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HomeMy WebLinkAboutZ26-02 PB ReportZ26-02 Staff Report PB 3.5.2026 Page 1 of 12 STAFF REPORT FOR Z26-02 GENERAL USE REZONING APPLICATION APPLICATION SUMMARY Case Number: Z26-02 Request: Rezoning to a B-2 (Regional Business) District Applicant: Property Owner(s): Angela Roseman, SMI Development Services Ohnmacht Properties Location: Acreage: 7037 Market Street .58 acres PID(s): Comp Plan Place Type: R04400-002-017-000 Community Mixed Use Existing Land Use: Proposed Land Use: Undeveloped The property would be allowed to be developed in accordance with the B-2 district. Current Zoning: Proposed Zoning: R-15, Residential B-2, Regional Business SURROUNDING AREA LAND USE ZONING North Residential R-15 East Across Market St, Residential and Professional Office R-15, and CZD CB South Across Market St, Businesses B-2 West Multi-family Residential CZD RMF-M Z26-02 Staff Report PB 3.5.2026 Page 2 of 12 ZONING HISTORY July 19, 1972 Initially zoned R-15 (Area 8B) COMMUNITY SERVICES Water/Sewer Water and sewer services are available through CFPUA. Fire Protection New Hanover County Fire Services, New Hanover County Northern Fire District, New Hanover County Ogden Station Schools Blair Elementary, Trask Middle, and New Hanover High Schools Recreation Ogden Park CONSERVATION, HISTORIC, & ARCHAEOLOGICAL RESOURCES Conservation No known conservation resources Historic No known historic resources Archaeological No known archaeological resources APPLICANT’S PROPOSAL • The applicant is proposing to rezone approximately 0.58 acres of R-15, Residential, to a general use B-2, Regional Business, district. • According to the applicant, the requested B-2 zoning district is more appropriate for the tract than the current R-15 zoning, as the 2016 Comprehensive Plan allows for commercial development that will provide services, employment, and opportunities for integrated mixed- use development. • This request is for a straight rezoning, so any approval would allow for all uses outlined for the requested district and cannot include conditions. Any future development would be subject to the general development standards for the district outlined in the Unified Development Ordinance (UDO), including operating hours, lighting, and vegetative buffers. Z26-02 Staff Report PB 3.5.2026 Page 3 of 12 ZONING CONSIDERATIONS • The R-15 district in this area was established in 1972. At the time, the purpose of the R-15 district was to provide lands that accommodate a full range of heavy industry uses to support the development and success of industrial and commerce clusters as identified in the 2016 Comprehensive Plan. • The purpose of the R-15, Residential, district is to provide lands that accommodate very low to low density residential development that can serve as a transition between very low-density residential development patterns and smaller lot, more dense residential areas of the County. • As currently zoned, the subject site would allow for the development of one single-family dwelling, or one duplex. • The Regional Business (B-2) district was established to provide for the proper site layout and development of larger format or larger structure size business uses, including big box stores and automobile dealers. It is also designed to provide for the appropriate location and design of auto-oriented uses that meet the needs of the motoring public or that rely on pass-by traffic. • While the full list of uses allowed in the B-2 district is attached, typical uses allowed by right in the district include: o Child Care Center o Medical and Dental Office and Clinic o Bar/Nightclub o Indoor or Outdoor Recreation Establishment o Bank and/or Financial Institution o Restaurant o Hotel or Motel • Commercial developments require additional landscape buffering and greater setbacks where they are adjacent to single-family residential. The required side setback is 30 feet, and the rear setback is 35 feet. • The UDO contains controls on exterior lighting on the site, and the maximum illumination levels at the common property line with the residential properties that abut the site shall not exceed 0.5-foot candles and 25 feet in height. The UDO specifies that all exterior luminaries for nonresidential adjacent to single-family residential districts shall be full cut-off features that are directed downward. In no case shall lighting be directed at or above a horizontal plane through the lighting fixture. • If approved, the project would be subject to TRC and zoning compliance review processes to ensure full compliance with all ordinance requirements. Z26-02 Staff Report PB 3.5.2026 Page 4 of 12 AREA DEVELOPMENTS Z26-02 Staff Report PB 3.5.2026 Page 5 of 12 TRANSPORTATION CURRENT CONDITIONS Intensity of Current Zoning Typical development of this site would allow uses permitted in the I -1 and I-2 districts. PROPOSED ACCESS