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Z23-21 Staff Report PBZ23-21 Staff Report PB 11.2.2023 Page 1 of 20 STAFF REPORT FOR Z23-21 CONDITIONAL REZONING APPLICATION APPLICATION SUMMARY Case Number: Z23-21 Request: Rezoning to a Conditional RMF-M district Applicant: Property Owner(s): CIP Construction Company Bee Safe Porters Neck, LLC Herbert E Parham Robert L Yunaska Location: Acreage: 8100 Block of Market Street 33.54 PID(s): Comp Plan Place Type: R03600-005-006-002, R03600-005-007-000, R03700-004-147-000, R03700-004-148-000, R03700-004-189-000, R03600-006-082-000 General Residential & Urban Mixed Use Existing Land Use: Proposed Land Use: Vacant Office, Undeveloped & Forestry Townhomes (Attached Single-Family, Row- House) (Maximum 348 units) Current Zoning: Proposed Zoning: B-2, Regional Business & R-15, Residential, and I- 1, Light Industrial (CZD) RMF-M SURROUNDING AREA LAND USE ZONING North Self-Storage and Food Lion Shopping Center, Open Space B-1, B-2 & R-15 East Single-Family Residential R-15 South Single-Family Residential R-15 Z23-21 Staff Report PB 11.2.2023 Page 2 of 20 West Offices & Light Industrial (directly west) Porters Neck Shopping Center (Walmart), Doctors Offices (across Market St) I-1 & B-2 ZONING HISTORY July 6, 1971 Initially zoned R-15 and I-1 (Area 5). December 2, 1985 B-2 portion rezoned to be compatible with the auto parts store in operation on the site (Z-249) COMMUNITY SERVICES Water/Sewer Water services are available through CFPUA. Sanitary sewer is available through CFPUA with a force main connection or can be serviced by a private septic system approved and permitted by the NHC Health Department. Fire Protection New Hanover County Fire Services, New Hanover County Northern Fire District, New Hanover County Porters Neck Station Schools Porters Neck Elementary, Holly Shelter Middle, and Laney High Schools Recreation Ogden Park CONSERVATION, HISTORIC, & ARCHAEOLOGICAL RESOURCES Conservation No known conservation resources, there is an existing pond on the eastern boundary of the site which will remain. Historic No known historic resources Archaeological No known archaeological resources Z23-21 Staff Report PB 11.2.2023 Page 3 of 20 APPLICANT’S PROPOSED CONCEPTUAL PLAN Includes Staff Markups • The applicant is proposing to construct a maximum of 348 townhouse units with an associated amenity center. • The applicant’s proposed conceptual plan includes a building height maximum of 3 stories. • In each row, the end unit townhomes are two stories with a driveway and no garage. The units in between in each row are three stories with a garage on the ground floor. The townhomes closest to the single family homes are placed in proximity to the common areas of the existing abutting neighborhoods. • The concept plan places the amenity center and leasing office at the entrance to the development, abutting the commercial corridor. • The applicant’s proposed conceptual plan indicates that 13 acres (about 39%) of the site will be reserved as open space, exceeding the UDO requirement of providing 20% open space. • The concept plan preserves the existing live oak trees on the site and the existing pond toward the rear of the development. • The applicant’s proposed conceptual plan includes opaque buffers along all property boundaries that abut residential uses, noting that existing vegetated areas along the periphery will be preserved and used as buffers. This feature of the concept plan has been included as a condition. Stormwater Pond Ma r k e t S t Brays Drive Access Point Amenity Center and Main Access Point Existing Pond Z23-21 Staff Report PB 11.2.2023 Page 4 of 20 ZONING CONSIDERATIONS • The R-15 district in this area were established in 1971. At the time, the purpose of the R- 15 district was to ensure that housing served by private septic and well would be developed at low densities. Since that time, water and sewer services have become available to the surrounding area. • As currently zoned, the R-15 portion of the site would allow 75 dwelling units under a performance residential subdivision. • The B-2 portion of this site was rezoned in 1985 to be compatible with the auto parts business that was already in operation on the site. That auto parts store is no longer on the site. • The B-2 portion at 2.88 acres could support approximately 22,500 square feet of traditional retail uses based on a typical 18% building area for this type of zoning. • The I-1 zoning designation for this property reflected the industrial uses already in existence at the time this area of the county was initially zoned. The existing industrial uses and properties will remain and are not affected by this rezoning. The I-1 portion of the site is only 0.15 acres which is too small for consideration of possible development. It is included in this development to provide sufficient access to the interior of the site. • The