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A long-empty former Inova Health System office in Merrifield could begin its transformation into 80 workforce apartments by mid-2025, provided property negotiations and county reviews remain on track.

The Fairfax County Redevelopment and Housing Authority and developer Conifer Realty are negotiating with Inova Health Care Services to acquire the four-story building at 2990 Telestar Court. The housing authority expects to close on the property during the first half of 2025.

The project is backed by up to $8 million in federal American Rescue Plan Act funding authorized by the Fairfax County Board of Supervisors in July 2023.

All 80 planned apartments would serve low- to moderate-income households earning no more than 80% of the area median income. That threshold is currently $108,300 for a one-person household, according to the county’s Department of Housing and Community Development.

Conifer communications director Dave Lanzillo said a groundbreaking could occur in mid-2025 if the project continues without complications.

Devin Pharr, chief of staff for Providence District Supervisor Dalia Palchik, said construction will likely begin with a public announcement or ceremony. Pharr said county staff members are working carefully to ensure that the acquisition and subsequent development are clearly understood by everyone involved.

Office complex set for a new use

Built in 1969, the Telestar Court building served as part of Inova’s corporate headquarters for roughly 12 years alongside a six-story office building at 8110 Gatehouse Road.

Inova vacated both buildings in fall 2022 when it consolidated operations at the Inova Center for Personalized Health. The health system still owns the two properties.

County records show Inova purchased the Gatehouse Road building for $12.75 million in 1991 and acquired the Telestar Court property for $10 million in 2010.

The Board of Supervisors approved rezoning in June 2023 that allows as many as 82 workforce dwelling units in the Telestar building and 210 live-work lofts in the Gatehouse building.

Madison Highland, a partnership between Madison Marquette and Highland Square Holdings, is pursuing the Gatehouse conversion. The partnership has worked on similar live-work projects in Bailey’s Crossroads and Tysons.

CEO Robert Seldin previously expected construction on the Gatehouse project to begin in the first quarter of 2024, but that start did not occur. The county and housing authority are not participating in that project.

Park, plaza and resident terrace planned

Fairfax County is reviewing a site plan that Conifer submitted in early 2024 for the Telestar conversion. The existing 46-foot-tall building would remain, while portions of its parking lot would be removed to accommodate new sidewalks, landscaping and an entrance plaza.

Plans also call for a publicly accessible park along Telestar Court with a lawn, garden benches and children’s play areas.

A separate residents-only terrace would include dining and gaming tables, charcoal grills and seating. The neighboring Gatehouse conversion is expected to add more open space, including a fenced dog park.