M I X E D  -  U S E

Landstown Commons, a development of The Goodman Company, is a 500,000-square-foot mixed-use project under construction in Virginia Beach's Gateway Corridor

Landstown Commons Opens
in Beach’s High-Growth Corridor

Kohl’s, Bed Bath & Beyond, Best Buy, Office Max, PetSmart
and Ross to Anchor

VIRGINIA BEACH, VIRGINIA – What was once the gateway to the agricultural region of Virginia Beach, Va. is now becoming the city’s hub of rapid growth. Come fall of 2007, the first phase of Landstown Commons, a 500,000-square-foot, mixed-use development, will open on what used to be a 60.5-acre farm, situated on the northeast corner of Dam Neck and Princess Anne Roads.

Divaris Real Estate Inc. (DRE) sold the land to Florida-based developers, The Goodman Company, kicking off the area’s commercial transformation. According to John Dowd, senior vice president of development for The Goodman Company, the site’s location was the prime attraction.

“It’s a high growth corridor in Virginia Beach, and there was a definite lack of quality retail space nearby,” says Dowd.

Soon after negotiations for the land sale were complete, The Goodman Co., who previously developed Jefferson Commons in Newport News, Va., selected local representation, naming DRE the exclusive leasing agent for Landstown Commons.

“Divaris played such a big part in introducing us to the project,” said Susan Ross, senior leasing agent for The Goodman Co. “They have an outstanding reputation in the industry, and we are delighted to be working with them.”

With completion scheduled for March 2008, DRE has been diligently focusing on the project, and, as Dowd puts it, “the leasing is relatively complete.”

“As of the beginning of March, we have deals working on 80 to 90 percent of the retail space in Landstown Commons,” said Levi Thomson, DRE retail sales and leasing agent. “That part of Virginia Beach has been quickly growing, residentially. And, coupled with the various surrounding projects and its proximity to Virginia Beach’s City Hall municipal complex, Landstown Commons is certainly a big draw for retailers.”

Kohl’s, Bed Bath & Beyond, Best Buy, Office Max, PetSmart and Ross Dress for Less have already signed on. Kohl’s will open its anchor store in October 2007. Small shop leasing is in full swing, and many leases are out for final negotiation and are expected to be signed by early summer 2007.

In addition to the residential growth, there are many other traffic generators in the Princess Anne corridor - The Players Club (TPC) golf course, the Verizon Virginia Beach Amphitheater, the Sportsplex Stadium, the new Sentara Health Campus, the Advanced Learning Center, an adjunct campus of Norfolk State and Old Dominion University, and the Virginia Beach Campus of Tidewater Community College, all of which are contributing to the success of the development.

Nevertheless, as with any property development, there are always challenges to overcome. “Landstown Commons is in an emerging market, with a lot of residential growth in progress,” notes Ross.

“But what is great is that all our anchors are on board, and we have a number of new concepts making their entry into this market for the first time. We are excited to bring these new and exciting concepts into the market and to bring in some local retailers and see them expand their stores,” she adds.

Complementing the retail component will be about 40,000 square feet of office space. Most of it will be located above the first floor retail and will be accessible through an elevator lobby in the breezeway between the retail buildings, in the courtyard shops. The entire center will be serviced by 2,455 parking spaces, interwoven with landscaped sidewalks. The park-like design is a first for Virginia Beach.

Further enhancing the project’s success is the planned widening of Princess Anne Road and the recent endorsement of the new Southeastern Expressway. This new interstate, when completed, will help alleviate some of the pressure on Interstate 264 and allow traffic on Princess Anne Road to flow more smoothly, while connecting Virginia Beach with Chesapeake. At this time, even without these upgrades, an estimated 50,000 vehicles pass by the property each day.