Smithsonian Institution chose the building at 600 Maryland Ave. SW for its new headquarters.

/ Google Street View

New details emerged this week in the years-long saga of the Smithsonian Institution’s search for new headquarters.

Newly installed Secretary Lonnie Bunch revealed his plans for acquisition of a new headquarters during a House oversight hearing on Wednesday, according to reporting by the Washington Business Journal. Bunch said the institution hopes to purchase all of one tower and part of another at 600 Maryland Ave. SW., consolidating multiple Smithsonian offices into one headquarters.

WBJ reported in June 2019 that the Smithsonian had settled on the 10-story Capital Gallery building as the site of its new headquarters, but it was unknown whether the institution planned to buy the entire building or just part of it. Purchase of the building requires federal approval, which has proven challenging so far.

The Smithsonian Institution already leases about 230,336 square feet of the building, which in Southwest next to the L’Enfant Metro. This lease is set to expire in November 2020. Whatever portion of the building is not purchased by Smithsonian will remain privately owned, Bunch said, per WBJ.

Because the Smithsonian Institution is a federal trust, its budget is primarily funded by federal dollars. In order to go through with the purchase, the Smithsonian must receive approval from Congress to redirect the appropriations that it had previously used to pay rent for its office spaces.

When Bunch presented his plan to Congress, some were hesitant to approve the move, based on the Smithsonian’s track record with real estate purchases, WBJ reports. Oregon Democratic Rep. Peter DeFazio cited the Smithsonian Institution purchase of the Victor Building for $84.4 million in 2000, per the outlet: five years after purchasing it with federal money, the institution sold the building for $157.5 million, kept the proceeds, and then leased the space from the new owner.

DeFazio said at the hearing that the institution needs to practice better communication and transparency around their real estate and business ventures, reports WBJ.

The proposal to purchase the space in Southwest comes after almost six years of planning by the Smithsonian. In 2014, the Washington Business Journal reported that the institution was considering shifting away from its leased spaces to purchasing one large headquarters. At the time, the Smithsonian leased space in up to 15 buildings in five different cities, costing more than $29 million a year.

In August 2018, the institution began accepting real estate proposals for its new headquarters, but not without a few specific requirements, according to WBJ. The institution wanted to own at least 260,000 square feet of space, but executives were also open to purchasing a larger space and leasing it out. Executives also wanted the headquarters to be no more than a 20-minute walk from the Smithsonian Castle at 1000 Jefferson Drive SW. In June, they decided on the location currently before Congress.

The Senate’s federal spending bill this fall authorizes the Smithsonian to purchase the building, allowing the funds to be re-appropriated with House approval, but did not give the institution any more funding for the move. The institution is now waiting on approval from the House Transportation and Infrastructure Committee.

With the consolidation in the new headquarters, Smithsonian executives hope to begin work on the “South Mall Plan,” a multi-million dollar renovation project of the Smithsonian Castle’s 17-acre South Mall.

After his proposal, Congress members and Bunch agreed to working together to flesh out more details of the plan before going forward.

There’s No Paywall Here

DCist is supported by a community of members … readers just like you. So if you love the local news and stories you find here, don’t let it disappear!

Become a Member