It may be too soon to call it a trend, but for the second time this year in Richmond a developer has pumped the brakes on a sizable project in the city and put the subject property on the market.
This time it’s in Jackson Ward, where locally based SNP Properties has just listed 200 E. Marshall St. for sale. Approved plans and permits are included in the offering, according to a marketing flier from brokerage Northmarq.
Last September SNP paid $6.1 million for the 0.75-acre plot, which is now a parking lot. Plans for a 12-story, 255-unit mixed-use apartment building already have been given the green light by the city.
The project is described as fully entitled and shovel-ready in the listing from Northmarq’s Wink Ewing, Mike Lowry and Matt Straughan. The property was most recently assessed by the city at $2.4 million. An asking price is not included in the flier.
SNP’s project is the second such listing to hit the market in recent months as interest rates rise, construction costs remain elevated and lenders are being more cautious about the economy. In January, Northern Virginia-based developer Bonaventure listed the land and approved plans for its 203-unit apartment project in Scott’s Addition.
SNP’s Jackson Ward project was initially going to be a joint venture between it and Philadelphia-based Parkway Corp. But last year Parkway stepped away from the project and SNP bought the land itself.
The purchase was one of the highest price tags for land Jackson Ward has seen in recent years, and if built, the 12-story tower would be among the neighborhood’s tallest new-construction buildings.
SNP co-founder Eric Phipps wasn’t available for comment by press time.
The Northmarq flier shows that SNP would be open to bringing in another co-developer, because it states that joint venture proposals would be considered.
The Jackson Ward listing comes just weeks after SNP closed on its $10.5 million purchase of the former Saint Gertrude High School campus in the Museum District, which SNP is planning to convert into 39 apartments. In 2021 SNP spent an additional $10.5 million on the former LaDiff complex in Shockoe Slip, though its plans for that property have yet to be finalized.
The Marshall Street parking lot has ties to the deal that brought Stone Brewing Co. to Richmond. The city’s Economic Development Authority traded the parking lot to the Ripp family’s The Restaurant Co. in 2015 in exchange for the Intermediate Terminal building at 3101 E. Main St.
The Ripps sold the East Marshall Street lot to Parkway for $2 million in 2016. Meanwhile the Terminal building, which was part of the city’s pitch to Stone Brewing and was offered as a site for a bistro concept from the brewery, sits vacant. The Stone bistro project has been in limbo since 2018.
Correction: it’s the third fully entitled development to go to market. Rivers Edge II could have been ready for construction bonds for 340 units. It was that successful sale that brought out these last two deals.
Perhaps the developer just crunched the numbers and realized that interest rates are still rising, and construction costs are still rising as well. Right now, there’s no “light at the end of the tunnel.”
Hopefully things will fall through for these projects. For many years (50+) empty vacant spaces have existed downtown. I hope we can beautify and bring life to these areas while making them livable with good parking.
All I was saying is I hope they can make the city look attractive in this area and everyone disliked it lol. This city has to visit other cities to realize how far behind they are.
I wonder if the owner-architect agreement allows the developer to sell the design along with the property.