Navy selects developer for downtown Newport News housing project; city to consider property conveyance and $5.5 million appropriation

The Department of the Navy and its development partner have selected downtown Newport News as a site for a major unaccompanied housing investment, city officials told the City Council at an Aug. 12 work session.

City Manager Alan and Florence Kingston, a city presenter, said the Homeport Hampton Roads project will be sited at the Huntington Hall block and the Julius Cahn Gym block downtown and will be implemented by Hunt Military Communities in coordination with Newport News Shipbuilding, the Economic Development Authority (EDA) and the Commonwealth of Virginia. Florence Kingston said closing and construction commencement are expected in 2026.

The announcement matters because city officials said the project is both part of a Navy nationwide quality-of-service initiative for sailors and a major anchor for downtown revitalization. Alan said the city has worked closely with the Navy and Huntington Ingalls Industries’ Newport News Shipbuilding to align the investment with the city’s broader downtown goals.

According to the presentation, the Navy’s housing investment for downtown is expected to be in the range of $350 million to $400 million. Staff described the development program to include roughly 752 two-bedroom apartment units (about 1,500 beds), a 1,050-space parking garage, approximately 30,000 square feet for Navy services and roughly 10,000 square feet of retail space. The presentation said Huntington Hall will be demolished and the architects have used the existing building as inspiration for the new facade; two larger residential towers are planned to rise to about 17 stories.

Kingston said the EDA will assemble the public parcels proposed to support the project and ultimately enter into a development agreement with Hunt. She told the council that the conveyance of the Julius Cahn Gym property to the EDA is scheduled for the council’s main session that evening. Kingston also said the city agenda included an appropriation of $5,500,000 to support downtown initiatives tied to the project, including renovation of 2295 Harbor Road and support for redevelopment of the Greek church; that local funding would serve as a match for a $40,000,000 treasury loan the Commonwealth had committed to the project.

Mayor Jones called the project “an anchor” for downtown, saying, “This is gonna completely change the skyline of Downtown Newport News.” City Manager Alan called the partnership and the prospect for renewed downtown investment “a very bright economic opportunity for our traditional downtown.”

Council members asked clarifying questions during the work session. In response to a question from the vice mayor about whether this was the largest downtown investment in recent decades, Florence Kingston replied, “Yes, sir. Absolutely.” Council discussion also touched on the city’s communications strategy and coordination with state legislators who supported the Commonwealth loan commitment.

City staff told the council they are coordinating predesign review with the Hunt team and the Navy to streamline plan submissions and that they are developing a memorandum of understanding with the Commonwealth connected to the $40 million treasury loan commitment.

No final conveyance or appropriation vote took place during the work session; Kingston stated those items were scheduled for the council’s main session that evening. Closing and construction commencement dates, developer agreements, and the form of the Commonwealth financing remain contingent on the EDA assembly of parcels, the development agreement with Hunt and the MOU with the Commonwealth.

Questions or follow-up actions recorded in the presentation included city staff direction to continue coordination with the Navy, Hunt and the Commonwealth and to present the property conveyance and appropriation items to the council in the main session for formal action.

The city identified parcels involved in the site plan as the Huntington Hall site (owned by Newport News Shipbuilding), the Julius Cahn Gym site (owned by the City of Newport News), and parcels owned by the Economic Development Authority at 2900 Huntington Avenue and 2901 Wharpe Boulevard.