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Dollar Tree CEO Dreiling steps down, citing health

Rick Dreiling stepped down Sunday as and board chairman of -based , effective immediately, the Fortune 500 discount retailer announced Monday.

Michael C. Creedon Jr., Dollar Tree’s chief operating officer since 2022, was named interim CEO. He previously held executive positions at Advance Auto Parts. Edward “Ned” Kelly III, the board’s lead independent director, has been named chairman of Dollar Tree’s board. Kelly is the retired chairman of Citigroup’s Institutional Clients Group.

“With my health presenting some new challenges over the past two months, the time is right for me to step away and focus on myself and my family,” Dreiling said in a statement Monday. “I have been honored to serve the customers and associates of Dollar Tree and Family Dollar since 2022. Having worked side by side with Mike, I am confident in his strong leadership, deep passion for our business and ability to create value.”

Dreiling came aboard as CEO in 2022, having served on Dollar Tree’s board and previously been CEO of competitor Dollar General from 2008 to 2015. The past year has held challenges for the chain, which saw a $1.7 billion loss in the fourth quarter of fiscal 2023, but numbers improved by the second quarter of 2024, reported in early September. Consolidated net sales increased 0.7% to $7.37 billion that quarter, compared to the second quarter of 2023.

“The entire Dollar Tree team is grateful to have worked so closely with Rick. Looking forward, we are well-prepared to help both banners reach their fullest potential,” Creedon said Monday. “We are excited about our current trajectory and are focused on delivering a successful holiday season. We will continue accelerating growth at Dollar Tree, and we remain focused on identifying the best path forward for Family Dollar.”

According to Monday’s , Dollar Tree is still planning to complete a formal review of the Family Dollar segment of the business, which could include a potential sale or spin-off of the business. Third quarter 2024 financial results will be announced Dec. 4.

Introducing Movers and Shakers

Business is pleased to introduce our new Movers and Shakers feature that will allow Virginia businesses and organizations to announce your new employees, promotions, board positions, community notes and leaders to our influential audience.

Our editorial team will continue to report on the Virginia business community as we always have, but we are not able to report on every . allows for a seamless submission of company announcements, offering options that best fit your needs and helps ensure we can publish these promptly in both our online and print editions.

Movers and Shakers features two types of submissions: a standard format that allows for a short with a standard photo in print and online; or a featured announcement that allows for a large photo and greatly expanded presentation, both in print and online. Both formats require the submission of a photo or logo. And you’ll be able to easily share the online published announcement on your favorite social media platform.

There will be charges for these announcements, which can be handled via the online submission form.

Virginia Business also offers various multimedia options beyond Movers and Shakers, including print, co-branded emails, native content and more.

We hope our new format is convenient for you and provides the options you need to announce your organization’s latest news. If you have any suggestions for us, please feel free to reach out to Virginia Business Editor Richard Foster at [email protected].

Nicole Parnell | BDO USA

BDO USA has named Nicole Parnell a Principal in the firm’s Tax practice. Parnell focuses on Retirement Income Security Act (ERISA) consulting and qualified retirement plans compliance. With 26 years’ experience, she has served clients across a variety of industries, including professional services, healthcare and government contracting. Find Nicole on LinkedIn by clicking here.

Announce your new employees, promotions, board positions, community notes and leaders in your organization to our influential audience. The information in the Professional Announcements section is provided by the submitter.

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NoVa developer won’t pull plans for Pittsylvania power plant, data centers

Despite vocal public opposition, developer Irfan Ali of Herndon-based company says he’s still moving forward with seeking local government approval for a power plant and campus he wants to build on 2,233 acres in the Banister district of . 

County residents turned out in large numbers for two public meetings about the project this week to voice their opposition, according to news reports. Concerns expressed included property values, burial grounds on the land and altering the area’s rural beauty. 

Balico doesn’t have the necessary votes from members of the Pittsylvania County Board of Supervisors to approve rezoning the land for the project, according to board Vice Chair Robert Tucker. 

Even so, Ali told Business Friday that the project isn’t dead: “I just want folks to know that I’m not going away.”

The Pittsylvania County Planning Commission is set to consider rezoning approvals for the land selected for the Balico project Nov. 7. After members of the commission decide whether to recommend the project, its fate will be decided by the county supervisors at a future meeting.

The fact that the political will for the project is not there, Tucker said to Virginia Business Friday, “should have been enough to have [Ali] to withdraw his permitting application.”