proposed site is located in the Special Highway Overlay District (SHOD), which prescribes a minimum 100’ front setback for buildings. This may be reduced by 25% if the development provides additional plantings along the right-of-way. The SHOD also prescribes maximum square footage and height of signs. The proposal meets the SHOD requirements. • While the site is zoned B-2, I-1 and R-15, the site is surrounded by commercial uses on its market street frontage and single-family residential, zoned R-15, to the east, north and south. • The RMF-M district was established to provide lands that accommodate moderate density single-family and multi-family development. The intent of the RMF-M district is to function as a transitional district between intensive nonresidential development and higher density residential areas. The district is designed to provide a reasonable range of choice, type, and location of housing units. • Under the RMF-M zoning district, there is a maximum density of 17 units per acre and structures are limited to 3 stories unless an additional height allowance is granted, which requires stricter setbacks. The applicant has specified a height maximum of 3 stories on their concept plan. • The proposed project has an overall density of 10.94 dwelling units per acre. • The UDO requires streets to be continuous and to connect to existing or platted streets without offset, including streets to adjacent developments. • The UDO requires Type A: Opaque Buffers where the site abuts single-family residential zoned parcels. This can include fencing, a berm and/or vegetation. The concept plan proposes wider buffers than required, including using the existing vegetation on-site. Z23-21 Staff Report PB 11.2.2023 Page 5 of 20 • If approved, the project would be subject to Technical Review Committee and zoning compliance review processes to ensure full compliance with all ordinance requirements and specific conditions included in the approval. Only minor deviations from the approved conceptual plan, as defined by the UDO, would be allowed. AREA DEVELOPMENTS Z23-21 Staff Report PB 11.2.2023 Page 6 of 20 TRANSPORTATION CURRENT CONDITIONS Intensity of Current Zoning Typical development under current zoning would allow a maximum of 75 single-family dwelling units and approximately 22,500 sq ft of traditional retail. PROPOSED ACCESS Primary Access Market Street via a right-in, right-out driveway. Secondary Access Brays Drive (Dedicated for public use, but privately owned and maintained by the Porters Pointe HOA) EXISTING ROADWAY CHARACTERISTICS Affected Roadway Market Street (US 17) Porters Neck Road Type of Roadway NCDOT principal arterial NCDOT minor collector Z23-21 Staff Report PB 11.2.2023 Page 7 of 20 Roadway Planning Capacity (AADT) 41,369 10,979 Latest Traffic Volume (AADT) 42,500 15,000 Latest WMPO Point-in-Time County (DT) 49,785 15,392 Current Level of Congestion Above planning capacity Above planning capacity Z23-21 Staff Report PB 11.2.2023 Page 8 of 20 NEARBY NCDOT STIP ROADWAY PROJECTS U-4902D – Market Street Improvements (2023 Completion) - Access management improvements from N. College Road to Station Road and from Middle Sound Loop Road to the Mendenhall Drive/Marsh Oaks Drive intersection. - Installation of a center median and pedestrian accessways along Market Street from Middle Sound Loop Road to Marsh Oaks Drive. The pedestrian accessways will consist of a 10-foot wide multi-use path on the eastern side of the street and a 5-foot wide sidewalk on the western side of the street. - With the widening of Market Street there will be a signalized U-turn with a bulb-out just south of the proposed entrance. TRAFFIC GENERATION Traffic Generated by Present Designation (R-15, 75 du) Traffic Generated by Present Designation (B-2, 22,500 sq ft retail) Traffic Generated by Proposed Designation Potential Impact of Proposed Designation AM Peak Hour Trips 53 53 131 +25 PM Peak Hour Trips 71 148 170 -49 TRAFFIC IMPACT ANALYSIS (TIA) New developments that are anticipated to generate more than 100 trips during any peak hour period are required to submit a traffic impact analysis (TIA) as part of their rezoning application. A team of NCDOT, WMPO, and County planning staff work with an applicant’s traffic engineers to develop the scope for the TIA, including the study area, the traffic data which must be collected, trip distribution, and the developments and background traffic growth that must be analyzed. This document is used to identify off-site transportation improvements required to mitigate the impacts of the development and must be approved by the WMPO and NCDOT. Approval Date January 31, 2023 Development Proposal Analyzed 348 Dwelling Units- Multi-Family (low rise) residential. Z23-21 Staff Report PB 11.2.2023 Page 9 of 20 Study Intersections - Market Street and Hays Lane/Commercial Driveway - Market Street and Cypress Pond