Leveraging mixed use - canavos

Transformation of Downtown Roanoke

Costa CanavosVP, Real Estate Lending

ManagerVirginia Community Capital

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Who is Virginia Community Capital?

• A multi-million $ non-profit, CDFI & banking entity– Providing innovative loan and investment

solutions for affordable housing and economic development projects

– Operating statewide in Virginia

VCC Real Estate Lending Team• Organization based in Christiansburg with a

Richmond office• I am based in Richmond with Monique

Johnson. • Dawn DeHart and Shaun Rai are based in

our Christiansburg office. • Between the four of us we cover the entire

Commonwealth of Virginia for real estate loans.

• Recently started small business lending team. Wayne Waldrop manages that department and the small business lenders are Paul Nolde and Jacob Willis 3

Sometimes it just takes one project to start a revitalization

revolution

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The History of the Hancock Building

• Ed Walker and Scott Graeff developed the property

• City of Roanoke was a partner in the deal providing a one time economic development grant for over $800,000 towards façade work on the property.

• 58 multi family apartments and first floor commercial space.

• Highly controversial project

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Downtown Roanoke Pre 2006

• Typically seen as an 8 to 5 downtown with limited housing options

• Perception that nobody wanted to live downtown and people only worked downtown and lived in other areas

• Hancock project helped to break the myth that nobody wanted to live downtown

• All 58 apartments leased prior to grand opening of the building

History of the building

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Start of the renovation April, 2007

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The Hancock Post Construction

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• .

Interior Photos of Hancock

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Key Partners in the Success of Project

• Ed Walker & Scott Graeff• City Scape General Contractor• City of Roanoke former City Manager

Darlene Burcham• Roanoke Redevelopment & Housing

Authority• VHDA• Valley Bank

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Downtown apartment projects after Hancock

• HL Lawson • Cotton Mill• Patrick Henry• 401 Campbell Ave Lofts• Lofts at West Station • River House• Shenandoah Building• Auction House• Ponce De Leon

Auction House Roanoke

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Auction House Roanoke

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Loan Details

• George Stanley developer and his company Cityscape served as GC

• VCC provided the construction loan • Fannie Mae permanent loan • 21 rental apartments• Loan covenant 40% of units set aside for

persons making 80% or less area median income (City of Roanoke $50,880)

• All units leased prior to receiving CO

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Crystal Tower at start of construction

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Crystal Tower becoming The Ponce De Leon

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Recent Interior Pictures of Ponce

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Crystal Tower Roanoke

• John and Faisal Khan developers• $7.6 million construction loan with VCC• Construction loan participant Hometown

Bank • VHDA permanent lender• Affordable housing 50% of units affordable

between 80%-120% area median income• Remaining 50% of units market rate

Crystal Tower

• 90 apartments • Project upon completion will be named the

Ponce De Leon• Roughly 10,000 commercial square feet on

the first floor of the building• Continue revitalization efforts in downtown

Roanoke. • Promote income diversity in strategic

locations

Photos of HL Lawson Building

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Patrick Henry Lofts

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Important partners for continued success

• Strong support from local government• Developers with experience in historic

renovation• Federal and State historic tax credit

program• Carilion Hospital & Virginia Tech

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Contact Information

Costa CanavosVP, Real Estate Lending Manager100 West Franklin Street Suite 200Richmond, VA 23233ccanavos@vccva.org(804)344-5484 x 121

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