The current proposal calls for building up to 84 data center buildings and a power plant in a rural area along Chalk Level Road. The project would generate about 700 jobs, said Ali, adding that he selected the site to tap into the Mountain Valley Pipeline, a 303-mile natural gas pipeline that runs to Chatham, to supply the project’s proposed 3,500-megawatt gas power plant.

While he has lived in Virginia for four decades, Ali is a native of Pakistan, which has been noted by some who oppose the project. “I understand these are foreigners.  Come [on] people smarten up,” one person posted to Facebook.

Ali has spent much of his career working with other companies to develop independent power generation projects “both here and overseas … both on the finance side as well as on the permitting and entitlement side,” he explained.

His first attempted project with Balico was a natural gas power plant planned for Charles City, but that failed due to regulatory issues.

While Ali plans to move forward with Thursday’s hearing, he said he is willing to consider proposing a smaller data center and power plant. “I may adjust the project size and scope, but beyond that, my intent is to continue developing a project in Pennsylvania County,” he said.

A smaller project would also be a no-go for Tucker, however. “Based on everything that we’ve experienced with this particular investor and the community reaction, I don’t think that I’m going to support that,” he said. “I can’t speak for the other supervisors, but I don’t think the support is there.”

On Wednesday, Supervisor Vic Ingram posted on his Facebook page that he would not support the Balico project. Ingram said Friday that he understands the proper procedure is to wait for the planning commission members to make their recommendation, and “I sort of jumped out of line, and I’ve apologized to some people for that,” Ingram said. “But I just wanted to save … some time and energy and trouble, headache {for the] business there by saying, ‘I’m not going to support this, and … I’m not backing down.’”

On Thursday, Nathan Harker, a member of the planning commission wrote on his Facebook page that the “reason for the the planning commission’s hearing as well as the [board of supervisors] hearing is to allow for both petitioners and citizens to make their case.” He added,  “As a civilized society, we must hash these things out in the open, on the record.” Harker could not be reached for further comment Friday.

The proposed data center and power plant could deliver a minimum of $120 million per year in tax revenue to Pittsylvania once it is built out, a process that could take between eight and nine years, according to Ali, who points out that ‘s data center in Boydton has had a positive economic impact on .

“ and progress happens,” he said. “You can’t just stop it entirely.”

In July. Pittsylvania County’s board of supervisors unanimously approved heavy industrial rezoning for Anchorstone Advisors SOVA ‘s plans to build a potential $1 billion-plus data center campus on a 946-acre tract in Ringgold.

The difference with that project, Ingram noted, is that it’s planned for a “more industrial” part of town near U.S. Route 58. “I support that,” he said “but putting one in the middle of a rural agricultural community, I’m just not in favor of that.”

Tucker said that the Anchorstone Advisors’ project is smaller, but that’s not the only difference. “The overall logistics,” he said, “are pretty much different.”

 

Carpenter notches acquisition No. 3 with Casper buy

Richmond-based international producer  has acquired omnichannel bedding brand Sleep.

Under the agreement, Casper will operate as a subsidiary of Carpenter.

This marks the third Carpenter has made in the past 16 months. In November 2023, Carpenter acquired North Carolina-based NCFI Polyurethanes. That deal followed the company’s closing in June 2023 on its $492 million acquisition of Belgium-based Recticel N.V.’s engineered foam division.

Carpenter and Casper have had a significant supply agreement for more than a year, and the industry rumor mill has been busy saying the foam producer would likely acquire the mattress brand.

Carpenter said it will “assist Casper on a comprehensive growth and profitability strategy, as well as the appropriate future channels to market.”

Details of the deal were not disclosed.

LL Flooring CEO resigns, effective immediately

LL President and has resigned effective immediately, the flooring company formerly known as announced in a Securities and Exchange Commission document released Friday.

The move is not exactly a surprise, coming several weeks after Thomas Sullivan, Lumber Liquidators’ and former CEO, purchased 219 LL Flooring stores, which he said he would keep operating — but renamed as Lumber Liquidators.

filed for Chapter 11 in August, and an entity connected to investor , owned by Sullivan, purchased the stores for $44.5 million in cash and at least $22 million in assumed liabilities. QTS Data Centers, meanwhile, purchased LL Floorings 995,792-square-foot distribution center on 97.55 acres in the White Oak Technology Park for $104.75 million in September.

Tyson was appointed president and CEO of LL Flooring in May 2020 and joined the company’s board at that time, after having been interim president starting in February 2020, and before that, chief customer experience officer. From 2008 to 2017, he served in executive roles at Advance Auto Parts, and previously was a senior vice president at Office Max and Office Depot.

