Wells Point affordable-housing plan stalls after split council votes over market-rate mix and revitalization designation

Woda Cooper Companies asked Hopewell City Council for a revitalization-area designation to support a proposed mixed-use affordable housing development called Wells Point on a roughly four-acre parcel at Cousins Avenue and Old Woodlawn Street.

Greg Mustrick, vice president with Woda Cooper Companies, described the proposed project as "a mixed use development with 51 units of residential housing and around 6,000 square feet of commercial space." He said the development would include 9 one-bedroom units, 32 two-bedroom units and 12 three-bedroom units, and that rents and income restrictions would be enforced under the Low-Income Housing Tax Credit (LIHTC) program for households earning roughly 30% to 80% of area median income.

Mustrick told the council the project would be financed in part through an allocation of federal/state housing tax credits administered by the Virginia housing agency; those allocations are competitive and a local revitalization designation can add points to an application. He said Wells Point represents an estimated $20.3 million private investment and projected about $54,000 in annual real-estate tax receipts at stabilized occupancy.

Council debate focused on two competing objectives: (1) making this project competitive for tax credits quickly by granting a revitalization designation that could add allocation points, and (2) broader economic goals discussed by councilors — specifically whether mixing market-rate units with affordable units would better raise local median income and improve the city's long-term fiscal profile.

Council action and outcomes: Council voted in two separate motions. First, council voted 4–3 to ask Woda Cooper and city staff to return with a revised plan that explores a split between affordable housing and market-rate units (motion passed 4–3). The council then considered the resolution to designate the site a revitalization area — a procedural designation that would add points to Woda Cooper’s scoring for tax-credit applications — and that resolution failed by a narrow margin (motion failed 4–3). The split votes reflected differing priorities among council members: some members emphasized the immediate redevelopment and affordable-housing supply, while others urged a market-rate component to help the city's fiscal indicators.

Dependencies and timeline: The developer said the tax-credit application round opens in March and awards are typically announced in the summer; the developer said the project’s competitiveness depends on scoring in that allocation. If awarded credits and financing is secured, construction and permitting would follow; the developer estimated permit and closing timelines of several months after award and roughly 10–12 months of construction thereafter.

What was not decided: The failed revitalization resolution means the developer can still submit for tax credits, but without the extra local points the city could have provided. No building permits, rezoning or binding contract were approved at the meeting; the council only authorized staff and the developer to study a market-rate split and return with a revised proposal for council consideration.