Henrico County’s multibillion-dollar idea to build a mixed-use development around a new arena is moving across the finish line slower than anticipated.
Anthony Romanello, director of the county’s economic development authority, told VPM News around this time last year he was hopeful to break ground on parts of the development. In an interview Thursday, he explained why the project’s completion date is more of a moving target.
“There's a couple pieces to GreenCity,” Romanello said. “The first one is that the principals who are working on the arena are in the process of putting together their financing for the arena and finalizing design for that.”
Henrico initially announced GreenCity, a mixed-use development located east of East Parham Road between Interstates 95 and 295, in 2020.
The project — developed by Concord Eastridge and Future Cities — integrates extensive parks, trails, office space, retail space, 2,400 housing units and two hotels around a centerpiece arena. ASM Global, which books over 20,000 live events annually, is set to manage events at the 17,000-seat arena when it opens.
The price tag for the development is estimated at around $2.3 billion. A community development authority led by the county will fund construction by issuing bonds.
Henrico has successfully structured deals for similar large development projects in the past, including Short Pump Town Center, Reynolds Crossing and White Oak Village.
“I think that one of the things that's really a hallmark for us is that we don't put taxpayer money at risk,” Romanello said. “We've seen it at Regency, at Virginia Center Commons, numerous examples throughout the county — they really set the table for the private sector to invest, but they don't put public money at risk.”
As the development partners secure funding, Henrico has slowly looked to increase the project’s footprint by acquiring land. The county has already conveyed around 93 acres of its Best Plaza property to the developers since announcing the project.
It also purchased the 110-acre Scott Farm property for around $35 million in 2023 and 16 acres across from Saint Gertrude High School for $6.5 million this past April. GreenCity’s expected footprint today is just over 220 acres, according to Romanello.
Another effort underway is GreenCity’s residential component, which will be designed by local real estate firm Markel|Eagle Partners. The company is planning to invest $400 million over the course of the building process.
The county is also spearheading infrastructure developments along Magellan Parkway near GreenCity, including a new bridge over I-95.
With so many moving parts involved, Romanello stressed the need for patience from those wondering why ground hasn’t been broken on the arena.
“I want front row seats to the next Taylor Swift concert, just like everybody else does, but it takes time,” he said.
Romanello added that Henrico’s recent economic success shows that sports entertainment and tourism are good investments for the county.
Last month, the county reported that visitors to Henrico spent nearly $1.9 billion in 2023 — the largest amount in any locality in Central Virginia and the fifth-highest in the state, according to the Virginia Tourism Corporation.
Tourism in Henrico supported nearly 10,500 jobs and generated more than $81 million in tax revenue for the county and $45 million for the state last year. In total, visitors to Henrico and 28 other localities in Central Virginia spent a combined $5.8 billion in 2023.
“Tourism, and specifically sports tourism, represent a major growth industry for Henrico County as well as our region and commonwealth,” County Manager John Vithoulkas said in a statement. “The growth that we’ve seen in this economic development sector is no accident.”
The 185,000-square-foot Henrico Sports & Events Center, which opened in December 2023, was one driver of that success — though its economic impact won’t be fully measured until VTC releases its 2024 report next fall.
Romanello said he hopes Henrico’s success shows residents that although GreenCity may be behind schedule, the county is still on track.
“I think that over decades, Henrico has earned the trust of our community,” Romanello said. “That confidence that our citizens have in us is why we continue to work really hard to deliver on these projects.”
