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Fort Monroe Authority exec director to retire

G. Glenn Oder is retiring as executive director of the Fort Monroe Authority in October, the authority announced Friday.

Oder has led the FMA for the past 12 years after leaving the General Assembly, where he served as a state delegate from 2002 to 2012, representing the 94th District in the House of Delegates.

“On behalf of the Youngkin administration, I express our sincere appreciation to former Del. Oder for his decades of exemplary public service, especially at historic Old Point Comfort, present-day Fort Monroe,” Caren Merrick, secretary of commerce and trade, said in a statement. “The administration is committed to supporting the FMA search process and continuing our support for the commonwealth’s responsibility at Fort Monroe.”

Oder oversaw Fort Monroe when the U.S. Army transitioned the former base to the state to be redeveloped. The FMA is responsible for the stewardship, preservation and development of the National Historic Landmark. Under his leadership, long-range projects got underway, including real estate investment, utility upgrades and the African Landing Memorial, which commemorates the first Africans in North America who were brought to Point Comfort in 1619 at Fort Monroe. Oder led the charge in recognizing Old Point Comfort’s historical significance and bring attention to it.

“The Fort Monroe Authority is grateful for the leadership of Glenn Oder for over 12 years. His dedication and vision have been instrumental in preserving the legacy of Fort Monroe for future generations,” FMA Chairman Jim Moran said in a statement.

Oder worked with four governors, three mayors and many National Park Service superintendents all while expanding Fort Monroe’s scope. The FMA now oversees and owns the historic Casemate Museum, a $9 million visitor and education center and has received national attention for being a “Site of Memory” on the United Nations Educational, Scientific and Cultural Organization (UNESCO) Slave Route Labor Project.

The Old Point Comfort Marina was going to be redeveloped by Smithfield-based hospitality management company Pack Brothers Hospitality to build a marina, renovate two existing historic buildings into conference space and a restaurant hotel over the water, but that has been put on hold indefinitely, as of January.

With Oder’s departure, the executive director role will be retitled to chief executive officer, effective July 1.

Israeli defense giant launches Herndon aerospace accelerator

Herndon will soon have something in common with Tel Aviv — an aerospace accelerator and innovation center run by Israeli state-owned aerospace and defense company Israel Aerospace Industries, which helped design Israel’s Iron Dome missile defense system.

IAI and IAI North America, its Herndon-based U.S. government contracting subsidiary, in cooperation with California- and Washington, D.C.-based Starburst Aerospace, a global startup accelerator and strategic advisory firm, are launching an accelerator and innovation center called IAI Catalyst.

IAI has an innovation center in Tel Aviv supporting Israeli startups. Starburst, which consults for NASA and NATO, has run similar programs in the United States and Europe, but this is the first time Starburst is partnering with IAI and IAI North America to run an accelerator. IAI has about 15,000 employees, about half of whom are engineers.

IAI Catalyst has recruited the first cohort of startups for its inaugural five-month accelerator program, supporting early-stage startups focused on sectors including artificial intelligence and autonomy; quantum science; sustainability and energy; and space tech.

Applications for the first cohort — one of two planned for the year — closed in March, and four to six participating companies are expected to be announced in April. The spring program is expected to start the same month, with a demo day planned for September. The Herndon accelerator is open to companies nationwide.

“Our job will be to open all the doors for the startups, not just with IAI, but everybody that they can provide value to,” says Noemie Alliel, Starburst’s managing director for Israel.

Over five months, the cohort will attend three in-person, weeklong gatherings; at the beginning, midway and during the final week, when the companies will pitch in front of stakeholders. The rest of the program will be virtual.

Each selected company receives a $100,000 investment in exchange for equity, and another $100,000 worth of in-kind benefits such as access to IAI and Starburst’s networks of clients and partners, mentoring from industry experts, access to technology and free office space.

Innovation is a key focus at IAI, which feels it’s important to stay relevant and competitive in the marketplace, Alliel says, which is why it wants to work with startups.

“It will be like win-win opportunities for both IAI and startups to work hand-in-hand,” she says.  

Baltimore bridge collapse will drive ships to Port of Va.

After a container ship struck the Francis Scott Key Bridge in Baltimore early Tuesday, causing the bridge to collapse and possibly claiming multiple lives, ships bound for the Port of Baltimore will be diverted to other ports, primarily the Port of Virginia and the Port of New York and New Jersey.