Primary Access This site has direct full access on Blue Clay Road. Because this is a straight rezoning future site access would be reviewed by the County’s TRC and NCDOT. NCDOT will not allow direct access onto I-140 from this site. EXISTING ROADWAY CHARACTERISTICS Affected Roadway Market Street Type of Roadway NCDOT principal arterial Z26-02 Staff Report PB 3.5.2026 Page 6 of 12 Roadway Planning Capacity (AADT) 37,231.48 Latest Traffic Volume (AADT) 53,000 Latest WMPO Point-in- Time Count (DT) 54,767 (7/1/2025) Current Level of Congestion Over Capacity NEARBY NCDOT STIP ROADWAY PROJECTS U-4902C, U-4902D - Project for access management improvements from N. College Road to Station Road and from Middle Sound Loop Road to the Mendenhall Drive/Marsh Oaks Drive intersection. - Install 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 multi-use path on the eastern side of the street, and a 5-foot sidewalk on the western side of the street. - The project is currently under construction and was expected to be completed by early-2023. U-6202 - Project widening Gordon Road from Market Street to I-40. Right- of-Way and Utilities, currently underway. U-4751, U-4751A - Project to extend Military Cutoff from Market Street to I-140. - The project is complete. - The project will also install a sidewalk and multi-use path along the extension of Military Cutoff and the sections of Market Street included in the project. TRAFFIC GENERATION Potential By-Right Development under Proposed Zoning- R-15 Residential1 Potential By-Right Development under Proposed B-2, Regional Business2 AM Peak Hour Trips 1 115 PM Peak Hour Trips 1 109 Assumptions 1 Potential Current Zoning Build Out – one single family home 2 Potential Build Out – one 12,000 SF restaurant/retail building TRAFFIC IMPACT ANALYSIS (TIA) Traffic Impact Analyses are not required for straight rezonings as a specific development proposal is required to thoroughly analyze potential trip generation. Per the WMPO, based on the size of the parcel and commercial businesses allowed by-right in the B-2 district, a TIA will more than likely be required, especially if the site is developed with a combination of multiple land uses. Z26-02 Staff Report PB 3.5.2026 Page 7 of 12 SUMMARY This site is located on a principal arterial road which currently over capacity. Nearby developments such as the Lendire mixed-use commercial project and Cookout have existing TIAs requiring a range of roadway improvements including additional turn lanes and a new stoplight on Market Street. The B-2 zoning allows a range of commercial uses, including restaurant, recreation, and retail sales. While there is not a concept plan for future development of the site, the estimated traffic generation above is based on a potential 12,000 SF commercial building. Staff anticipates that if the rezoning is approved, a TIA would be required for future development of the site. ENVIRONMENTAL • The property does not contain any Special Flood Hazard Areas or Natural Heritage Areas. • The Howe Creek and Smith Creek watersheds. • Per the Classification of Soils in New Hanover County for Septic Tank Suitability, soils on the property consist of Class I (moderate limitation), and Class III (severe limitation) soils. However, the site is expected to be served by CFPUA when developed. OTHER CONSIDERATIONS 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 A business-friendly environment that promotes growth, agility, and collaboration. The proposed (CZD) CS rezoning will help achieve the target to maintain new business growth within 2.5% of the state. Through planned growth and development, residents have access to their basic needs. The strategic objective to achieve this desired outcome includes the provisions of a variety of housing options. The proposed RMF-L district would allow an assortment of housing types by- right and aid in achieving the target of increasing the housing supply to a level of one residential unit per every two residents. Z26-02 Staff Report PB 3.5.2026 Page 8 of 12 Representative Developments Representative Developments of R-15 (Existing Zoning): Clay Crossing, Ogden Chablis Way, Porters Neck Z26-02 Staff Report PB 3.5.2026 Page 9 of 12 Representative Development of Commercial (Proposed Zoning): Bayshore Commons Market Street Commercial Corridor Z26-02 Staff Report PB 3.5.2026 Page 10 of 12 Context and Compatibility • The property is located along Market Street just north of the Military Cutoff Road extension interchange, within one of the county’s most densely developed corridors between the City of Wilmington and the Kirkland–Porters Neck commercial node. It is one of the few remaining parcels zoned R-15 along this stretch of Market Street, an area that has steadily transitioned from lower-density uses to more intense, compact development patterns. • The site is near recreational amenities at Ogden Park and