November 30, 2009
Local developer Gammino interviewed
From RichmondBizSense.com:
Gammino practiced law for more than a decade but left the legal profession to start his contracting business, which he grew a knack for after buying and fixing up homes in Oregon Hill. A native of Providence, R.I., Gammino has lived here since 1989, when he moved here to attend law school at the University of Richmond.
BizSense caught up with Gammino on the site of his first project as a developer and asked him what it’s like getting started as a developer and also about his next project he is planning in Jackson Ward.
Richmond BizSense: Tell us about your first project as a developer.
David Gammino: I’m working on the IVNA (Instructive Visiting Nurses Association) buildings at 223 S. Cherry St, which was most recently a law office for attorney David Baugh. It is 16,000 square feet over two buildings. The architect is Johannes Design Group, and my company, City & Guilds, is the contractor and developer.
RBS: What about the financing?
DG: The acquisition and construction is a total of about $2.8 million. First Market Bank is financing the project. The tax credit proceeds are secured by the bank at the front end of the deal and held by the bank until it is rented and stabilized and you meet a certain debt service ratio. The proceeds from the state and federal tax credits on this project are approximately $600,000.
RBS: Why did you decide to start doing your own development projects?
DG: I wanted to diversify the company and client base. Doing so in this environment is very difficult. There is a dearth of new development and what new business that is out there is being very aggressively bid by a multitude of players.
Growing the company within the traditional general contractor model is very difficult to do under the circumstances, so I realized one way I could continue to grow is by doing my own development. By virtue of having the existing business, I have the infrastructure in place to do so.
So 223 S Cherry is just going to be regular apartments, is that correct?
This guy is a total contradiction and has fallen quite comfortably in the business practices that have brought this country to its knees.
Anyone ask themselves why this guy moved from Oregon Hill before he started screwing the residents? Didn’t he use his former position as OHHIC or OHNA president to discreetly “aquire” all the vacant lots in Oregon Hill? I can remember seeing he and his “lovely” wife walking through the neighborhood plotting!
David was neither president of OHNA or OHHIC.
Without passing judgement, I will note that Gammino did serve on OHHIC’s board.
He also fought for the neighborhood when we were rezoning to R7. He did much to keep a huge apartment complex from where the Overlook is.
and his monstrosities on Holly and Cherry are much better than a huge apartment complex….hardly!!!