Way - Market Street and Porters Neck Road - Porters Neck and Brays Drive (Site Access 2) - Market Street and Site Access 1 Trip Generation - 131 AM peak hour trips - 170 PM peak hour trips - 2,306 average daily trips Traffic Data Collection - September 13, 2022 Trip Distribution and Assignment - 60% to/from the south on Market Street - 40% to/from the north on Market Street Approved Developments & Background Growth - Marsh Oaks Mixed Use- 10,200 sq ft of medical, 6,300 sq ft of strip retail, and 2,400 sq ft of high-turnover sit-down restaurant. - Primrose School of Mayfaire, 191-student daycare. - Planned Roadway/Intersection Improvements o Military Cutoff Road Extension (TIP U-4751), opened October 2023 - Full Build – 2023 - Growth Rate – 1% per year Z23-21 Staff Report PB 11.2.2023 Page 10 of 20 Required Improvements Intersection: Market St and Hays Lane/Commercial Driveway - No improvements required Intersection: Market St and Cypress Pond Way - Install a traffic signal and provide necessary coordination. Intersection: Market St and Porters Neck Road - No improvements are required Intersection: Porters Neck Road and Brays Drive - No improvements are required. Intersection: Market St and Site Access 1 - Construct a continuous northbound thru-right turn lane on Market St from the ABC store driveway continuing up to the thru-right lane at the intersection of Market St and Porters Neck Road. SUMMARY The proposed project is located along a principal arterial highway that is currently over capacity; however, the Military Cutoff Extension recently opened and is anticipated to reduce traffic congestion in the Porters Neck area. The applicant has had a TIA approved by the NCDOT and WMPO requiring several roadway improvements, including a new right-turn lane on Market Street on a northbound approach to this development and a new traffic signal at Cypress Pond Way. There is a connection to Brays Drive which the applicant has proposed for emergency access only. The TIA approval was based on full access at Brays Drive, which staff would recommend. If the Board is in support of the applicant’s proposed gated access at Brays Drive, an updated TIA approval letter would be required from the WMPO and NCDOT. ENVIRONMENTAL • This property is not within a Natural Heritage Area. There is an existing pond on the site. Per New Hanover County Engineering, the end of Lantana Lane and areas adjacent to the existing pond have some historic flooding concerns. There is a suggested condition for an overland relief path, such as a drainage ditch, within a public drainage easement from that pond to the stormwater pond outfall. • The property is within the Pages Creek watershed. • Per the Classification of Soils in New Hanover County for Septic Tank Suitability, soils on the property consist of Class II (Moderate), Class III (Severe) and Class IV (Unsuitable) soils. However, the project will be served by CFPUA public water and sewer. • The concept plan notes wetlands that were determined on a survey completed in 2003. The concept plan states the permits will be updated through the Army Corps of Engineers. The wetland designation was determined before recent changes to the federal definition of wetlands. Z23-21 Staff Report PB 11.2.2023 Page 11 of 20 OTHER CONSIDERATIONS Schools • Students living in the proposed development would be assigned to Porters Neck Elementary School, Holly Shelter Middle School, and Laney High School. Students may apply to attend public magnet, year-round elementary, or specialty high schools. • A maximum of 75 dwelling units would be permitted under the current R-15 zoning base density, and 348 units could potentially be developed under the proposed zoning for an increase of 273 dwelling units. • Based on a generalized historic generation rate*, staff would estimate that the increase in homes would result in approximately 60 additional students than would be generated under current zoning. • Staff is in the process of analyzing the school capacity for the new school year and anticipates providing updated data for school enrollment and capacity at the Planning Board meeting. • The general student generation rate provides only an estimate of anticipated student yield as different forms of housing at different price points yield different numbers of students. Over the past four years, staff has also seen a decline in the number of students generated by new development. Student numbers remained relatively stable between 2015 and 2020 (excepting the impacts of the COVID-19 pandemic), while 14,500 new residential units were permitted across the county. In addition, the student population is anticipated to only grow by approximately 1,300 students over the next 10 years based on the most recent New Hanover County Schools Facility Needs Study. Development Type Intensity Estimated Student Yield (current general student generation