Roanoke awarded $2.5 million to support affordable housing at former Walker Foundry site
Roanoke, Virginia – The City of Roanoke’s Economic Development Authority (EDA) has secured a $2.5 million award to help transform the former Walker Foundry site in Norwich into a vibrant new affordable housing development. The funding, announced on behalf of developer Greg Kaknes and The Foundry Realty, LLC, represents a major step forward in expanding housing options for working families in the region.
New Homes Aimed at Supporting Middle-Income Workers
The $2.5 million award comes from the Virginia Housing Workforce Housing Investment Program (WHIP), a competitive initiative with $75 million in funding spread across five cycles, focused on supporting housing in areas experiencing business growth or expansion. This particular project will deliver more than 200 new housing units, with a strong focus on providing homeownership opportunities for the “missing middle”—households earning between 80% and 120% of the Area Median Income (AMI).
The plan is structured as a phased development, with homeownership as a central goal to meet the housing needs of Roanoke’s growing workforce.
Down Payment Assistance Fund to Be Managed by TAP
One of the standout features of the project is the creation of a revolving down payment assistance loan fund, which will be managed by Total Action for Progress (TAP), a local community development financial institution. This fund will offer eligible homebuyers up to $50,000 in down payment assistance, helping moderate-income families afford homes in the new development.
The City of Roanoke’s EDA acted as the formal applicant for the WHIP award, as required by the program’s guidelines. The successful application was made possible through the collaboration of EDA, Foundry Realty, and TAP.
Strong Local Support Helped Secure the Award
Community support played a key role in the city’s successful application. Letters from organizations such as Carilion Clinic, Virginia Western Community College, and Roanoke City Public Schools emphasized the urgent need for affordable “middle income” housing to support workers and strengthen the local economy.
This award marks a major win for Roanoke’s workforce and a promising future for the Norwich neighborhood, turning a once-industrial site into a thriving residential community.
