James City Plans to Sell Three Office Buildings, Move Staff to New Government Center in 2028
County issues RFP to sell "Palmer Complex"; future of properties on Mounts Bay Rd. and Olde Towne Rd. still undecided
James City County has issued a request for proposals (RFP) seeking a qualified real estate firm to market and potentially sell the county-owned Palmer Complex located on Palmer Lane off of Ironbound Road. Documents provided to prospective bidders indicate that the sale of three county-owned office buildings is related to the planned transition of staff and services into a new $179 million Consolidated County Government Center and library, which is expected to open in 2028.
Site prep for the new government center has begun on Longhill Road, adjacent to the James City County Recreation Center. According to the county, multiple studies concluded that expanding or renovating current offices would cost roughly the same as constructing a new, centralized complex, while offering fewer long-term efficiencies. The new government complex is intended to bring most county departments under one roof and improve public access to services.
Reversion Value
As departments relocate to the new complex, existing office sites such as the Palmer Complex are expected to be vacated or transitioned out of county ownership. Previous discussions by county leadership indicate that county property on Mounts Bay Road (the current home of county administration) as well as the Human Services building on Olde Towne Road could also be sold as part of the move to open the new consolidated government center. Any final decision to sell or retain the properties has yet to be made by the Board of Supervisors.
In April 2025, county staff estimated that the county could sell the three properties for $19.77 million, what the county referred to as reversion value. The biggest question is likely what to do with the site of the county’s current government center on Mounts Bay Rd., which staff noted was one of the few large parcels in the Primary Service Area that could be used for future public uses, such as a middle school. Subsequent meetings during the year saw the Board continue to discuss whether the property should be sold or retained in the long run.
James City County has yet to make a decision concerning the future of the current government center on Mounts Bay Rd. (Williamsburg Independent)
The county-owned building on Olde Towne Road is home to the county’s Human Services as well as the Olde Town Medical and Dental Center. (Williamsburg Independent)
The Palmer Complex office buildings are located at 5300, 5320, and 5340 Palmer Lane and are part of a mixed-use housing community called Ironbound Village. Each two-story building has around 5000 square feet and access to several parking lots. According to county land records, all three buildings were purchased by James City in September 2004 for $2.3 million total, and as of July 1, 2025, the assessed values for all three totaled $2.2 million.
Currently, two buildings are used by the county and house the Parks and Recreation and Housing administrative offices. The other building is leased to the Virginia Department of Health, generating approximately $96,000 annually. The RFP indicates that the county anticipates leasing back two buildings from a new owner until staff move into the new Government Center when it’s opened in 2028.
RFP and Sale Process
County officials have framed their efforts steps toward modernizing facilities while managing the orderly transition of staff and services into the new government center. Through the RFP, the county seeks a licensed real estate firm to advertise, analyze, and develop a sales strategy for the Palmer Complex. Proposals are due by 2 p.m. on Feb. 20, 2026.
The RFP states that firms will be evaluated on experience, understanding of the project, completeness of their proposal, and cost. The county has indicated that rezoning will be required, as the property is currently designated Public Lands, with rezoning terms to be negotiated as part of any sale agreement.
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