Dominion’s Eighth & Main tower has been mostly vacant in recent years. (BizSense file photos)
Dominion Energy and Douglas Development have done a deal downtown that’s set to add hundreds of apartments – and hotel rooms – to Richmond’s Financial District.
Earlier this week the D.C.-based developer purchased Dominion’s Eighth & Main office tower for $19.5 million, city records show.
Douglas is planning to convert the 20-story building at 707 E. Main St. into 200 hotel rooms and 290 apartments. The plans, confirmed by Managing Principal Norman Jemal, would revitalize a 1970s-era tower that’s been mostly vacant in recent years.
The sale included a parking deck at 620 E. Cary St. and a 0.1-acre parking lot at 720 E. Cary.
Norman Jemal
The sale closed Dec. 10, city records show. Douglas bought the property for just over half of its most recent assessed value of $38.3 million.
Combining hotel rooms and apartments in a single building isn’t a new concept for Douglas. Jemal said the developer has completed similar projects in other markets.
“This building happens to be extremely large, and we believe in diversifying the offering,” he said.
He said his firm, which keeps a Richmond office, tracked the Eighth & Main building for years. The 340,000-square-foot office tower was previously targeted by local developer Genesis Properties for an all-residential conversion, but those plans fell through last year.
Genesis’ plans included building another high-rise on top of the parking deck at 620 E. Cary. Jemal said Douglas is planning to keep the parking deck as-is and pursue historic tax credits to help renovate the Eighth & Main tower.
The deal also included a parking deck on East Cary Street.
CBG Building Co. is the general contractor and Fillat+ Architecture is the architect. Jemal said the aim is to begin construction in mid- to late 2025 with a roughly two-year build-out.
Douglas Development’s story in Richmond began in the mid 2000s when it started purchasing properties, mostly in the Arts District and downtown areas.
Its first major local redevelopment was the apartment conversion of the 23-story Central National Bank building on East Broad Street, which was followed by apartment conversions of the former Virginia DEQ office and Stumpf Hotel on Main Street. Douglas also has picked up some low- and mid-rise buildings around the Arts District and Monroe Ward that it’s been working on.
Jemal said he thinks Richmond is in a “spectacular renaissance” and Douglas is excited to grow its local presence.
“We’ve been successful downtown. We’ve been active down there and we’re excited to be there in an even bigger presence,” he said.
Though the Douglas deal takes much of Dominion’s available downtown real estate off the market, one notable chunk remains in 701 E. Cary St., the city block-sized lot where the energy company once planned a high-rise office tower and then a green space with electric vehicle parking spots and chargers. Both proposals have since been scrapped.
Earlier this year Dominion reopened the sidewalks and traffic lanes around the 2-acre plot, but the future of the block remains unclear.
The Eighth & Main deal is the latest between Douglas and Dominion. In 2011, Douglas sold the Richmond Plaza building to Dominion, which later demolished it to make way for its newer 600 Canal Place tower, where the company has consolidated its downtown workforce.
Dominion’s Eighth & Main tower has been mostly vacant in recent years. (BizSense file photos)
Dominion Energy and Douglas Development have done a deal downtown that’s set to add hundreds of apartments – and hotel rooms – to Richmond’s Financial District.
Earlier this week the D.C.-based developer purchased Dominion’s Eighth & Main office tower for $19.5 million, city records show.
Douglas is planning to convert the 20-story building at 707 E. Main St. into 200 hotel rooms and 290 apartments. The plans, confirmed by Managing Principal Norman Jemal, would revitalize a 1970s-era tower that’s been mostly vacant in recent years.
The sale included a parking deck at 620 E. Cary St. and a 0.1-acre parking lot at 720 E. Cary.
Norman Jemal
The sale closed Dec. 10, city records show. Douglas bought the property for just over half of its most recent assessed value of $38.3 million.
Combining hotel rooms and apartments in a single building isn’t a new concept for Douglas. Jemal said the developer has completed similar projects in other markets.
“This building happens to be extremely large, and we believe in diversifying the offering,” he said.
He said his firm, which keeps a Richmond office, tracked the Eighth & Main building for years. The 340,000-square-foot office tower was previously targeted by local developer Genesis Properties for an all-residential conversion, but those plans fell through last year.
