Virginia Beach Launches New Grant Program to Boost Affordable Housing

Key Takeaways

Virginia Beach has 372 affordable rental units planned, driven by new zoning and a performance-based grant program.
The Attainable Workforce Housing Performance Grant provides financial support for affordable housing development based on incremental real estate taxes.
Two approved projects, Grand Lake Senior Apartments and Silo Apartments, will add a total of 372 affordable units, addressing housing cost burdens.

Affordable Housing Efforts in Virginia Beach

Virginia Beach is making strides in addressing affordable housing needs, having 372 rental units in development. This initiative is the result of extensive rezoning efforts and the introduction of the Attainable Workforce Housing Performance Grant (AWHP), which began in September. The grant allocates funds based on the incremental real estate taxes generated by newly approved affordable housing developments. Grants are distributed post-completion, contingent on meeting specified criteria.

The AWHP aims to create more affordable multifamily rental options in a city where one-third of households are “housing cost-burdened,” meaning they spend over 30% of their income on housing. Recent data indicates an increase in Virginia Beach’s homeless population, from 311 to 327 in 2025, which the city attributes partly to the shortage of affordable housing.

The program seeks to make affordable housing development more viable financially, drawing on models from other cities such as Richmond, Virginia. According to Ruth Hill, director of Housing and Neighborhood Preservation, this initiative could significantly address the pressing need for affordable housing for both senior citizens and workers.

Two projects have already been approved under this program. The Grand Lake Senior Apartments will offer 172 units for residents aged 62 and older, with around half designated for households earning at or below 50% of the area’s median income. Meanwhile, the Silo Apartments will provide 200 units aimed at households with incomes between 50% and 80% of the area median income (AMI).

Both projects required new zoning approvals, with the Grand Lake development receiving approval in December 2024 and the Silo Apartments in July. Moreover, the Silo project is benefitting from the city’s Workforce Housing Bonus Density Program, which allows for an increase in the number of units from 154 to 200.

These developments reflect Virginia Beach’s commitment to expanding affordable housing options and addressing the critical needs of its community.

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