Fairfax, Virginia, August 15, 2025
News Summary
Developers secured a $60 million construction loan to build The Botanist, a 260‑unit apartment building at 10350 Eaton Place on a roughly 3‑acre former surface parking lot in Fairfax. The project is being developed by Middleburg Communities and Capital City Real Estate with about $40 million of committed equity and a recent land purchase of $10.4 million. Construction will begin immediately with first move‑ins expected in the third quarter. Leaders cited limited new apartment supply in Northern Virginia and steady rent growth as key reasons to move forward despite regional market headwinds.
The Botanist apartment project clears financing and will break ground in Fairfax
A new, ground-up apartment project in Northern Virginia has secured construction financing and is moving to start work. Developers plan a 260-unit building called The Botanist on a 3-acre surface parking lot at 10350 Eaton Place in Fairfax. The site sits beside a group of 1980s-era office buildings known as WillowWood Plaza.
Loan and equity details
The development team closed a $60 million construction loan with CIBC Bank USA, a Chicago-based subsidiary of a Canadian bank. The developer group is providing $40 million of equity, with Middleburg Communities named as a general partner and a 90% limited partner providing most of the equity. One of Middleburg’s senior investment leaders serves as the principal of strategic investments for this project and declined to identify the limited partner.
Site purchase and timeline
The development team closed on the land purchase last week for about $10.4 million. With financing secured, the team plans to start construction immediately and deliver the first units in the third quarter of 2027. The project has been in planning for roughly four years; one developer began the entitling effort nearly four years ago and Middleburg joined the effort as a general partner last year.
Why the project is moving forward
Developers say this is a rare ground-up apartment opportunity in the area and see demand tied to workers returning to offices. The development team cited a relative shortage of new apartment supply in Northern Virginia compared with Washington, D.C., and other nearby markets. That limited supply is credited with supporting rent growth in the region even as some other markets have flattened.
Market context and risks
The project comes as local leaders and developers watch how federal workforce trends might affect demand. Recent data show federal employment fell more in Northern Virginia than in neighboring subregions over a recent multi-month period, with Northern Virginia down about 6.1%, suburban Maryland down about 4.1%, and the District down about 2.4%. Some investors had expressed concern about national headlines and proposed federal workforce changes, including a named federal efficiency initiative that has dominated conversations with capital partners. That concern has made some investors cautious about the market.
Despite those concerns, the lender on this project reported strong regional portfolio performance and the developers said they saw only a small number of renters affected directly by federal workforce reductions. Those renters reportedly received buyouts that helped them stay current on rent while they transitioned to other work. Developers believe short-term government job shrinkage can be offset by a strong private employment market and by workers shifting from public to private jobs.
Rent and supply trends
Regional rent data show year-over-year gains while national rents have dipped in recent measures. In the broader Washington area, rents were higher on an annual basis in the most recent reported month, with the two-bedroom median in the region roughly $2,215. Several Northern Virginia submarkets have shown above-average rent growth recently, with Annandale among the fastest-growing. Top two-bedroom medians in the region include Arlington, Tysons Corner, and Merrifield.
The national picture differs: median rents in some parts of the country have eased following a big wave of new multifamily supply that brought the most new units in a single year since the mid-1980s. That wave created vacancies and rent pressure in some Sun Belt markets, while core markets in the Mid-Atlantic and suburbs around Washington have seen steadier growth in rent because of tighter supply.
What the project means locally
The new building will add a significant number of apartments to a county that, by recent regional tracking, remains behind on a decade housing target. As of the latest assessment, Fairfax County was about 36% of the way to a 2030 housing development benchmark set by the regional planning body, while some neighboring localities had already exceeded their targets. Adding supply like The Botanist is part of a broader effort to close that gap.
Next steps
Construction will begin soon now that the loan and equity are in place. The team expects to deliver the first homes in the third quarter of 2027. The project will replace a surface parking lot and sit adjacent to existing office properties, adding housing where the area has had limited new apartment development in recent years.
FAQ
- What is The Botanist?
- The Botanist is a planned 260-unit apartment building to be built on a 3-acre surface parking lot at 10350 Eaton Place in Fairfax.
- Who is developing the project?
- The project is being developed by Middleburg Communities with a partner group that includes a 90% limited partner. Middleburg joined the project last year.
- How is the project being financed?
- The development secured a $60 million construction loan from CIBC Bank USA and the developer group is contributing about $40 million in equity.
- When will construction start and when are units expected?
- With financing closed, construction is expected to begin immediately and the first units are planned for delivery in the third quarter of 2027.
- Why build this project now?
- Developers point to a return-to-office trend and limited apartment supply in Northern Virginia compared with nearby markets, supporting demand for new apartments in the area.
- How might federal job changes affect the project?
- Federal employment in the region has declined in recent months, and that has raised caution among some investors. The development team and lender assessed those factors and expect short-term federal job shifts to be offset by private-sector hiring and stable local rent growth driven by limited supply.
Key project features
| Feature | Detail |
|---|---|
| Project name | The Botanist |
| Units | 260 |
| Site address | 10350 Eaton Place, Fairfax, VA |
| Site size | 3 acres |
| Loan | $60 million construction loan from CIBC Bank USA |
| Equity | $40 million from Middleburg Communities and a 90% limited partner |
| Land purchase | Closed at $10.4 million |
| Timeline | Construction starting immediately; first units due Q3 2027 |
| Adjacent buildings | Next to WillowWood Plaza, a quartet of 1980s-era office buildings |
Deeper Dive: News & Info About This Topic
Additional Resources
- CoStar: Joint venture secures land financing for multifamily project in Northern Virginia office park
- Wikipedia: The Botanist 10350 Eaton Place Fairfax
- NBC Washington: ICE operation at Virginia apartments scares residents
- Google Search: ICE operation Virginia apartments
- Northern Virginia Magazine: Where does Northern Virginia’s rental market stand?
- Google Scholar: Northern Virginia rental market 2025
- FFXNow: Led by Tysons, Fairfax apartment rents continue rise
- Encyclopedia Britannica: Fairfax apartment rents 2025 Tysons
- Holland & Knight: Understanding the proposed updates to DC’s residential apartment zone
- Google News: DC residential apartment zone updates 2025
