                                 Chinatown
                                                                             RK
                                                                        YO
                                                                  W                                                                                                                                                                General
                                                             NE                                                                                                                               Gallery Place
                                                                                                                                                                                              Retail                            Accountability                                                                                                               G ST.
                                                                                                                                                                                                                                   Office
                                                                         G ST.
                                                                                                                                                                                                                                        G ST.
                                                                                                                                                                                              Verizon                                                                                      Georgetown
                                                                                                                                                                                              Center                                                                                       Law School
                                                                         F ST.                                            Metro                                                                                                          F ST.
                   White                                                                                                                                                                                                                                                                                                                                                    Union




                                                                                                                                                                                                                                                                                                    NEW
                                                                                                                          Center
                                        15TH ST.



                                                             14TH ST.




                                                                                            13TH ST.




                                                                                                                                                                                                                                                                3RD ST.
                                                                                                                                                                                                                                                    4TH ST.
                   House                                                                                                                                                                                                                                                   395
                                                                                                                                                                                                                                                                                                                                                                            Station




                                                                                                                                                                                                                                                                                                          JERS
                                                                                                                                                                                                          Judiciary
                                                                                                                              11TH ST.




                                                                         E ST.




                                                                                                                                                                                                                                                                                 2ND ST.



                                                                                                                                                                                                                                                                                                1ST ST.
                                                                                                                                                                                    7TH ST.




                                                                                                                                                                                                            Square




                                                                                                                                                                                                                                                                                                           EY A
                                                                                                                                                         FBI




                                                                                                                                                                                                                                                                                                                VE.
                                                                                                                          PEN                                                                                                         D ST.
                                                                                                                                    NSY




                                                                                                                                                                                                                                                                                                                                                                       E.
                                                                                                                                           LVA                                                          AVE
                                                                                                                                                                                                                  .                                                                                                                    E.




                                                                                                                                                                                                                                                                                                                                                                  E AV
                                                                         Ronald                                                                        NIA
                                                                                                                                                             AVE                            IA    NA                                                                 Dept.                                                        AV
                The Ellipse                                             Reagan                                                                                     .                    IND                                                                         of Labor                                                  A
                                                                                                                                                                                                                                                                                                                           AN




                                                                                                                                                                                                                                                                                                                                                                 WAR
                                                                        Building                                                                                                                           C ST.                                                                                                      SI
                                                                                                                          Federal                                                             Archives-                                                                                                          UI
                                                                                                                                                                                                                                                                                                           LO




                                                                                                                                                                                                                                                                                                                                                              DELA
                                                                                                                          Triangle                                                            Navy Memorial-
                                                                                                                                                                                              Penn Quarter
                                                                                                                                                                                                                                                                                  CONSTITUTION AVE.



                Washington
                Monument                                                                                                                                                                                                                                                                                                                 U.S.
                                                                                                                                                                                                                                                                                                                                        Capitol
                                                        N A T I O N A L                                                       M A L L


                                                                                                                          Smithsonian
                                                                                                                                                                                                                                                                                  INDEPENDENCE AVE.                                                          0               N        1000
                                                                                                                                                                                                                                                                                                                                                                            FEET




          WORKERS TAKING TRANSIT                                                                                                           TOP 3 URBAN AREAS IN TRAFFIC CONGESTION, 1982-2003
          BY CITY, 2000                                                                                                                   120                  Hours lost in traffic
          Ranked from highest to lowest.
                                                                                                                                                                 DC      Los Angeles
          New York                                                       53%                                                                90                   San Francisco
          DC                                                 37%
                                                                                                                                            60
          San Francisco                                      34%
                                                                                                                                                                                                                                                                                                                                                                 66              69
          Boston                                         32%                                                                                30                                                                                                                            51
          Chicago                                       30%                                                                                                                  21
          Philadelphia                                  29%                                                                                     0
                                                                                                                                                        1982                                                                                                   1993                                                                                               2002 2003
          SOURCE: U.S. Census                                                                                                              SOURCE: Texas Transportation Institute (2003 data released May 2005)




