Council approves application for industrial revitalization loan for downtown building

The Hopewell City Council authorized city staff to submit an application to Virginia’s Industrial Revitalization Fund for remediation and renovation work at the former Social Services building downtown.

City staff said the fund is competitive, requires a one-for-one match from building owners, and provides money as a low-interest loan. The city’s resolution authorized staff to make the application on behalf of the jurisdiction so an interested developer can seek financing.

Charles Bennett, a city staff member leading the application process, told council the Commonwealth made approximately $3.8 million available statewide for the program and that the city had identified at least one building—the former Social Services building at 256 Main Street—as meeting the definition of blight for this program. He said two property owners had expressed interest, and that one other property submitted did not meet the blight standard. Bennett also noted the program’s financial terms this year include a floor interest rate of 5 percent, meaning grants are structured as low-interest loans with a minimum rate.

Bennett described the application as requiring a developer budget, remediation plan and an owner commitment to provide the required match. He said no city general-fund money would be requested; if the city wins an award it would be administered as a low-interest loan to the private property owner under state rules. Councilor Harris moved to approve the resolution authorizing the application; the motion was seconded and passed by roll-call vote.

Bennett said a successful application could address roof leaks and mold remediation and free up roughly 11,000 square feet for downtown use, with medical office cited as a likely tenant type. The city will upload the approved resolution to the grant portal before the application deadline.