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The Virginia Beach economy is dominated by real estate, defense, tourism, and other sectors. Private and local groups have vested interests in real estate redevelopment. This has led to a variety of joint public-private projects such as commercial parks. The Virginia Beach Convention Center, Oceanfront Hilton Hotel, and Virginia Beach Town Center are examples of public-private development. The financing was provided by tax increment financing. This involves creating tax districts and supporting infrastructure. Construction of the Town Center began in 2003. In 2005, the Convention Center was opened.
North of the Green Line, the city is running out of land for new construction. The U.S. Navy's major fighter jet base, Naval Air Station Oceana has been severely constrained by the infilling and development of residential areas. The airbase is supported by Virginia Beach, but the Pentagon Base Realignment and Closure Commission has suggested that Oceana be closed within the next ten years. A Navy plane that was taking off from Oceana in 2012 suffered engine failure and crashed into an apartment building.
