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Building boom

Many of the development firms that build new spaces to live in the Charlottesville area are homegrown with a close-up view of this dynamic market. Names like Southern Development, Riverbend Development, Stony Point Development Group, and Great Eastern Management Company come up a lot when new projects become public.  

But in the last several years, many newcomers have arrived on the scene to try to take advantage of a growing population and an identified need for new housing units. 

Chicago-based firm RMD Properties does not currently have any projects in the Charlottesville area, but the real estate developers have two high-profile projects in the works. 

One potentially could be a nine-story building on one of the last privately owned parcels on Ivy Road, and “would include approximately 225-250 residential units (for approximately 610 residents), up to 4,000 square feet of retail/neighborhood commercial uses on the ground floor, structured parking, and high-quality amenity spaces,” reads RMD’s application for a zoning change required for it to proceed this summer. The firm has asked the city to allow the project, rather than wait for the zoning update to be completed later this year. 

“The agreement between the property owner and the developer requires action on a shorter time frame,” the application continues. 

If the project remained privately held, it would mean additional tax dollars for Charlottesville—unlike the project right across the street. The Karsh Institute of Democracy is being built at the University of Virginia on land that is exempt from Charlottesville’s tax rolls.  

For comparison, let’s look at something similar in the works. The Lark on West Main is on 1.27 acres of land. City Council voted 3-2 in January 2014 for a special use permit for the multi-use apartment building. In that year, the property had an assessed value of $1.068 million. In 2023, that’s increased to over $57.6 million. 

RMD’s other project is on U.S. 29 in Albemarle, two and a half miles north, and would redevelop the site of the C’ville Oriental market into a five-story building with up to 290 apartment units. This would transform the area if it moves forward. 

“The Project would offer needed housing options for County residents and employees of nearby business and employment centers that are close to public transit and community amenities, and would significantly contribute to the urban redevelopment of the surrounding area as envisioned by the Rio29 Small Area Plan,” reads the narrative for a rezoning. 

This project would be within half a mile of two other redevelopment projects. Local firm GEMC has filed plans to redevelop the former Giant grocery store with 250 apartments. A group of housing nonprofits are turning the Red Carpet Inn on Premier Circle into a 140-unit affordable housing development. 

Another recent newcomer to the market is RST Development, which succeeded in obtaining a rezoning permit to convert a mobile home park near Forest Lakes into a 254-unit apartment complex on 19.5 acres. The Board of Supervisors adopted that project in September 2021.