He renamed the company LL Flooring in 2021, after the company was fined $33 million in 2019 by the federal government for continuing to sell laminate flooring after it failed formaldehyde emissions tests in California. Sullivan, who founded Lumber Liquidators in 1994, departed in 2016 after appearing on a 2015 “60 Minutes” investigation into the laminate flooring.

In 2022, LL Flooring opened 17 stores, but sales dropped the following year. Net sales in 2023 were down 18.5% from 2022, from $1.11 billion to $904.7 million. LL Flooring closed eight locations and opened three in 2023, and net losses last year amounted to $103.5 million, a large increase from a net loss of $12.1 million in 2022.

The Sept. 6 announcement of the sale of 219 stores and closing of 211 others came only hours after an earlier that all of the stores would shut down, as LL Flooring said it had not found a purchaser.

Thalhimer now sole principal for Diamond District redevelopment

Loop Capital is no longer affiliated with the partnership working on the mixed-use development component of ‘s $2.4 billion project, leaving as the development team’s sole principal.

The partnership, a limited liability company named Diamond District Partners, is developing the area surrounding the planned new baseball stadium for the Richmond Flying Squirrels for the first phase of the . The entire 67-acre project is expected to include 2,800 residential units, 935,000 square feet of office space and 195,000 square feet of and community space.

In a statement issued by Dan Herbst, an attorney with Reed Smith representing Loop, the company said, “Although Loop had discussions with the city, and Republic about participating in District development project, Loop never signed onto the project and currently is not involved in any capacity. … Loop engaged in discussions with Thalhimer and the city through April/May 2024 regarding participation in the real estate development project but did not sign onto the development agreement in May 2024.”

In a statement, Thalhimer said, “We can confirm that Loop is not affiliated with Diamond District Partners LLC. While Loop chose not to proceed, we continue to maintain a great relationship with them. The development program is in line with projects our team has completed over the last several years, and we’re excited to build a new, successful Diamond District community with the Squirrels, VCU and the city as our partners.”

Diamond District Partners includes Capstone Development, Pennrose, Maryland-based NixDev and M Cos., “as well as a deep bench of design and construction experts,” according to the Thalhimer statement.

Loop, Thalhimer, Diamond District Partners and four have been named in a $40 million lawsuit from a former Diamond District development partner.

In May, the city of Richmond, Richmond Partners and Diamond District Partners signed a development agreement.

In May 2023, Richmond City Council originally approved a development agreement with RVA Diamond Partners LLC, a joint venture that including Connecticut-based developer Republic Projects, Thalhimer Realty Partners, Loop Capital Holdings and San Diego venue developer JMI Sports. However, Republic Projects filed a lawsuit in July claiming that Thalhimer Realty Partners and Loop Capital cut Republic out of the development deal sometime between June and December 2023.

“Loop never signed onto any partnership agreement that is the subject of Republic’s lawsuit,” Loop said in a statement. “Loop maintains that it is incorrectly named in Republic’s lawsuit and has requested that Republic voluntarily dismiss Loop to avoid the need for further litigation. Republic has not agreed to dismiss Loop to date and, if necessary, Loop intends to file a demurrer to the complaint.”

According to the development agreement between the city, the EDA and Diamond District Partners, the development team must fund the first phase’s development, which now will be without Loop Capital’s involvement.

The three-part first phase of the project, according to the development agreement between the city, the EDA and Diamond District Partners, is 22.5 acres. The minimum capital investment for the total phase 1 is $567.45 million. Thalhimer has not said how much it has raised so far.

Under the agreement, the developer will buy the first section of the phase 1 property from the EDA. The purchase price for the phase 1A properties, which total 11.67 usable acres, is set at approximately $11.4 million. Diamond District Partners will also have “the exclusive option to purchase” the properties for phases 1B and 1C.

Under the development schedule, phase 1A is expected to be completed by 2032, and all of phase 1 is expected to be completed by 2034.

The Richmond Flying Squirrels is working with Texas-based development management consultant Machete Group for the stadium itself. In July, Rhode Island-based Gilbane Building announced it and Chesterfield County-based Prestige Construction Group had won a contract to build the stadium. Having a separate development team chosen by the Squirrels for the stadium was a change from the original development agreement.

In August, the Richmond EDA’s board approved a 30-year lease and a stadium development agreement between the EDA and the Flying Squirrels. The Squirrels will pay $3.2 million in annual rent for the next 10 years, after which the rates will decrease.

CoStar makes deal to move into Arlington HQ in early 2025

CoStar Group is accelerating its headquarters move from Washington, D.C., to County, thanks to a deal with a tenant in the headquarters building that included a $48 million early termination fee.

