WASHINGTON, D. C. – Attorney General Karl A. Racine today announced that the District had reached a settlement with Walmart in which the retailer will pay $1.3 million to resolve claims related to its withdrawal from a planned development at Skyland Town Center in Ward 7.

“When Walmart terminated its lease at Skyland, an underserved part of our community was deprived of jobs and retail options it had been promised,” said Attorney General Racine. “My office took action on this matter because District residents expect corporations and developers to honor their commitments. Moving forward, we plan to take a closer look at financial incentives made by the city and work to ensure that benefits promised to our community are actually delivered, especially where residents need them most.”

The development of Walmart stores, including at the Skyland location, was a priority for the District because of the new jobs and access to goods this development would bring. While Walmart did open three out of the six District stores originally planned, their withdrawal from Skyland Town Center after the city committed significant resources to the development raised complex issues regarding the company’s potential liability.

“While Walmart’s decision to withdraw from its commitment to the District was extremely disappointing, this settlement represents the District and Walmart’s good faith judgment that it was preferable to resolve this matter without a protracted and costly lawsuit,” Attorney General Racine said.

A copy of the settlement agreement is available here.