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Council favors EDA‑led push to market Spotswood and other city sites, seeks flexible zoning

Lexington City Council · January 6, 2026
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Summary

Council reviewed a housing policy paper and draft resolution and expressed support for using the EDA and option agreements to market and derisk development of city‑owned sites such as Spotswood; members debated rezoning and measures to communicate developer expectations.

Lexington councilors discussed a housing paper and a draft resolution intended to signal the city’s development priorities and attract private investment to city‑owned parcels.

Speaker 4 presented the housing paper and said the resolution could be introduced Jan. 15 to start marketing Vacant VDOT/Spotswood properties. “If we really do value that, that city should make a commitment to being the to try and identify the next affordable workforce housing sites,” Speaker 4 said.

Council debated whether the city should rezone proactively or invite developer proposals first. Some members preferred letting developers propose plans and then use the public hearing and zoning process, while others suggested amending the resolution with explicit references to the city’s comprehensive plan. Speaker 7 offered draft 'whereas' language referencing Lexington’s comprehensive plan to bolster the resolution’s public‑facing rationale.

On implementation, council favored giving the EDA the authority to execute option agreements to market and de‑risk redevelopment, with council retaining final approval for zoning changes. Speaker 3 urged the EDA route, saying developers are often more comfortable working with an entity without immediate political constraints, and Speaker 4 asked consultant Tim to generate a list of potential Virginia developers.

Why it matters: The council’s approach sets the process by which city‑owned parcels may be marketed and developed. Options under consideration include conditional use permits, rezoning to mixed‑use, and targeted plan‑development chapters to allow first‑floor commercial with residential above.

Next steps: Council expects to introduce the resolution at the Jan. 15 meeting, ask the EDA to pursue developer outreach and return with a critical‑milestones schedule that clarifies roles and timetables.