This project was made possible through the support of the Appalachian Regional Commission (ARC), a federal-state partnership dedicated to strengthening economic growth across the 205,000 square-mile Appalachian Region. Spanning from southern New York to northern Mississippi, the region includes all of West Virginia and parts of 12 other states, including Virginia, and is home to over 25 million people.
Focused on Southwest Virginia, this project supports communities historically shaped by extractive industries as they adapt to a changing energy economy. With ARC’s support, the initiative provides datadriven insights and strategic tools to help local leaders revitalize their downtowns and build more resilient, diverse economies.
THE COMMUNITIES
Communities are numbered in order of the visits. Visit order was determined by community availability and proximity when multiple communities were visited in the same trip. Communities for this pilot were selected by Virginia Main Street and are part of either the Mobilizing or Advancing tiers of the program.
PURPOSE OF THIS REPORT
The purpose of this report is to provide feedback to Friends of Southwest Virginia, the Virginia Main Street Program, and the Virginia Depart of Housing and Community Development with an overview of the activities and “lessons learned.” These suggestions are for both the ten communities who participated in this pilot and what the regional and state level partners can do to assist in other communities in Virginia.
METHODOLOGY
The methodology for each community followed a consistent approach. This approach included:
THIRD PARTY DATA ANALYSIS
Geofencing data provided the basis for the establishment of primary trade areas for each of the Main Street districts. Market data provided by Claritas and extrapolated and interpreted by Place + Main Advisors, this data gave a snapshot of the community and trade area as well as the potential retail opportunities for the district.
COMMUNITY TOUR
Understanding the context of the district and community is critical to developing a plan that takes the community’s needs into account. Locals led the team consisting of Place + Main Advisors, Friends of Southwest Virginia, Virginia Main Street, and Virginia Department of Housing and Community Development representatives on a tour of their respective communities. This helped the team understand the downtown and the community from a geospatial perspective and competing retail areas.
BOOMS TRACKER INVENTORY
Place + Main Advisors conducted a building-by-building inventory of each district. This time-consuming process allowed for a brief individual analysis of each parcel and evaluated them for key reporting statistics in the BOOMS Tracker system.
PROPERTY TOUR
Representatives from the community provided the team with access to the locallyselected properties highlighted in each plan. Owners (or representatives) of these buildings were often present, allowing for additional conversation of the specific circumstances of each property and their owner. These conversations were often enlightening for the team to understand issues like outstanding debt and other sensitive topics.
WALKING VISIONING SESSION
These public input sessions were conducted to solicit opinions from community members about what types of businesses and uses they want to see in many of the buildings that were selected.
WRAP-UP MEETING
At the conclusion of each site visit, a wrap up meeting was conducted. These wrapup meetings gave locals a “sneak peek” at much of the data to be contained in the report, a status update of the BOOMS Tracker inventory process, and initial recommendations. This meeting helped set the tone of each report and gave locals the opportunity to provide feedback on the recommendations.
RECURRING REAL ESTATE STRATEGIES
While every community was evaluated independently of one another, over the course of working with the ten communities, several strategies seemed to surface most often. This section describes these strategies and how they apply.
RECURRING REAL ESTATE STRATEGIES
Raising the Floor to Lift the Market
Across all ten communities, the most consistent barrier to attracting new businesses or moving buildings into productive use is the basic condition of the real estate itself. This creates a scenario where there is both vacancy and no readily available properties. Many buildings are structurally sound but lack the foundational systems, code compliance, or interior readiness needed for a tenant to open without significant upfront expense. When HVAC, electrical, life-safety systems, storefronts, or basic finishes are missing or outdated, landlords are forced to charge below-market rents or wait indefinitely for a tenant willing to shoulder the improvement burden. Improving baseline building readiness creates a healthier market overall, making it easier for entrepreneurs and expanding local businesses to enter the district.
Communities that elevate property maintenance standards and encourage incremental upgrades across multiple buildings begin to see a compounding effect. Even modest improvements, applied consistently, build confidence among other property owners and signal to outside investors that the district is becoming more predictable. These improvements also help align rental rates with actual market demand. When more spaces achieve a “vanilla box” condition, tenants can redirect capital toward inventory, staffing, and marketing rather than costly interior rehabilitation that creates equity for the owner but doesn’t financially serve the business beyond a usable space. This shift reduces startup risk and accelerates the rate of occupancy, which ultimately lifts the broader market.