The Virginia Port Authority, which oversees the Port of Virginia, issued a statement Tuesday morning, saying that the container vessel that hit the Key Bridge at approximately 1:30 a.m. Tuesday, called at Virginia International Gateway’s terminal and left March 22 for Baltimore, its next scheduled port of call.

“Our operating team is already working with ocean carriers whose vessels were due to call Baltimore and offering the capability of our port to discharge cargoes as requested,” Port of Virginia spokesman Joe Harris said in a statement. “The Port of Virginia has a significant amount of experience in handling surges of import and export cargo and is ready to provide whatever assistance we can to the team at the Port of Baltimore.”

Danish shipping company Maersk confirmed in an email that it chartered the Dali container vessel — owned by Grace Ocean and operated by Synergy Group — that collided with the Key Bridge. As of 10 a.m. Tuesday, six people who were repairing the bridge at the time of the collision were unaccounted for, according to The Washington Post.

Maryland Gov. Wes Moore said the ship lost power and issued a mayday call shortly before crashing into the bridge, which immediately fell, the Post reported. The ship was traveling at eight knots at the time of the collision, Moore told reporters.

According to an email Tuesday from Rachel Shames, vice president of pricing and procurement for CV International, a Norfolk-based international logistics and transportation company, the collision is expected to create a temporary increase in cargo volume at other East Coast ports, including Norfolk’s terminals.

“The full impacts of this disaster are not yet known, but it’s likely that nearby East Coast ports, including Norfolk, Philadelphia, New York and others will absorb cargo traffic from Baltimore in the short term,” she wrote. “This sudden increase in volume may strain operations at other ports.”

All vessel traffic in and out of Baltimore’s port has been suspended until further notice, Maryland’s transportation secretary announced Tuesday morning, though the port is still open and trucks are being processed within marine terminals.

Maersk sent its customers an email notifying them of the collision and said that due to the bridge collapse, ships will not be able to reach the Baltimore port “for the time being. In line with this, we are omitting Baltimore on all our services for the foreseeable future, until it is deemed safe for passage through this area. For cargo already on water, we … will discharge cargo set for Baltimore in nearby ports. … Delays may occur, as they will need to discharge in other ports.”

“I think there is definitely a concern that we will see some congestion on the East Coast now, because other ports are having to absorb traffic,” Shames said later in an interview with Virginia Business.

She said that the impact of the port’s temporary closing “could end up rippling down to Wilmington, [North Carolina], Charleston [South Carolina] and Savannah, [Georgia],” although, she noted, “Norfolk is probably the most practical place to absorb most of the capacity. You want to keep the cargo that was supposed to go to Baltimore…as close as possible to Baltimore.”

Shames also noted that Baltimore’s port is the top U.S. port for the import and export of automobiles, light trucks, wheeled farm vehicles and construction machinery, which often move on specialized vessels and not in containers.

The Port of Virginia’s Newport News Marine Terminal has facilities that accommodate vehicles, including ramps that allow workers to load and unload rail cars and ships, but not on Baltimore’s scale, Shames said. “There is capacity at [Newport News Marine Terminal] … but not a lot, nothing like what Baltimore can do. It will not be as simple as just shifting. Unfortunately, I think we are going to be looking at congestion, and I just don’t know how long. That can mean delays for cargo [and] probably extra costs. It’s a ripple, a domino effect.”
Wider channels

Earlier this month, widening of the Port of Virginia’s shipping channel was completed, allowing two ultra-large container vessels to pass at the same time. The shipping channels are now up to 1,400 feet wide in some areas, although the completed deepening of the commercial shipping channel and the Norfolk Harbor to 55 feet and the ocean approach, set to be 59 feet deep, has been delayed until fall 2025, the port announced.

David H. Sump, a Norfolk-based maritime attorney with Willcox Savage and a former Coast Guard officer, says it’s too soon to tell what exactly happened to the ship in Baltimore, but after he watched a video of the collision, he noted, “This vessel appeared to lose power. It appeared to go dark for about a minute,” shortly before crashing into the bridge. If there were a power outage on the ship, “you don’t have control of the vessel during that time. It’s floating. The momentum of the vessel was proceeding, [and] there may not have been anything the pilots could have done.”

The Dali, with 22 crew members on board, had made its scheduled import deliveries to U.S. ports and was likely heading back to Asia when the collision occurred. No Maersk crew and personnel were on board the vessel, according to an email from Maersk to customers.

