Modular housing manufacturer to hire 89 in Southwest Virginia

A modular housing production facility that will also provide construction workforce training will soon come to Russell County, where it is anticipated to create 89 jobs within five years.

The project, announced Wednesday, is supported in part by a $3 million loan from the Virginia Coalfield Economic Development Authority (VCEDA) to the Russell County Industrial Development Authority, the county’s primary economic development organization. The money will be used to purchase and renovate the former 92,000-square-foot Buster Brown Building in the Russell County Industrial Park.

Abingdon-based nonprofit Appalachian Highlands Housing Partners, a subsidiary of the Wellspring Foundation of Southwest Virginia, formed in 2024, has been working with the IDA on the project. Wellspring identified workforce housing as one of the greatest needs in its service area — Washington, Grayson, Russell and Smyth counties. It created AHHP to provide housing for those earning between 80% and 120% of the area median income.

AHHP determined there was a need to manufacture modular housing, which is built in component parts and then brought to a home site and placed on a permanent foundation. It also recognized that laborers were needed to work in the facility and that a workforce development component was required.

“This initiative not only delivers high-quality, cost-effective homes for our community but also equips local workers with in-demand skills in modern construction techniques, creating lasting economic and social impact,” said Mayana Rice, AHHP director, in a statement.

AHHP and the IDA did not provide a timeline for when the repurposed facility would open and did not immediately respond to requests for comment. The facility aims to produce at least 260 modular units in its first year and expand to 300–400 annually as the workforce grows.

Homes will be marketed throughout the region through partnerships with housing agencies and other advertising strategies. The homes will be available throughout the entire VCEDA region, which includes Buchanan, Dickenson, Lee, Russell, Scott, Tazewell and Wise counties and the city of Norton.

“Russell County IDA is excited about the new facility and the workforce training that it will provide for the region,” said Russell County IDA Director Ernie McFaddin in a statement. “Not only will this project assist with workforce training, it will also help alleviate the workforce housing shortage for the region.”

VCEDA was created by the Virginia General Assembly in 1988 to enhance and diversify Southwest Virginia’s economy and to help create jobs.