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Virginia Tech tells Smyth County Pathway Park could yield positive fiscal returns, but members fret over timeline and constraints
Summary
A Virginia Tech economic analysis presented to the Smyth County board found industrial development on 46.2 developable acres at Pathway Park would likely be fiscally positive across modeled scenarios, with one scenario showing about 350 jobs and roughly $500,000 in annual tax revenue; board members raised concerns about site constraints, water and housing and the multi-year timeline.
Ashley Poschimus, an economic development specialist with Virginia Tech—enter for Economic and Community Engagement, told the Smyth County board that an ROI assessment of Pathway Park focuses on 46.2 acres of developable land and models five industrial scenarios intended to match the restrictions tied to prior grant funding.
"The site sits immediately alongside I—1, and it's achieved tier 4 readiness," Poschimus said, adding that the key remaining hurdle is a Route 11 entrance redesign needed to reach tier 5 readiness. The report modeled advanced manufacturing, food and beverage, and plastics/chemical clusters. In one mid-size advanced-manufacturing scenario the county—ould see about 350 direct jobs and roughly $500,000 in annual tax revenue; across modeled scenarios, the analysis indicated the county's $5,880,000 investment could be repaid within about 5 to 10 years, and when regional spillovers are counted that payback might shrink to roughly 3 to 5 years.
The report also noted that the grants that funded on-site improvements carry use restrictions: "nonindustrial options, things like a training facility or a sports complex, they're really not allowable uses at Pathway Park," Poschimus said, pointing to Tobacco Commission and GO Virginia infrastructure grants that emphasize advanced industrial uses.
Board members pressed the presenters on assumptions. One member asked whether recycling facilities were included; Poschimus said recycling was not modeled as a primary scenario because it "wasn't an area that really popped as the best ROI for this site." Another member asked how Implan inputs produced the payback columns; Poschimus explained the input-output model used direct, indirect and induced impacts from job numbers and payroll to estimate total regional economic activity.
County staff told members they have three active prospects and one upcoming pitch related to the site, but several supervisors and public speakers said they remain concerned about the long time horizon, the site's size constraints, the cost and complexity of the entrance redesign and local housing availability for new workers. Brian Martin, Chilhowie—ouncil/town manager in public comment, urged the board to factor local water capacity into tenant selection.
The presentation concluded with recommendations to prioritize the Route—1 entrance redesign to reach tier 5, recruit toward the three target clusters, and pursue a co-location strategy that favors multi-tenant development to maximize use of the 46.2 acres.
The board did not take a final decision on changing Pathway Park covenants or on funding an entrance redesign; staff said the ROI report will guide marketing and future negotiations with prospects.