Sump and fellow maritime attorney Deborah Waters of the Norfolk-based Waters Law Firm note that large container ships in Maryland and Virginia are required to have local ship pilots on board when the vessels are moving in and out of rivers, bays or harbors — basically guiding them safely past structures such as bridges or other ships. “Pilots are the expert navigators of the local waters,” Sump said.

Local pilots often require five years of training in Virginia to be licensed to navigate vessels in tighter quarters. Sump acknowledges that ultra-large container vessels stopping at the Port of Virginia’s major terminals — the Norfolk International Terminals and Virginia International Gateway — do not go near or through bridges like the Key Bridge in Baltimore, although ships moving up the James River to the Richmond Maritime Terminal would encounter bridges.

Frank Rabena, vice president of the Virginia Pilot Association, told Virginia Business that this improvement and the port’s other recent infrastructure changes allow the port to assist in a situation like this. “The Port of Virginia is already prepared,” he said. “We are already in that position to handle pretty much any ship that comes our way.”

In terms of local impact, Rabena said, it’s too soon to tell what will happen.

“We’re not sure how shipping companies would reroute cargo,” he said. “That will unfold in the next couple of days.”

In 2022, the Port of Virginia processed more than 3.7 million 20-foot-equivalent units at its terminals, and cargo tonnage was up 11% from 2021. For fiscal 2022, the port generated $124.1 billion in output sales, $41.4 billion in Virginia labor income and $5.8 billion in state and local taxes and fees.

David White, executive director of the Virginia Maritime Association, said he’s already had some members reach out to offer assistance, but it’s going to take a little while to understand how the industry can best help. “It’s going to be a prolonged incident,” he told Virginia Business.
“Right now, it’s just so early, everyone’s minds are focused on the search and rescue,” he added. “We stand by as needs are identified to facilitate the capabilities our member companies have. … It’s just still too early, but we are ready, as those needs are identified, to reach out to our members [and] to get information to our members, so they know how they can … support our maritime friends in Baltimore.”

HHHunt starts work on 2,200-home development in Midlothian

Construction has started on a new master-planned community in Chesterfield County’s Midlothian area that will bring hundreds of single-family homes, town houses, apartments and commercial space.

Glen Allen-based developer HHHunt and real estate investment firm GrayCo are developing The Aire at Westchester. The 334-acre tract is at Route 288 and Midlothian Turnpike on the western edge of the Westchester Commons shopping district.

GrayCo is the landowner and HHHunt is the managing partner for the master-planned community, which has been in the works for years. Construction is underway on the first phase of the project, which will include 196 condos and 204 town houses, said Jonathan Ridout, vice president of real estate development and general manager of HHHunt Communities. The commercial areas are in the preliminary design phase, and HHHunt is working on deals with commercial retailers.

Site development could take 12 to 18 months and vertical construction would start in about 18 months. The town houses and condos could be ready in about two years, Ridout says. The commercial space could come online independently, he said, with around 180,000 square feet of commercial space, including office space and restaurants. There is a lot of flexibility in the zoning, he said, to adapt plans to market conditions.

A greenway will bisect the different parcels of land, and the development will include parks and trails.

In total, the development is expected to have about 2,200 residences, including 330 single-family homes on the back portion of the property, but the timing on that piece of the project is flexible, Ridout said.

“We want to create something that resembles a lifestyle center,” he said.
The zoning also allows a hotel, and there’s a possibility for 50,000 to 60,000 square feet of office space.
“Midlothian is one of the most desirable parts of Chesterfield County,” Ridout said. “This becomes a real hub where you can have higher density, different uses, people — it can be an attractive project.”
The project has been in planning for years, with GrayCo hiring David Smith of Cushman & Wakefield | Thalhimer to identify a development partner. Smith started working with GrayCo in October 2017, HHHunt came on in about 2020, and the land was rezoned in 2021.

Pembroke Square starts phase 2 of mall redevelopment

Pembroke Square will begin the next phase of demolition Monday on the former Pembroke Mall in Virginia Beach, as part of a $200 million mixed-use redevelopment project.

The roof and columns of the mall’s structure will be removed at the northeast entrance, north of Kohl’s on the Constitution Drive side of the former mall. A portion of the mall’s interior was already been demolished in preparation for the next phases of development.

“Over the last several months, we have been doing selective demolition inside, basically scraping out the contents of the area we will be demolishing,” said Ramsay Smith, asset manager for Pembroke Square Associates and president of Pembroke Realty Group. “It doesn’t look like we’re making progress, but in fact, we are.”
What begins Monday is the demolition of the actual structure itself.

