Photo: Carolynn Unger, Rocktown Now
Governor Glenn Youngkin stopped by the Harrisonburg Innovation Hub on Wednesday, May 21, to unveil over $16.9 million in state funding aimed at expanding workforce housing across Virginia. The money comes from the Virginia Workforce Housing Investment Program and will fund 10 different projects statewide, bringing in an estimated $254 million in private investment.
One of those projects, The Flats at West Market in downtown Harrisonburg, will receive $1.2 million to transform a former office space into affordable rental housing for local workers.
“This project highlights the kind of collaboration we need in workforce housing,” Youngkin said, emphasizing the importance of increasing housing near growing businesses. The initiative is focused on helping individuals and families earning 80–120% of the local median income—or up to 150% in rural areas—find affordable housing.
Harrisonburg Mayor Deanna Reed echoed that sentiment, saying the city is focused on addressing the housing shortage. “As council members, we promised to create more housing,” she said. “Projects like this show how partnership makes that possible.”
David Rao, the developer behind The Flats at West Market, said the units are specifically designed for working professionals and expect to complete construction in about 18 months.
State leaders say the $75 million housing program could generate up to $750 million in private investment and lead to the development of 5,000 workforce housing units over the next five years. Another project, Winchester Grove, will get $3 million to convert a former cold storage building into a mixed-use development to support local job growth. Youngkin noted this type of housing will help retain talent and boost economic development throughout the state.