rate) * Existing Development Undeveloped Approximate** Total: 0 (0 elementary, 0 middle, 0 high) Typical Development Under Current Zoning 75 residential units Approximate** Total: 17 (7 elementary, 4 middle, 5 high) Proposed Zoning 348 residential units Approximate** Total: 77 (31 elementary, 17 middle, 24 high) *The current general student generation rate was calculated by dividing the New Hanover County public school student enrollment for the 2022-2023 school year by the number of dwelling units in the county. Currently, there are an average of 0.22 public school students (0.09 for elementary, 0.05 for middle, and 0.0 7 for high) generated per dwelling unit across New Hanover County. These numbers are updated annually and include students attending out - of-district specialty schools, such as year-round elementary schools, Isaac Bear, and SeaTech. **Because the student generation rate often results in fractional numbers, all approximate student generation yields with a fraction of 0.5 or higher are rounded up to a whole number and yields with a fraction of less than 0.5 are rounded down. This may result in student numbers at the elementary, middle, and high school levels not equaling the approximate total. • Developments of the size and type associated with the proposed rezoning may not reach full build-out for a few years, as reflected in the anticipated 2024 build-out referenced in the Traffic Impact Analysis. As a result, existing school enrollment and capacity is not likely to be relevant. New Hanover County Schools staff would include this project if approved in future facility planning initiatives in order to accommodate any resulting student growth. Z23-21 Staff Report PB 11.2.2023 Page 12 of 20 • Staff has provided information on existing school capacity to provide a general idea of the potential impact on public schools, but these numbers do not reflect any future capacity upgrades. School Enrollment* and Capacity** (2022-2023 School Year) *Enrollment is based on the New Hanover County Schools student numbers for the 2022-2023 school year. **Capacity calculations were determined based on the capacities for the 2022-2023 school year, and funded or planned capacity upgrades were those included in the Facility Needs Study presented by New Hanover County Schools to the Board of Education in January 2021. This information does not take into account flexible scheduling that may be available in high school settings, which can reduce the portion of the student body on campus at any one time. • The 2021 facility needs survey prepared by Schools staff indicates that, based on NC Department of Public Instruction (DPI) student growth projections and school capacity data, planned facility upgrades, combined with changes to student enrollment patterns, will result in adequate capacity district wide over the next ten years if facility upgrades are funded. Level Total NHC Capacity School Enrollment of Assigned School Capacity of Assigned School w/Portables Capacity of Assigned School Funded or Planned Capacity Upgrades Elementary 95% Porters Neck 601 549 109% None Middle 108% Holly Shelter 851 991 86% None High 93% Laney 2214 1941 114.1% None Z23-21 Staff Report PB 11.2.2023 Page 13 of 20 New Hanover County Strategic Plan On July 17, 2023 the Board of Commissioners adopted a new strategic plan for Fiscal Years 2024- 2028. This plan focuses on three core areas: workforce and economic development, community safety and well-being, and sustainable land use and environmental stewardship. Strategic Plan Outcomes Relevant to Proposal Analysis Through planned growth and development, residents have access to their basic needs. The strategic objective to achieve this desired outcome includes the provision of a variety of housing options. The proposed CZD RMF-M rezoning will provide new attached single- family homes in an area of the county that is largely single-family, detached and can aid in achieving the target of increasing the housing supply to a level of one residential unit per every two residents. The 2022 Housing Needs Assessment, also known as the Bowen Report, concluded there is an estimated overall housing gap of 12,147 rental units and a gap of 16,875 for-sale units within the County over the next 10 years. Natural areas and critical environmental features are enhanced and protected. While the conceptual plan included as part of the proposed rezoning shows wetlands on the site, the proposed development will not disturb a large component of them and the areas that will be impacted have been determined to not be jurisdictional wetlands subject to Army Corps of Engineers regulations. Homes are not proposed to be located near the existing pond on site. The proposed project sets aside approximately twice the amount of open space, at 13 acres, or 39% of the overall site. The plan also proposes to protect existing large live oak trees