Raising the floor does not require large-scale renovation from every owner. Instead, it calls for a coordinated effort: small grants or revolving funds, consistent code enforcement, and clear guidance on what minimal readiness looks like. This baseline approach supports a more stable leasing environment, shortens vacancy periods, and lays the foundation for higher-value investment over time.
Proactive Retail Recruitment
A recurring theme is the need to move from a passive, “open for business” stance to a proactive recruitment model. Far too often, communities wait for entrepreneurs, brokers, or external businesses to discover available spaces on their own. The most successful districts flip that approach. They maintain an updated, easy-to-access property inventory, regularly communicate available spaces to both local and regional audiences, and provide clear leasing details that help businesses evaluate opportunities quickly. When communities use market data, property flyers, and simple incentive summaries to the right people, prospects can make decisions more confidently.
Proactive recruitment also means telling a cohesive retail story. Rather than presenting isolated listings, the district
Promoting available properties using branded marketing pieces helps create value for the Main Street program and property owners.
RECURRING REAL ESTATE STRATEGIES
highlights category opportunities, market gaps, and the types of businesses that would meet real resident and visitor demand. This shifts recruitment away from “fill the vacancy” and toward “finding the right mix.” Communities that use branded outreach materials, digital recruitment campaigns, and coordinated messaging raise awareness and draw a larger pool of prospects, including those who may not have considered a downtown location previously.
Ultimately, proactive recruitment is about consistency. A community that shares new listings, celebrates openings, and communicates its strengths on a predictable schedule becomes more visible and attractive to business owners. This visibility encourages momentum, builds morale among stakeholders, and reduces the unknowns that often slow down business decisionmaking.
Translate Leakage to Targets
Retail leakage data becomes meaningful only when it is distilled into practical, easy-tounderstand targets for property owners, brokers, and entrepreneurs. All ten communities have strong leakage patterns in everyday goods and services categories, but owners often do not know how to interpret the numbers or translate them into leasing strategy. Providing bite-sized summaries, such as the top five opportunity categories for a given district, gives property owners a better understanding of which business types are most likely to be viable.
By communicating leakage insights in simple language, communities can guide discussions with prospective tenants and help property owners focus on categories that match their location, building size, and market position. This alignment ensures that recruitment efforts are realistic and grounded in actual demand rather than personal preference or guesswork. Leakage-to-target translation also helps avoid saturation in categories that are already oversupplied, a challenge highlighted in multiple reports.
Sharing these targeted opportunity lists on a regular basis creates a shared understanding among partners and reduces friction in recruitment conversations. When everyone is working from the same information, recruitment becomes more coordinated, strategic, and effective.
Historic Tax Credit Education and Deal
Support
Highlighting retail opportunity does not need to be overly complicated. This example from Homer, LA shows how this can done.
Historic tax credits are one of the most powerful tools available to downtown property owners in these communities, but the learning curve can be steep. Many owners are unfamiliar with the application process, unsure of how credits pair with other
RECURRING REAL ESTATE STRATEGIES
incentives, or intimidated by the documentation that is required. The reports consistently highlight the need for one-on-one project support, practical guidance, and access to experienced professionals who can help navigate the steps.
Providing office hours, feasibility reviews, and referral networks can be transformative. Owners who initially dismiss credits as too complex often become willing participants once the process is demystified. Toolkits, simple flowcharts, and examples of successful local projects help build confidence and demonstrate the value of using historic tax credits in both small and large rehabilitation projects. When owners understand the timing, eligible costs, and financial impact of credits, they can make more informed decisions.
Improving literacy and comfort with historic tax credits not only helps individual property owners but also strengthens the overall redevelopment environment. Increased utilization of credits leads to higher-quality restoration, more upper-floor housing, and stronger property values, which ultimately supports the long-term health of downtowns across the region.
Add Housing Where Feasible
Nearly every community shows a need for incremental new housing, particularly in and around downtown. Upper-floor residential units, small infill projects, and mixed-use conversions help stabilize districts, support retail, and create the consistent foot traffic that businesses rely on. Many buildings in the study areas have underused second floors that could be converted into apartments if feasibility, code constraints, and incentives are addressed.
Housing also plays a central role in aligning supply with local workforce patterns. By adding units that match realistic rent levels and absorption rates, communities can help retain workers, support entrepreneurs, and reduce leakage from residents living outside the district. Even small additions, such as two to six units at a time, can have outsized effects on vibrancy and spending within the downtown core.
Encouraging incremental housing requires helping property owners evaluate feasibility, understand incentives, and navigate regulatory requirements. Over time, these modest additions create a critical mass of residents who activate sidewalks, increase nighttime safety, and improve the overall economic resilience of the district.
