May 30, 2026, Arlington, VA — Goodwill of Greater Washington and Affordable Homes & Communities (AHC) broke ground today on an innovative redevelopment transforming Goodwill’s flagship store at 10 South Glebe Road into 128 affordable family apartments with a modernized retail store and donation center, plus an onsite childcare facility. This is the first co-location of Goodwill and affordable housing in the nation.
“Goodwill of Greater Washington is grateful for the opportunity to invest in our community in a meaningful and lasting way”, said Catherine Meloy, President & CEO of Goodwill of Greater Washington. “This new multi-purpose facility reflects our commitment to meeting people where they are — bringing together affordable family housing and quality childcare services with a state-of-the-art retail store and donation center. While we are proud of what this represents today, we are even more inspired by the possibilities it creates for the individuals and families we walk alongside. This new space will not just be a destination, but a foundation for opportunity, stability, and growth.”
The first-of-its-kind project will include 94 family-sized two- and three-bedroom apartments, seven Permanent Supportive Housing (PSH) apartments, and homes affordable from 30% to 60% of Area Median Income (AMI).
“This transformative partnership with Goodwill of Greater Washington shows how bold collaboration can reimagine what affordable housing can be. It’s a powerful example of the partnerships and sustained commitment needed to meet today’s housing challenges and build pathways for families to thrive.”
– Paul Bernard, AHC President & CEO
The redevelopment plans received support from the County Board, area residents, local nonprofits, and other regional affordable housing organizations in 2024. Goodwill of Greater Washington’s flagship store and donation center closed last fall to prepare the site for redevelopment.
“Every family deserves a stable place to call home, and this project shows what’s possible when community partners come together with a shared sense of urgency,” said Senthil Sankaran, Managing Principal, Amazon Housing Fund. “By combining affordable housing with childcare, job opportunities, and a modernized retail space, this development will serve families at every stage of life and remain affordable for generations to come.”
Key Features
- Adds 128 new homes of high quality, service-enriched affordable housing where none existed before, including 94 family-sized two- and three-bedroom apartments and seven PSH apartments
- Homes affordable for families earning 30% to 60% of the Area Median Income (AMI): 16 apartments at 30% AMI, 21 at 50% AMI, and 91 at 60% AMI.
- Modernizes and expands Goodwill’s retail and processing center to benefit donors, shoppers, and employees
- Creates approximately 30 new jobs
- Provides amenities for residents: free Wi-Fi, a community room, fitness center, and onsite property management and resident services
- Adds an onsite childcare center, with priority for residents and employees
- Creates the first segment of the new Arlington Blvd. Multi-Use Trail
- Delivers sustainability through EarthCraft Multifamily Gold certification, plus adds EV and solar-ready infrastructure
“Housing is the foundation of economic opportunity, and Capital One is a proud leader in community development,” said Stephanie Pierre-Louis, Director of Community Finance at Capital One. “Our partnership with Affordable Homes & Communities and the groundbreaking of the Goodwill project reflects the incredible impact of public-private partnership. We aren’t just building housing, we are delivering lasting opportunities for communities to thrive.”
Goodwill and AHC plan to open the renovated retail store and welcome new residents to the community in early 2028.
Funding, Design & Development Partners
AHC’s Affordable Apartments
AHC financed the $81 million affordable multifamily project with a variety of competitive local, state, and federal funds, including $30 million in federal Low-Income Housing Tax Credit equity (LIHTC), syndicated by Hudson Housing Capital and purchased by Capital One, and $6 million in a complementary state credit allocation through the Virginia Housing Opportunity Tax Credit program, financed by Advantage Capital.
Financing also includes construction and Freddie Mac-securitized permanent loans from Capital One; a combined $13.6 million from Arlington County’s Federal Home Investment Partnerships Program (HOME), local Affordable Housing Investment Fund (AHIF), and a $1.05 million grant for the childcare center; $12.8 million from Amazon’s Housing Equity Fund; $4 million in Virginia Department of Housing and Community Development’s Housing Trust Fund; and $800,000 from the Federal Home Loan Bank of Atlanta.
Goodwill’s New Flagship Store
Goodwill financed its $16.5 million retail redevelopment through AHC’s ground lease, a construction loan from Capital One, and a $1 million donation from the Ryan family. Eagle Bank has committed to providing a permanent loan following construction.
Other Project Partners
The design and development team includes Harkins Builders as the general contractor, MTFA Architecture as the project architect, and VIKA for civil engineering and land planning services. The broader development team also includes Walsh, Colucci, Lubeley & Walsh as zoning counsel and Klein Hornig LLP as borrower and tax credit counsel.
About Goodwill of Greater Washington
Goodwill of Greater Washington has been transforming lives and communities through the power of education and employment since 1935. Goodwill operates 24 Washington, D.C., area retail stores, nine government contract sites that employ hundreds of people with disabilities, and two adult charter high schools called The Goodwill Excel Center. Visit www.dcgoodwill.org.
About Affordable Homes & Communities
Affordable Homes & Communities (AHC) is a nonprofit developer that creates and preserves affordable and mixed-income housing in Maryland, Virginia, and Washington, D.C. Since 1975, AHC has developed more than 8,800 apartments in 56 communities, including 25 communities and nearly 3,500 apartments in Arlington. AHC builds opportunities by creating quality homes with holistic resident services. AHC connects residents of all ages with onsite services that help transform lives, provide housing stability, and advance the economic resiliency of entire communities. For more information, visit www.ahcommunities.org.
Media Contacts
Jennifer Smith
Affordable Homes & Communities
[email protected]
Brendan Hurley
Goodwill
[email protected]
2230 North Fairfax Drive
Suite 100
Arlington, VA 22201
703-486-0626
1501 Saint Paul Street
Suite 130
Baltimore, MD 21202
410-685-0366
