The short version: The biggest story at Smith Mountain Lake in 2026 is not a building, it is the drought. The lake ran about 5 feet below normal in May and about 4 feet below normal in June, and that changes what you should inspect on a waterfront property this year. Franklin County has approved 103 more homes at Westlake, Carilion Clinic has announced a 24 hour emergency department for the Westlake area that had not broken ground as of late 2025, and the dam overlook is closed for renovations. Everything below is a snapshot as of July 2026, with the source for each item named so you can check it yourself.
Buyers ask me some version of this question almost every week. What is actually being built around the lake right now, and does any of it change whether this is a good time to buy? After 21 years working this shoreline, I have learned that the honest answer is always two lists. One list is dirt moving and permits issued. The other list is press releases and drawings. People get into trouble when they treat the second list like the first.
So here is my attempt to sort them, item by item, with the source named in each section. I have left out one item I could not verify, and I have flagged the one project that is far less certain than it sounds. If you are just starting to look at Smith Mountain Lake communities, read this alongside the current Smith Mountain Lake homes for sale.
The drought is the real story of 2026
WDBJ7 reported on May 19, 2026 that the lake was sitting about 5 feet below normal. By June 2 it had come up slightly, to roughly 4 feet below normal, but the underlying problem had not gone away. The region is in its worst drought since 2007, and it has been running about 12 months. On April 15 the USDA declared 24 Virginia counties drought disaster areas, Franklin County among them. Meteorologists put the shortfall at roughly 12 inches of precipitation.
Appalachian Power has been managing the lake down through a series of steps in its water management plan. Trigger one took effect April 27, reducing outflows at Leesville Dam. Trigger two followed on May 11 and cut outflows further. A third trigger is still available if conditions get worse. At this point APCo is releasing only the minimum water it is legally required to send downstream into the Roanoke River. Joshua Blake, the company's hydro generation maintenance superintendent, told WDBJ7, "It's just unfortunately a situation where we would need a prolonged period of time of precipitation." Spokesperson Izzy Post Ruhland put it more plainly: "We can't order more rain. So we're just working with what we've got."
You could see the effect at the ramps. WDBJ7 reported that most lake ramps were unusable heading into peak season. Marina 66 had customers cancel week long boat rentals because there was not enough water at the dock. Anthony Wilson of Marina 66 said, "This community relies a lot on tourism. I can't imagine it not having a pretty big economical impact on the area." Gills Creek Marina dumped 20 tons of stone at the end of its ramp so boats could still launch. Jerry Godsey there summed it up: "That one foot has made a big difference. Most of the ramps around the lake have not been usable." Bedford Water and the Western Virginia Water Authority both asked customers who draw from the lake to conserve voluntarily.
Now for my part, which is opinion rather than reporting. A drought is weather, not a verdict on the lake. I have watched levels drop and recover more than once in two decades here. What it does change is your homework. Depth at a specific dock varies enormously depending on which cove you are in and how far up a creek arm you sit. Two houses a mile apart can have completely different stories at low water. If you are looking at waterfront homes this year, go stand on the actual dock, and ask what the depth is at low water, not at full pond. The listing photo was almost certainly taken on a better day.
103 new homes are coming to Westlake
This one is real and approved. WDBJ7 reported on February 19, 2026 that the Franklin County Board of Supervisors signed off on the second phase of the Westlake development, 103 homes off Booker T. Washington Highway. ABoone Development is the developer, partnered with Ryan Homes for construction. The first phase, approved the year before, was townhomes and condos. This phase brings a mix of single family homes, condominiums and townhomes, with walking paths connecting them to Westlake Town Center. Work was expected to start in early fall.
The backstory is longer than the approval suggests. The project has been in the works for 25 years, after landowner Ron Willard partnered with ABoone. Alexander Boone told WDBJ7, "This really is a game changer for Westlake Town Center because you have a true walkable community now with condominiums, townhouses, and single-family houses." The developer also pointed out the drive times: downtown Roanoke in under 30 minutes, plus Bedford, Lynchburg, Rocky Mount and Summit View.
