VB National Golf Club Redevelopment Proposal

Virginia Beach National: Protect Taxpayers, Transparency & Responsible Growth

City Council is scheduled to vote on August 11th on a proposal to sell publicly owned land at the Virginia Beach National Golf Club to a private developer. The current plan includes selling the land to Dragas, which plans to build a dense 659-unit residential community alongside a partial redevelopment of the golf course.

While the proposal is presented as a revenue generator for the city, independent financial analysis indicates that when long-term infrastructure and public service costs are factored in, the project could result in a net cost to taxpayers exceeding $22 million.

⏰ City leaders need to hear from the community by August 11th.

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What We’re Asking City Leaders to Do

Responsible Growth VB supports smart development, housing, and a strong local economy. However, major public land sales require clear numbers, fair rules, and adherence to established planning policies.

We urge City Council to take four actions before voting:

1. Pause for an Independent Fiscal Audit: Require a full, neutral study that measures both new tax revenues and the ongoing public costs of serving 659 households.

2. Ensure Transparency in the Bidding Process: Guarantee that all developers competed fairly under identical rules and that major proposal changes were made public from the start.

3. Protect Taxpayers from Unnecessary Financial Risk: Eliminate or justify any public grants, infrastructure subsidies, or cost-overrun guarantees.

4. Uphold Established Zoning & Planning Rules: Maintain long-standing protections around the Green Line, Transition Area, and military flight zones (AICUZ).

Why Your Voice Matters Right Now

City Council is expected to vote on August 11th. Right now is the window when public input can still change the outcome.

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Questions VB Residents Are Asking

Was the bidding process handled fairly and transparently?

Community members have raised questions about communications between City staff and the selected developer before the Request for Proposals was issued, as well as whether all bidders had access to the same information throughout the process.

  • Private Early Meetings: Documents obtained via a 2024 Freedom of Information Act (FOIA) request filed by former Council Member Chris Taylor revealed that staff began direct meetings with the developer, Dragas, in April 2024. This was 17 months before the city officially invited other companies to bid on the property (October 2025).
  • Unclear Bidding Rules: When the city finally posted the open call for proposals in October 2025, it asked for ideas to buy and run a golf course. It did not inform other competing builders that 42 acres could be used for a high-density housing development.
  • Secrecy and Limited Oversight: City officials signed a Non-Disclosure Agreement (NDA)—a legal secrecy agreement— with Dragas on August 7, 2024. This prevented City staff from sharing early project details with local citizen oversight boards, including the Planning Commission, the Wetlands Board, and the Chesapeake Bay Preservation Area Board.

A lawsuit challenging aspects of the procurement process has also been filed, reflecting broader concerns about whether the process complied with requirements.

Does the City's financial analysis tell the whole story?
  • Incomplete Fiscal Claims: The City highlights a $3.4 million annual tax revenue figure. However, this reflects gross real estate taxes directed to the General Fund and does not deduct the ongoing municipal service costs (police, fire, schools, and roads) required to support 659 households.
  • The "Free Golf Course": Dragas is expected to pay $17.9 million for the land. However, the agreement structures this so that those funds are immediately given right back to the developer to fund the golf course redevelopment. As a result, the developer essentially receives the golf course for free, costing taxpayers that $17.9 million in redirected revenue on top of the original $4.3 million in public funds used to buy the land in 2007.
  • Significant Public Subsidies: The City is committing $18.1 million in taxpayer funds to cover costs associated with a private development project:
    • $4.3 million for direct infrastructure upgrades
    • up to $3.6 million for potential cost overruns
    • and a $10.2 million performance grant paid from future tax revenues
  • Net Taxpayer Loss: Accounting for service delivery costs and direct public subsidies, independent financial analysis (led by a local resident with a Ph.D. in Finance) projects a net loss to taxpayers of up to $22 million.

Residents deserve a complete and accurate fiscal picture before a decision is made.

Is this consistent with Virginia Beach's long-term planning?

Extreme Density Differences

For decades, Virginia Beach directed dense development to urban centers north of the Green Line while preserving open space to the south.

  • Under the Transition Area Design Guidelines, residential growth is strictly capped at an average maximum of 1 dwelling unit per acre.
  • In nearby high-noise jet flight zones (AICUZ/ITA), rules restrict density to 1 dwelling unit per 15 acres to prevent noise conflicts.
  • The Proposed Plan: Outlines high-density housing of up to 18 units per acre—far exceeding long-standing city policies designed to manage sprawl and protect jet base operations.

Flood Risks & Wildlife Protection

  • Stormwater Concerns: The site sits on poorly drained hydric soils in the Southern Rivers Watershed. Paving over open green space increases runoff and regional flood risks.
  • Protected Species: The property features two active bald eagle nests. Any development must comply strictly with federal wildlife laws.

Housing Reality

  • Priced Above Typical Workforce Levels: While presented as local workforce housing, 54.6% of the units are capped for households earning up to 120% Area Median Income (approx. $129,000/year).
  • Estimated Prices: Based on current interest rates, these "capped" units will sell between $370,000 and $390,000, while the remaining 45.4% will be sold at full market rates. Rather than aiding entry-level buyers, these price points effectively price out the very entry-level teachers, nurses, and first responders the program claims to serve.

Why This Matters To Every Virginia Beach Resident

This isn't just about one golf course—it affects citywide resources and future policy:

  • Diverted Tax Dollars: The $18.1 million committed in public subsidies and tax grants comes from funds that could otherwise fix roads, improve citywide flood defenses, or support local schools in every district.
  • Sets a Dangerous Precedent: Breaking density guidelines south of the Green Line opens the door for redeveloping other protected open spaces across Virginia Beach.

Whether you live in Bayside, Kempsville, Great Neck, Oceanfront, or Princess Anne, the outcome of this decision affects you.

Take Action Now

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