A new era for Raleigh’s Hillsborough Street: Demolition proceeds on 500 block
A run-down corner of Hillsborough and West streets in downtown Raleigh has been razed.
On the block formerly housing Flex Nightclub, Montgomery Violins and other longtime businesses, Washington, D.C.-based Dalian Development is prepping a 1.12-acre site at 501 Hillsborough St. for a mixed-used apartment building, according to the firm’s newly issued demolition permit.
The ultimate height of the project is unknown.
Dalian Development did not respond to calls for comment.
Starting in 2020, the firm began acquiring the cluster of lots for a combined total of more than $4 million, according to Wake County deed records. The properties have a total assessed value of about $6.9 million.
In 2022, the city approved site plans for an 8-story, 221‑unit mixed‑use building with 10,000-square-feet of street‑level retail and a parking deck with 222 spaces, The N&O reported.
Then, in 2023, the city green-lit the firm’s rezoning request to allow for up to 40 stories.
It’s unclear if Dalian has scrapped its original plans to go taller. The project is “currently under development,” according to the firm’s website.
The property is one of the last major underdeveloped blocks on Hillsborough Street, stitching together Glenwood South and the Warehouse District. In recent years, the street’s skyline has been climbing, reshaping the corridor from downtown to N.C. State.
Among recent additions: the 19‑story 301 Hillsborough tower at Raleigh Crossing and the 20‑story 400H.
This story was originally published March 27, 2026 at 6:30 AM.