What it means for buyers cuts two ways. If you want newer construction and you do not need a dock, this gives you a genuine alternative to a 1990s lake house, and walkable is a word that almost never applies around here. If you already own an older inland home and plan to sell in the next couple of years, understand that you will be competing with a Ryan Homes sales office. That is a pricing conversation, not a panic. Buyers who want the established country club side of the lake instead should still look at The Waterfront, which is a different product entirely.
A 24 hour emergency department is planned for Westlake
On July 22, 2025 Carilion Clinic announced plans for two freestanding emergency departments, one in the Westlake area of Franklin County and one at Daleville Town Center in Botetourt County. They would be Carilion's first freestanding EDs, open 24 hours a day, 365 days a year, for adults and children, with exam rooms, advanced imaging, laboratories and telemedicine, staffed by board certified emergency medicine physicians. Wrenn Brendel, Vice President of Emergency Services, said the facilities "will be designed with dedicated parking and easy walk-in access to emergency services for patients during critical moments." Carilion expected to break ground later that year.
Here is the part that matters, and that I have not seen anyone say out loud to a buyer. As of a WDBJ7 report on November 5, 2025, Carilion had not announced an official timeline or even a specific location for the Westlake facility. Announced is not the same as under construction. Separately, WDBJ7 reported that Eastlake Primary Care opened at 14807 Moneta Rd, Suite J in January 2026, which is primary care rather than emergency care, but it is one more local option that actually exists.
For retirees, distance to emergency care is one of the most underrated questions in a lake purchase, and it is the one people are most embarrassed to ask about. A 24 hour emergency department at Westlake would genuinely change that calculation for the south side. Until it breaks ground, though, I would not pay a dollar more for a house because of it. Buy based on the drive time you have today.
The dam overlook is closed right now
Cardinal News reported on July 7, 2026 that the overlook at the Smith Mountain Project visitor center closed on Monday, July 6 for several weeks of renovation work. The Smith Mountain Project is the 636 megawatt pumped storage hydroelectric facility that created both Smith Mountain Lake and Leesville Lake, and Appalachian Power operates it. The visitor center itself is free and open to the public, with exhibits on the dam's history and operations, though it does not offer tours inside the dam.
Small item, but a practical one. The overlook is the first place I take out of town buyers, because it explains the entire lake in about five minutes in a way no map does. If you are coming this summer to look at houses around Moneta or anywhere else on the water, build your itinerary around the closure and check before you drive out there.
The fish habitat program most buyers never hear about
According to the Smith Mountain Lake Association, the Virginia Department of Wildlife Resources runs a fish habitat program here with help from the association and Appalachian Power. The reason it exists is that native aquatic vegetation was lost after Asian grass carp were introduced, and juvenile fish lost their cover. The replacements are PVC structures, each built from roughly 120 slats, 8 tubes and 7 concrete blocks, assembled so the slats form a dense web of pockets that small fish can hide inside. They sit in about eight to ten feet of water.
Deployment started in 2017. Every fall the department coordinates the assembly and placement of about 35 more structures, and as of 2023 there were structures at 217 locations around the lake. More recently, smaller versions designed to go under private docks have been installed as well.
If you fish, this is worth asking about on a specific property. More broadly, I read this program the way I read a well kept HOA. It is a quiet signal that the people responsible for this lake are managing it on a twenty year horizon rather than a summer one, and that is not true of every lake market I have looked at.
The state park master plan, and why I would not buy on it
This is the item I want you to be most careful with. WSET reported on September 10, 2019 and WSLS on October 1, 2019 on a draft updated master plan for Smith Mountain Lake State Park, which covers roughly 1,248 acres across Bedford and Franklin counties. The draft proposed a 60 site campground, 10 cabins, a paved off road multipurpose trail, a new picnic area and a reconfigured park entrance, along with new boat slips and a fuel station, yurts and bath houses, fishing piers, playgrounds and road improvements. The items were ranked by priority into three phases.
