Albemarle County’s campaign to grow the biotechnology industry showed a major sign of progress earlier this month when one company announced plans to invest $200 million into an expansion project.
“We want to expand our manufacturing to make sterile medicines, put in clean rooms, and create really, really great jobs,” said Afton Scientific’s Tom Thorpe during an announcement at the county’s headquarters off Avon Street Extended.
Thorpe founded Afton Scientific in 1991 to make technology that can safely create small batches of pharmaceuticals for clinical trials. In late August, Afton Scientific paid $4.25 million to a subsidiary of Coran Capshaw’s Riverbend Development for the 6.78 acres in the same industrial park for the expansion. The property is just to the south of the Charlottesville border and overlooks Moores Creek.
According to the trade organization CvilleBioHub, there are at least 75 companies in the area related to the biotech industry, with more than 1,950 employees. Afton Scientific is pledging to add 200 more jobs and will use resources from the Virginia Partnership for Economic Development to find skilled workers.
Albemarle first identified the biotechnology field as one of its targeted sectors in a 2012 study that also prioritized defense, information technology, and financial services.
“Afton Scientific started in our community 30 years ago and we couldn’t be more proud of this business, of this industry being in our community today,” said County Executive Jeff Richardson.
One of Afton Scientific’s neighbors is Lighthouse Instruments, another industry representative. Its website describes the company as “the leading global provider of optical-based, non-destructive headspace analysis systems and analytical services.” That means they’re also involved in the pursuit of making medicines safer.
Virginia’s secretary of commerce and trade was on hand for the announcement and said the Charlottesville area is becoming known as a hub for the industry.
“In Charlottesville, just in the last year, we had more than $400 million of federal research grants,” said Caren Merrick. “We’ve also had more than 90 million in equity investments in our startups.”
But are there enough people in the area who can provide the labor? To answer that question and prepare for the future, CvilleBioHub is seeking state funding for a study of what workforce programs are needed. In addition to private sector jobs, there will be a need for people who can work in the many laboratories that will serve the Manning Institute of Biotechnology that’s currently under construction at the University of Virginia’s Fontaine Research Park.
“What do we need to be preparing our workforce for now so that we can serve the growth that’s anticipated as a result of the things that are happening?” said Nikki Hastings, CEO of CvilleBioHub at a recent meeting of the Albemarle Economic Development Authority.
The EDA helped negotiate some of the details of the Afton Scientific expansion, including access to the Commonwealth’s Opportunity Fund. The secret deal went by the code name Project Olympian.
A New York-based developer who had planned to build a nine-story apartment tower on the site of a downtown Charlottesville shopping center has sold the property for $5.75 million.
Jeffrey Levien’s company Heirloom Development bought 218 W. Market St. in June 2020 for $4 million, but sold the property in mid-September to Cavalier Hospitality LLC. That entity is based out of Glen Allen, Virginia, and has not yet filed new plans for the property.
However, Levien says he will still be involved in the development of a hotel as a partner.
“I just couldn’t make the economics work for residential under the new zoning code,” Levien says.
Under the inclusionary zoning rules in the city’s new Development Code, one of every 10 units in any new development in non-residential areas must be guaranteed to be rented or sold to households below specific incomes. No such requirement would be necessary for a hotel, something that is an allowed use under the zoning that went into effect this past February.
Levien pursued the residential project at 218 W. Market under the older rules, which required a special use permit for additional height and density. City Council approved a permit in September 2020 despite concerns from former mayor Nikuyah Walker that the project did not address the need for affordable housing.
In August 2023, council agreed to a permit amendment to allow for a modification of the building’s massing. As part of that approval, Levien agreed to build a minimum of eight affordable units on-site or off-site with two units to be reserved for households making less than 50 percent of the area median income. That was above the minimum requirement but not enough to satisfy the concerns of City Councilor Michael Payne.
This spring, Levien brought a preliminary design to the Board of Architectural Review for a hotel with a design from Richmond-based NBJ Architecture. That body looked favorably on the concept, but it did not receive an official submission. No plans have been filed since.
So far there have only been a handful of new projects filed under the new zoning, which is intended to make it easier to build more housing units across the city and to eliminate the role of City Council in making decisions about what gets built.
One of these new projects, at 1609 Gordon Ave., would see an existing house razed to build a new structure with nine units. A 10th unit would need to be affordable.
Another new development at 2030 Barracks Rd. would see 12 affordable units built alongside 12 market-rate units.
