With the seat of government removed, Williamsburg's businesses floundered or migrated to Richmond, and the city entered a long, slow period of stagnation and decay, although the town maintained much of its 18th-century aspect. It was captured by General
George McClellan in 1862 and garrisoned during the
Civil War, so the town escaped the devastation experienced by other Southern cities. Williamsburg relied for jobs on the College of William & Mary, the Courthouse, and the Eastern Lunatic Asylum (now
Eastern State Hospital); it was said that the "500 Crazies" of the asylum supported the "500 Lazies" of the college and town. That much property changing hands was noticed by newspaper reporters. After 18 months of increasingly excited rumors, Goodwin and Rockefeller revealed their plans at county and town meetings on June 11 and 12, 1928. The purpose was to obtain the consent of the citizens and enlist them in the project. The restoration project required a new high school and two public greens. The city retained ownership of its streets, an arrangement that forestalled later proposals to raise revenue by charging an admission fee. Some townsmen had qualms. Major S. D. Freeman, retired Army officer and school board president, said, "We will reap dollars, but will we own our town? Will you not be in the position of a butterfly pinned to a card in a glass cabinet, or like a mummy unearthed in the
tomb of Tutankhamun?" During the restoration, the project demolished 720 buildings that postdated 1790, many of which dated from the 19th century. Some decrepit 18th-century homes were demolished, leading to some controversy. The
Governor's Palace and the Capitol building were reconstructed on their sites with the aid of period illustrations, written descriptions, early photographs, and informed guesswork. The grounds and gardens were almost all recreated in authentic
Colonial Revival style. The Capitol is a 1930s
Beaux-Arts approximation of the 1705 building at the east end of the historic area. It was designed by the architectural firm
Perry, Shaw & Hepburn, who had it rebuilt as they thought it should have been, not as it was, despite objections and archaeological evidence to the contrary. The modern reconstruction is off-center, its floorplan is skewed, and its interior is overly elaborate. The 1705 original was an H-shaped brick statehouse with double-
apsed, oarsmen-circular southern facades, but it burned in the 1740s and was replaced by an H-shaped rectangular edifice. In the second building,
Patrick Henry protested against the
Stamp Act of 1765 and first spoke against King George.
George Mason introduced the
Virginia Bill of Rights there, and from it Virginia's government instructed its delegates to the
Second Continental Congress to propose national independence. Its likeness only exists in a period woodcut and in architectural renderings considered but shelved by the Restoration. The present building was dedicated with a ceremonial meeting of the
Virginia General Assembly on February 24, 1934. Virginia's state legislators have reassembled for a day every other year in the Capitol. Of the approximately 500 buildings reconstructed or restored, 88 are labelled original. They include outbuildings such as smokehouses, privies, and sheds. The foundation reconstructed the Capitol and Governor's Palace on their 18th-century foundations and preserved some below-ground 18th-century brickwork, classifying them as reconstructions. It rebuilt William & Mary's Wren Building on its original foundation, which burned four times in 230 years and was much modified; it saved some above-ground brickwork and classified the result as original. On the western side of the city, beginning in the 1930s, retail shops were grouped under the name
Merchants Square to accommodate and mollify displaced local merchants. Increasing rents and tourist-driven businesses eventually drove out all the old-line community enterprises except a dress shop. One of the last to be forced out was a locally popular drugstore complete with lunch counter.