The global real estate data and analytics company, best known for its Apartments.com and Homes.com marketplaces, announced plans to relocate its corporate headquarters to Arlington in February. CoStar and Andy Florance told Virginia Business in mid-October that some CoStar employees were already working in the building and CoStar planned to have “a significant percentage of [its] team in the Washington metropolitan area” moved there by May 2025. Now, CoStar plans to have the headquarters move finished in early 2025.

CoStar purchased the Central Place Tower at 1201 Wilson Blvd. for a reported $339 million in February, with plans to invest $20 million in the move. CoStar also secured sole use of the previously public 12,000-square-foot observation deck at the top of the building (formerly The View of DC), paying Arlington County $13.95 million, funding the county manager has proposed be put toward the planned of a nearby 3-acre park.

The tenant releasing , Connecticut-based research and advisory firm Gartner, CoStar a $48 million early termination fee and ceded 11 floors of the 560,000-square-foot office tower. Gartner signed a new lease for about 49,000 square feet on the 11th and 12th floors through December 2032. The deal “unlocks sufficient space” for CoStar to relocate its headquarters, according to CoStar’s Nov. 1 .

“We’ve always intended for 1201 Wilson to become ‘s headquarters, but this agreement makes it possible for us to complete that process even faster and to better accommodate our continued rapid growth and expansion,” Florance said in a statement.

CoStar’s lease on its current headquarters — 1331 L St. NW in Washington, D.C. — is set to expire in 2025. The company bought the building for more than $41 million in 2010 and sold it in 2011 for $101 million, completing a sale-leaseback deal for a more than 140% return.

The real estate data and analytics firm has heavily invested in , with a $460.5 million expansion of its presence underway and expected to be completed in 2026. When complete, its Corporate Innovation Campus is set to have 1 million square feet of office space.

CoStar reported $2.46 billion in 2023 revenue. Founded in 1986, it has more than 6,400 employees.

Avionics manufacturer will invest $5M on Reston office and R&D facility

CMC Electronics, a Montreal-based avionics manufacturer, will invest $5 million to establish an office and research and facility in , announced Friday.

Initially, the project will create 89 jobs, with more positions expected as operations increase, according to the governor’s office.

“This creation of new high-tech jobs demonstrates the strength of our commonwealth’s talent pipeline and our commitment to fostering cutting-edge industries,” Youngkin said in a statement.

CMC Electronics also has facilities in Canada and Illinois.

The company that would become CMC Electronics launched in 1903 as a wireless telegraph business. In the 1960s, the business switched its focus to aircraft navigation, monitoring and display systems, tactical radio communications, radar systems and multi-processor telex switching systems. Today, CMC Electronics designs and manufactures cockpit systems integration, avionics, display solutions and high-performance microelectronics for the military and commercial aviation markets.

“By expanding our presence, we are reinforcing our commitment to growth and continuing to provide cutting-edge avionics solutions that meet the evolving needs of the aerospace and defense industries,” Pierre Rossignol, president of CMC Electronics, stated.

The Partnership worked with the Economic Development Authority to secure the project for Virginia.

Youngkin approved a $300,000 grant from the Commonwealth’s Opportunity Fund, a cash grant awarded to local governments on behalf of a company to offset or reimburse certain project-related costs, to assist Fairfax County with the project. Additionally, CMC Electronics is eligible for the Major Business Facility Job Tax Credit, which provides an $1,000 income tax credit for each full-time job created over a threshold number of jobs. VEDP’s Virginia Jobs Investment Program will also provide funding and services for recruitment and training.

Bassett Furniture names new chief marketing officer

Home manufacturer and retailer Furniture has named Tony Chivari as its new chief officer.

Chivari has held similar positions with 1-800-Flowers.com, Gem Shopping Network and Things Remembered.

“We are very excited to welcome Tony to the Bassett team as we continue our journey to become a national omnichannel provider of home furnishings,” Rob Spilman, Bassett chairman and , said in a statement. “Tony has worked with our digital marketing and e-commerce organization for most of 2024 as a consultant, and we mutually concluded that the opportunity to grow Bassett’s business would be better served by Tony becoming a full-time member of our team.”

Before Bassett, Chivari was CEO for Atlanta-based Whimsical Gifts. He’s also worked as an independent consultant, marketing leader for 1-800-Flowers.com and president of Gem Shopping Network.

“In addition to the good work already underway on the digital front, Tony will lead a comprehensive review of our brand strategy across all media where we market our broad range of transactional and custom-designed products,” Spilman continued.  “We are excited by the progress that we have made this year and believe that Tony’s leadership will place the Bassett brand on a path to future growth.”