OAK ISLAND — An area planning board didn’t favor changes proposed to its zoning map for a developer to bring multi-family residential units to undeveloped land near Oak Island.
READ MORE: Leland council postpones Mallory Creek townhomes, not enough public input in years-long process
Joe Barklow of Ohio-based Stark Enterprises presented to the board Thursday plans to build multi-family home units — around 244 on 51.66 acres — at 3190 Southport-Supply Road. Stark has a $2-billion portfolio of retail, entertainment, office, residential, hotel and student housing environments; it’s also behind Oak Harbor Village, located only 3 miles from the proposed development site.
Stark Enterprises would own and operate the multi-family development long-term.
“We are looking to be a member of this community,” he said, noting the cottage style residences will be two-, four- and six-plex, anywhere from 900 to 1,400 square feet.
The build-for-rent model would run approximately $2,000 a month and will include a community pool, dog park, clubhouse, fitness center, sports courts and more.
Located near Midway Commons, with connectivity to the commercial node that houses Lowe’s Foods, Barklow said the new development would fulfill a need in Oak Island, whose land use plan currently shows 86.4% includes single-family homes versus only 7.95% of multi-family.
“There’s a shortfall of rental property and we think we’re filling it,” Barklow said. “Your land use plan shows your area is growing quickly and housing prices are escalating. Our housing study shows the median price going up to $640,000; essentially, because of growth, home ownership is becoming unattainable. This development provides the community with high-quality residences that offer the benefits of home ownership to those whom home ownership may not be desired.”
But to build Barklow needs the zoning map to change from low density commercial (C-LD) — which allows for commercial uses, single-family homes and manufactured homes only — to higher density residential, or R6-MF.
Multi-family units are only allowed under R6-MF, which supports a variety of home types, including single-family, duplex, three-family, and family care homes. Townhomes and multi-family builds also require a special use permit under this designation, which Barklow said the group was working to acquire.
Staff recommended denying the zoning map change, stating it didn’t fit with the vision of the comprehensive plan, nor the future land use map proposing the land designation become commercial mixed use (CMU) instead of C-LD.
Commercial mixed-use includes high intensity, pedestrian-oriented uses arranged around a compact core and denotes commercial be 60% of the development, with residential taking up 40%. Stark’s complex was over the 40% mark and designated 4.55 acres as commercial.
However, he asked the nearby Midway Commons strip mall to be taken into account as part of the whole when it comes to commercial needs. This notion was also backed by Cape Fear Commercial, which manages the property for land owner Lowe’s Foods, located in the complex.
Bryce Morrison, who concentrates in the retail sector for Cape Fear Commercial, said the group and Lowe’s supported the project and even agreed to share connectivity to the development. Midway Commons was built a decade ago but still has space open.
“This particular shopping center still has some inline vacancy,” Morrison said of the 90,000 square feet of retail. “In our world, the reality is, in order to get commercial, you have to have the rooftops.”
In speaking with national retailers, Morrison said the density in Brunswick County — though growing swiftly as the fastest in North Carolina — still needs to increase for the metrics to make sense in attracting amenities. He added CFC hears from residents and HOA members frequently about new projects coming to Brunswick County, indicating those who live in the area also desiring access to more shopping and restaurants.
“We would encourage you to step back and take a higher view of the mixed-use vision and treat us as that commercial component in meeting that mixed-use requirement, with them being residential,” he said of Stark’s plan. “It will help our ability to attract other users.”
Midway Commons and Stark signed a cross access easement management agreement to drive traffic through the center.
Barklow said there also would be sidewalks and bike paths included between the two areas. He noted there were two places on the development site, half an acre and almost a full acre, classified as wetlands and soils that won’t be built on, and there would be a significant buffer abutting other parcels.
“We’re not building a concrete jungle,” he said. “We are building to the land.”
Even with Midway Commons taken into consideration — as well as deducting the wetlands and stormwater area, which doesn’t include buildings — the development wasn’t closer to the 60/40 ratio the commercial mixed use mandates of its land uses. Rather, it would be 54/46, a sticking point for staff. However, Balkom suggested the planning board think reasonably in this regard.
“We may fall short on a couple of items,” Barklow said, noting the ratio requirement, but for the most part said the addition would be more “positive in every way.” It fits a consumer need but also aligns with surrounding parcels, zoned suburban residential, business and commerce, and commercial low density.
He added it would bring roughly $230,000 in revenue to the municipality, according to Stark’s studies.
The current commercial land district area is around 274 acres, board member Gene Brooks explained, and noted once Stark’s 50ish acres were changed, it would be permanent.
“That’s 20% of the district,” he said.
Realtor Tracy Swanson spoke at the meeting and said the town’s 2017 comprehensive plan is dated and uses data from 2013. She added allowing R6MF would also make way for family care facilities, which could be needed by the elder population in the area.
Oak Island Planner Brady Golden told the board, upon request, the low density commercial district would attract wind and energy facilities, crematoriums, building material sales sites, and airplane maintenance facilities, for example.
“If we are rezoning something, I’d rather see residential than a Walmart parking lot,” board member Reece Simmons chimed in.
Board member David Purser said that residential under 45% impervious surface was a benefit for the applicant, rather than having 100% “concrete paradise” of commercial. However, he didn’t think the parcel split into three tracts with only one changing the land designation was beneficial to the town. Purser said it sounded more like “spot zoning.”
Durral Gilbert favored Stark’s plan and said it flowed from nearby residential on the western side and commercial in the opposite area.
“This is consistent with development trends in larger urban areas,” Gilbert added, further noting the proposed cottages were better than apartments. “This nature of rezoning is more in line with what we need. Whereas a few years ago, we didn’t see house prices increase like they have today.”
The development would include one entry from Highway 211, a westbound right-in deceleration lane. Yet, Barklow said Midway Commons agreed to allow motorists from the development also access east/west travel on 211 from its commercial parking lot. The North Carolina Department of Transportation noted this plan would be adequate.
Chair David Bradley praised Barklow for the due diligence put into the presentation and called his arguments valid. Yet, he seconded Brooks’ motion to deny the recommendation, with the vote coming down to 4-2 — Gilbert and Purser dissenting.
“I just wish we could work out something where we both are on the same vision — we need housing and affordable housing,” Bradley said. “But my primary goal is looking at the future vision and what we’re looking to achieve with the land use and I’m looking at that as our guiding document.”
He recommended Barklow take the feedback garnered from the meeting and tweak the plans before presenting it to Oak Island’s Town Council. A town spokesperson said it’s unclear currently when Stark Enterprises will present council with the zoning map change.
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