Outlying landscapes and viewsheds , which runs beneath the historic area linking it with
Jamestown and
Yorktown Beginning in the earliest period of the restoration, Colonial Williamsburg acquired acreage in Williamsburg and the two counties which adjoin it, notably to the north and east of the historic area to preserve natural views and facilitate the experience of as much of the late 18th-century environment as possible. This was described as a "rural, wooded sense of arrival" along corridors to the historic area. In 2006, announcing a conservation easement on acreage north of the Visitor Center, Colonial Williamsburg President and Chairman
Colin G. Campbell said its restrictions protected the view and preserved other features: "This viewshed helps to set the stage for visitors in their journey from modern day life into the 18th-century setting. At the same time, this preserves the natural environment around
Queen's Creek and protects a significant
archaeological site. It is a tangible and important example of how the Foundation is protecting the vital
greenbelt surrounding Colonial Williamsburg's historic area for future generations". The Colonial Parkway, which includes a tunnel running beneath the historic area, was planned and is maintained to reduce modern intrusions. Near the principal planned roadway approach to Colonial Williamsburg, similar design priorities were employed for the relocated
U.S. Route 60 near the intersection of Bypass Road and North Henry Street. Prior to the restoration, U.S. Route 60 ran down
Duke of Gloucester Street through town. To shift the traffic away from the historic area, Bypass Road was planned and built through farmland and woods about a mile north of town. Shortly thereafter, when
Route 143 was built as the
Merrimack Trail (originally designated State Route 168) in the 1930s, the protected vista was extended along
Route 132 in
York County to the new road, and two new bridges were built across
Queen's Creek. Goodwin, who served as a liaison with the community, as well as with state and local officials, was instrumental in such efforts. Nevertheless, some in the Rockefeller organization, regarding him as meddlesome, gradually pushed Goodwin to the periphery of the Restoration and by the time of his death in 1939 Colonial Williamsburg's administrator, Kenneth Chorley of New York, was indiscreetly at loggerheads with the local reverend. Goodwin's relationship with Rockefeller remained warm, however, and his interest in the project remained keen. Colonial Williamsburg dedicated its headquarters in 1940, naming it The Goodwin Building. About 30 years later, when
Interstate 64 was planned and built in the 1960s and early 1970s, from the designated "Colonial Williamsburg" exit, the additional land along Merrimack Trail to Route 132 was similarly protected from development. Today, visitors encounter no commercial properties before they reach the Visitor Center. In addition to considerations regarding highway travel, Williamsburg's brick
Chesapeake and Ohio Railway passenger station was less than 20 years old and one of the newer ones along the rail line, it was replaced with a larger station in Colonial style that was located just out of sight and within walking distance of the historic area, on the northern edge of
Peacock Hill. Farther afield was
Carter's Grove Plantation. It was begun by a grandson of wealthy planter
Robert "King" Carter. For over 200 years, it had gone through a succession of owners and modifications. In the 1960s after the death of its last resident, Ms. Molly McRae, Carter's Grove Plantation came under the control of
Winthrop Rockefeller's Sealantic Foundation, which gave it to Colonial Williamsburg as a gift. Archaeologist
Ivor Noel Hume discovered in its grounds the remains of 1620s
Wolstenholme Towne, a downriver outpost of Jamestown. The Winthrop Rockefeller Archaeology Museum, built just above the site, showcased artifacts from the dig. Colonial Williamsburg operated Carter's Grove until 2003 as a satellite facility of Colonial Williamsburg, with interpretive programs. The property has since been sold.
Kingsmill Between Carter's Grove and the Historic District was the largely vacant Kingsmill tract, as well as a small military outpost of
Fort Eustis known as
Camp Wallace (CW). In the mid-1960s, CW owned land that extended from the historic district to
Skiffe's Creek, at the edge of
Newport News near
Lee Hall. Distant from the historic area and not along the protected sight paths, it was developed in the early 1970s, under CW Chairman Winthrop Rockefeller. Rockefeller, a son of Abby and John D. Rockeller Jr., was a frequent visitor and was particularly fond of Carter's Grove in the late 1960s. He became aware of some expansion plans elsewhere on the Peninsula of his
St. Louis-based neighbor,
August Anheuser Busch, Jr., head of
Anheuser-Busch. By the time Rockefeller and Busch completed their discussions, the biggest changes in the Williamsburg area were underway since the restoration began 40 years before. Among the goals were to complement Colonial Williamsburg attractions and enhance the local economy. The large tract consisting primarily of the Kingsmill land was sold by the Colonial Williamsburg Foundation to
Anheuser-Busch for planned development. The Anheuser-Busch investment included building a large brewery, the
Busch Gardens Williamsburg theme park, the Kingsmill planned resort community, and McLaws Circle, an office park. Anheuser-Busch and related entities from that development plan comprise the area's largest employment base, surpassing both Colonial Williamsburg and the local military bases.
Later history With its historic significance to American
democracy, it and the surrounding area was the site of a summit meeting of world leaders, the first World Economic Conference in 1983, and hosted visiting royalty, including
King Hussein of
Jordan and Emperor
Hirohito of Japan.
Queen Elizabeth II paid two royal visits to Williamsburg during her reign, once in October 1957 and again, in May 2007, both to celebrate the anniversaries of the founding of nearby
Jamestown. The
Democratic Party rebuttal to President
Donald Trump's
2026 State of the Union Address was delivered by Virginia Governor
Abigail Spanberger from the Colonial Williamsburg historic area on February 24, 2026. ==Colonial Williamsburg today==