Levien’s first development in Charlottesville was a luxury 56-unit apartment building that also redeveloped the buildings that contain Blue Moon Diner and a former convenience store. That project broke ground in 2018, nearly two years after council granted approval.
Another project that has not yet moved forward is the replacement of the University Tire building next door, at 612 W. Main, with another apartment building. Levien says he still plans to proceed with that project, which was approved by council on a 4-1 vote in October 2019. A final site plan has been approved but no building permit has been authorized.
If it proceeds, the new hotel would replace a shopping center that includes The Artful Lodger, The Livery Stable, and several other businesses. The BAR has approved a permit for demolition pending the issuance of a building permit.
As planning and negotiations continue over a grocery story at 501 Cherry Ave., major transactions continue to take place in the Fifeville neighborhood.
On September 9, the firm Neighborhood Investments paid $2.24 million for an undeveloped property between Roosevelt Brown Boulevard and Ninth Street SW. There have been several development projects associated with the land, owned by the Piedmont Housing Alliance, on two occasions.
The Piedmont Housing Alliance sold the 0.56-acre property in March 2016 for $1.19 million. The previous owner filed a site plan amendment in 2020 for 24 residential units and about 11,000 square feet of commercial space, which was never approved. Since then, Charlottesville City Council has adopted a small area plan for Cherry Avenue that discouraged tall buildings in order to preserve the character of surrounding neighborhoods.
As a result, the city’s new zoning code classified the undeveloped Ninth Street lot as Commercial Mixed Use 3, which sets a base height limit of three stories but an additional two stories are allowed if the project has affordable units that qualify it for bonus space. That is different from other corridors in Charlottesville, such as Barracks Road and Fifth Street Extended, which allow up to 10 stories to encourage shopping centers to redevelop at maximum density.
Richard Spurzem of Neighborhood Properties said in an email he was not sure if he would proceed with the existing site plan or start fresh.
This past March, Ronald McDonald House of Charlottesville bought a former auto repair business at 316 Ninth St. SW for $700,000. The nonprofit owns two nearby lots and has not yet decided how it will use its new property.
The city’s public housing agency is planning to purchase two properties several blocks away on Fifth Street SW to preserve them for affordable housing. There are multiple buildings at both locations, and the Charlottesville Redevelopment and Housing Authority wants to buy them for $2.2 million.
“The acquisition of this portfolio will allow CRHA to preserve the naturally occurring affordable housing units while giving CRHA the ability to redevelop the property to provide additional housing units soon,” reads a resolution adopted by the CRHA Board of Commissioners on September 23.
The acquisition continues a trend of CRHA purchasing property, including several Fifeville properties that were part of a $10 million purchase from Woodard Properties in August 2023, to expand its portfolio.
Meanwhile, single-family homes still sell at a premium in Fifeville. On September 4, 2024, a two-bedroom house at 223 Fourth St. SW sold for $585,000, well above the 2024 assessment of $376,000. There’s also an accessory dwelling on the property.
On September 18, a single-family attached home in the Orangedale subdivision at 705 Prospect Ave. sold for $296,500. That’s over 39 percent above the 2024 assessment of $212,900.
No matter the development, the leadership of the Fifeville Neighborhood Association want all projects to align with the values enshrined in the Cherry Avenue Small Area Plan.
“We encourage developers to come talk with residents directly at our monthly meetings so that we can work together on upcoming projects and make sure residents are informed,” read a statement sent in response to a question from C-VILLE.
There are no places on Cherry Avenue or West Main Street where residents of the Fifeville neighborhood can walk to buy fresh ingredients to prepare nutritious meals, but Aleen Carey doesn’t want you to call the area a food desert.
“A desert is a naturally occurring state,” said Carey, the co-executive director of Cultivate Charlottesville. “Not having any grocery stores or Black-owned businesses or the food access that the community wants, that is not naturally occurring. That is man-made. So instead of a food desert, we call it a food apartheid.”
That term was coined by New York food justice activist Karen Washington to draw attention to the interconnections between access to food and other socioeconomic and health inequities.
Cultivate Charlottesville formed in 2020 when local organizations Food Justice Network, the Urban Agriculture Collective of Charlottesville, and the City Schoolyard Garden merged to put a more intentional focus on those interconnections at the local level.
The nonprofit is active on many fronts including administering the city’s Food Equity Initiative, trying to secure new garden space in Washington Park—and assisting with a broader effort to bring a community grocery store to Fifeville. Woodard Properties, the new owner of 501 Cherry Ave., agreed in September 2023 to provide space for one as part of a rezoning.