     28
                                                                                                                                                             transportation




                                                                                                                                      Downtown development has
DAILY METRORAIL RIDERSHIP EXITS IN DOWNTOWN BID,
1997-2005 (Thousands)                                                                                                                 led to increases in Metrorail
                                                                                                                                      ridership of 44% and 63%,
          Weekdays             Weekends
                                                                                                                    98                respectively, for weekdays
                                                                           93            93             94
90
                                                              89                                                                      and weekends.
                                                84
80                   78            78

70      68

60

50

40
                                                                                                                           31
30                                                    26                         26           27             27
                          24            23                         24
20           19
                                                                                                                                      Gallery Place Metrorail station
10
                                                                                                                                      has shown phenomenal growth
 0
         1997         1998          1999          2000         2001          2002         2003          2004         2005             of 172% since the Verizon Center
Total 88              102          101           110           113          119           120           122          129
                                                                                                                                      opened in 1997 (followed by
*Exit numbers for Metro stations in Downtown BID (McPherson Square, Metro Center, Gallery Place-Chinatown,
 Archives-Navy Memorial-Penn Quarter, Federal Triangle, Mt. Vernon Square and Judiciary Square).
                                                                                                                                      $3 billion of development
 SOURCE: WMATA                                                                                                                        within a few blocks).




AVERAGE WEEKDAY METRORAIL RIDERSHIP
Figures represent exit numbers only. Circles are proportionate to number of Metrorail riders in 2005.
                                                                                                                                Archives-Navy
              Metro                   Gallery               McPherson                   Federal                Judiciary          Memorial-     Mt. Vernon
                                                                                                                                                               TOTAL
              Center                   Place                 Square                     Triangle                Square          Penn Quarter     Square



2005            28,158                  19,842                  17,057                  10,824                    10,738            8,003         3,228        97,850



1997            23,638                  7,286                   14,443                   6,396                    9,422             5,543         1,689         68,416
Change           4,520                  12,556                   2,614                   4,429                    1,316             2,459         1,539        29,433
Percent          19%                    172%                     18%                      69%                     14%               44%           91%           43%
Change

SOURCE: WMATA




                                                                                                                                                                         29
transportation




                                     DC CIRCULATOR RIDERSHIP, JULY 2005-MARCH 2006                                                                       (Thousands)

                                                       Monthly Ridership                                                      Average Daily Ridership
                                                                                                155
                                     160                                                                        6                                                5.0
                                                                                         122
    “A survey of Circulator          120
                                                                                                                4
     customers tells us we’ve
                                     80
     succeeded in reaching our
                                            36
                                                                                                                2
     goal of providing convenient,   40                                                                                2.6
     affordable and enjoyable
                                       0                                                                        0
     transportation to Downtown              July Aug. Sept. Oct. Nov. Dec. Jan. Feb. March*                          July Aug. Sept. Oct. Nov. Dec.    Jan. Feb. March
                                                         2005                              2006                                         2005                2006
     destinations — 98% would
                                     *Based on actuals through March 20, 2006.
     recommend the Circulator        SOURCE: WMATA

     to others!”

     DC SURFACE TRANSIT
     CORPORATION
                                     WASHINGTON AREA AIRPORT TRAFFIC, 1994-2005

                                                 Number of Passengers (Millions)
                                                     Ronald Reagan Washington National Airport
                                      30             Baltimore/Washington International Airport                                                                  27
                                                     Washington Dulles International Airport
                                      25
                                                                                                                                                                 20
                                      20
                                                                                                                                                                 18

                                      15


                                      10


                                       5


                                       0
                                           1994       1995       1996       1997       1998      1999       2000       2001      2002     2003   2004   2005

                                      SOURCES: Metropolitan Washington Airports Authority; Baltimore Washington International Airport




     30
dc financial overview

Washington, DC, recorded its ninth straight year of an operating surplus for the 2005 fiscal year ended
September 30, 2005. And, through February 2006, tax revenues are running 8% above fiscal 2005.

