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During Lexington City Council’s meeting last week Randy Cosby, representing the collaboration between Echelon and Urban Core, presented their vision for the former Virginia Department of Transportation property.
He also gave an overview of how the Spotswood site and the VDOT site would be coordinated for construction and units coming to market.
Cosby noted the plans are in a preliminary stage and subject to change.
The concept created by the two development companies for the VDOT property, located at 626 Waddell St, will have up to 200 units and include a gym, public green space and a community market. Residents of the Spotswood project, a property located on Spotswood Drive, will maintain the same plan presented last year – a 62-unit complex.
The companies plan to finish developing both properties at the same time by intentionally slowing down the Spotswood project. Cosby said this would help them “catch the falling interest rates.”
The development on the VDOT property will reserve 20% of the units for tenants earning up to 80% of the local median income in an effort to support affordable housing.
At a Council meeting last December, some residents advocated for prioritizing affordable housing on the Spotswood site, but Council member Leslie Straughan emphasized the importance of both market-rate and affordable housing options to meet the city’s growing housing needs.
Cosby said the target market for these two properties includes “working professionals, regional retires and hopefully some young families.”
He added the VDOT property is projected to generate up to $500,000 in tax revenue to the city annually.
The city will add a small parcel to the VDOT property, which is about 5.5 acres currently, with no change in the sale price.
When Council voted unanimously to accept the deed of conveyance for the VDOT property during a City Council meeting in March, what seemed like a straightforward acquisition took an unexpected turn. VDOT had inserted a profitsharing clause in the deed. The clause stipulated that if the city sold the property to a third party within two years, the profit from the sale would be split between the city and VDOT.
Despite this unexpected addition raising concerns among city officials in March, Council went forward with purchasing the VDOT site.
City Manager Jim Halasz recommended that the city accept the clause and proceed with the purchase. He reasoned that if the city sold the property for a higher price, both parties would benefit.
Halasz recommended a public hearing be scheduled for Oct. 5. This hearing will provide an opportunity for community members to address City Council directly, ensuring that their voices are heard in shaping the future of the property.
