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Wegmans grocery store, which opened in Fredericksburg |
FREDERICKSBURG is at
The recession has been stressful for the area's business community and local government, but this year the trends are positive and business sentiment is on the upswing. Many projects are moving forward. The city is fortunate to be home to Mary Washington Hospital and the University of Mary Washington, two strong and expanding institutions, and its proximity to Washington and several military installations has helped buffer the area during the recession.
Fredericksburg's retail and office vacancy rates peaked a year ago at 8.5 percent and 9 percent, respectively; those rates are now 7 percent and 8 percent, respectively. The vacancy rate for industrial space, however, is up from a pre-recession rate of 7 percent to 33 percent due largely to the 143,000-square-foot Insteel plant closing in the industrial park.
Downtown continues to be Fredericksburg's crown jewel. Healthy and vibrant, it features new restaurants, shops, and galleries. The vacancy rate on Caroline Street is less than 5 percent. The Bavarian Chef Fredericksburg restaurant is the latest downtown addition, opening soon in the train station. The Marriott Courtyard Hotel is exceeding its projections, and the Fredericksburg Museum and Cultural Center has compelling new exhibits and programs to complement its new building.
On Sophia Street, the new riverfront park will welcome crowds at this summer's Heritage Festival, America's Music Festival, and the 30th anniversary celebrations of Fredericksburg's Sister City Association with Frejus, France.
The Eagle Village project across U.S. Route 1 from UMW is taking shape; new apartments will welcome returning students in August. Five to seven new restaurants are coming, and tenants are signing up for the office space.
Planning for Eagle Village's next phase is under way. An 80- to 100-room hotel, a regional data center, and the extension of College Avenue to the hospital campus is anticipated. Mary Washington Hospital has long wanted a hotel near its campus and is working with the UMW Foundation to make this a reality. As envisioned by the Economic Development Authority's JumpStart! 2010 Plan, Eagle Village will serve as a catalyst, along with the Fred Transit Station, for the revitalization of this corridor.
At Central Park/Celebrate Virginia, new restaurants and stores are on the way. The Quaker Steak and Lube restaurant opens this summer in the former Central Park Diner building. Hibachi Buffet is opening later this month in the former Texas Steakhouse building, and
The 850-room Kalahari Resort hotel/water park/convention facility is poised to begin construction later this year after being delayed by the national credit crisis, which will accelerate completion of the Celebrate Virginia tourism campus.
Print Innovators' plant in the industrial park is busy turning out The Free Lance-Star and the Washington Examiner. The Surgi-Center of Central Virginia begins construction next month near Dixon Park. Basilico Italian Market just opened at Cowan Center near the hospital, and the Dixie Bones barbecue restaurant is going into two storefronts in Westwood Shopping Center.
Developers have generally been holding off on rezoning applications during the recession, but the filing for the mixed-use Fredericksburg Park project at the Roper Brothers site on Lafayette Boulevard (at Blue and Gray Parkway) is expected this summer. It will take advantage of the city's new mixed-use zoning district and includes stores, offices, and residences as envisioned by the JumpStart! plan.
As the economy continues to strengthen, Fredericksburg expects a number of on-hold redevelopment plans to proceed in key areas.
The city continues to actively attract business and investment. Tourism Zone incentives have succeeded in bringing businesses and restaurants downtown and to Celebrate Virginia. Plans are under way to expand Technology Zone incentives to the Route 1 corridor from Eagle Village to the Falmouth Bridge. The EDA continues its targeted program of incentive grants to new and expanding businesses. Fredericksburg's streamlined permit-approval process allows projects to get under way promptly, which is crucial for business owners.
The next five years are expected to see great strides in tourism, continued downtown revitalization, redevelopment along the JumpStart! corridors, and many new job opportunities for our residents.
Richard Tremblay is economic development manager of the Fredericksburg Department of Economic Development and Tourism.
