The city is entering into a deal with Stonebridge Carras to redevelop the building, with an expected (and required?) LEED Silver certification. It's expected it will take two years to renovate the building. Back in September it was reported that it would take $85 million to fund the renovations, on top of the $85 million purchase price; today's press release says that the deal with Stonebridge will save the city "more than $60 million over the life of the new 20-year arrangement."

This would seem to bring to a close almost three years of wrangling over exactly how to use the building, after the Williams administration leased the building with little fanfare in late 2006, only to have the original plans to house MPD functions there fall apart, and attempts to sublease the building for development go nowhere, all while the city continued to pay millions of dollars each year in rent. My 225 Virginia page has the background, if you want to relive it all.