RECURRING REAL ESTATE STRATEGIES
Better Connections to Trails and Outdoor Assets
The integration of outdoor recreation assets into downtown economic development is one of the most consistent opportunities across all of the communities. Trails, waterways, scenic routes, and outdoor attractions bring significant visitor traffic, yet many downtowns lack simple and clear connections that guide users directly into the commercial district. The reports highlight low-cost and high-impact tactics such as temporary signage, branded arrows, decals, bike racks, and small rest areas that can dramatically improve wayfinding and encourage more trail-to-town flow.
Partnership campaigns with outdoor groups and regional tourism organizations can strengthen these physical connections. When visitors see consistent branding, maps, and cues across trailheads, social media, and downtown storefronts, they are more likely to explore local shops, restaurants, and cultural experiences. These visitors bring new spending into communities that otherwise rely heavily on local purchasing power.
Over time, stronger physical and promotional connections create a more integrated outdoor economy. Downtowns become natural extensions of the trail experience, offering food, gear, services, and amenities that complement the region’s natural assets. This synergy drives repeat visitation, supports new business types, and enhances the identity of each community within the broader Southwest Virginia tourism landscape.
Entrepreneurship Pipeline
5 minute ride to the perfect slice of pizza.
You look like you need coffee. 3 minutes ahead.
8 minute bike ride to the Square.
2 minute walk to an amazing burger.
T emporary wayfinding signs can be used to direct cyclists and other pedestrians to downtown.
A strong entrepreneurship pipeline is essential for communities where local business creation is a primary source of new tenants. Many aspiring entrepreneurs in these Southwest Virginia communities need supportive steps that allow them to test concepts, build capacity, and gradually take on more responsibility. Pop-up programs, shared spaces, market stalls, seasonal storefronts, and short-term leases all lower the barrier to entry while reducing risk for both the entrepreneur and the property owner.
Several of the reports emphasize the value of step-up pathways, where a business can move from a temporary format into a longer-term lease once they have proven demand. This progression helps entrepreneurs refine their operations and gives property owners a stronger tenant with demonstrated viability. Shared spaces and co-retailing models also allow smaller stores to open in locations that might otherwise be too large or too expensive. These flexible formats create energy and activity in key nodes of the district and contribute to a more dynamic retail environment. The repeated appearance of this theme across the reports reinforces that entrepreneurship is not a fringe activity. It is a core component of downtown revitalization and should be supported with the same intentionality as recruitment and property development.
REGIONAL + STATE PARTNER SUPPORT
Based on the strategies identified in the previous section, the following are potential actions Friends of Southwest Virginia, Virginia Main Street, the Virginia Department of Housing and Community Development or other regional and state partners could implement to further assist and accelerate redevelopment in these ten communities.
REGIONAL + STATE PARTNER SUPPORT
Historic Tax Credit Training
Friends of Southwest Virginia and Virginia Main Street are uniquely positioned to close one of the most persistent gaps identified across the Real Estate Redevelopment Strategies. Property owners throughout the region consistently lack a clear understanding of how to use federal and state historic tax credits, how these programs reduce rehabilitation costs, and how syndication can bring additional capital into complex downtown projects. Without this knowledge, many otherwise viable buildings remain underused, and many owners avoid or delay improvements simply because the financial path is unclear.
A structured training program would offer a practical, accessible way to build local capacity and strengthen redevelopment outcomes. Historic tax credits can cover up to 45% of eligible rehabilitation expenses, and in many cases, syndication allows owners to bring in outside investors who provide equity in exchange for credits. When property owners understand how these tools work, how to meet program requirements, and how to structure deals, they are far more confident in moving projects forward. This confidence translates into more rehabilitation, higher-quality preservation work, and measurable economic benefits through job creation, increased assessed values, and more activity in historic downtown districts.
A regional training model would also allow Friends of Southwest Virginia and Virginia Main Street to offer consistent guidance across multiple communities. This can include introductory workshops, project-specific office hours, simple step-by-step toolkits, and connections to professionals who can help owners complete their applications. By starting with the ten Southwest Virginia communities involved in the Real Estate Redevelopment Strategy project, you can refine the model and then offer it to additional regions across the state.
Leveraging Existing Partners
Several statewide organizations are already equipped to support this type of training. They can be integrated into a collaborative program led by Friends of Southwest Virginia and Virginia Main Street:
Virginia Department of Historic Resources (DHR)
DHR administers both federal and state historic rehabilitation tax credits and provides direct guidance on application requirements, eligible expenses, and compliance standards. Their staff regularly deliver webinars and can help communities understand how to position local projects for success.