But to make the idea a reality, the community will have to organize.
Buy back the block?
Carey was one member of an August 24 panel discussion at the Jefferson School African American Heritage Center, an event the Fifeville Neighborhood Association organized for the public to learn more about the opportunities on Cherry Avenue.
Deanna McDonald of RN Heartwork is partnering with the Fifeville Neighborhood Association on the effort to increase awareness of the space.
“I come to this project as it relates [to] health equity, food equity, and food security,” McDonald told the crowd of about a hundred people.
For decades, Estes Market at 501 Cherry Ave. served as a place to buy fresh food, but people who lived in the area in the late 20th century said the market played a much larger role.
“Estes was more than just a grocery store,” said Sarad Davenport, a longtime resident of Fifeville who served as moderator of August’s Buy Back the Block event. “It was a community center. In fact, I learned how to play chess in Estes’ parking lot.”
Davenport is the host of “Can I Talk To You, C-Ville?,” a series of programs put on by Vinegar Hill Magazine including one held September 23 that illuminated more details on the status of negotiations for how the space might be operated as a grocery.
Dorenda Johnson has lived in the neighborhood for 55 years and remembers more than just Estes Market.
“I can remember on Fifth Street there was Bell’s Store and Allen’s Store and down the street on Cherry Avenue was Estes [IGA],” she said. “All of those neighborhoods around those stores were predominantly Black neighborhoods and it was bustling and busy.”
Andrea Douglas, the Heritage Center’s executive director, said there was a time when ownership of commercial businesses was more diverse in central Charlottesville.
“There were seven grocery stores run by Black people in this community,” Douglas said.
One of those, at 333 W. Main St., was run by George Inge, whose establishment was a pillar of the community from 1891 to 1979 (and stands today as Tavern & Grocery restaurant). The structure built in 1820 survived the razing of Vinegar Hill and Garrett Street while many others, like Allen’s Store, did not.
According to research conducted by journalist Jordy Yager, Allen’s Store opened on Sixth Street SE in 1944 and closed when the property was taken by eminent domain as part of the Garrett Street urban renewal project in the 1970s, leading to the creation of what would become known as Friendship Court. Its owners, Kenneth Walker Allen and Dorothy Mae Murray Allen, would later relocate their business to the Rose Hill neighborhood in the space that is now home to MarieBette Café and Bakery.
Douglas said efforts to bring a new grocery store to serve the neighborhood is part of a long movement to restore what was lost during urban renewal.
When she was a child, Johnson said she would spend her days in Tonsler Park walking to and from what is now Prospect Avenue. Her parents worked hard to buy their own house, as did so many others.
“Now when I go through those neighborhoods it’s very discouraging and I see it’s no longer the predominantly Black neighborhoods,” Johnson said. “We have $700,000 homes that were bought for barely half of that. What would our parents say?”
After Emancipation, many people enslaved in Albemarle County and on plantations, such as the Oak Lawn estate on Cherry Avenue, would settle in a Charlottesville that was growing in the late 19th century.
“After the [Civil] war, a number of folks who were enslaved there moved into what is the Fifeville neighborhood,” said Jalane Schmidt, an associate professor of religious studies at UVA.
This included figures such as Benjamin Tonsler, who had been born into servitude in Earlysville in 1854. After receiving an education in Hampton, Tonsler returned to Charlottesville and became a leader in the community along with Inge. Another group, called the Piedmont Industrial and Land Improvement Company, was formed in the last decade of the 19th century to promote Black ownership of real property. They did so through the Four Hundreds Club, an informal group of Black families belonging to the middle class, who purchased lots of land priced at $400.
“There is a direct connection between emancipation, personal economy, land ownership, entrepreneurship, and food security,” Schmidt said. “How to put those pieces together that have been shattered is the question that we’re dealing with now.”
Redeveloping the Estes Market
Woodard Properties bought 501 Cherry Ave. in August 2022 for $3.5 million, the latest in a series of purchases the company has made in the area in recent years. Woodard is partnering with the Piedmont Housing Alliance to build 71 apartment units that will be rented to households with incomes below 60 percent of the area’s median income.
One condition of a rezoning granted by City Council in September 2023 is that a portion of the property be set aside for the Music Resource Center as well as an area that would be reserved for a very specific reason.
“Owner agrees to reserve a minimum of 5,000 square feet of commercial space at the Property for lease to a small grocery store or neighborhood grocery store that sells fresh produce,” reads binding language in the rezoning agreement. “The space will be reserved exclusively for a grocery store use until the issuance of any certificate of occupancy for the Project.”
