Commercial Real Estate

Though its landlord insists the lease has ended, Performance Food Group isn’t leaving its sizable Henrico warehouse without a fight.

The firm plans to break ground in mid-2025 on a 12-story Hilton with more than 270 rooms that will be built as part of the redevelopment of the former Spring Rock Green shopping center.

The 6-acre site sold for $3 million per acre and is planned for a 388-unit, 7-story apartment building next to the cinema complex.

The century-old house, originally built blocks away in the late 1700s, was purchased by a local developer two years ago and has been deemed by the city as unsafe.

The site is about half the size of the publicly traded company’s 142-acre campus in Northern Virginia, where five data centers are operational and four more are planned.

“I think getting the buildings demoed will be a real plus for the community,” said local developer Steve Leibovic, adding that demolition is expected to be completed by year’s end. 

Currently under construction, the 4,700-square-foot deck will provide outdoor space that was originally planned for The Park, which co-owner Basim Mansour had first envisioned as a rooftop venue.

The 230-unit complex sits about a mile south of Willow Oaks in the city’s Southside. The new owner is Highwater Properties, a Los Angeles-based investment firm with 620 units in its portfolio.

The 1-acre parcel is in a prime location across from Scott’s Addition and sits next door to another of Thalhimer Realty Partners’ buildings.