on the site. Z23-21 Staff Report PB 11.2.2023 Page 14 of 20 Representative Developments Representative Developments of R-15 (Existing Zoning): Cottage Grove B-2 Retail Development along Major Road Corridor Z23-21 Staff Report PB 11.2.2023 Page 15 of 20 Representative Developments of Townhomes (Proposed Zoning/Land Use): Plantation Village Z23-21 Staff Report PB 11.2.2023 Page 16 of 20 Context and Compatibility • The property is located in one of the county’s more densely developed corridors and partially within the Porters Neck growth node as identified in the Comprehensive Plan. • The property can only be accessed along Market Street via a right-in/right-out driveway. The Brays Drive connection is proposed for emergency access only. However, the County can require a through connection. • While the eastern part of the property was zoned for lower density resident development in the early 1970’s, both public water and sewer services are now available, which makes this area less likely to be developed for low-density residential. • The site plan places the amenity center closer to Market Street, a largely commercial corridor. This serves as a transition from that corridor to the residential development. • The recently opened Military Cutoff Extension is anticipated to alleviate some traffic concerns in the Porters Neck Area, with Porters Neck becoming more of a local destination rather than a thru-way for traffic traveling to and from Pender County. • Required setbacks and transitional buffers provide additional mitigation for aesthetic effects along the property boundaries. Multi-family residential developments require transitional buffers where the site abuts single-family residential, consisting of vegetation, berms, or fences with vegetation. • Due to the location and surrounding development patterns, the property is less likely to be developed with low density housing. • The site plan does take into consideration the preservation of large live oak trees on the site, most of which are considered specimen trees. The site plan also does not place development close to the existing pond on site. Z23-21 Staff Report PB 11.2.2023 Page 17 of 20 2016 COMPREHENSIVE PLAN The New Hanover County Future Land Use Map provides a general representation of the vision for New Hanover County’s future land use, as designated by place types describing the character and function of the different types of development that make up the community. These place types are intended to identify general areas for particular development patterns and should not be interpreted as being parcel specific. Future Land Use Map Place Type Urban Mixed Use and General Residential Because of the general nature of place type borders, sites located in proximity to the boundaries between place types could be appropriately developed with either place type, allowing site-specific features and evolving development patterns in the surrounding area to be considered. Place Type Description Urban Mixed Use: promotes development of a mix of uses at higher densities. Types of uses encouraged include office, retail, mixed use, small recreation, commercial, institutional, single-family, and multi-family residential. General Residential: focuses on lower-density housing and associated civic and commercial services. Types of uses include single-family residential, low density multi-family residential, light commercial, civic, and recreational. Commercial uses should be limited to strategically located office and retail spaces, while recreation and school facilities are encouraged throughout. Z23-21 Staff Report PB 11.2.2023 Page 18 of 20 Analysis The proposed townhome development is located along the Market Street corridor in the Porters Neck area, which is identified as a high growth area in the Comprehensive Plan. Generally, the Comprehensive Plan designates areas along major roadways for higher densities of residential and commercial development. The Urban Mixed Use place type is closer to Market Street, transitioning to General Residential as the property moved away from the higher intensity road corridor. Place type borders are not fixed; however, the intent is for that transitional development pattern between different levels of intensity. In the past, where projects were located in more than one place type, densities that are in the range between those two place types have been seen as consistent as long as the development tries to transition or buffer into lower density areas. The overall project density of 10.94 dwelling units per acre is in between that of the recommended densities of the General Residential place type of no more than 8 units per acre, and the Urban Mixed Use place type of no more than 25 units per acre. Given that the majority of the site lies within the General Residential place type, the overall density being only slightly higher than the General