The Silver Spring War and Rebirth: The Fall and Rise of an American Downtown (‘Location is Destiny’)

By Gus Bauman

I. The Prelude

June 1956 — Interstate Highway System Act signed
February 1960 — Wheaton Plaza (now Westfield Wheaton) opens
August 1964 — Capital Beltway final segment opens
Summers 1964–68 — Urban riots culminate in nationwide rioting after Dr. King assassination
1970s — Middle class and business abandonment of cities becomes a flood
February 1978 — First Metro-rail Station in Maryland opens in Downtown Silver Spring

II. The War

24 August 1984 (Friday) — Demolition commences of 1938 Silver Theater and Shopping Center art deco elements (as County historic designation hearng is scheduled for September 5)
27 August 1984 — Montgomery County issues demolition Stop-Work Order
1985 — Silver Theater, last remaining downtown movie house, closes
December 1986 — Silver Triangle regional mall/office towers/hotel project proposed for CBD’s core by local developer
September 1987 — Hecht’s deparment store leaves downtown for Wheaton Plaza 29 September 1988 — Planing Board approves Silver Triangle project after contentious hearings
8 November 1988 — County voters defeat referendum that would prevent fuding of County garage necessary for Silver Triangle
December 1988 — Opposition citizens groups file lawsuit to overturn Silver Triangle approval June 1989 — Nordstrom backs out of Silver Triangle project; Macy’s remains
5 July 1989 — Circuit court overturns Planing Board approval of Silver Triangle project
September 1989 — JCPenney, last remaining major retailer downtown, closes
14 December 1989 — Planing Board approves Silver Triangle with revisions and conditions
1980s — Several office towers built near Metro Station (NOAA HQ consolidation completed 1993)
11 September 1990 — County Executive loses in Democratic primary election to Councilmember over Executive’s strong Silver Triangle support; Councilmember elected County Executive in November
7 January 1991 — Maryland high court reverses circuit court, reinstates 1988 Silver Triangle project approval
March 1991 — Planing Board holds hearings on Draft Silver Spring CBD Sector Plan
June 1991 — JCPenney signs on with Macy’s at Silver Triangle project

III. The Truce

December 1991 — County-initiated mediation leads to anouncement by County, citizens, Silver Triangle developer of compromise plan, Silver Triangle II, for radically revised project
January 1992 — Macy’s files for bankruptcy protection
February 1992 — Urban Land Institute submits to County its Downtown Silver Spring report, evaluating the Silver Triangle sites
April 1992 — City Place opens at Hecht’s site
August 1992 — County adopts 29-acre Urban Renewal Plan for CBD core (CBD encompasses 360 acres)
April 1993 — County adopts CBD Sector Plan for the Revival of Downtown Silver Spring
February 1994 — Per the Sector Plan, County places Silver Theater and Shopping Center on Historic Preservation Master Plan; JCPenney, in financial turmoil, withdraws from Silver Triangle II project
December 1994 — Silver Spring Alternatives Working Group (21 members) issues Report to County Executive on retail development alternatives for east side of urban renewal area; Macy’s emerges from bankruptcy protection
January 1995 — Greater Silver Spring Committee (19 members) issues Report to new County Executive recommending termination of County’s development agreement with Silver Triangle developer
9 January 1995 — County and Silver Triangle developer terminate relationship
May 1995 — County issues Request for Expressions of Interest for portion of east side of urban renewal area (14 acres)
February 1996 — Silver Spring Redevelopment Advisory Board (48 members) recommends County negotiate with Canadian development company for American Dream retail/entertainment mall proposal
November 1996 — County terminates development agreement with American Dream developer for inabilty to secure required private financing
December 1996 — State designates Silver Spring Enterprise Zone, offering employment and property tax credits, administered by the County
1988-96 — More than 220 businesses leave Downtown Silver Spring; office vacancy rate reaches 39% in 1996, store vacancy rate 25%

IV. The Reconstruction

February 1997 — Silver Spring Redevelopment Steering Committee (31 members) appointed by County Executive to advise County and developers on concepts for urban renewal area
May 1997 — Executive enters into exclusive negotiation with joint ventue development team to craft “town center” project plan
April 1998 — County signs development agreement with joint venture developers for town center concept, “Downtown Silver Spring,” on urban renewal area’s east side; County agrees to purchase, restore, and expand Silver Theater into fim complex, AFI agrees to be the operator
October 1998 — Discovery Communications agrees to move to Silver Spring on urban renewal area’s west side
February 2000 — County adopts Silver Spring CBD Sector Plan, a refinement of the 1993 Plan
August-October 2000 — Phase I of Downtown Silver Spring project opens with several retailers
January 2002 — State designates “Silver Spring Arts and Entertainment District,” offering financial assistance and tax benefits
March-April 2003 — Discovery Communications HQ opens; AFI Silver Theater and Cultural Center opens; Round House Theater opens
2004-10 — New County, State Buildings:
- Silver Spring Innovation Center (2004)
- Court House; Fire Station
- Montgomery College Health Sciences Center, Cafitz Foundation Ars Center, Cultural Arts Center
- Civic Bldg. and Veterans Plaza/Ice Rink (2010)
- Transit Center (opens 2012); Library (under construction)
June 2006 — Phase I of United Therapeutics HQ and labs opens (phase II under construction)
September 2011 — Live Nation’s Fillmore Music Hall to open at vacant JCPenney building under public-private parnership agreement

V. The Outcomes

2000-10 — Over $450 milion in public investments leveraged to support some $2.0 billon in private investments
2000-11 — Some 2,500 new residential units built; hundreds more under construction; some 1,500 more approved; Dozens of restaurants, three hotels open; more planned
1995-2007 — CBD tax base grows 62%
January 2007 — Maryland Youth Ballet moves to Downtown Silver Spring
2007 — Silver Spring 20910 becomes highest median home price area of Greater Silver Spring’s eight zip codes
2010 — Office vacancy rate second lowest in county (only Bethesda-Chevy Chase is lower)

VI. The Lessons

The community must coalesce on a vision and its master plan adhere to that vision, yet be ever nimble when opportunity comes calling.
Through governmental administration after administration after administration, never waver from the plan’s vision and creative multifront implementation.
There is no silver bullet for success, only dozens of bullets of every description and caliber.
Public investments and incentives are necessary to leverage greater private investments and achieve a healthier tax base.
Mix the old with the new, mix the uses, mix private with public facilities, mix transportation options, stir and shake, and watch the people come.
None of the above is politically sustainable without the engagement of a strong middle class base.

VII. The Moral

Persist, persist, persist.

[Gus Bauman is an attorney at Beveridge & Diamond, P.C., in D.C. From 1989–1993, he was full-time Chairman of the Maryland-National Capital Park and Planning Commission. He currently chairs, by appointment of the Governor, the Maryland Blue Ribbon Commission on Transportation Funding. Bauman led the effort to formulate and adopt the 1993 Central Business District’s Sector Plan for the Revival of DTSS.] ■