In economic development, it’s tempting to chase that one big project — the marquee employer, the splashy announcement. But healthy places need balance in their priorities, and housing is essential to serving current residents, retaining and recruiting workers, and growing thoughtfully over time.
The data underscores that. This summer, we completed a comprehensive housing study to answer a simple question: What does the Alleghany Highlands need to stabilize our housing market and support growth? The findings confirm what many of us experience firsthand. Much of our inventory is dated and mismatched with today’s demand. Consider a three-bedroom home with a single bath; more families today want a second bath — but too many units here were built in a one-bath era.
And demand is real. Our housing study, from S. Patz and Associates, documents a sizable group of renters with incomes above $40,000 who could afford higher-quality apartments at standard affordability thresholds. Yet our professionally managed rental stock is thin and largely built before 1980. That’s why a newer community leased up quickly at a price point many associate with urban markets.
People want to live here, but they lack options that fit their needs.
Demographics sharpen the picture. Seniors now account for more than 30% of our population and over half of our homeowners. Those wanting to downsize (which opens up inventory) can’t find single-level or low-maintenance homes locally. Among renters, nearly 40% are seniors. At the other end of the spectrum, younger workers and first-time buyers struggle to find “starter” homes. Rising rates and construction costs widen the gap. While not unique to the Alleghany Highlands, these realities are urgent for us.
So what do we do? We move on multiple tracks, concurrently and incrementally.
Set a tangible target. Our near-term goal calls for unveiling 200+ new housing units within five years. Guided by the study, that rough mix includes 60 market-rate apartments; 50 affordable, general-occupancy apartments; 40 affordable, age-restricted apartments; and up to 120 for-sale homes across townhomes, patio homes and modest single-family houses. This blend serves working families, first-time buyers and seniors who wish to age in place, stabilizing neighborhoods and supporting employers simultaneously.
Prepare and prioritize sites. A number of publicly owned properties and adaptable buildings give our region an advantage. Strategic parcels near the YMCA — already proven viable — are strong candidates for additional garden-style apartments or patio homes. The First Dominion property would support mixed uses, including housing; Innovation Park could support future residential phases as infrastructure is extended to the location. Meanwhile, vacant civic buildings — such as former schools and an armory — are prime for adaptive reuse with historic and low-income tax credits. In a rural market where achievable rents and sale prices trail construction costs, public assets can bridge feasibility gaps.
Send a clear market signal. Developers choose communities where they’re wanted and where the path to completion is predictable. Our housing study and accompanying summit were invitations, not academic exercises. With targeted sites now identified, we’re conducting due diligence and streamlining local steps. Those include zoning updates to allow a broader range of housing types by right, subdivision of large tracts into development-ready pads, and coordinated approvals that cut friction without sacrificing quality. We want these investments and are great partners.
Reinvest in existing neighborhoods. The county includes roughly 11,000 housing units, but about 2,000 sit vacant. Bringing a meaningful share back into the market will require a toolbox approach, including code enforcement that addresses long-neglected properties and targeted rehabilitation using state programs, including community impact and capacity building grants. Every home we return to productive use is a win for the block, tax base and local labor pool.
Align housing with jobs. Our largest employers report steady workforce turnover. When candidates can’t find suitable housing nearby, they commute long distances, which sometimes means finding more convenient jobs. As we actively market industrial opportunities, we must ensure residential capacity can meet the headcount those employers will require. And if families can’t secure care for their children or aging parents, they can’t reliably participate in the workforce, no matter how many jobs we land.
Recognize a short and long game. Our short game is measurable progress: 200 new units in three to five years, site readiness that shortens timelines, and visible rehabilitation on our streets. The long game is a resilient housing market that retains seniors, welcomes young families and offers pathways to ownership. It’s higher labor force participation, stronger neighborhoods and the pride-of-place that becomes pride-of-product on the factory floor.
Our call to action is threefold. To local homeowners and property stewards: consider what it would take to bring a vacant unit back to life; help us add supply by renewing what we already have. To developers: take a fresh look at the Alleghany Highlands because we have sites, local alignment and a community that means business. And to the Commonwealth: continue — and expand — strategic housing investments that make rural deals feasible.
We have a clear plan and the will to build — one site, one subdivision, one renovation at a time. That’s how incremental growth becomes durable prosperity in the Alleghany Highlands.
Ken McFadyen chairs the Alleghany Highlands Economic Development Corporation, in addition to serving as administrator for Alleghany County.