Anthony Woodard, CEO of Woodard Properties, says that means the space will be held for someone to either buy or lease it from the company. Anyone who wants to operate a grocery would need to come up with the funding to get the space ready.
“We are building a commercial shell for a grocery market, which would not include interior construction, furnishings, or equipment specific to the grocery’s operation, because a grocery operator has specific needs that they know best,” Woodard said in an email.
Woodard said the total cost is estimated at around $50 million to construct the two buildings that make up the project.
The City of Charlottesville continues to review the preliminary site plan for the project, an iterative process designed to make sure that the building will be up to code.
City Council has signaled a willingness to provide $3.15 million in direct funding for the housing portion of the project over the next two years. The Piedmont Housing Alliance applied this year for $1.285 million in low-income housing tax credits but did not make the cut in a crowded field of applicants.
Sunshine Mathon, executive director of PHA, said there are alternative funding options that might allow construction to get underway within the next 15 months.
“We have other funding pathways we are pursuing that I am optimistic about, and would allow us to still start construction in 2025,” Mathon said in an email. “Everyone on the team is working diligently to make this happen.”
Woodard said that to cover the full costs, rent will likely need to be higher than market rate unless an operating subsidy can be identified.
Davenport cautioned against rushing ahead too fast with the project without doing true community engagement.
“Sometimes you can think you are doing the right thing but you haven’t really listened to people, and then you end up doing something that’s catastrophic and you look 40 years later and it’s like, that was a tragedy,” she said. “It did more harm than good.”
Elsewhere on Cherry Avenue
Woodard Properties owns a good portion of Cherry Avenue, having slowly acquired real estate along the roadway over the years. That includes the Cherry Avenue Shopping Center, which the company purchased for $1.9 million in April 2021, and the undeveloped parking lot across the street, bought in July of that year for $1.55 million. The Black-owned Royalty Eats catering company operates out of the shopping center and served food at the August 24 event. Woodard said there are no plans to do anything with these locations beyond what’s already been done; the company refurbished the shopping center soon after purchasing it.
The Salvation Army owns two properties on Cherry Avenue, including its storefront and a lot where a fast food restaurant used to stand. There are three stand-alone convenience stores in addition to a fourth inside the Cherry Avenue Shopping Center. Each store is owned by a different entity and none offer fresh produce.
The fog over the future of 21st-century Fifeville cleared a little in October 2023 when the University of Virginia purchased the 5.2-acre Oak Lawn estate belonging to the Fife family, whose name has been appended to the whole neighborhood. The UVA Health system will soon begin a community engagement effort for the future of that property as well as land to the north, which it purchased in August 2016.
As part of the Memory Project initiative, Schmidt and her students have researched the Oak Lawn estate and found that James Fife enslaved at least 22 men, women, and children by the time of emancipation. More than 100 years later, expansion of the UVA Medical Center displaced people who had settled in the predominantly Black neighborhood of Gospel Hill, a neighborhood that no longer exists, reducing the number of people who could walk to places like Estes Market and other Black-owned businesses.
“Land use and food security are tied to one another and that means listening to the community and folks in the community who remember what things were like when there were these hubs,” Schmidt said.
Carey said one purpose of both Cultivate Charlottesville and the Food Justice Network is to ask people what it would take to achieve food equity. She said that will take Black ownership.
“As we’re talking about 501 Cherry Ave. right now, and who might own that building or who might own the business there, one of the key pieces is, will that be a person of color?” Carey said. “Will that be somebody Black who can restore some of that community wealth building to the area?”
The Fifeville Neighborhood Association is seeking to educate the public on three potential models for ownership of the store. One would be a traditional model where the business owners take on all of the risks of the enterprise.
Another would be a nonprofit model, and a third would be a cooperative-ownership model where members of the store would govern its operations. To that end, a group called the Charlottesville Community Food Co-Op is being formed.
Mathon is hopeful the grocery space can become part of the residential development, a value-add that could attract additional funds for the overall project.
“I am working actively to pursue resources for the grocery as I see a direct positive benefit to have the grocery onsite for our future residents,” he said.
Neighborhood skepticism
Many in the Fifeville neighborhood are dubious about why a new apartment building is planned for 501 Cherry Ave. They’re also wary of the name attached to the project.
“Just the name Woodard … It is not a name that a lot of people think much of, me being one if I’m being honest,” Johnson said. “You just constantly see take. They just seem to take. They’ve infiltrated all of those neighborhoods.”
