The Northern Virginia Daily

Article date: October 28, 2005

 EDA picks developer for Avtex project

Agency, Lerner Enterprises will draft feasibility study for business park

 By: William C. Flook

The Front Royal-Warren County Economic Development Authority is set to enter negotiations with a Maryland based firm to redevelop a substantial portion of the Avtex Superfund site.

The EDA voted unanimously Thursday morning to allow its staff to begin working on an agreement with Lerner Enterprises, a developer active in Virginia, Washington, D.C., and Maryland, to purchase and develop the 160-acre business park.

Lerner Enterprises was picked over another firm that had officially expressed interest in the project, Cherokee Investment Partners, because of Lerner’s level of commitment to the site, according to EDA Chairman John LaBarca.

“They both would have worked well with the community,” he said.  “One of them, we thought, just had a stronger commitment than the other.”

The business park redevelopment is part of the EDA’s “Royal Phoenix” concept for the approximately 440-acre property, which also features a 240- acre conservancy park and a 30-acre soccer complex.  The land was once home to a rayon plant that employed scores in the Northern Shenandoah Valley.

“Since Avtex closed in 1989, it’s always been this community’s goal to turn that liability into an asset,” said Front Royal Mayor James M. Eastham.  “And today’s announcement is yet another big step towards achieving that goal.”

EDA Executive Director Paul Carroll said Lerner and his agency expect to take about 90 to 120 days to draft a feasibility study, to analyze how the Royal Phoenix plan can be realistically brought to fruition.

Lerner Enterprises list of projects includes the Cooperate Office Centre in Tysons Corner, Vintage Park in Dulles, the Harbour Center in Annapolis, Md., and Washington Square in Washington, D.C.

Lerner issued a statement Thursday Afternoon.

“We appreciate the opportunity to work with the Front Royal-Warren County Economic Development Authority as we explore together development of the property.” says Authur Fuccillo, vice president of development.  “:As a company policy, we do not discuss matters regarding development of a property until such time as we are certain of the direction they will take.”

LaBarca said the EDA intends to “keep the door open” with Cherokee, a firm that specializes in acquiring remediating, and redeveloping brownfields.

The Environmental Protection Agency defines a brownfield as a property whose redevelopment “may be complicated by the presence of potential presence of a hazardous substance, pollutant, or contaminant.”

The concept for the area calls for mixed-use development, with a focus on technology and hospitality industries, North American Reality Advisory Services was hired by the EDA to market the site.

Carroll said the plan will need to make sense form a developer’s standpoint. Though certain elements could end up being changed, the plan will ultimately need to be able to create “ good paying jobs” in the community.

“The concept that we have for the site is not something we are going to let go of easily,” LaBarca said .  “That’s going to drive us until proven otherwise.”

Carroll said the EDA will also need to work with the town of Front Royal to find a appropriate zoning for the site, which is currently zoned for light industrial use.

Cleanup of the pollution left by the many years of rayon production is continuing, and the firm contracted to buy the business park will be able to develop parcels as they are signed off by the EPA.

“Everybody wants to see this thing succeed.” LaBarca said.