Genesis’ plans included building another high-rise on top of the parking deck at 620 E. Cary. Jemal said Douglas is planning to keep the parking deck as-is and pursue historic tax credits to help renovate the Eighth & Main tower.
The deal also included a parking deck on East Cary Street.
CBG Building Co. is the general contractor and Fillat+ Architecture is the architect. Jemal said the aim is to begin construction in mid- to late 2025 with a roughly two-year build-out.
Douglas Development’s story in Richmond began in the mid 2000s when it started purchasing properties, mostly in the Arts District and downtown areas.
Its first major local redevelopment was the apartment conversion of the 23-story Central National Bank building on East Broad Street, which was followed by apartment conversions of the former Virginia DEQ office and Stumpf Hotel on Main Street. Douglas also has picked up some low- and mid-rise buildings around the Arts District and Monroe Ward that it’s been working on.
Jemal said he thinks Richmond is in a “spectacular renaissance” and Douglas is excited to grow its local presence.
“We’ve been successful downtown. We’ve been active down there and we’re excited to be there in an even bigger presence,” he said.
Though the Douglas deal takes much of Dominion’s available downtown real estate off the market, one notable chunk remains in 701 E. Cary St., the city block-sized lot where the energy company once planned a high-rise office tower and then a green space with electric vehicle parking spots and chargers. Both proposals have since been scrapped.
Earlier this year Dominion reopened the sidewalks and traffic lanes around the 2-acre plot, but the future of the block remains unclear.
The Eighth & Main deal is the latest between Douglas and Dominion. In 2011, Douglas sold the Richmond Plaza building to Dominion, which later demolished it to make way for its newer 600 Canal Place tower, where the company has consolidated its downtown workforce.
That’s cool. Now can they do something about their abandoned blighted safety hazard buildings all throughout Jackson Ward? 🤔
The trees growing out of the building between 1st and 2nd might be older than some VCU undergrads at this point
😂😂
That’s very possible!
I couldn’t agree more. When I saw “Douglas Development” in the title of this article I immediately cringed. I feel like when they finally rehabilitate in Richmond the quality of the work appears decent, on the surface at lease; it’s just getting them to deliver that’s the problem. They buy and sit which is NOT a good thing for downtown at all. This company almost single handedly holds back any downtown rejuvenation hopes. Boo…
On the surface this sounds good. Residential downtown is necessary. But then your remember this developer has a habit of sitting on their properties for 5, 10 or even 15 years before actually doing anything with them. Both in DC and RVA. So it difficult to muster major enthusiasm.
And has close to zero retail in their redeveloped buildings. The CNB’s immaculate lobby and the old arcade have never had a single retail tenant in the building despite all their press statements. If want to see their reviews check yelp or apartments.com. Almost no reviewers have anything nice to say about their properties 12-18 months after they open.
More apartments downtown! That’s a good thing. Perhaps shops and restaurants will return one day and we can have a real downtown again. The CoStar Tower is programmed to open in March of 2026 so things will be buzzing on those blocks shortly.
I would love to see them buy the lot next door and develop a small urban plaza.
Sounds great, but remember, this is Douglas Development we’re talking about 🙄
Historic Tax Credits? For a 1970’s tower? Really?
I agree that office needs to be converted to other uses and residential would help revitalize downtown, but I’m not sure historic tax credits would be the appropriate avenue for buildings like this. It sets a bed precedent IMO.
GREAT news for downtown!
I really hope this works out in that Richmond pound for pound is adding more housing then house trapped cities like San Fransisco or LA and this building shows it if it gets made into apartments.
I’m not going to hold my breath regarding any starting and completion dates.
Wouldn’t it be really cool if instead of more small apartments that the residential component was actually owner-occupied housing on the upper floors, and there was a real commitment to the first floor as activating commercial…still waiting for all of the units that have been constructed to spur any commercial activity…
It seems the Covid period interrupted commercial development and the remote work changes have delayed it again. There will be a tipping point when it will bloom. One catalyst might be on the Grace Street corridor if the City planners would consider transforming it into a pedestrian mall. There’s the hospital and the City and State government there to provide day time traffic and the Capitol plaza is an interesting tourist attraction.
The city needs to make it easier for businesses to open. The default city hall postion seems to be delay and oppose, not help.
Curley Effect. Politicos in cities often want to keep independent self reliant people outside of voting range.