Johnson said nearby residents already suffer the impacts of traffic congestion and a new apartment building will make things worse.
“Cherry Avenue from anywhere between 3pm and 6pm. is a total nightmare,” Johnson said, adding that many continue to have fears Tonsler Park will be taken for private use.
At the moment, the city’s Parks & Recreation Department is soliciting feedback for future amenities for the park, which is owned by the City of Charlottesville. The current year budget for the Commonwealth of Virginia granted $250,000 to the city to assist with the Tonsler Basketball League, now run by former city councilor Wes Bellamy.
Schmidt said part of the conversation needs to be about returning to the spirit of the Four Hundreds Club and making sure there’s an effort to keep Black property owners in place and stop the turnover that has been occurring for decades.
“We also need to have a conversation about who’s selling these,” Schmidt said. “We have folks in the neighborhood that you remember that were pillars of the community but their children don’t live here any more. And when mom and dad die, they come back to settle the estate.”
According to Schmidt, one solution would be to establish incentives for sales to community organizations like PHA. The Piedmont Community Land Trust, a local nonprofit that works to secure affordable housing options in the area, has been purchasing properties in the Orangedale section of the neighborhood to offer homeownership opportunities.
Carey said she is not an expert on housing, but said these conversations are crucial to finding solutions.
“There are three different things going on Cherry Avenue right now: if you’re looking at the park, if you’re looking at 501 Cherry, and if you’re looking at Oak Lawn,” Carey said. “How do you have a conversation that pulls those together so things aren’t done individually?”
Carey said that should include conversations with other neighborhoods affected by the same pressures such as Rose Hill, Ridge Street, and 10th and Page.
City Council adopted a small area plan for Cherry Avenue in March 2021, the same meeting at which they adopted a new affordable housing plan. The small area plan called for an analysis of renovations and teardowns of existing stock, but it’s not clear if the city has conducted that work. The new zoning code designates the road as Commercial Mixed Use 3 in part because of the advocacy of the Fifeville Neighborhood Association.
Following publication, Woodard Properties sent a comment: “We are excited to be working with the Fifeville Neighborhood Association, Piedmont Housing Alliance, and Music Resource Center on this special project that will provide not only healthy food, but also youth programming and affordable housing to Fifeville. This project builds on our commitment to be one of the problem solvers in Charlottesville and the Fifeville neighborhood.”
The recent purchase of the Cavalier Crossings apartment complex on Fifth Street Extended by an Alexandria-based investment company prompted one member of the Albemarle Planning Commission to tell his colleagues the county should be investing in “social” housing.
“If we can think about how we can put county resources toward public goods, which to me includes UVA Health wage workers being able to afford to live here, then that’s progress,” said Nathan Moore, representative of the county’s Rio District, at the August 27 commission meeting.
In 2021, both Albemarle and Charlottesville adopted new housing strategies to increase the number of affordable units. While the city’s plan for affordability calls for spending $10 million a year on construction or maintenance of housing, the Housing Albemarle plan does not set a specific target. Still, county supervisors have authorized several investments.
“Since 2020, the county has invested $17.7 million into projects which have served around 3,000 households in one form or another,” says Stacy Pethia, Albemarle’s assistant director of housing.
Last week, Pethia told a citizen advisory panel that while the county prioritizes housing funds for those on the lower end of the income spectrum, there’s a need for housing for all levels in a community where the federally defined annual median income is $124,000.
“There’s a range of people that qualify for affordable housing and most of those people are the ones [whom] we rely on every day,” Pethia says.
In fiscal year 2024, Albemarle contributed $3 million toward the construction of Southwood Apartments by Piedmont Housing Alliance, $1.5 million to Habitat for Humanity for their Cardinal Hill apartments at Southwood, and $700,000 to the Premier Circle project underway by Virginia Supportive Housing. Another $311,655 went to the Albemarle Housing Improvement Program to help rehabilitate existing homes.
The Albemarle County Board of Supervisors agreed to contribute another $2 million to the housing investment fund in the current fiscal year. A decision about where that money should go will be made in the future.
On Wednesday, September 18, the Board of Supervisors will hold a public hearing on the county’s intention to apply for $6.5 million in federal funds, including $5 million to establish a revolving fund for loans to developers who build affordable housing units. The supervisors will also ask for $1 million for a fund to entice property owners to rent out units to people with housing vouchers to overcome any stigma that a tenant receiving assistance might face.
