‘It’s not fair’: Local contractors still out thousands more than a year after Richmond housing project stops

RICHMOND, Va. (WRIC) — More than two years after construction began for an affordable housing project in the Southside of Richmond, the site remains unfinished and unused.

Oscar Romero, owner of ZOD Painting spoke with 8News outside of the construction site for Brady Square off Lynhaven Avenue. He said every time he drives past the 14-acre site he is reminded of the thousands of dollars he was forced to leave behind him.

“I can see my money is sitting here, you know, nobody say anything,” Romero said.

Romero said for the past 14 years his painting and drywall business has been a successful venture for his family. He said he signed on with out of state developer Dakota Partners to complete drywall and painting in the units.

According to Dakota Partners' website, the $55 million multi-phase project was said to bring 264 affordable housing options by 2024. However, 8News previously learned, contractors like Romero stopped getting paid forcing them to stop their work. All while interested residents were left waiting on when they could move in.

“They owe me around, like $355,000. Yeah, it was a lot is a lot of money,” Romero said.

According to court documents, Romero and other contractors have filed leins against the property.

A spokesperson from the developer previously told 8News, “Dakota experienced significant COVID related cost overruns and material procurement issues resulting in funding shortfalls and project delays.  We are working diligently with our sub-contractors, partners, lenders, and investor to rectify the situation.  We anticipate resolution in the near future.”

For about two years, the site has sat unfinished and vacant. While on site, 8News witnessed overgrown grass, piles of trash and boarded up doors.

“We need a resolution soon. We don't need a promise. I don't need more promises," said Romero. He continued to say, “We are small business who are owed money for this job and somebody came here and took the money away.”

For more than a year, 8News has emailed Dakota Partners to learn what the company is doing to repay contractors and possibly rebuild. In December of 2024, a spokesperson stated "we are fully committed and working diligently with our sub-contractors, partners, lenders, and investors to rectify the situation.  We anticipate resolution in the near future.” 

The company has yet to provide a hard deadline or provide updates since.

City leaders voted in December to disinvest half a million dollars from their $1,700,000 original investment amount after the project stalled.

When 8News asked the city again about what leaders are doing to get the project off the ground again and pay contractors back, a spokesperson sent the following statement:

“The City is in ongoing negotiations with community stakeholders, investors, and developers on the resumption of work at Brady Square. We look forward to announcing a more complete plan of action, to include the settling of outstanding payments for work completed, in the coming months, once contract negotiations have been finalized.”

"We need the money. My company needs the money," Romero said.