Mayor Muriel Bowser's administration expects to close this month on a deal to buy 66 acres of the shuttered Walter Reed Army Medical Center Campus, kick-starting one of the biggest developments in the region's pipeline.

The Deputy Mayor for Planning and Economic Development finalized an agreement to buy the property from the US Army for $22.5M, the Washington Business Journal reports.

Once they close the deal, the city will lease the property to a JV of Hines Interests, Urban Atlantic and Triden Development. The development team, which also includes Weingarten Realty and Toll Brothers, will pay DC $25M over seven years.

The JV won the bid in 2013 and plans 2,000 housing units, 250k SF of retail, a Hyatt hotel and conference center, and offices anchored by George Washington University, MIT and bioscience/pharmaceutical companies, as well as the possibility of DC's first Wegmans.

The extensive overhaul of the campus is expected to cost more than $50M. The city expects it will generate 2,300 construction jobs as well as 3,460 permanent jobs and $1B in tax revenue over 30 years. [WBJ]