In the midst of the university's worst housing crisis in 20 years, the Prince George's County Council is holding up development of an apartment complex because of a dispute over a fee the developer would have to pay to the county, the developer said.
The developer of the Mazza Grandmarc Apartments, which would be built on Route 1 by Hollywood Avenue, has only one more hurdle to jump before receiving the final go-ahead from the Prince George's County Council. But after crawling through the approval process for nearly five years, it seems the project, which would provide 630 beds exclusively to graduate students, has reached a standstill until the fee dispute is resolved.
The dispute stems from a public education fee the developer may have to pay to the county. If a bill now in the state Senate becomes law, developers of student housing within one-and-a-half miles from the campus - including the Grandmarc complex's developer - will not have to pay the fee.
Council members and the project's developer say District 1 County Councilman Tom Dernoga, who represents the area where the complex would sit, doesn't believe the developer of the complex should be exempt from paying the fee - about $7,000 per apartment, and nearly $1.7 million total for Grandmarc renters and owners. Dernoga's involvement was first reported on the website Rethink College Park.
"I think it's fair to say that he has some concerns about [whether] there is a school impact fee in Prince George's County and the boundaries for that," said Russ Davis, Chief Executive Officer of the South Carolina-based developer, Collegiate Hall Properties.
Davis said Dernoga is blocking final approval of the complex by the county council until the fee dispute is resolved. Other council members said they could not comment on the matter, but agreed Dernoga played a role in the delay. Dernoga did not return repeated calls for comment. The bill is scheduled for a Senate hearing March 7.
Davis called the project's five-year history "extraordinary" and said he was "shocked" at the latest, largest holdup. If the project is approved, it will take two more years to build it.
The county approved the apartment project last May, but a month later, county records show a district council took it under review. Large county projects can be reviewed in this manner if a council member, like Dernoga, wants to take a closer look.
Davis said laws restrict him from speaking directly to Dernoga and he hasn't been able to get a hearing before the district council.
"Unfortunately there is no requirement on how long they can hold you in this position," Davis said. "We're not permitted to talk to him. It's not ethical during this period, so we really can't talk to him about what his concerns may be and how we might break out of this delay."
Years ago, College Park officials said they wanted the project to fall within the tax-exempt boundary, said District 1 City Councilman John Krouse, who represents North College Park. Typically, the county complies with the city's wishes.
"The presumption is if housing is going to be [all] student, they're not going to be putting a burden on the city's K though 12 system," Krouse said. "Then why charge them the development fee for that project?"
In addition to the apartment complex, developers are planning to build a trail connecting to Paint Branch Trail, which would add six acres to Paint Branch Park. Davis also aims to build a bank and restaurant in front of the apartment building to satisfy zoning requirements for retail space, though those plans are not final.
Graduate Student Government President Laura Moore echoed Davis's frustrations.
"We really need graduate student housing, and it's really holding us back," Moore said. "The developers are really doing a lot, and it's really in the county's interest."
Contact reporter Mike Silvestri at silvestridbk@gmail.com.
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