Albemarle administers 345 federal housing vouchers.
“It can be difficult sometimes for families to find a landlord that will accept their voucher,” Pethia says.
Albemarle is also seeking $435,000 in funds for construction of a future multifamily development, but it is currently unclear where that project might be.
As for Cavalier Crossings, The Bonaventure Multifamily Trust paid $20.5 million for the 144-unit complex and plans to renovate units to charge higher rents at market rate. Some leases have not been renewed as work gets underway.
The purchase did not require any legal notice, as none of the units were built with public money and no public funds are being requested by the new owner.
The governing body of the area’s largest landowner will meet this week with five new members, at least one of whom has significant experience in real estate. Governor Glenn Youngkin’s latest appointees to the University of Virginia’s Board of Visitors begin their terms at a time when two private, recently approved student developments are moving toward construction and while UVA seeks to provide more housing for students.
“UVA has committed to expanding its current first-year residency requirement to require all first- and second-year students to live on-Grounds while enrolled at UVA to better support students in their transition to University life, and as residents of the broader Charlottesville community,” reads a May 2024 solicitation for firms to partner to build the housing.
At the same time, two large private developments near UVA continue to make their way through the finer details of the city’s permitting process.
On Tuesday, the Charlottesville Planning Commission formally approved a site plan for the Verve, a 12-story student apartment building to be constructed in the heart of central Grounds. Several dozen apartments at the intersection of Jefferson Park Avenue and Emmet Street will soon be demolished to make way for the new building, which will have 442 units, according to the site plan.
City Council approved a rezoning in January for the Verve despite opposition from UVA officials, who argued the tall building would diminish UVA’s architectural character. The plans were submitted in time to qualify under the city’s old zoning rules, which required significantly fewer units to be designated as affordable. In this case, the developer will contribute $6.8 million to the city’s affordable housing fund rather than build units that are price-controlled.
Earlier this month, the Charlottesville City Council granted approval of another technical step for a 10-story student apartment building at 2117 Ivy Rd. that was approved under the old rules. That project comes with a $3.25 million contribution to the city’s affordable housing fund and required council action to waive a requirement to build sidewalks on all road fronts.
“The waiver request is only for the easternmost portion of the property’s frontage on Copeley Road,” said Dannan O’Connell, a city planner. He added that they will build sidewalks on Ivy Road and a portion of Copeley Road.
Meanwhile, UVA is planning to build up to 2,000 bedrooms for undergraduate students at both the former University Gardens as well as on Ivy Road. The Afghan Kabob restaurant will be demolished to make way for what UVA calls the Emmet North site.
Because UVA owns those parcels of land, the city will not collect property tax revenue but they will for both the Verve and 2117 Ivy Rd. UVA officials want the first units to come online for the fall of 2027.
One of the new members of the Board of Visitors is David F. Webb of Virginia Beach, whose day job is vice chair of development firm CBRE’s Capital Markets Group. Webb is now a member of the Buildings and Grounds Committee, which will meet on Thursday. One item on their agenda is a discussion of student housing.
The waiting game continues for a lawsuit filed earlier this year that seeks to nullify Charlottesville’s new zoning code.
A group of residents filed suit against Charlottesville in January alleging that city officials failed to follow state guidelines to study the impacts higher residential density allowed in the Development Code would have on transportation infrastructure. The land-use rules were rewritten shortly after City Council adopted a new Comprehensive Plan on November 21 that called for more housing across the entire city.
“A comprehensive plan and zoning ordinance must be submitted to [the Virginia Department of Transportation] for review when [they] will ‘substantially affect’ transportation on state-controlled highways,” wrote attorneys with the firm Flora Pettit in a filing with Charlottesville Circuit Court in late August.
This spring, Charlottesville responded with a motion seeking to dismiss the case arguing that the plaintiffs do not have the right to sue, and added they cannot prove they will be harmed by the new rules.
After a 90-minute hearing in late June, both sides filed written closing statements to inform Circuit Court Judge Claude Worrell’s eventual opinion. Lawyers with the firm Gentry Locke argue the suit should not proceed to trial.
“Plaintiffs do not like the policy choices in the new zoning ordinance,” the Gentry Locke attorneys wrote in their recent filing. “The City followed the process in enacting the NZO. The Plaintiffs, therefore, rely on strained legal theories and ignore facts in their effort.”
Attorneys for the city also argue that Charlottesville followed the rules when submitting the mobility chapter of the Comprehensive Plan to VDOT, a key claim made by the defendants.