A senior living community that’s part of the redevelopment, Aviva Pembroke, at the corner of Jeanne Street and Constitution Drive, is under construction with plans to open this October. Aviva Pembroke will be seven stories with 153 units. It is expected to have 121 independent units, 20 assisted living units and a dozen memory care units. The building has been topped out, and the company is sequencing exterior finishes right now, Smith said.

The second phase of the redevelopment project will include a Tempo by Hilton hotel in partnership with The Landmark Group that will open in 2025. Plans for the hotel were scaled back to seven stories last year and it’ss under a full redesign, Smith said. Developers reconsidered the hotel plans after interest rates shot up and construction costs escalated. Smith said ground could break on the hotel possibly in December, but more likely in the first quarter of next year. It will have 163 rooms and take 22 to 24 months to build.

There’s also a residential portion of the project, and like the hotel, the plans for that apartment building have been scaled down from 12 stories to seven stories. Predevelopment work is being completed before developers finish a new design. Development of the apartments is running about six months behind schedule, Smith said, and a groundbreaking is likely to take place in mid-2025, with a 22- to 24-month schedule for construction. The yet-to-be-named building will have 272 apartments and an adjacent parking garage with 611 spaces, instead of being located under the building as originally planned.

Another area of the property could handle an office tower, Smith said, but plans for that are on hold amid a decline in office demand, so it would need to be a build-to-suit opportunity.

Pembroke Square Associates first announced plans for the redevelopment of the aging mall’s 54 acres in November 2021. Groundbreaking for its first phase took place in December 2022.

Va. Beach economic developer to lead Va. Beach Vision

Laura Hayes Chalk is leaving Virginia Beach’s economic development department to become the executive director of Virginia Beach Vision, a business advocacy group in Virginia Beach, Virginia Beach Vision announced Tuesday.

Chalk, who will start July 10, succeeds Martha McClees, who announced her retirement in November 2023.

Virginia Beach’s deputy director of economic development, Chalk joined the city in July 2019. Prior to that, she spent about seven years working for the Hampton Roads Alliance.

The executive director of VBV serves as the organization’s chief executive and works with its 130-member board of directors, which is comprised of business executives. Virginia Beach Vision focuses on seven areas: business development, comprehensive plan, crisis recovery, flood resiliency, member development, resort development and sustainability.

“Laura’s extensive experience in economic development and her deep commitment to the Hampton Roads region and in particular the city of Virginia Beach, makes her the perfect choice to lead Virginia Beach Vision into its next chapter,” Virginia Wesleyan University President Scott Miller, president of Virginia Beach Visions’ board of directors, said in a statement. “Her innovative approach and passion for community engagement are exactly what we need to drive our mission forward.”

A Williamsburg native, Chalk earned her bachelor’s degree from Roanoke College and a master’s from Old Dominion University.

 

Tucker Door & Trim enters Va. with $10M Henrico plant

Tucker Door & Trim, a Georgia-based distributor and manufacturer of doors, windows and specialty millwork for the construction industry, will soon open its first facility in Virginia, creating 50 jobs, Gov. Glenn Youngkin announced Wednesday.

Tucker Door & Trim will invest $10 million in a Henrico County manufacturing and assembly facility for fiberboard and fiberglass doors and windows, aimed at increasing production for clients in the Northeastern United States, according to a news release. The Henrico facility, which plans to open April 1, is at 2700 Distribution Drive.

Founded in 1967, Tucker Door & Trim has two existing facilities in Georgia serving wholesale customers throughout the Southeast.

“Our mission to become the premier choice for windows and doors, and our growth plans made Virginia an ideal location for us,” said Phil Odom, president of Tucker Door & Trim, in a statement. “This new location will offer us an unrivaled opportunity to serve new customers, grow and develop our team and actively participate in our communities.”

The Virginia Economic Development Partnership worked with the Henrico Economic Development Authority and the Greater Richmond Partnership to secure the project for Virginia, which competed with Georgia for the project.

 

McLean AI health care startup raises $111M in Series A funding

McLean-based Zephyr AI has raised $111 million in a Series A funding round, the health care technology startup announced March 13.

The round included participation from about 30 investors, including Revolution Growth, Eli Lilly & Co., Jeff Skoll, and Epiq Capital Group, according to a news release and a Securities and Exchange Commission filing from the company. The raise started in October 2023.

