New builder to take on Ocean View condominiums

NORFOLK

Virginia Beach-based condo developer has reached an agreement to buy the remaining parcels of land at the Harbor Walk condominium community in Ocean View and build 157 more homes there, its president said Tuesday.

Franciscus Co. had been in negotiations to purchase the property since August. Gary Werner, the developer's president, said Tuesday he anticipated the deal would close by the beginning of December. He declined to disclose the purchase price.

In May, Florida-based developer Henin Group abandoned the project after several homeowners at Harbor Walk discovered that their condos were built with Chinese-made drywall, the building material under investigation by the federal government over claims it emits a corrosive gas that damages household electrical systems and causes respiratory problems.

On Tuesday, the Norfolk City Council transferred the development contract of Harbor Walk to Franciscus in anticipation of a deal closing. Werner said he expects to begin construction on the new condos as soon as the purchase is final.

Harbor Walk began as a 237-unit $50 million project by Genesis Group, a firm led by Lyle G. Wermers of Virginia Beach-based Wermers Development. Construction began in 2003. Work slowed in 2006 when the housing market began to soften with less than half of the project complete.

Josh Brown, (757) 446-2318, josh.brown@pilotonline.com