“Plaintiffs cannot now—more than two years after the fact—fault the City for failing to double-check VDOT’s work product,” the closing argument continues.
Flora Pettit attorney Michael Derdeyn represents those plaintiffs, as well an anonymous group that previously sought to overturn the Comprehensive Plan based on many of the same arguments. He argues that VDOT review should have been based on the theoretical maximum of new housing units that could be built under the new code.
“There can be no question that the City failed to comply with its obligation,” Derdeyn wrote.
That will be up to Judge Worrell to decide, and a ruling will be issued at some point in the near future.
Meanwhile, developers have slowly begun taking advantage of the provisions in the new code that allow more density without asking City Council for permission. That includes six units planned to be built at 303 Alderman Rd., a property that had been zoned for single-family residential but is now in the Residential B district.
Another plan, submitted for land behind the Meadowbrook Shopping Center, will be the first to take advantage of bonus rules if units meet the city’s affordability guidelines.
A firm called Greenshire Holdings has filed a major development plan to build 24 units on what is now an 0.83-acre lot at 2030 Barracks Rd. The materials sent to the city include a request to subdivide the property into two lots with 12 units to be built on each.
No traffic management plan would be required because the total amount of construction is under the 50,000 square-foot threshold that would trigger one.
Shortly after the signalized intersection at Rio Road and U.S. 29 was converted to an underpass in July 2016, the Albemarle County Board of Supervisors adopted a small area plan to encourage redevelopment of the immediate area to be more dense to meet the needs of the 21st century.
“The plan identifies the Rio Road/29 intersection as the heart of urban Albemarle County and it designated the four quadrants as critical for the commercial corridor’s future,” says Emily Kilroy, Albemarle’s interim economic development director. “It envisions a dense, walkable, bikeable transit-connected environment.”
Nearly six years later, the county entered into a public-private partnership with Home Depot to redevelop the former Sears at Fashion Square Mall into a new store and garden center. The Atlanta-based retailer purchased the site, as well as dozens of individual retail spaces inside the mall, in September 2022.
County officials have approved plans for the new store, but Home Depot’s development costs have increased.
“It was primarily associated with the demolition of the former Sears and the Sears Auto Center, which had a requirement for asbestos abatement as well as brownfield remediation,” said J.T. Newberry, deputy director of the Albemarle Office of Economic Development.
Newberry told the board of supervisors on August 21 that the higher costs may have been a barrier to Home Depot proceeding. The county and its Economic Development Authority negotiated terms for a tax increment financing agreement under the codename Project Julius to grant up to $750,000 in real property tax rebates over 10 years.
In exchange, Home Depot has to be open by December 24, 2025. The company will also dedicate land for a future realignment of Hillsdale Drive, called for in the Rio Road plan.
“They will help actively market the former Red Lobster site, which is currently vacant,” Newberry said.
In addition to more property taxes to be generated from the site, Newberry said Albemarle expects the new store to produce between $400,000 and $500,000 a year in local sales taxes. He said the store is expected to create 100 jobs.
Kilroy says Fashion Square Mall is ripe for a public-private partnership to try to implement that vision. She presented the Board of Supervisors with a slide depicting the decline in value from around $70 million in 2014 to just below $20 million this year.
“Redevelopment of this parcel will correct what has been a stark decline in property value for this area,” Kilroy says, adding that the county’s investment will support the first major private reinvestment since the Rio Road plan was adopted.
Belk Stores of Virginia continues to own its store, and developer Richard Hewitt owns the former JCPenney. Albemarle County now rents a portion of that property for a public safety fleet operations center.
Other investments in the area have not had a public component. Earlier this year, the Carter Machinery Company purchased a 4.67-acre property to the east of the Northside Library for $3.53 million. It has since opened a rental store for construction and lawn equipment, eliminating parking spaces that had been rented for library patrons.
With the University of Virginia back in session next week, students are returning to Charlottesville—including the several hundred who live at 852 W. Main St. The first residents of the building known as The Flats at West Village moved in 10 years ago, beginning a trend of students moving into an area where they had not previously lived.
Riverbend Development and an out-of-town group took the project through the approval process in December 2012, during which City Council voted 4-1 on a special use permit to allow the building to be eight stories high and to have up to 595 bedrooms. Councilor Dede Smith voted against the permit that night, arguing that the project would have negative impacts on surrounding neighborhoods.
“Charlottesville was told that a large student complex on West Main would moderate rents across town, stimulate a vibrant mixed-use community, and reintegrate Westhaven and Fifeville into Main Street,” Smith says. “Unfortunately, few, if any, of these benefits have occurred.”
