Affordable Housing Developer Joins Potomac Yard Redevelopment

ALEXANDRIA, VA — Affordable apartments are moving forward in the large-scale redevelopment of Potomac Yard in Alexandria.

Affordable housing developer Wesley Housing announced it was selected by Potomac Yard developer JBG Smith to lead the 88 affordable housing apartment development. It is part of the larger effort by JBG Smith to redevelop Potomac Yard. JBG Smith donated the land for Wesley Housing to develop the affordable units.

The proposed six-story building will feature 88 affordable units with a mix of two-bedroom and three-bedroom units. The apartments will be rented to households earning between 30 percent and 80 percent of the area median income, or an average of 60 percent of the area median income. For example, 80 percent of the area median income is $106,800 for a household of four and $74,800 for one person. Amenities at the community will include a multipurpose community room, a leasing office, bike storage, and other resident spaces.

"Our collaboration with Wesley Housing reflects JBG SMITH’s commitment to ensuring Potomac Yard is a community that everyone can call home," said Taylor Lawch, JBG SMITH’s co-head of development. "By contributing land for affordable housing as part of our larger redevelopment, we are creating a more inclusive neighborhood that offers a diverse array of housing options."

The affordable housing development will be located near the Potomac Yard Metro station. The City of Alexandria's upcoming Housing 2040 Master Plan of future housing goals calls for affordable homes for households making 60 percent or less of the area median income in transit-accessible locations.

"This development presents a rare opportunity to create deeply affordable housing in a high-opportunity, transit-oriented neighborhood," said Kamilah McAfee, Wesley Housing’s president and CEO. "The community will expand opportunity and choice for families who may otherwise be priced out of our region."

The development must go through a city review, including a development special use permit approval. Wesley Housing said it will seek Low-Income Housing Tax Credits to support construction.

As ALX Now reported, JBG Smith is seeking city approval for hundreds of residential units in Potomac Yard, including the affordable housing, townhouses and a mixed-use building with residential and retail uses. Open space and green space are also planned. Virginia Tech's Alexandria campus, which opened its first academic building in early 2025, will be an anchor of the redevelopment.

SEE ALSO: Alexandria's Virginia Tech Innovation Campus Opens First Building To Students