Founded in 2020, Zephyr AI is leveraging artificial intelligence algorithms and tools to develop products and solutions supporting patients and providers and fueling research in the areas of oncology and cardiometabolic disease.

“The U.S. has the highest rate of avoidable cancer and cardiometabolic-related deaths among any high-income country. We must do better,” Grant Verstandig, Zephyr AI’s cofounder and executive chairman, said in a statement. “At Zephyr AI, we are harnessing the power of AI to extract novel insights to better define patient stratification and response predictions as well as improve federation of real-world data. With our world-class team, and the support of this investor group, we are deploying one of the largest clinicogenomic [clinical genomic] datasets that has unprecedented breadth across disease states and data partners. Collectively, we are now well-positioned to support our mission of democratizing precision medicine, enhancing both the speed and success of clinical trials.”

The funds raised will enable Zephyr AI to increase its analytical speed and fortify its training and validation sets, as well as support expansion of the company’s scientific and commercial teams to expedite delivery to the market.

The startup had two abstracts accepted for publication at the American Association for Cancer Research annual meeting in April in San Diego.

“We are excited to be part of this growing ecosystem of AI-enabled drug development and welcome the opportunity to attend [the annual meeting], where we will engage with the scientific community and present some of our emerging scientific insights from our platform,” Jeff Sherman, Zephyr AI co-founder, interim CEO and chief technology officer, said in a statement.

In March 2022, Zephyr AI raised $18.5 million in a seed round.

Virginia Tech announces new CFO

Virginia Tech has hired Simon Allen as its chief financial officer and vice president for finance, the university announced Monday.

Allen is currently vice president for finance and CFO of the Ithaca campus of Cornell University. In his new role, which he’ll start May 6, Allen will report to Virginia Tech Executive Vice President and Chief Operating Officer Amy Sebring. Ken Miller, who had served as Virginia Tech’s vice president for finance since 2020, announced his retirement in September 2023. He had worked for the university for 35 years.

Allen will support the teaching, research and outreach missions of Virginia Tech, become a member of the President’s Council and hold direct responsibility for oversight and management of the university’s key financial operations, including budget and financial planning, capital financing, financial reporting, treasury management, accounting, the university bursar, insurance, payroll, travel, procurement and tax, according to a news release.

“Throughout his career in both the private sector and in higher education, Simon has demonstrated his ability to bring stakeholders together to solve complex problems in ways that are mission-driven and people focused,” Sebring said in a statement. “Simon’s financial expertise and collaborative leadership style will enable Virginia Tech to continue elevating our financial services in support of the university’s strategic objectives and build upon Virginia Tech’s track record of strong financial management and positioning.”

Allen spent about 5 1/2 years at Cornell, where he oversaw an annual operating budget of about $6 billion, net assets of $14 billion, a debt portfolio of $1.9 billion and $1 billion in capital assets, while providing oversight support for Cornell’s three campuses in Ithaca, New York, and New York City. Before he worked for Cornell, Allen worked in finance, as U.S. managing editor of real estate private equity for European asset management firm Amundi Asset Management.

Allen earned his MBA with concentrations in finance and economics from the University of Warwick, in Coventry, United Kingdom, a master’s degree in environmental management from Duke University and a bachelor’s degree in urban estate management from the University of Westminster in London.

Noblis names new CIO

Reston-based Noblis will appoint Mark Lay as its vice president and chief information officer, the not-for-profit federal contractor announced Wednesday.

Lay will take the place of Gail Hogan, who announced her retirement in December 2023 and whose last day is expected to be April 5. He will report to Gary Sladic, Noblis’ chief financial officer, and will become a member of Noblis’ executive council. He joined the company in 2005 and has been serving as deputy CIO. In that role, he twice won the president’s award for outstanding contributions to Noblis’ corporate mission, according to a news release.

“As a science and technology organization that helps advance national security interests, continuing to deliver the most secure and resilient infrastructure and innovative services to our customers and colleagues is paramount,” Mile Corrigan, Noblis’ president and CEO, said in a statement. “The selection committee and I are confident that Mark’s combined institutional, technical and leadership skills; ability to translate technical research initiatives to deliver value to our customers; and overall business acumen position him well for this critical role.”

Lay earned his bachelor’s degree in computer science from the University of Virginia School of Engineering and Applied Sciences.

Noblis is a not-for-profit corporation that delivers technical and advisory strategies and solutions to federal government clients. It spun off from Mitre’s Center for Advanced Aviation System Development in 1996.