Preservation Virginia
This nonprofit offers educational workshops, resources, and collaborative programming focused on historic preservation. They frequently partner with DHR on training sessions and can help develop user-friendly materials tailored to property owners who are new to rehabilitation projects.
AIA Virginia
As the state chapter for architects, AIA Virginia offers educational sessions and webinars that explain the design, documentation, and compliance aspects of historic rehabilitation. Their perspective is valuable for property owners, municipal staff, and local design professionals who need a stronger understanding of technical requirements.
REGIONAL + STATE PARTNER SUPPORT
Small Developer Boot Camp
Virginia Main Street and the Virginia Department of Housing and Community Development are well positioned to address a major barrier identified across the ten Real Estate Redevelopment Strategy communities. Each community needs more upper-floor housing, mixed-use buildings, and mid-density infill projects, yet very few have a pool of small-scale developers who understand how to take on projects in the range of two to twenty units or storefronts. Larger developers overlook these opportunities, and many local property owners lack the confidence or experience to begin on their own. A regional Small Developer Boot Camp would directly build this missing capacity and create a pipeline of local redevelopment projects.
A program structured around the national model created by the Incremental Development Alliance would give residents, contractors, realtors, and property owners practical training on how small projects work. The Incremental Development Alliance has proven that hands-on instruction, paired with local mentoring and real project scenarios, helps ordinary community members become effective small-scale developers. Adapting this model for Southwest Virginia would help participants learn how to evaluate properties, assemble financing, understand zoning and permitting, and navigate historic preservation requirements. This approach turns potential redevelopers into active partners who can deliver projects that fit the scale and character of downtown districts.
Launching the Boot Camp as a regional initiative allows Friends of Southwest Virginia and Virginia Main Street to provide consistent training that can be delivered in multiple communities. The ten participating communities offer an ideal pilot region, and the program can be refined and expanded to other parts of the state. By partnering with the Virginia Department of Housing and Community Development, local lenders, regional planning districts, and experienced practitioners, the Boot Camp can offer instruction, site visits, project mentorship, and direct connections to available incentives. Over time, this effort will build a cohort of citizen developers who can complete small but meaningful projects that improve housing supply, activate upper floors, and strengthen the long-term resilience of downtown districts.
REGIONAL + STATE PARTNER SUPPORT
Strengthen Outdoor Economy Linkages
Friends of Southwest Virginia is uniquely positioned to lead a coordinated regional effort that connects the outdoor economy to downtown districts in a more intentional and visible way. The ten communities all benefit from significant outdoor assets such as trails, rivers, scenic routes, and public lands, yet many lack clear and simple pathways that guide recreation users into nearby commercial areas. Trail users frequently pass within a mile of a downtown without realizing what is available, or they arrive without signage, amenities, or cues that encourage them to explore local businesses. A regional outdoor economy linkage initiative would help communities convert outdoor traffic into meaningful economic activity, while also reinforcing Southwest Virginia’s identity as an integrated trail-to-town destination.
A region-wide guerrilla wayfinding program would provide communities with low-cost tools that can be deployed quickly. This can include branded arrows, decals, pole wraps, pavement markers, and temporary signs that guide cyclists, hikers, paddlers, and other outdoor users toward downtown storefronts. Alongside this, Friends of Southwest Virginia could offer a simple kit of parts that includes specifications for bike racks, small repair stations, water bottle filling spots, rest areas, and printed maps that highlight food, retail, and lodging options. Providing mini-grants for installation would allow communities to implement improvements with minimal delay while maintaining consistent branding across the region. These low-cost interventions have proven effectiveness in other trail-oriented regions and offer immediate visibility with very little administrative burden.
Launching this initiative at the regional level ensures that signage, branding, and messaging are aligned across multiple communities, which reinforces the idea that Southwest Virginia’s outdoor assets are part of a connected network rather than isolated destinations. Friends of Southwest Virginia can also coordinate promotional campaigns with local tourism offices, trail partners, and outdoor organizations to showcase trail-to-town experiences through maps, social media, and event tie-ins. This coordinated approach helps trail users understand where amenities are located, encourages longer visits, and increases spending in downtown districts. The region already has a strong reputation for outdoor recreation. Strengthening these linkages will help translate that reputation into sustained economic benefits for communities of all sizes.