Residential place type recommendation is appropriate. The site plan takes into consideration existing natural features of the site, including large live oak trees and a pond on the rear of the site. The TIA approval includes a full access at Brays Drive, which staff is in agreement with. If the Board is in support of the applicant’s proposed gated access, an updated TIA approval letter would be required from the WMPO and NCDOT. While staff would generally prefer more commercial development directly along commercial corridors and in growth nodes as provided by the existing B-2 zoning, the site plan places the amenity center and leasing office along Market Street, which does create a non-residential use in this portion of the site. The proposed RMF-M district and project are in line with the Comprehensive Plan’s recommendations for the Urban Mixed Use and General Residential place types. While the proposed project’s density is lower than recommended for the Urban Mixed Use place type, it is higher than that which is recommended for General Residential. This proposed project fits in between the two place types. The application provides for the type of use and density that is appropriate within this area and within the growth node. Consistency Recommendation The proposed RMF-M zoning is generally CONSISTENT with the 2016 Comprehensive Plan because the district is more in line with the densities that are appropriate for properties located in both the Urban Mixed Use and General Residential place types. While staff would prefer additional connections and more commercial development along the commercial corridor, the application provides housing and an appropriate transition from the commercial node to the lower density residential areas to the east. Z23-21 Staff Report PB 11.2.2023 Page 19 of 20 STAFF RECOMMENDATION Staff’s recommendation is based on the policy guidance of the 2016 Comprehensive Plan, zoning considerations, and technical review. The proposal includes a density and housing type that appropriately sits in between the recommended densities for the General Residential place type and the Urban Mixed Use place types. Staff is in support of the additional connectivity included in the approved TIA, and while staff would prefer more commercial development along the Market St corridor, the application provides housing and an appropriate transition from the commercial node to the lower density residential areas to the east. As a result, Staff recommends approval of the proposal and suggests the following motion: I move to recommend APPROVAL of the proposed rezoning. I find it to be CONSISTENT with the purposes and intent of the Comprehensive Plan because the district is more in line with the densities that are appropriate for properties located in both the Urban Mixed Use and General Residential place types. I also find recommending APPROVAL of the rezoning request is reasonable and in the public interest because the application provides housing and an appropriate transition from the commercial node to the lower density residential areas to the east. Applicant Proposed Conditions: 1. Access to and from Brays Drive shall be gated and restricted to emergency vehicles only. 2. Buffers against residential properties are widened beyond New Hanover County minimum buffer width requirements as shown on the conditional zoning plan. The buffers and open space areas are variable widths and will contain a mixture of preserved existing trees and/or augmented vegetation. 3. Areas of buffer and open space outside of essential site improvements and easements will preserve existing trees that are not dead, dying, or otherwise hazardous. Staff Recommended Conditions, in addition to applicant proposed conditions: 1. The connection to Brays Drive shall be a full through connection. 2. Bicycle and pedestrian infrastructure shall be installed up to the property line where internal roads connect to adjacent parcels. 3. An overland relief path within a public drainage easement will be provided from the existing pond to the proposed pond outfall. 4. Buildings will be a maximum of three stories. Z23-21 Staff Report PB 11.2.2023 Page 20 of 20 Alternative Motion for DENIAL (if based on information presented at the public hearing or other consideration beyond the scope of staff review, the board finds denial appropriate.) I move to recommend DENIAL of the proposed rezoning. While I find it to be CONSISTENT with the purposes and intent of the Comprehensive Plan because the district is more in line with the densities that are appropriate for properties located in both the Urban Mixed Use and General Residential place types., [and] I find recommending DENIAL of the rezoning request is not reasonable and in the public interest because the existing B-2 zoning is more appropriate along the Market Street corridor and the proposal funnels to only one access point.