The current owner is an entity called Madison Loft LLC that purchased the property in November 2016 for $77.5 million. Previous structures on the property were automotive in nature, reflecting the role West Main Street played in the 20th century.
Since people began living at the Flats, the city has collected $6.35 million in taxes, with a bill this year of $821,143.96. The property is now managed by Asset Living, one of the largest property maintenance firms in the United States.
The Flats was followed by what’s now called The Lark on West Main and The Standard at Charlottesville, adding more students and millions more in tax revenue.
Previous zoning on the property required the ground floors to be commercial, but that has not been a total success. The Flats opened with a restaurant called World of Beer that folded before the pandemic, and the space was vacant for many years until Mejicali recently opened. The convenience store next door has been the only permanent fixture, but another retail space on the ground floor has never had an occupant.
The same is true across the street at the Standard, where two retail spaces sit vacant. The retail space at the Lark is currently occupied by Devil’s Backbone Backyard after two similar businesses failed at the location.
Other buildings constructed to the east include the former Quirk Hotel (now The Doyle Hotel), the Marriott Residence Inn, and the apartment complex at 600 W. Main St. that preserved Blue Moon Diner. That project also has a retail space that has proved difficult to keep rented.
More buildings constructed on West Main will not need approval from the city council because the new zoning code allows taller heights without special permission. Residential density is unlimited, but the new rules require 10 percent of units to be affordable to households or individuals whose incomes are 60 percent below the area median income.
Meanwhile, UVA is moving ahead with plans to build new residence halls for second-year students as part of an initiative to house more people on Grounds. This spring, the Office of Facilities Management asked firms to submit qualifications to build up to 2,000 new bedrooms either on Ivy Road or Emmet Street. The bid documents state that UVA would like those units to be in place by the fall of 2027.
If implemented as planners hope, Charlottesville’s new development rules will provide more places for people to live by making it easier for builders to navigate the process. Less certain is what will happen when more of those homes are constructed on a road network with known areas of concern.
Perhaps one of the most dangerous intersections in Charlottesville is at Fifth Street SW and Harris Road, which has seen at least three fatalities since 2016 and many more just to the north on a stretch of roadway designed to be a highway. Thousands of vehicles pass through this junction every weekday.
To the west is the city’s Fry’s Spring neighborhood and the Willoughby Shopping Center and to the east and up a hill is the Willoughby neighborhood, which has several dozen homes with city addresses until the roadway passes into Albemarle County.
Moores Creek LLC, a company associated with Woodard Properties, has plans pending before the city to build a development called Willoughby Place with 84 two-bedroom apartments in two buildings on 4.8 acres. The driveway to this by-right development would be 350′ from the Harris Road intersection. That’s one reason the Willoughby Property Owners Association is opposed to the development.
“Line of sight expressed by [Moores Creek LLC’s] plans from Harris Road to [the Willoughby Place] entrance is two-dimensional and doesn’t take into account the hill,” reads an August 7 letter from the association to the city requesting a denial of a preliminary site plan.
The Willoughby Place plans also show a connection to a parcel in Albemarle County, but correspondence between the city and the firm Shimp Engineering indicates there are no efforts to develop that land at this time. There was an effort to do so in 2014 that did not meet with the favor of the county’s planning commission.
The plans for 610 Harris Rd. were filed under the city’s previous rules, which means that none of the units have to be rented at below-market rates to satisfy affordability requirements, known in the new code as “inclusionary zoning.” Plans filed now require 10 percent of the units to be affordable.
The northwest quadrant of the Fifth and Harris intersection is a 46-unit townhouse community built by Southern Development in the mid-2000s. The future of the southwest quadrant is wide open with a new owner.
On August 5, an entity based in Staunton called TAP Investments LLC purchased 1113 Fifth St. SW for $1.375 million, slightly above the 2024 assessment. The new zoning code is Commercial Mixed Use 8, which would allow for an eight-story building with unlimited residential density as well as many commercial possibilities.
A bank operated on the 0.9-acre property for many years and in the fall of 2022, City Council denied a special use permit allowing for Green Clean Albemarle LLC to operate a car wash on the property.
So far, there are no applications to develop the property.
No matter what gets built, the city is working to make the roadway safer with plans for a “road diet” between Harris Road and Cherry Avenue.
“We’re expecting to bring those conceptual plans to the public for review this fall,” says Afton Schneider, the city’s director of communications and public engagement.