State grants fund Old Town Gaithersburg streetscape engineering and facade improvements

At the Sept. 15 meeting, the city reported two recent milestones in Old Town revitalization: a Maryland Department of Housing and Community Development (DHCD) award of $200,000 for engineering of a Russell Avenue streetscape and a state matching grant for building facades that supported six storefront improvements. Economic development staff said Maryland’s National Capital Strategic Economic Development Fund provided $200,000 toward engineering costs; the award also helped secure $1,000,000 toward future construction of the streetscape linking Old Town to the Lake Forest Mall redevelopment opportunity. Staff described the project as a multi‑phased effort that will convert an auto‑centric road segment into a pedestrian‑ and bicycle‑friendly connection. A separate DHCD facade grant provided up to $50,000 per recipient, and the city matched the state funds from its toolbox fund; six storefronts used the program and owners managed construction after bearing upfront costs, staff said. Staff also said the state awarded a second round of funding for Russell Avenue and the city has a pending application to replenish the facade program funds. In the same update, staff announced the retirement and closure of Gaithersburg Rental Center at 219 E. Diamond after 88 years, thanking the owners for longtime community service. City staff asked the council and public to “wish us luck” on pending funding applications and noted that facade recipients included properties on the 200 block of East Diamond where an old wooden arcade was removed as part of improvements.