THE VIRGINIAN-PILOT
Copyright (c) 1997, Landmark Communications, Inc.
DATE: Thursday, February 6, 1997 TAG: 9702060342
SECTION: LOCAL PAGE: B1 EDITION: FINAL
SOURCE: BY MEREDITH COHN, STAFF WRITER
DATELINE: CHESAPEAKE LENGTH: 80 lines
Officials at an affiliate of Pat Robertson's Christian Broadcasting Network confirmed Wednesday that they plan to build a large, upscale retirement facility in either Chesapeake or Virginia Beach, likely bringing in seniors from outside the region and about 150 jobs.
This marks the second attempt by Founders Village, a not-for-profit business separate from CBN, to build a continuous-care facility in South Hampton Roads.
In 1993, the group proposed a $63.7 million retirement mecca for both cities on a section of a 237-acre site that CBN owns at the border of Chesapeake and Virginia Beach, but both city councils questioned real estate tax breaks, which could have amounted to more than $800,000 per year, sought by the developers.
A lack of housing for low-income seniors also brought criticism from Virginia Beach officials.
The newly proposed facility would offer living space and health insurance for its residents, who would not own property but would pay an entrance and monthly fee, according to Founders Village officials and the developers. The facility could open as soon as late 1999, provided local zoning changes are awarded and state approval for the health care is approved. No tax breaks are being sought.
Founders Village teamed with Jacksonville, Fla.-based retirement facility builder, Haskell Community Development, for the project, although Founders Village will retain full ownership.
Haskell, one of the largest continuous-care facility builders in the country, recently built a similar operation in Sterling for retired Air Force officers. Thomas R. Brennan, a spokesman for Haskell, said most of their large projects are sponsored by churches.
Virginia Beach and Chesapeake officials confirmed informal talks have taken place, but few officials knew or would reveal any details about the project. Chesapeake city officials had a meeting about the project Tuesday evening. That meeting was closed to the public because negotiations are ongoing over some city land that may be used as a second access point for the property.
Brennan said choices for the facility have been narrowed to two sites, one in each city, and should use about 60 acres. Haskell has not worked with CBN before, but Brennan said the project attracted his group because of land availability and a need for the facility in the area. Westminster-Canterbury on Shore Drive in Virginia Beach provides similar services for independent seniors.
``We're taking the lion's share of the risk,'' Brennan said of Haskell, which will provide most of the investment capital. ``We won't realize a return unless it's successful, but we think it will pay off. Ministry followers have already expressed interest.''
He said the project is especially attractive to the cities because of the 150 full-time jobs - many of them in the health care industry - it is expected to generate.
A decision on the site will be made in the next week or two, Brennan said.
Neil Volder, president of Founders Village Inc., and CBN's vice president of real estate, said an official announcement will be made in upcoming months. Little about the exact number of units, income requirements for residents and other details will be released before then, he said.
Volder said numbers from the last proposal cannot be used because the plan is not complete.
The facility proposed in 1993 would have required residents to pay a $95,000 to $490,000 admittance fee, depending on the style of apartment and options chosen. Health care costs would be included in a monthly fee of $1,070 to $4,200.
``It's premature to go into hard numbers about the number of units, costs and entry fees,'' Volder said. ``But most continuous-care facilities built today are upscale. . . . Personal retirement income usually must be around $35,000 to qualify.''
Volder said Founders Village expects to target tenants in that income range scale. Units for low-income tenants have been discussed, but no commitments have been made, he said.
``We think this would be a tremendous boon for either city,'' Volder said. ``We're not building a residential community that would require demands on schools or even the roads during rush hour. Upscale seniors will come here and have little impact on schools and little impact on crime because we'll provide our own security, and they'll have disposable income to spend.'' ILLUSTRATION: Map