Hotel plans advance in Richmond’s Scott’s Addition, community advocates urge city to prioritize housing

RICHMOND, Va. (WRIC) — Community organizations are voicing concern about Richmond’s development priorities after the city approved two new hotels in Scott’s Addition on Monday.

One of the projects is planned for Roseneath Road and West Moore Street and is expected to bring in an estimated $20 million over the next 20 years.

While organizers acknowledge the economic benefit, they said the decision raises questions about the city’s commitment to housing access.

“I like fancy hotels like the next person, I guess,” said Richmonders Involved to Strengthen Our Communities (RISC) co-president David Starr Redwine. “But I want a city [where] people I know who work hard don't have to drive to Amelia to have a place they can live in.”

The second hotel, a 253-room development by Shamin Hotels, is planned for North Arthur Ashe Boulevard and Meyer Street. Officials estimate it could generate about $64 million over two decades.

“When wealthy tourists need a place to sleep, we move within almost a month -- 36 days,” Redwine said. “When our residents cry out for affordable housing, we do things here or there."

Redwine said the organization wants the city to prioritize the Affordable Housing Trust Fund.

“I applaud all the other things the city [is] doing to address housing,” he said. “We need every possible tool in the toolbox because we are in a legitimate crisis ...But I'm just confounded [about] how hotels get approved in 36 days and, 1,700 days later, we're still waiting for the trust fund."

He added that the decision to move forward with the hotel projects sends a message about Richmond’s values. 

A city spokesperson provided the following statement to 8News: 

“Richmond is making significant, ongoing investments in housing affordability. Just last week, we celebrated the opening of NOON Ingram in the Oak Grove neighborhood, adding 243 high-quality units for families earning between roughly $35,000 and $80,000 a year. This week, the Mayor’s proposal to support Bellevue Gardens was approved by City Council. This will be a 78-unit affordable development in Northside that will include deeply affordable homes for residents earning 0–50% Area Median Income (AMI), with completion expected in 2026. Also this week, an additional $2 million was added to the Affordable Housing Trust Fund to help accelerate production and preservation of affordable homes across the city. 

It’s also important to understand how development moves in Richmond. Whether it’s affordable housing or a hotel, major projects typically take three to five years from concept to completion. The hotel proposals each went through months of preparation and review before introduction to Council for approval, and they still must complete the same entitlement, permitting, and financing steps as other economic development opportunities in the city. 

Richmond absolutely needs both more affordable housing and strong economic development to thrive. Projects like these hotels will help grow the city’s tax base, which supports the services and housing investments we need to expand for people. This is part of a broader, balanced strategy to build a stronger and more sustainable Richmond for everyone.” 

Redwine emphasized that RISC is neither for nor against the hotels.

“I do believe Council and this administration cares about the city,” he said. “It’s just the sense of will. And to show us you care by your actions.”

City officials said the timeline for hotel construction remains unclear.