is surrounded by a mix of uses including Nixon Apartments to the west, R-15 single-family to the north, and a mix of commercial uses including Angel’s Tacos, Priscilla McCall’s, and professional offices to the south and east along Market Street. Public water and sewer are available to serve the property. • Given the commercial development fronting Market Street to the south and the extension of Military Cutoff Road to the west, the proposed commercial use is consistent with the character of these heavily traveled corridors. Required setbacks are designed to minimize impacts along adjacent residential property lines and will be applied based on the type and scale of future development on the site. • While the 2016 Comprehensive Plan recommends a mixture of commercial and residential uses, over the past two years as staff has worked on the Destination 2050 Comprehensive Plan update, the vision for the main corridors through the county has shifted to discouraging higher density residential projects to protect the character of adjacent existing neighborhoods and in recognition of limited roadway connectivity. In the draft plan, commercial development is encouraged along this corridor to provide basic goods and services to existing residents. 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 c ommunity. These place types are intended to identify general areas for particular development patterns and should not be interpreted as being parcel specific. Z26-02 Staff Report PB 3.5.2026 Page 11 of 12 Future Land Use Map Place Type Urban Mixed Use Place Type Description Promotes development of a mix of residential, office, and retail uses at higher densities. Types of uses encouraged include office, retail, mixed use, small recreation, commercial, institutional, single-family, and multi-family residential. Analysis The Urban Mixed Use place type promotes development of a mix of residential, office, and retail uses at higher densities. This classification intends for moderate to high densities while also providing a transition between the existing lower density housing and higher intensity commerci al uses along heavily traveled roadway corridors, such as the Market Street Corridor. Designated as Urban Mixed Use in the 2016 Comprehensive Plan, this area is intended to support commercial growth alongside nearby commercial services. While the current zoning does not permit commercial development, B-2 would allow businesses such as retail sales, recreational establishments, and offices, fitting within the plan’s recommendation of higher commercial businesses. The district would enable a range of businesses consistent with the intent of the Urban Mixed Use place type. Its location along the Market Street corridor with existing commercial uses, while also transitioning to nearby residential, is appropriate. Consistency Recommendation The proposed B-2 rezoning is generally CONSISTENT with the 2016 Comprehensive Plan because the district provides commercial densities that are in line with the recommendations of the Urban Mixed Use place type, and the B-2 district would provide commercial infill in an area of the County that is a highly-trafficked commercial corridor. STAFF RECOMMENDATION Staff’s recommendation is based on the policy guidance of the 2016 Comprehensive Plan, zoning considerations, and technical review. While the B-2 zoning request is generally consistent with the Comprehensive Plan, staff would have preferred a conditional rezoning with a concept plan to better evaluate potential impacts related to traffic and adjacent neighbors. However, the 2016 Comprehensive Plan designates the area as Urban Mixed Use, which supports commercial development alongside nearby commercial services. The site is located on Market Street just east of the Military Cutoff interchange, surrounded on three sides by commercial and with multi-family residential to the west and a few remaining residential lots to the north. Public water and sewer is available. Z26-02 Staff Report PB 3.5.2026 Page 12 of 12 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 2016 Comprehensive Plan because the B-2 zoning district would provide uses that are in line with the Urban Mixed Use place type that could serve existing and future businesses and residents. I also find RECOMMENDING APPROVAL of the rezoning request is reasonable and in the public interest because the district would provide a transition to nearby residential uses. 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 2016 Comprehensive Plan because the B-2 zoning district would provide uses that are in line with the Urban Mixed Use place type that could serve existing and future businesses and residents, I find RECOMMENDING DENIAL of the rezoning request is reasonable and in the public interest because potential impacts to the adjacent residential uses cannot be mitigated with a straight rezoning.