Read the date again. That plan is from 2019, no funding had been secured, and park staff themselves described the proposals as dream items that would require state lawmaker approval. Park Manager Brian Heft framed it as a vision: "With 1,200 acres we still have some areas to grow and that's what we're really looking at, the vision of the future and how we would grow the state park." DCR park planner Bill Conkle described what a master plan is for: "Master plans outline the desired future condition for a park when it is fully developed. We welcome public input in the planning process." State park master plans get updated at least once every 10 years, so a plan is a normal planning document, not a construction schedule.
I have sat across the table from buyers who talked themselves into stretching for a lot because of improvements drawn on a map. An unfunded wish list is not a reason to raise your budget. If you are working through our relocation guide and looking near the park, price the property on what is there this weekend. If the cabins and the marina upgrades eventually arrive, take them as a bonus you did not pay for.
One piece of good news: the 2026 destination map
Not everything this year has been about water levels. WDBJ7 reported on July 15, 2026 that local artist Lisa Floyd of Floyds' Artworks finished a new 2026 Smith Mountain Lake destination map, a painted illustration of the lake and the businesses, restaurants and shops around it. It is the first update since 2022 and took her four weeks. It went on sale Friday, July 18 in local stores, and she was at Wind Vineyards that Saturday and Sunday, July 18 and 19, from 10 a.m. to 5 p.m., selling and signing copies. "We are a destination, but a destination map makes you a destination," Floyd told WDBJ7. "This is going to be a real flash in the pan, something that can get our spirits back up."
Per her Smith Mountain Lake Regional Chamber listing she has painted professionally since 1979 and has been at the lake since 2005, with murals at Tuscan Tavern, Joe's Pizza, the Westlake Library, Dairy Queen and Mexico Viejo, and artwork in more than 100 homes around here.
Where each item actually stands, as of July 2026
| Item | Status as of July 2026 | Weight it should carry in your decision |
|---|---|---|
| Drought and low lake levels | Ongoing. About 4 feet below normal on June 2, 2026 | High. Inspect dock depth at low water |
| Westlake phase two, 103 homes | Approved by Franklin County in February 2026, work expected to start in early fall | High for supply and pricing, especially inland resale |
| Carilion Westlake emergency department | Announced July 2025. No timeline or site announced as of November 2025 | Low until it breaks ground |
| Dam overlook | Closed for renovations since July 6, 2026, for several weeks | Trip planning only |
| Fish habitat structures | Active. 217 locations as of 2023, about 35 added each fall | Moderate if you fish |
| State park master plan | 2019 draft, unfunded, described as dream items | None. Do not pay for it |
How I would weigh all of this
My rule has not changed in 21 years. Separate what is funded and permitted from what is announced or merely drawn, then buy the house, the cove, the dock and the drive time you actually have today. Treat every announcement as upside you did not pay for. That approach costs you nothing when the good news arrives and protects you completely when it does not.
Practically, that means three questions this year: what is the water depth at that dock at low water, how long does it really take to get to emergency care from that driveway, and have you walked the property yourself rather than trusting photos. I am glad to walk a dock with you and tell you honestly what I think, including when I think you should keep looking. If that is useful, get in touch.
Sources
Every factual claim above comes from one of these. Where a claim could not be traced to a source I could open and read, I left it out of this article.
- WDBJ7, APCO adjusting operations of SML dam due to low water levels, May 19, 2026
- WDBJ7, Business owners discuss the impacts of low water levels at Smith Mountain Lake, June 2, 2026
- WDBJ7, Franklin County approves over hundred new homes near Smith Mountain Lake, February 19, 2026
- Carilion Clinic, Carilion Clinic announces freestanding emergency departments, July 22, 2025
- WDBJ7, What's being built: Smith Mountain Lake, November 5, 2025
- Cardinal News, Cardinal Commerce Notes, July 7, 2026
- Smith Mountain Lake Association, Fish Habitat
- WSET, 60 site campground, 10 cabins in the works for new master plan at SML state park, September 10, 2019
- WSLS, New Smith Mountain Lake State Park master plan dreams of new cabins, yurts, and upgraded marina, October 1, 2019
- WDBJ7, Local artist reveals new 2026 Smith Mountain Lake destination map, July 15, 2026
- Smith Mountain Lake Regional Chamber of Commerce, Floyds' Artworks member listing