The Roanoke Times

ERIC BRADY The Roanoke Times

Residents of a neighborhood off Hershberger Road have mixed feelings on whether to sell their homes to a developer.

A Wisconsin developer is negotiating with two dozen Roanoke homeowners in a move that could clear the way for a massive new commercial development at Interstate 581 and Hershberger Road.

In the past year, Continental Properties has contacted the owners of 24 houses in a small neighborhood off Ordway Drive, expressing a desire to develop the neighborhood and surrounding land, homeowners said.

Continental builds large retail centers across the country carrying some coveted retailers that aren't in the Roanoke Valley.

Kohl's, a department store retailer that's headquartered in the same city as Continental, and Washington-based Costco, a discount warehouse, anchor many of Continental's centers, according to its Web site.

The residents of this neighborhood, which stretches across Glenroy Street and Kirkland Drive, are in limbo.

Some said they have negotiated in the past year on a price that Continental would pay them for their homes, but it's been months since they have heard from the company.

It's unclear what could happen with this neighborhood and several other large parcels of land that are for sale along I-581. According to the real estate agents involved, no land has changed hands -- yet.

Prominent property

A "for sale" sign juts out of 18.91 acres off Hershberger Road and I-581. It's a grassy vacant field fronting the neighborhood, and it has been owned by the Ramsey family since the early 1900s.

Joe Ramsey, a real estate agent with Long & Foster Realtors in Roanoke County, is selling the land for his family, though he said he personally has no ownership stake.

He said this week that an out-of-town firm had an interest in purchasing the land, but its option expired. A month ago, Ramsey received another inquiry from the firm. He would not confirm that the company is Continental. He also wouldn't disclose the property's sale price.

But Roanoke real estate firm Copty & Co. is representing Continental in a purchase of the neighborhood, firm owner Bob Copty said. He would not discuss what Continental is planning at the site.

Alvin Nash, president of the Blue Ridge Housing Development Corp., is helping residents negotiate their home sales. He referred inquiries about the development to a Continental representative who was unavailable this week.

Another 60-acre site located a short distance from the Ramsey property on I-581 and across from Valley View Mall is for sale with a price tag of about $9.9 million and is also listed by Copty & Co.

Copty said it irks him when national retailers continue to pass up Roanoke, likely because much of its land is undevelopable.

"The fewer pieces of land around the valley to develop, the more valuable the ones that are still there become," he said.

It's unclear if the sale to a developer could combine the neighborhood, the Ramsey property and the 60-acre tract for a nearly 90-acre development across from Valley View Mall.

Elizabeth DeLuca, a Kohl's spokeswoman, said Thursday that the Roanoke Valley is not slated for a future Kohl's store.

She said in February that she would not speculate on unannounced real estate transactions. The retailer makes new store announcements twice a year for openings in the spring and fall, and it will next make announcements this summer, she said.

To sell or not

One homeowner, Roland Reynolds, who lives on Glenroy Street, recognizes the value of his dwelling, personally and from a developer's eyes.

The two-lane Glenroy Street leads into the neighborhood and connects with the Ramsey tract. Houses stand in the way of what could be the thoroughfare to significant development.

Reynolds said the residents of Glenroy Street and Kirkland Drive were invited to a meeting a year and a half ago at the Wyndham Hotel in Roanoke, where Continental presented plans for the neighborhood.

Since then, representatives from Continental have visited homeowners to negotiate options for their homes. The 24 homes sit on 6.7 acres and have a combined assessed value of nearly $2.5 million, according to city records.

Reynolds refuses to sell to Continental. He wants more money for his brick house with white shutters, where he has lived for 28 years.

Reynolds asked Continental to pay him $300,000. The company only has agreed so far to fork over a payment between $200,000 and $300,000, he said. His home assessed for $108,500 this year, according to city real estate records.

Until Continental agrees to pay Reynolds what he believes he should get for his house, he said he's "going to cut my grass and stake my ground."

Some homeowners already have signed on with Continental, but they're awaiting final word about company plans. They've been hesitant to make improvements to their homes for fear they'll soon leave.

Novlette Johnson, who lives a block away from Reynolds on Glenroy Street, said that she agreed in October with Continental on a price for her home that was at least 100 percent of its value. The option expires in October.

"I like the neighborhood so much," Johnson said, explaining that she can "zip" to work at the Wyndham Hotel.

She has two young children and moved into her first home two years ago. But she said she felt pressured by the developer to sign it away.

Other neighborhood residents did not want their names used for publication. There have been tiffs among some residents over the decision to sell and how much money they may receive, some said.

But Andrea Trent, who lives on Kirkland Drive, said she was happy to sell her house.

She said most of her neighbors have agreed to sell, because they believe there is no other choice.

"I don't want to be living around all of this commercial stuff," Trent said.