Bringing affordable housing to life in Lexington

A major revitalization effort is underway in downtown Lexington, and the Bluegrass Area Development District played a key role in making it possible.

Last month, developer Will Hanrahan broke ground on The Railyard, a $7.5 million mixed-use project on Delaware Avenue that will combine affordable housing, market-rate units and new retail opportunities. The project has drawn strong support from local and state leaders, including Lexington Mayor Linda Gorton, Vice Mayor Dan Wu, Lt. Gov. Jacqueline Coleman and Rocky Adkins, senior adviser to Gov. Andy Beshear.

While the groundbreaking marked a major milestone for the city, it also reflected a meaningful win for BGADD’s community and economic development work. As BGADD Executive Director David Duttlinger explained, the project’s early momentum began with a conversation between Kiersten O’Leary, director of the Kentucky Brownfields Program, and Logan Hart, BGADD’s director of community planning, who began supporting Hanrahan well before shovels were in the ground.

Duttlinger highlighted BGADD’s role in turning a rough concept into a viable project, noting: “The project began because Logan agreed to meet with a developer named Will Hanrahan who had a crazy idea for developing a one-acre blighted property in an industrial zone area of downtown Lexington. The Bluegrass Area Development District offered to serve as the requestor of the Phase II environmental assessment and assist with grants and other sources of funding to get this project started.”

He emphasized that this hands-on support was critical for securing early funding and bringing key partners into alignment around the project’s potential.

What started as a hopeful but uncertain idea has since become a community success story. As Duttlinger said, the groundbreaking demonstrated “what can happen when different entities see the bigger picture” and commit to shared outcomes for the community.

The Railyard stands as a testament not only to creative development and cross-sector collaboration, but also to BGADD’s mission: helping local partners seize opportunities, overcome barriers and build stronger, more vibrant communities across the region.