After being considered multiple times for apartments or condominiums, the hillside land at the eastern end of Tobacco Street is now planned for several luxury townhouses.
Local real estate developer Jeremy Connell is planning to build five four-story townhouses that he expects to cost between $1 million and $1.5 million each.
He said the homes will be similar to the 7west townhomes he developed across the river in Manchester, but with a facade that reflects the former tobacco warehouses nearby rather than 7west's modern, industrial look.
Connell is seeking city approval to divide the 0.3-acre site into six parcels, with the sixth parcel reserved for future development or amenity space. The parcel is located near Dock Street, downhill from the townhomes fronting Carey Street at the intersection with Pear Street.
The project marks a shift from previous plans for a high-rise building that would have housed apartments and condominiums: In 2015, a group of developers proposed an 11-story tower with 15 luxury apartments, but the project was abandoned two years later.
Then in 2021, Connell proposed plans for a seven-storey apartment building fronting Cary Street, with 47 apartments built over five floors and above a multi-storey car park.
Connell said he gave condominiums a lot of thought but had townhouses in mind when he executed a contract to buy the land in late 2021, paying $775,000 to a limited liability company linked to developer Historic Housing's David White. It was assessed by the city for $311,000 that year and is now valued at $623,000.
Connell said he saw value in testing “smaller apartment concepts” on the site and worked with two separate design groups to “come up with some great apartment concepts for 2022 and 2023.”
“Despite having great plans on paper, financing challenges, ever-increasing construction costs and an apparently soft apartment market forced me to give up on the idea of building apartments,” he said. “In the end, I went back to my original idea – townhouses. I'm glad I took the time to explore the different options.”
Connell is working with Mario DiMarco Architects, who designed 7west and several of his other projects, including the redevelopment of the Manchester Pie Factory.
Called “The Terraces at Shiprock,” the townhouse has three floors facing Carey Street and four floors facing the river, with three levels of living space over a three-car garage. The units are over 3,500 square feet and feature three bedrooms, four and a half bathrooms, a rooftop patio and a five-step elevator from the garage to the rooftop.
A partially covered rooftop patio provides shade and weather protection, while an open-concept third floor with kitchen, dining and living areas features a balcony overlooking The Law Line and Great Shiprock Park. The unit also features a flex studio or office space.
Connell said they considered doubling the number of units with two rows of townhouses but decided that would be too many to fit on the site. He said a row of five units “fits in very nicely and optimizes the size, layout and function of all the homes.”
He said he expects to get final zoning approval from the city within the next two to three months, after which he will apply for site and building permits. Baker Development Resources is representing Connell as land-use consultant on the project.
Connell said construction is aimed to begin early next year, with completion by the end of 2025. A contractor has not yet been selected, but he said he is in discussions with construction companies operating in the city and may consider a joint venture on the project.
Connell said he will be marketing the property with Patrick Sullivan of One South Realty Group of Samson Properties, who is also an agent with the group. Sullivan also marketed the property with 7west. 3DI Studio is handling graphic imaging and renderings for Terraces at Shiprock.
Connell would not provide a cost estimate for the project but said he believes the townhouses are financially feasible. He said the project does not yet have a lender committed.
The site is across from the Lucky Strike Building power plant and diagonally across Pear Street from Shiprock Views, a 180-unit apartment complex from Guy Brandan's CMB Developments. Across Dock Street, the James River Association's James A. Buzzard Education Center is currently under construction.