Return to Virginia Business - April 2004

Related story:
- Most Significant Real Estate Projects of 2003

The winners:
- Philip Morris Headquarters
- Harrisonburg Crossing
- Short Pump Town Center

Project: $41 million shopping center that brought 11 new national retailers to the community and created 925 jobs.

Developer: AIG Baker of Birmingham, Ala.

General contractor: L. F. Jennings, Falls Church

Challenges of the deal: Negotiating with a Malaysian-based owner to buy an outdated 500,000-square-foot HVAC manufacturing facility, demolishing facility which included environmental risks, finding another building for owner to relocate existing business, building a 538,000-square-foot shopping center, negotiating anchor tenant leases, meeting off-site requirements that exceeded project budget by $2 million.

Economic impact: In addition to shopping center jobs, 455 jobs were created during construction phase. Off-site improvements include four new traffic lights and road expansion. Center attracted such national retailers as Home Depot and Barnes & Noble and expects to generate $1.2 million per year in new property and sales tax revenue.

Judges' comment: “A project of this size and scope in western Virginia debunks the myth that the major development is all taking place in the north and along the coast.”

Return to Virginia Business - April 2004