Charlottesville’s only homeless shelter for elderly and seriously ill people is about to close, but construction of the housing that will go up in its place has been postponed

Charlottesville Tomorrow: A plan by local nonprofits to transform an old motel into 140 apartments for some of the area’s poorest people has been delayed by at least a year. The problem is the groups are short $3.6 million.

About two years ago, in late 2020, five area nonprofit organizations embarked on this project, called Premier Circle. With the help of a $4.25 million recoverable grant (which is a grant that is repaid) from the Charlottesville Area Community Foundation, the local housing nonprofit Piedmont Housing Alliance purchased the run-down Red Carpet Inn for $4.3 million. As each phase of the project is completed, a portion of the funds will be returned to CACF to pay back the grant.

The plan was to first run a temporary emergency shelter on the site for people who are elderly or have serious medical conditions, which would close when construction on 140 apartments began. The first phase of the plan went well — even better than the partners could have hoped. Many of the guests who came through the shelter are now housed.

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