Thursday, August 28, 2008

Rescued? Church Hill Homes

The other day we discussed the decline of local new building permits for houses: 266 were issued in the first six months of 2008. If this pace continues, the year's number will be the lowest since 1990.

It's no wonder, then, that local builder Church Hill Homes is in trouble, as reported at REALCentralVA and The Daily Progress.

Eagle Construction of Richmond has bought 11 lots of Church Hill's "green" development Belvedere, off Rio Road. It's unclear what's going to happen to the rest (according to DP, 700 projected living spaces*, 5th paragraph from the bottom).

See REALCentralVA for their post, especially for the comments, which include owners from other Church Hill developments. And see Brian McNeill's DP article, "Church Hill Deal Shows Soft Housing Market" which has all the numbers and quotes the principals.

And it's a story which may have the first newspaper headline in Central Virginia to describe the local RE market realistically.

(700 houses? Really? We're thinking, Who was projected to live there? Where were they going to be employed?)
*Update: See comments for "700" clarifiction.

7 comments:

Anonymous said...

There's actually about 400 single family homes planned at Belvedere. The larger number thrown around includes the plans for a future apartment complex in the town center. There are also legal apartments over the detached garages of the single family homes. These apartments were proffered to address affordable housing. Homeowner's can, but do not have to rent this space. In other words, there is the potential for about 700 residences, not 700 single family homes.

brooklyn bob said...

i saw that DP article and was also surprised at the 700. thanks for clarification, anonymous.

i've been seeing the billboards around town that say something like "houses from the 300's." there's one on Meade avenue i guess because it's the cut-through from Pantops to Downtown.

i'm with the BB. who's going to live there? now that there's no such thing as "no money down" and interest-only loans plus ARMs are rare. how will these things be financed by owners?

oh wait. they won't. there will never be 400 single family homes at belvedere.

there's no market for it. there wasn't even a market for this during the bubble.

Montpellier said...

Whoa! I had no idea it was to have so many homes...I would have been surprised at 100. As a local yokel and Fairview brat, I'm delighted this is 'stalled'.

Anonymous said...

207 acres for 400 houses? (plus 300 "townhouses" or "apartments" or whatever)? That's "green"? LOL.

matt. s. said...

Ah, what a difference a year makes. 700 units sounded like a lot? There was 'no market for it?'

What about the possible 2500 units at Biscuit Run everyone was in a rage about?

Are there no realistic estimates of growth available?

Anonymous said...

Can't find link now--maybe someone else can--but it said there have been 17000 new permits issued since the year 2000 according to the Piedmont Housing Alliance.

manoj said...

The other day we discussed the decline of local new building permits for houses: 266 were issued in the first six months of 2008. If this pace continues, the year's number will be the lowest since 1990.
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Dinesh

FSBO