REGIONAL + STATE PARTNER SUPPORT
Business + Developer Recruitment Tools
Virginia Main Street is in a strong position to elevate business and developer recruitment across the Southwest Virginia communities by creating a unified, state-level set of tools that each locality can customize with its own branding. The ten Real Estate Redevelopment Strategies highlight a common challenge. Communities often rely on ad hoc property listings, inconsistent marketing collateral, and uneven communication of incentives or available redevelopment opportunities. This inconsistency makes it harder for entrepreneurs and developers to understand local markets and can slow down the prospecting process. A centrally developed toolkit, branded to Virginia Main Street and adapted locally, would give communities a clear framework for presenting their strongest opportunities with confidence and clarity.
A statewide template package should include professionally designed property flyers, market snapshots, redevelopment opportunity sheets, business recruitment one-pagers, and incentive summaries. Each item can be produced with a standard layout and structure that reflects Virginia Main Street brand guidelines, while allowing each locality to insert its own colors, photos, logos, and community-specific content. The templates should incorporate the recurring market insights from the Real Estate Redevelopment Strategies, such as demand for casual dining, specialty food, home goods, outdoor recreation retail, apparel, and small grocery options. With these templates in hand, local programs can respond quickly to prospects and present information that is both accurate and visually strong.
A key addition to this effort is helping localities prepare Request for Qualification (RFQ) packages for priority redevelopment sites. Many communities have not created RFQs before or are unsure how to structure them in a way that attracts qualified developers. Virginia Main Street can create a statewide RFQ template that includes site information, redevelopment goals, market justification, incentive options, evaluation criteria, and submission instructions. Communities can then adapt the template to their local context while maintaining a consistent and professional standard. Friends of Southwest Virginia and regional partners can assist by identifying priority sites and helping compile the property information needed to complete the packages.
By providing these tools at the state level, Virginia Main Street ensures that every local program, regardless of size or staffing capacity, can present a polished and market-driven recruitment strategy. These resources can be deployed first in the ten Southwest Virginia communities and then expanded statewide, giving all Main Street communities the ability to promote opportunities, engage prospects, and advance redevelopment efforts with greater effectiveness and consistency.
REGIONAL + STATE PARTNER SUPPORT
Entrepreneurship Pipeline Support
Virginia Main Street, Friends of Southwest Virginia, or the Virginia Department of Housing and Community Development can significantly strengthen the region’s entrepreneurship ecosystem by launching a coordinated pop-up and storefront readiness program in partnership with the Southwest Virginia Small Business Development Centers. Many aspiring entrepreneurs want to start or test business concepts, yet they face barriers related to cost, risk, and limited experience operating a physical storefront. Property owners are often hesitant to explore flexible lease options because they lack a clear framework for short-term agreements. A regional program, supported by SBDC counseling and technical assistance, would provide structure, reduce risk, and give communities a reliable way to activate vacant storefronts.
The program would include micro-grants, short-term license agreements, and storefront coaching that help entrepreneurs launch pilot concepts with minimal upfront investment. Micro-grants can offset early costs such as inventory, insurance, basic equipment, and interior adjustments that prepare a space for immediate use. Short licenses give property owners confidence by setting clear terms and responsibilities. Coaching sessions provided jointly by local Main Street staff, Friends of Southwest Virginia partners, and SBDC advisors would guide participants through essential topics such as customer service, point-of-sale systems, business planning, financial forecasting, merchandising, and day-to-day operations. This blend of financial support and professional guidance reduces uncertainty for new entrepreneurs and creates a practical on-ramp for long-term business ownership.
To further support success, the initiative should include subsidized design assistance for branding, signage, storefront layout, fixtures, and merchandising. The Redevelopment Strategies repeatedly highlight the need for stronger visual presentation and actionable quickopen checklists that help businesses launch quickly and confidently. Providing design support ensures new pop-up tenants have a professional appearance from the start. This improves the visual appeal of downtown districts and encourages property owners to adopt more flexible step-up leasing models that transition from short-term licenses to longer commitments as businesses grow.
By coordinating this program at the regional or state level, Virginia Main Street, Friends of Southwest Virginia, or DHCD can supply communities with templates, marketing materials, grant guidelines, and standard license agreements that maintain consistency while allowing local branding. The inclusion of Southwest Virginia SBDCs ensures that every entrepreneur receives high quality business counseling and follow-up support, increasing the likelihood that strong pop-up concepts will become permanent establishments. Piloting the program in the ten Southwest Virginia communities and expanding it statewide would help build a dependable pipeline of new businesses, fill vacant storefronts, and create ongoing momentum for downtown revitalization across Virginia.