DC’s strong financial management is reflected in the two bond upgrades it received in 2005:
• A June 2005 credit rating upgrade to A from A- by Fitch.
• A November 2005 credit rating upgrade to A+ from A by Standard & Poor’s.

A single-A rating advertises the city as a stable city for investment and development.

The significance of a single-A rating is reflected in the historic interest rate savings of 0.18 % over
a BBB rating. When this interest rate savings is applied to the city’s $4.1 billion of debt, the annual
interest savings are $7.4 million in cash per year. These savings can provide funding for constructing
one new high school, one new middle school and one new elementary school!




                                                                                                          31
dc financial overview




    “Washington is a great market
                                                                           DC'S GENERAL FUND OPERATING SURPLUS/DEFICIT, 1992-2005
     for the long term investor because                                    (Millions of $)

     it has historically done well and                                      $500
                                                                                                                                           445
     is able to provide durable income
                                                                            $400                                                                                                                370
     streams — something that is
                                                                                                                                                                                      318
     integral to a retirement portfolio.”                                   $300
                                                                                                                                                        241
     TIAA-CREF                                                                                                                      186
                                                                            $200
                                                                                                                                                  134
                                                                            $100                                                                                78
                                                                                                                                                                      27      32
                                                                                        2        8
                                                                                0

                                                                                                                          -34
                                                                                                                 -54
                                                                           -$100


                                                                           -$200


                                                                           -$300

                                                                                                       -335
                                                                           -$400
                                                                                        92       93       94       95          96   97     98      99   00      01    02       03          04    05

                                                                           SOURCE: DC Comprehensive Annual Financial Reports




          DC'S GENERAL OBLIGATION BOND RATING, 1992-2006

             AA/A
                                                                                   DC’s bond rating as
                                                                                  of March 31, 2006 is
                  A
                                                                                        A2/A+/A

           BBB/A


              BBB
                            INVESTMENT GRADE
          BBB/BB                                                                                                                                                           In November 2005,
                                                                                                                                                                           Standard and Poor’s
                BB                                                                                                                                                         upgraded DC’s bond
                                                                                                                                                                              rating to A+.

             BB/B



                   1/92          1/93            1/94        1/95   1/96   1/97          1/98           1/99            1/00        1/01         1/02    1/03        1/04           1/05        1/06

          SOURCE: DC Office of the Chief Financial Officer




     32
dedication
The 2005 State of Downtown Report is dedicated to our colleague, Joe Sternlieb,
deputy executive director for Planning and Economic Development. After 10 years
of dedicated service, Joe is leaving the Downtown BID to pursue a new career. The
State of Downtown was part of Joe’s vision for Downtown economic development:
for creating jobs in Downtown, for generating tax revenues and for improving the
lives of all District residents. We wish him the best in the years ahead.




credits
Center for Regional Analysis, George Mason University
Cushman & Wakefield
DC Office of the Chief Financial Officer and Department of Employment Services
International Spy Museum
Lucy Sherman Kempf, Research Associate
Metropolitan Washington Council of Governments
Real Capital Analytics
Smith Travel Research
Washington Convention and Tourism Corporation
Washington Convention Center Authority
Washington Metropolitan Transit Authority
The Shakespeare Theatre Company
The Smithsonian Institution
Woolly Mammoth Theatre


I L L U S T R AT I O N S
Jim Nuttle
Jim Nuttle Inc.

D ATA A N D G R A P H I C S
Farhana Hossain

DESIGN
Amy E. Billingham
Pensaré Design Group, LTD.

PRINTING
Kelly Press




Suggestions for improving the report are welcomed and encouraged.
Please send comments to delores@downtowndc.org.
DOWNTOWN BUSINESS IMPROVEMENT DISTRICT


1250 H Street, NW
Suite 1000
Washington, DC 20005
202.638.3232

www.downtowndc.org

				
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